Cahoot rate hike

gibby

Ive just noticed Cahoot have increased my rate to 21%.
I used to get emails from them but changed my email address & unsure if they notified me.

Cahoot isnt a credit card but do the same rules apply as credit cards?
Can I get this rate back to what it was?


Also I have a small amount on an abbey card & I did question a rate rise over a year ago & they refused to do anything about it. Can I back date a request.

ta

G

spaceboy

Total con.

gibby

does anyone know if the same rules applies to flexi loans as cards?


G

_Andy_

spaceboy wrote: »

Total con.

How is increasing the rate of a variable rate credit agreement a 'con' exactly?

no_more_cards_for_me

spaceboy wrote: »

Total con.

Why a con - its avariable rate agreement and they can vary it as much as they like

TFD_2

Ignore the above comments. It is a con.

They hiked the rates up MASSIVELY from 6-9ish % to 20-22%.

Their plan was to encourage people to take the debt elsewhere as they didn't want it. And the only people left are those that can't refinance the debt due to poor credit ratings. i.e. those who can lease afford a hike like that.

The only reason for the rate hike is Cahoot leaving the loans market, not the conduct of any account.

As for opting out, the increase would have been well over a year ago now, so nothing you can do now, even if the same rules do apply.

_Andy_

It's annoying but it's not a con. Look up the definition for clarity.

TFD_2

_Andy_ wrote: »

It's annoying but it's not a con. Look up the definition for clarity.

As I'm not a pedant, I won't, no.

Also look up the definition of annoying - this increase has cost me several thousand pounds. That's more than an annoyance!

CannyJock

TFD wrote: »

As I'm not a pedant, I won't, no.

Also look up the definition of annoying - this increase has cost me several thousand pounds. That's more than an annoyance!

If they're doing it across the board for the reason you suggest, you might have grounds to raise it as a complaint and take it to the FOS as it's not in any way related to risk based increases and therefore breaches the terms of the 2008 Fair Principles agreement (one of many google results with more details on it http://news.sky.com/skynews/Home/Business/Credit-Card-Debt-Deal-Lenders-Back-Fair-Principles-To-Give-Customers-Breathing-Space/Article/200812215177892)

It's a complete bluff, but if you're outwith the 30 days to reject the increase then I'd be tempted to chance it and see If nothing else, it'll cost them something to reply to you.