Ideas/suggestions needed for what i believe to be Credit given out of regulations

robp85

After posting under loans section and getting nothing but useless comments from people with clearly nothing better to do ill try again.
I had a hsbc flexi loan owed 2.5k i asked for a £200 inc and was advised there credit check allows to lend me total 2.7k so that is fine. It turned out he opened a whole new flexi loan account and funds automatically put in my current account. Things went downhill after a portion of funds spent as thought came from elsewhere now i have 2 seperate flexi loans which always seems to confuse the bank when i speak to them. Have they breached anything by either giving me funds that wasnt asked for or giving me more than there lending limit would allow. If the funds were not there they wouldnt have been spent granted they were and was spent. i know my responsibility is to pay back money i have spent but with a baby on the way i need to secure myself financially to support my family. Thank you in advance

tealady

Hi. As far as I can see the bank haven't broken any rules ie you asked for more and you got it, just as a separate account which they are entitled to if they wish. If it confuses the bank you having 2 loans then I would suggest that you either give them the date the loan started or asking the bank to merge them into one.

DarkConvict

You are going to have signed up to a new loan, you could CCA request the agreement but it will probably show you agreed to a brand new loan. http://forums.moneysavingexpert.com/showthread.html?t=2305463
The best they would ever offer would be interest paid back but they would want the £2700 back aswell!

Mistakenly or not, you spent the loan money so you have loans for a total of £5,200 now. I am surprised you could mistake it as you would otherwise still be looking for your £200 increase. If you had not had the loan money what would you have done? Was it spent on really needed items or did it go on luxury goods.

I think you have gotten confused with your money so may do you well to post up an SOA - http://forums.moneysavingexpert.com/showthread.html?t=107280

Tixy

I imagine if you check your paperwork then you will see that you have signed up for a flexi-loan of £2700. If this is the case then they have not broken any regulations.
Had you kept a closer eye on your finances, you could have used £2500 of the new loan to pay off the old one. As you have spent this extra money instead then you'll have to pay both loans off at the agreed rates.

I would recommend you sign up for online banking with HSBC which will show your current accounts, your flexiloans and any other HSBC accounts you have, enabling you to keep a better watch over your finances in future. It also allows you to quickly and easily transfer extra money from your current account to your flexi-loan to allow you to pay back quicker.

robp85

Right well i have checked the coa and does show a loan of 2700 but was told it would be re-written to show the increase with a diff act num But yeah end of the day if i checked it out to verify funds first would be a different story sadly i didnt spend on luxury goods but to withdraw of loan and payback in until the interest went above balance as no money to cover 2x £120 pmts pm, i know the obvious answer is i spent the money i pay it back but back of my mind says maybe there is a way can save some money even if it is the interest,

Tixy

I don't think they have done anything wrong Rob - with a flexi loan interest is also 'flexible', so the only way to save interest is to pay off as much as you can as soon as you can.