Miss-sold loan to elderly parents?

fedupfarmer

My elderly parents were given a loan by Lloyds TSB that they obviously couldn't afford. Repayments were for more than half their pensions, needed for mortgage and living costs. Can they do this? Thought they had to make sure they could afford it or have they been taken advantage of. Is there anything i can do?

zppp

fedupfarmer wrote: »

My elderly parents were given a loan by Lloyds TSB that they obviously couldn't afford. Repayments were for more than half their pensions, needed for mortgage and living costs. Can they do this? Thought they had to make sure they could afford it or have they been taken advantage of. Is there anything i can do?

I understand what you are saying, but they had the benefit of the loan funds, so they will need to repay it back I'm afraid.

ILW

What did they do with the money?

[Deleted User]

fedupfarmer wrote: »

My elderly parents were given a loan by Lloyds TSB that they obviously couldn't afford. Repayments were for more than half their pensions, needed for mortgage and living costs. Can they do this? Thought they had to make sure they could afford it or have they been taken advantage of. Is there anything i can do?

make sure theyve spent all the money before suing lloyds for mis-selling

immoral_angeluk

Were they mentally capable of making their own financial decisions?

dmg24

How old were they when they took out the loan, and what was the purpose of the loan?

izools

fedupfarmer wrote: »

My elderly parents were given a loan by Lloyds TSB that they obviously couldn't afford. Repayments were for more than half their pensions, needed for mortgage and living costs. Can they do this? Thought they had to make sure they could afford it or have they been taken advantage of. Is there anything i can do?

LTSB advised your parents how much the computer said they had available to borrow.

The bank trusted your parents with a large sum because your parents have to date made sound financial decisions in the past and the bank trust them to continue making sound financial decisions.

Your parents knew how much their pensions were, how much the repayments were, for how long. They still chose to take out the loan.

They had the loan funds given to them, which they could have given back within 14 days of receipt without penalty, but chose to spend it instead.

As far as I can see, all of the choices in this story have been made by your parents. Nothing untoward has gone on other their making an irresponsible decision.

hullight

Would you say that anyone over 65 is incapable of making decisions for themselves? 63? 63 and a half?

When you ask 'is there anything I can do' - yes there is. Return the money to the lender.

If the world were like that I would be asking my grandad to go to nick me a laptop from Tesco or something and say that he didn't know any better.

Xbigman

The other replies are harsh but are about right. Unless you can post a lot more about the circumstances behind the loan and where it went we couldn't help you anyway.

One thing you mentioned, your parents are living on their pensions but still have a mortgage. There's a red light for everyone reading your post straight off.
Regards



X

fedupfarmer

They are both in there 70's and very vacant, it doesn't take long to realize they just agree with what they're being told, especially if it's someone they consider to be in authority. The bank called them in and said they would be better putting their credit cards on one payment and they just agreed and signed. A visit to CAB would have been better.
They don't tell me their financial business, so didn't know what they'd done. Before you say they were living beyond their means, they are in this situation because the local staghounds want us out of the farm, so they can hunt on land. Constant intimidation and sabotaging of the income for 12y takes its toll, mentally and physically,they've cost us over £30,000 just this last season.

ILW

So the loan was used to consolidate other debt. This would not be considered mis selling unless the IR was a lot higher. It appers that the reason they had the original debt is not the banks fault in any way. You just need to work out a way of repayng the debt or possibly sell up if it is beyond their means.