Welcome Finance offering 0% interest!!!!

Clairabelle

Hi there, could do with some advice reagrding Welcome Finance.
Myself and husband took out a £25000.00 secured loan in July 2007 over 180months, we are upto date on payments but have had arrears in the past that we have caught up with.
Welcome have now offered us a deal where we double our monthly payment and don't pay any interest, therefore paying of the loan in just over 30 months.
The only snag is although we should only have 138 months left they are telling us that we have 167 months left to pay due to interest added when we were in arrears.
Can they do this?
Any advice would be appreciated.

somethingcorporate

Ask them for a breakdown of payment / balances to understand where they get the additional from.

Technically you broke the agreement first by going into arrears so they have probably added on a lot of fees / charges as a result.

Apples2

Their explanation sounds entirely plausible but don't go doing anything other than the agreed terms without it being in writing.

In 30 Months time when you "think" you are making your last payment they may "lose any records" of the phonecalls.

~Brock~

They are in wind down mode and just want to get as much cash in as quickly as possible. Making a profit in the long term is not on their agenda.

Silvafox

Yeh, I think the poster above me is right. I asked them to consider a full and final to help me get rid of them as a debt and they rejected it (mainly because I have no problems with them and the account is ran perfectly)- although they did offer to take a lump sum (£2k) and then freeze the interest until the end of the loan. So it seems there are offers to be taken advantage off if you simply ask. Although, I agree again with the above poster and make sure it's ALL in writing.