Husband took expensive loan, can we do anything?

Seaxwyn

Hello all

My husband has run into problems due to a long period with little work. He has gone over his overdraft limit on his HSBC account, with the result that payments for council tax, water, insurance and others have bounced. He had his head in the sand about this for a long time.

At last he went into the bank and on the spot they signed him up for a loan to pay off the overdraft - at 10.9%. That seems outrageously high to me. Even HSBC themselves are advertising lower rates. Also his account is a business one and he only paid 7.5% interest on the overdraft.

The loan is set up, with no cooling off period. Do we have any way of making them reduce the rate? He has signed the papers so it's all set up.

lynzpower

there is a world of difference im afraid between what loan rates are advertisaed & what people actually get offered.

My credit score is "good" and Ive been offered 14.9

I think in order to get the lowest APRs its for a huge amount of money over the longest time

What you might be able to do - if your ratings are up to it. get a superbalance trasnfer card and tart till its at 0% or low LOBs.

Seaxwyn

Thanks lynzpower

How annoying.... I have a loan at 7.8% but it's for a larger amount it's true.

In one way I'm not too upset as at least he has done soemthing instead of ignoring it and now his overdraft is gone he seems more motivated to try and make some money.

Thanks again

Seaxwyn

anniecave

can he make overpayments to pay if off quicker? Will the amount of interest he has to pay reduce if he does?

Seaxwyn

Hi Annie

From the document, it looks as if he can't make overpayments but I will look into this. At present he's not in a position to make overpayments.