I only wanted 1 loan, got 2...? Someone made some commission?

adrianporter

Hi, Just trying to get to grips at the moment with a situation that started when i took out a loan with the Halifax bank 4 years ago. I approached my bank asking for one loan of £17k, i was refused, but offered 2 loans, one of £7k and one of £10k, which in retrospect, very desperately took. Signing on the same day,same time, same person, to five years at a higher interest rate than i would of if just the one loan had been accepted. Was someone just making some extra commission from me , is this legal, is there anything i can do to claim back some money for the higher interest rates used? I have tried to consolidate the loans with halifax but again been refused...for whatever reasons. Any suggestions or advice would be appreciated. Cheers ade

regularsaver1

It is apsolutely wrong - trust me

i know someone that did this and had a disciplinary. they have been manipulating the affordability system

you asked for £17k. it declined. they have worked round the system. Go back and decline and use the phrase "DOING BUSINESS THE RIGHT WAY" - this is not the right way

mrcow

Out of interest, what APR would the £17k have been at and what did you end up paying on the separate loans.

it would be interesting if you could tall us so we can work out who much poorer off you are because of this practice (it may help to back up your complant?)

Astaroth

Not knowing how their commission structure works there is no way to say if it would have been beneficial to the sales person or not.

It does sound to me more that they were manipulating the system for you to get you want you wanted than anything else.

If you were declined for the £17k loan how do you know what APR it would have been given they use a "typical" apr? In normal practice a loan of £10k or £7k would have a lower APR than the large sum of £17k

regularsaver1

Yes it has been Astaroth - earn points on loans for branch, not individual. But there are individual league tables.

The £17k probabaly would have had a better APR as was over £10k - but they use personal pricing anyhow.

As they use an affordability model, as long as the 2nd loan was keyed to say that the OP was paying the other loan as an outgoing, it can happen if the customer wants it. - but only is keyed right!! This is manipulating the system, and would annoy me if the staff member got off scott free when i know someone who had a disciplinary (but was told before hand it was ok in practice)

Astaroth

regularsaver1 wrote:

Yes it has been Astaroth - earn points on loans for branch, not individual. But there are individual league tables.

With a previous bank I worked for the points were the total value of the loans not the number so having one loan of £17k and 2 loans coming to a total of £17k would be the same for the sales person.... only if they sold a second PPI would it make any difference.

MrRincewind

i previously worked at a bank and there was a way to loan customers more than the system was offering, for example if some one wanted a £17k loan and the personal availability for the customer was only £10k you key a
£10k & a £7k immediately after each other and trick the system that way to allow the full £17k, hasten to add not something i ever did and eventually left as i did`nt agree with the way you had to offer people loans even though it was plain to see they where at there financial limit.

regularsaver1

Astaroth wrote:

With a previous bank I worked for the points were the total value of the loans not the number so having one loan of £17k and 2 loans coming to a total of £17k would be the same for the sales person.... only if they sold a second PPI would it make any difference.

Yes your right - but off course the £17k declined. So they would of got zero points. They got it through, but shouldn't have done it that way

regularsaver1

MrRincewind wrote:

i previously worked at a bank and there was a way to loan customers more than the system was offering, for example if some one wanted a £17k loan and the personal availability for the customer was only £10k you key a
£10k & a £7k immediately after each other and trick the system that way to allow the full £17k, hasten to add not something i ever did and eventually left as i did`nt agree with the way you had to offer people loans even though it was plain to see they where at there financial limit.

This is not doing business the right way. It could eventually have a detrimental effect on the customer also as there was a reason for declining the £17k in the first place

If when keying the 2nd loan you keyed that they were also paying out monthly for the 1st loan then not as bad, but if didn't that is lieing

MrRincewind

regularsaver1 wrote:

If when keying the 2nd loan you keyed that they were also paying out monthly for the 1st loan then not as bad, but if didn't that is lieing

just so your clear as i don`t want myself to be connected with anything that suggests i would do this, my post states this is something i never did and eventually left the bank because i did`nt agree with the policys, just stating this again as i feel your post infers this is something i practiced personaly and i`m fully aware of the effects doing this for some one could have also.

regularsaver1

No no I'm sorry I did not mean it personally. I am just saying that the OP should complain