took wrong advice from the bank

_Andy_

msconsumer wrote: »

My bank were not looking after my interest but there own!

Right, and?????

dancingfairy

Actually I believe it is bad practice if not worse for someone with debt problems to be offered something which will keep them in debt for longer/restructure the debt. IF the OP was in trouble at the time then the bank should have pointed them in the direction of free help.
On the other hand you have to consider of course whether with the interest free period the OP should have been better off.


Is it the OFT that sets out what banks should do to help customers in trouble- I'm not 100% sure - or is it the FSA - either way it is worth looking into.
I however think remortgaging is the absoulte worst thing you can do - securing the debt is a very, very, very bad idea - default on the debt and you put the house at risk, not to mention you are spreading the payments over a number of years so it will cost you a lot in terms of interest.
If you default on an unsecured debt - then the company can't make you sell your house.
Go to the CAB or phone National Debtline or CCCS for free, impartial advice and/or head over to the debt-free wannabe board.
df

dancingfairy

Where do you draw the line between mis-selling/mis-advising and just sheer stupidity or customer ignorance/lack of knowledge on this type of thing? That's the key at the heart of the matter. Many people are just not clued up enough to be able to make a sensible informed decision and have little/no concept of financial matters - particularly compound interest rates - let alone where to go for help and advice. This is clearly demonstrated by the OP when he suggests securing his debt which is possibly the worst thing he could be considering right now.
df

msconsumer

Thanks for your help. I have looked over my paper work the loan as for £3,000 @21%, credit card £2,000 6 mpnths free interest, interest now at 15.9%. My exisiting card is owing £1,600 interest at 20%. I have not made much of an impact with paying these debits with defaults fees and bank chargers. I have found a company that will consolidate all of these debits for a monthly fee wihich is cheaper than the bank charges and interest put together. It will take a bit longer to pay it all off but at least I will have more money in my pocket for emergencies etc. Has anyone heard of Harrington Brookes?

Apples2

msconsumer wrote: »

I have found a company that will consolidate all of these debits for a monthly fee wihich is cheaper than the bank charges and interest put together. It will take a bit longer to pay it all off but at least I will have more money in my pocket for emergencies etc. Has anyone heard of Harrington Brookes?

You're going to get ripped off.
They aren't going to do all that for you for nothing. It is normal that your first two Monthly payment lumps will go straight into their pockets, your creditors will not receive a penny.

The letters will flood through your door and you phone will be going off the hook. The defaults will mount up quicker than your credit rating plummets.

They cannot guarantee ANY of your creditors will play ball with their offerings (the money you pay them, minus their fees each month).

All they are going to do is politely ask your creditors to freeze your interest and accept lower payments (you can do that yourself).

msconsumer

In the USA the banks gave away loans and credit to people who could not afford it, most of them ended up on the streets when their homes, cars were taken from them. We ended paying for the banks mistakes in the USA......

jon_boy75

msconsumer wrote: »

Thanks for your help. I have looked over my paper work the loan as for £3,000 @21%, credit card £2,000 6 mpnths free interest, interest now at 15.9%. My exisiting card is owing £1,600 interest at 20%. I have not made much of an impact with paying these debits with defaults fees and bank chargers. I have found a company that will consolidate all of these debits for a monthly fee wihich is cheaper than the bank charges and interest put together. It will take a bit longer to pay it all off but at least I will have more money in my pocket for emergencies etc. Has anyone heard of Harrington Brookes?

Don't do it! Apples2 is absolutely right

That is the best possible advice

msconsumer

How do you know this??

dmg24

msconsumer wrote: »

Thanks for your help. I have looked over my paper work the loan as for £3,000 @21%, credit card £2,000 6 mpnths free interest, interest now at 15.9%. My exisiting card is owing £1,600 interest at 20%. I have not made much of an impact with paying these debits with defaults fees and bank chargers. I have found a company that will consolidate all of these debits for a monthly fee wihich is cheaper than the bank charges and interest put together. It will take a bit longer to pay it all off but at least I will have more money in my pocket for emergencies etc. Has anyone heard of Harrington Brookes?

* Awaits a new thread saying HB gave bad advice ... *

Hax

msconsumer wrote: »

Thanks for your help. I have looked over my paper work the loan as for £3,000 @21%, credit card £2,000 6 mpnths free interest, interest now at 15.9%. My exisiting card is owing £1,600 interest at 20%. I have not made much of an impact with paying these debits with defaults fees and bank chargers. I have found a company that will consolidate all of these debits for a monthly fee wihich is cheaper than the bank charges and interest put together. It will take a bit longer to pay it all off but at least I will have more money in my pocket for emergencies etc. Has anyone heard of Harrington Brookes?

Why have you been incurring these default fees?

As I said at the start, your whole problem is that you are spending more than you can afford.

If you are going to seek help dealing with this situation then do NOT use a fee charging company. There are charity based companies out there that will provide the same service for free. And, because they do not charge a fee, their proposals are more likely to be accepted by your creditors.

I would suggest that you look at CCCS and PayPlan - both of which will help you set up a DMP.

However, if you aren't able to sort out your ability to live within your means then even a DMP isn't going to help you out.