Cahoots = Loan Sharks! (merged)

Camouflage

In the space of a few days my Cahoot interest rate was changed twice, not far off from tripling the original rate!

22/11/2006 I got a notice saying they were changing it from 6.9% to 9.4%
01/12/2006 I got a notice saying they were chanigng it from 9.4% to 14.9%

BTW I got excellent credit score etc, I had actually been over paying the min. amount for the last 12 months.

Lucky it's a variable loan for a car, currently £8K outstanding, so I'll probably change it to a fix rate unsecured loan with Northern Rock at 5.9% or something.

lynzpower

get it changed. Cahoot are robbing scum and should be stopped.

Lots of people have had this experience. PLease call the FSA and let them know they probalby wont do anything but this is a valid complaint- 9.4-14.9 is a big jump.

You might want to get a 0% superbalance transfer card -= my OH got a virgin card that took debt off his cahoot loan and its 0% for 10 months I think, you can always convert it to a unsecured loan later

Phoenix79_2

Aren't Cahoot part of Shabbey? They seem to be going to the dogs!

Good idea about the SBT card but its unlikely you would get one with an £8k limit straight away. I'd go with the fixed loan......ironically Abbey have the best rates at the minute at 5.8%!

itsarichmansworld

My OH has a loan with cahoot fixed rate 5.9% we thought they were excellent ?

lynzpower

IARMW

Yes, its the flexi loan they choose the interest rates at whim. Fixed, is as it sounds

MABLE

We have been with Cahoot for over 4 years and have a current account with them and the overdraft rate is 10.8 and the credit card rate the same. If you regard them as robbing sharksthen I suppose they must be. However I beg to differ.

advent1122

You can all call me dim and tell me to stand in the corner ..but..
Why do people take out a variable loan instead of a fixed rate one?

lynzpower

the point of a flexi loan is you can pay it all off then reborrow it again if you want whenever. its like a overdraft. No fixed term & no penalty for paying it off early.

advent1122

lynzpower wrote:

the point of a flexi loan is you can pay it all off then reborrow it again if you want whenever. its like a overdraft. No fixed term & no penalty for paying it off early.

Right, thanks.
So you can make whatever payments you like and they can increase the APR whenever they want?

dpc036

I too have just had the 14.9% interest email from the !!!!!! over at cahoot.
Is the egg money card the only way i could get this loan onto a life of the balance credit card?

lynzpower

Barclaycard take these loans as well, as do MBNA/ virgin