Freezing interest on loan

Frustration

I have posted on here before regarding the interest on my loan.

Unfortunately - I got a lot of abuse - and was told to post on the Debt-Free Wannabe - where I would receive the sympathy I needed!!!

I do not need sympathy - just help.

I have written to Lloyds - to ask them to freeze the interest and they have said no.

Is there anything else I can do.

Any advice is much appreciated

BigCraigJohn

Hi. Yes some of the other forums on here are full of self righteous, pro bank gits but you'll get support here rather than judgement.
To be honest you'll probably find most lenders will do very little while the agreement is active, Lloyds being 1 of the worst.
The fact is for as long as the loan is active they will add interest however if you are not paying the full repayments they will most likely default you anyway and the account will likely be terminated and the amount frozen.

What are your circumstances anyway ie why do you need to freeze the interest?

Frustration

BigCraigJohn wrote: »

Hi. Yes some of the other forums on here are full of self righteous, pro bank gits but you'll get support here rather than judgement.
To be honest you'll probably find most lenders will do very little while the agreement is active, Lloyds being 1 of the worst.
The fact is for as long as the loan is active they will add interest however if you are not paying the full repayments they will most likely default you anyway and the account will likely be terminated and the amount frozen.

What are your circumstances anyway ie why do you need to freeze the interest?

Hello - thank you for taking the time to reply
I took out a 6k loan in 2006

I then had lots of time off work due to 4 operations. The last operation has taken longer to recover from and so I had to leave work.

My repayments were £149.55 per month.
I paid £149.55 for 30 months
£35 for two months
£149.55 again for 8 months
£150.00 for two months
and now £100.00 for 15 months (including April)

The bank did call me a couple of times - and I explained that I was still not working due to ill health - and they just said ok.

It seems now that I am only paying back mostly interest - this was not explained to me in the phone calls. Naive and stupid of me not to realise - but I have had other things to deal with.

So I wrote to them a two page letter, stating my saga, and explained about the two not helpful calls from them, and I also requested my latest statement and for them to freeze the interest.

All I received was a few lined reply - saying no!

BigCraigJohn

I agree totally not on. Different banks seem to do things different, Lloyds seem happy to keep the debts themself for as long as they are still getting payment where others send to a dca pretty fast. Have you checked your credit history to see if they have defaulted it?.
Personally I think the only way they will stop is if the account is defaulted and the agreement terminated but thats totally up to you. Maybe you could try a formal complaint or something.
I had a Lloyds credit card and they would not listen until I had witheld payment for 7 months, i'm now repaying the debt to Moorcroft at £5 a month. Negative I got defaulted but on the plus side the balance is frozen and im paying it off rather than covering interest only.

Frustration

BigCraigJohn wrote: »

I agree totally not on. Different banks seem to do things different, Lloyds seem happy to keep the debts themself for as long as they are still getting payment where others send to a dca pretty fast. Have you checked your credit history to see if they have defaulted it?.
Personally I think the only way they will stop is if the account is defaulted and the agreement terminated but thats totally up to you. Maybe you could try a formal complaint or something.
I had a Lloyds credit card and they would not listen until I had witheld payment for 7 months, i'm now repaying the debt to Moorcroft at £5 a month. Negative I got defaulted but on the plus side the balance is frozen and im paying it off rather than covering interest only.

Thank you again.
I think they are being totally unfair - especially as I have been with them for 29 years.
And what is the best way to put it to them?
Should I stop the Direct Debit until I have a decent answer from them?

BigCraigJohn

I agree, loyalty means very little.

Before doing anything drastic, was there ever any payment protection on this loan?

Frustration

BigCraigJohn wrote: »

I agree, loyalty means very little.

Before doing anything drastic, was there ever any payment protection on this loan?

No - I did not take out the protection - because at the time, I had quite a good job, and I stupidly thought I would be ok - not realising that my health and operations loomed ahead

BigCraigJohn

Fair enough. Well if you are going to look after you own repayment plan you will be hassled although Lloyds were not to bad compared to some of the others. Some people prefer to go through CCCS, Payplan or CAB but personally I prefer to do it myself purely as I am in control.

I dont want to advise to much as to be honest I didnt plan to go about mine as I did, it just worked out fairly well. But I do know that if you are not paying the full payment they will default you fairly quickly.
It will then probably go to a dca, debt collectors are nasty, dirty pains in the backside but will accept any payment you make.

I guess what im saying is its up to you.

Frustration

BigCraigJohn wrote: »

Fair enough. Well if you are going to look after you own repayment plan you will be hassled although Lloyds were not to bad compared to some of the others. Some people prefer to go through CCCS, Payplan or CAB but personally I prefer to do it myself purely as I am in control.

I dont want to advise to much as to be honest I didnt plan to go about mine as I did, it just worked out fairly well. But I do know that if you are not paying the full payment they will default you fairly quickly.
It will then probably go to a dca, debt collectors are nasty, dirty pains in the backside but will accept any payment you make.

I guess what im saying is its up to you.

Hmmm - still confused

There is not much to pay off really - so it seems such a shame that this is happening.

I did contact the CCCS - who told me originally what to put in my first letter to Lloyds - including sending me any
information about me I am entitled to under the Data Protection Act 1998 relating to my loan and the payments I have made.

But their reply was short and sweet

I know you cannot offer me advice as to which road to take - but this silly mess is keeping me awake at night - and I still have ill health to deal with too

CH27

I read your previous threads & I actually think Lloyds have been pretty fair with you.
They have allowed you to make reduced payments for a while without defaulting you.
Stopping the interest may lead to a defaultor CCJ which will have a long term adverse effect on you.

Frustration

CH27 wrote: »

I read your previous threads & I actually think Lloyds have been pretty fair with you.
They have allowed you to make reduced payments for a while without defaulting you.
Stopping the interest may lead to a defaultor CCJ which will have a long term adverse effect on you.

I think I have paid quite lot each month - considering my circumstances. I could have chosen to pay less - but didn't

I am not out to not pay the rest of the loan - I just would like the interest frozen

How come other people write similar things on here - and they are not seen to have had fair treatment?

I just want to repay as quickly as I can - but this seems impossibe with the interest