First Plus Secured Loans

mackienick

We have just requested a settlement figure from the above mentioned company and after 3years, we are astounded to note that although we have paid every monthly instalment on time, we still owe, not only the original amount borrowed, but a further £1800 on top. Bearing in mind we have already paid in monthly instalments over £11800, this cannot be right, can it? After speaking to First Plus, they keep quoting Rule 78!!

A11yson

Under the new CCA, I thought that rule of 78 has been outlawed!!!! You didn't have payment protection or something like that did you(?) - that might be making the difference.

tango

mackienick wrote:

We have just requested a settlement figure from the above mentioned company and after 3years, we are astounded to note that although we have paid every monthly instalment on time, we still owe, not only the original amount borrowed, but a further £1800 on top. Bearing in mind we have already paid in monthly instalments over £11800, this cannot be right, can it? After speaking to First Plus, they keep quoting Rule 78!!

There is a thread on First Plus somewhere and Rule 78.....if you do a search it should throw it up for you...vultures :rolleyes:

tango

A11yson wrote:

Under the new CCA, I thought that rule of 78 has been outlawed!!!! You didn't have payment protection or something like that did you(?) - that might be making the difference.

Most probable I think....

Xbigman

Rule of 78 is not applicable on new loans but might be on a loan 3 years old. Likewise PPI is paid up front and you don't get it all back, just a rebate. That rebate can be quite small.
Regards



X

mackienick

Thank you so very much for your speedy replies.... this rule 78 business unfortuantely does apply as the loan was taken out in nov 03 ! we did originally take the payment protection, but cancelled after 7 days so again, unfortuantely the settlement figure does not include any rebate etc as we have not been charged for the payment protection. It just seems like daylight robbery to take all our money and it be legal! Once bitten, twice shy, never never again, would I use First Plus.

charlieclaw

You think youre badly done by they took me for £7200 for a 28k borrow. How can I fight this?