Loan on payment arrangement

pigsmightfly

DerryLane29 wrote: »

Morning pigsmightfly,
I pay a loan to Halifax and pay monthly,its not on a payment plan.When I look on the internet banking site,next to the amount I owe it also says

"The current loan balance is not the amount you’ll need to repay on your loan",

maybe those words are on all of our online banking with Halifax.

Hmm yeah maybe it is. I know if you are going to pay a loan of early and you need to get a settlement figure it would be slightly more so maybe it just relates to that more than what I'm thinking.

Thanks

pigsmightfly

Morning everyone,

Just bumping this one to see if anyone reading today has experienced what happens at the end of this?

Ty

pigsmightfly

Well had a reply from Santander today after my email - can anyone explain in simple terms for me (:o) what this actually means as I'm not sure if interest is or isn't been charged now?

The interest on the fixed rate loan account is not calculated daily. The interest element of the loan is calculated at the outset and incorporated into the total amount repayable. For this reason we are unable to "freeze" interest.

What we have been able to agree to within collections and recoveries is accept a reduction in the amount you pay each month to stop default registering, but we are unable to change the amount of the monthly instalment which is why arrears will start to accrue.

If you want further information, please approach the consumer credit counselling service for advice rather than us.

Also, surely I would contact that other place for advice on being in debt etc. which I don't feel I need to as I have everything in hand at the moment, but not for direct information relating to my account?? Are they just trying to fob me off a bit?

pigsmightfly

Hi guys,

Any ideas what this means? Should I reply?

Thanks x

pigsmightfly

pigsmightfly wrote: »

Well had a reply from Santander today after my email - can anyone explain in simple terms for me (:o) what this actually means as I'm not sure if interest is or isn't been charged now?

The interest on the fixed rate loan account is not calculated daily. The interest element of the loan is calculated at the outset and incorporated into the total amount repayable. For this reason we are unable to "freeze" interest.

What we have been able to agree to within collections and recoveries is accept a reduction in the amount you pay each month to stop default registering, but we are unable to change the amount of the monthly instalment which is why arrears will start to accrue.

If you want further information, please approach the consumer credit counselling service for advice rather than us.

Also, surely I would contact that other place for advice on being in debt etc. which I don't feel I need to as I have everything in hand at the moment, but not for direct information relating to my account?? Are they just trying to fob me off a bit?

Bumping up to see if anyone intelligent can advise please

pigsmightfly

Have emailed Halifax today to ask them to explain what happens when their balance reaches zero but can anyone help me on the reply I got from Santander at all please?

Thanks

pigsmightfly

Well emailed Halifax for details to receive a reply saying they don;t help on any matters via email and to call.

Rang up to be told I have to contact them in writing :mad:

They don't make it easy do they - so have emailed the CEO explaining the above and asking what happens etc so hope fully he will see the kinds of things customer services are telling us too! Looking forward to what the reply is.

Still need help on the email Santander sent me if anyone can shed any light please

happy_bunny_2

Regarding your Santander reply, what they say sounds about right, in that the interest payable on the loan is fixed up front (fixed APR). I have a loan in a similar position with a different company. While they agreed to accept less per month for a while, the money under the monthly payment continues to be added as arrears and will be reported to the CRAs as late payments.

Say your payment is £200 PM, you pay £100, then every month £100 will be added to the arrears amount and for every £200, they will mark your credit report 1 month in arrears. This is unless they mark as arrangement to pay.

HTH

pigsmightfly

Well had an email from Halifax saying the relevant department will be in touch with me soon to explain what happens......am counting the weeks already

pigsmightfly

Well got a letter today from Halifax (must admit when I saw the envelope I got mega excited it was to do with my PPI claim but never mind) :cool:. I have put their reply below for anyone else wanting to know the answer that may be in the same position:

Thank you for taking the time to contact us...etc. etc.

I am sorry if your enquiry was not dealt with at first point of contact. We do aim to provide a first class service to all of our customers on every occasion (:rotfl:) and I am sorry if we have failed on this particular occasion.

I can tell you that since your account was transferred, all interest and charges have been suspended so that every payment you make is a direct reduction of the outstanding balance. I can confirm that once you balance has been paid (the amount shown on my internet banking) in full, there will be no further monies due and the loan will be closed. This will also reflect on your credit reference file as default satisfied.

I'm sorry we've let you down by not providing you with the service you should have expected. In recognition of the inconvenience you have been caused, I have arranged to send you a cheque for £25.00 under separate cover. Please allow 5 to 10 days for receipt. :j

So I am mega chuffed, got an explanation of what happens when its paid, it the answer I was hoping for and a bonus of £25 for asking :T Now just to hope this PPI claim covers the balance then that's rid of it