Santander are now refunding interest payments on Cahoot flexible loan's

Denza

fairydust30 wrote: »

W
Initial rate: 7.72%
Current rate: 20%

Probably worth double checking with the general Loan Help Desk (0845 602 2713) what your actual APR is at this time.

My statements from Santander have always stated 20.0000% however I have determined that my actual APR is 21.94% and has been since they obtained the loan in-house.

As a result of a complaint on this issue specifically I understand that I will be offered; and will subsequently reject; £45.

Good luck to all.

DontAskDontGet_2

FairyDust, did Cahoot give you 30 days notification of interest rate changes, in accordance with Clause 13 of the T&C?

As I understand it from the FOS, if the interest rates were not notified in accordance with the T&C then the interest rate change is invalid.

After checking my emails going back to 2006, I found they had given 15 days, 2 hours 40min, and 15 days notice on changes to the interest rate. On this basis I'm contesting the interest rate hikes with them.

Cell

Still no letter.

The cheque must be so big that it needs the CEO's sign off:rotfl:

fairydust30

dontaskdontget - I dont know how much notice I got I dont have access to the online message centre anymore and dont have emails that far back if it was emailed. I was going to apply for a SAR request but from what others say its pointless as you get no much more than what theyve already given me???

kimbles67

kimbles67 wrote: »

I sent my email of complaint today (22nd Feb) to CEO and hopefully i will be able to report back some good news in the very near future.
QUOTE]

Well here I am, Wk 7 was on the 11th, which is when I recieved my knock back letter. Seem pretty standard, same as others recieved.
So time to look into the FOS route.....any tips??

Denza

DontAskDontGet wrote: »

FairyDust, did Cahoot give you 30 days notification of interest rate changes, in accordance with Clause 13 of the T&C?

As I understand it from the FOS, if the interest rates were not notified in accordance with the T&C then the interest rate change is invalid.

After checking my emails going back to 2006, I found they had given 15 days, 2 hours 40min, and 15 days notice on changes to the interest rate. On this basis I'm contesting the interest rate hikes with them.

Unfortunately the T&Cs copy I have state "within 30 days" of the interest rate change as opposed to 30 days prior to the change. Other day to day charges however state 30 days "prior".

Hence, as ridiculous as it clearly is, they are perfectly entitled to rate hike customers 30 days before informing them. As interest is calculated on a daily basis this is even more unsavoury.

DontAskDontGet_2

Thanks Denza, you are correct. Dratted small print on a bad photocopy that they sent me, I didnt notice that subtle difference.

I notice that the Consumer Credit Act 1974 states that notice to variation must be notified to the debtor not less than 7 days before the variation takes effect.

3.2 The notice must set out details of the variation, and must be given to the debtor not less than seven days before the variation takes effect. In the case of certain interest rate variations, where interest is charged daily on the basis of the outstanding balance, notice may be published in three national newspapers and (where practicable) by prominent display in branch offices.

Now I'm wondering whether the T&C can override the CCA 1974. I'm probably spending too much time over this point and maybe I should just concentrate on how the product changed to a product that barely resembles the product I signed up to. There are so many issues around this product and it's handover to Santander, I'm still hopefull of a good outcome.

emmapurple

letter of rejection now recieved, completely the same wording and due to clause 13 apparantly. FOS letter sent this afternoon but at least knowing the waiting list on this matter i can now sit back and just wait for the outcome instead of trying to second guess what was going to happen. Also i imagine others ahead of me will get answers before me which im hoping will set a precident...in a good way to all of us hopefully. Surely if the FOS go in favour of us initially it should open the flood gates for us all....really hoping thats the case and fingers crossed.

fairydust30

should we be complainging to the FOS or FSA or both or have I just got the letters mixed up

Jules4_2

Hi all,I am astonished to read this thread, I found it by accident and can't believe that i too am in a similar situation to you all!
i took out a cahoot flexi loan on line some 10 years ago, I suddenly started getting statements from Santander and my on-line cahoot account had disappeared!
Since last year I suspected something was not right as iv been paying this loan for nearly 10 years and it doesn't seem to have reduced as it should.
I have never had a letter saying that my account or interest rate is changing! Which I find bizarre!!!!!


I have emailed Santander with my complaint, I used the complaints dept not the CEO as some have suggested.


I'm hoping for some good news on this but in the meantime thanks everyone for spreading the word and good luck to those in the middle of complaints
Jules