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

MCSAVE

As I hadn't received any acknowledgement from the FOS about my complaint I sent them an email last night asking for confirmation and a reference number, they responded this morning with the reference and said that somebody would be in touch soon. Time to sit back and wait.

kenny_straw

Got a phone call from the judicator on my FOS case, just going over the details that was in my complaint, he reckons he'll be telling his decision to Santy in about a months time...which would be a fair bit quicker than I had originally thought. (Sent FOS complaint letter 1st or 2nd week in April). When I first phoned the complaint in, the lady I spoke to had said it may take up to 6months! I dont really care at this point how long it taske as long as the outcome is a good one!

desking

i received a loan statement of santy today stating that since 2008 through to 2012 my interest rate has been 20%,i spoke to them 4 weeks to ask what % i was paying answer 21.9%,i have now sent this statement to fos,it might help the cause.

Cell

That seems to be a common finding. They've not been quoting the APR as required. This, although a small problem compared with the overall picture, is definitely a black mark for them.

They really didn't cope with the Flexi-Loan principles very well, it seems.

happy_bear12

Hi

I took harry 6854 advice as I took out a cahoot flexble loan back in 2003 so I contacted the ceo and suddenly I had 12 months worth of statement arrive out the blue as they suddenly stopped last year then I get a letter today with a clause 13 quoted that as far as they were concerned the interest rate increase was fair.
An suggestion on what I do now

kenny_straw

Happy Bear12 - once I got my rejection letter (which you appear to have, since they were qouting section 13...) I called the FOS 0800 023 4567 ...they will then take the details of the case and send you out the necessary forms...once you get these send all communications back to the fos and wait...may take a while but since you said you have had the loan from 2003 you should be in with a good chance...just may take a while!

pandora27

well just sent off my email to Santander re interest rate hike and now sitting patiently waiting on the standard rejection letter before going to the FOS. Also came across a PPI claim website which says it can help with claim - has anyone gone down that route?

newcook

pandora27 wrote: »

well just sent off my email to Santander re interest rate hike and now sitting patiently waiting on the standard rejection letter before going to the FOS. Also came across a PPI claim website which says it can help with claim - has anyone gone down that route?

dont bother with the companies - there is more than enough help and support on here to claim it yourself using the same forms/processes these companies would use.

bankbasher2000

I sent of my 'complaint' email last week, with all my account and contact details (as per my statement)...received and email back today saying that they could not reconcile the details I submitted with an account on their system, and to write in rather than email -feels like stalling tactics to me!

Denza

farmer1971 wrote: »

Seems their defense is based on The Bank of England base rates and comparable lending rates at the time along with personal credit history. That doesn't explain 3 interest rises in 3 consecutive months (8.77%, 9.05% and then to 14.00%)

I took the liberty of plotting two graphs; LIBOR (3 month) v Loan Rate and Base Rate v Loan Rate which are pretty much the same. LIBOR being the actual short term money market rate that Cahoot would be paying for extending the debt.

Both of which show clear deviation around July 2006 (in my case at least).

Up until that time it could be argued that the interest rate increases applied were in line with the LIBOR or Base movements; I would accept that at least.

However after that date they drift miles apart; the end result being 21.9% Loan Rate v 0.5% Base Rate, which clearly is unacceptable!