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

spreadtrader

Hi everyone
Sorry if this seems like a stupid question but i have read thru the posts and can't seem to see a definitive reason for people receiving refunds.
I took out one of these loans back in 2004 with a facility of £2500 and used it occasionally dipping in and out
My circumstances changed and i had to use most of the money (cant remember the exact amount) but have only been able to make minimum payments since.
I still have the loan and owe about £1500 and i have checked my statements and it says the interest rate of 16.61 was charged from aug 08 but i cant remember the initial apr.
Do you think it is worth me trying and what am i asking for,what details would i need to provide.
Thanks in advance

EKAndrew

hi everyone,

firstly - powellypowelly, IWN and HB - I used the flexi facilty all the time

a wee update from me...............i'm not long off the phone, see my rant a few posts back! the guy informed me that my complaint was being looked into and that i should be happy with the outcome. he was very pleasant and advised that they had been inundated with these type of "complaints" he is going to send me something in writing, but due to the complexity of the loan, varying balances and varying interest rates - its not easy to calculate what has to be refunded. I was advised of no amount but it should be recalculated from 2003.

i'm obviously hopeful that what they return to me is more than the current value of the loan!! realistically though i dont think that will happen. im also hopeful that i get a cheque, rather than a refund to my account! but beggars cant be choosers.

lets see what the next couple of weeks bring!!!

Nicky321

Well after reading the last post by Oracleman I decided to email CEO and Kim.Read and send a copy of the email I sent to customer services on 12th December (to which I received an automated reply), I received a personal rather than automated reply within 24 hours asking for full name and address and date of birth, so they can investigate it further.

davemorton

I think I must have missed a bit, I have emailed the CEO today, but should I have emailed someone called Kim too??

dadalizzy

Hello happy bunny, pls kindly pm me the template letter too. Many thanks

wacko911

I've had the same Avatar from 2006, guess why? Checked my emails, took out my flexible loan in feb 2006 and they jacked the rate 3 times in the 9 months I had the loan!!! Still have the complaint emails to customer services. Doubt I'll bother claiming (cant find my account number anyhow) as I paid my 8k loan off pretty fast.

Nicky321

davemorton wrote: »

I think I must have missed a bit, I have emailed the CEO today, but should I have emailed someone called Kim too??

No Dave you not missed nothing, I just thought I would email Kim aswell to increase my chances of receiving a reply.

happy_bunny_2

spreadtrader wrote: »

Hi everyone
Sorry if this seems like a stupid question but i have read thru the posts and can't seem to see a definitive reason for people receiving refunds.
I took out one of these loans back in 2004 with a facility of £2500 and used it occasionally dipping in and out
My circumstances changed and i had to use most of the money (cant remember the exact amount) but have only been able to make minimum payments since.
I still have the loan and owe about £1500 and i have checked my statements and it says the interest rate of 16.61 was charged from aug 08 but i cant remember the initial apr.
Do you think it is worth me trying and what am i asking for,what details would i need to provide.
Thanks in advance

Hi,

It is worth it as it doesnt take long and you are likely to get a refund of some kind.

Reason is that letting you borrow money and then more than doubling the interest rate is not fair. I also think the hike when moving to Santander and removing the flexi facility had something to do with it, not that they are admitting they did anything wrong, just refunding lots of people. Go figure...

Initial APR would have been less than 10%, probably around 8%.

Send them your complaint (PM me and I'll send the letter I used), include your account number and address. I presume you live at the same address they send your statements to?

If you would rather know the APR first (not that I think it matters), then CCA them with a cheque/postal order for £1, they had a copy of mine from 2002 with the initial APR on it.

HB

mattr1125

Hi

First things first - a big thank you to Happy bunny.

Just been told a resolution letter has been sent to me - fingers crossed!

If your loan is still running - have peolpe recieved a cheque or a refund, can you specify?

Does your monthly repayments reduce following the re-calculation?

Thanks

Matt

finley909

mattr1125 wrote: »

Hi

First things first - a big thank you to Happy bunny.

Just been told a resolution letter has been sent to me - fingers crossed!

If your loan is still running - have peolpe recieved a cheque or a refund, can you specify?

Does your monthly repayments reduce following the re-calculation?

Thanks

Matt

If your loan is still running it is more likely that the refund would be credited to your loan account.

This is what I got anyway.

There may be a bit of confusion re the reduction in payments following the refund. The letter I got states that the remaining balance after refund would be subiect to the current interest rate (c 20%) which would imply that the refund is taken into account when calculating monthly payment amounts. Another member spoke to Santander and was told that the refund would be held in a suspense account until the balance was brought down to a level equal to the refund amount.

I'm due my monthly statement any day now so hopefully will be able to clarify things once it arrives.