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

oracleman

Just queried an amount of interest charged by Santander. My statement shows 16.61%, but just been told in writing that the interest was calculated at a rate of17.94% higher than stated on the statement.

Surely this is illegal. I have not been informed of this rate change .

Never mind the T&C's Notice from a previous post by Denza a similar case, how do Santander get away with this?

Cell

oracleman wrote: »

Just queried an amount of interest charged by Santander. My statement shows 16.61%, but just been told in writing that the interest was calculated at a rate of17.94% higher than stated on the statement.

Surely this is illegal. I have not been informed of this rate change .

Never mind the T&C's Notice from a previous post by Denza a similar case, how do Santander get away with this?

I suspect that they are quoting the 'simple' interest rate rather than the APR. I had the same issue on an ASDA card.

http://www.consumerwiki.co.uk/index.php/Interest_Tutorial

Open to other suggestions though:D

debtox

Alex444 wrote: »

Well surprise, had a cheque from Santander today for just over £5000., but the current balance on the account has not been mentioned.

Now since they say I am due them money surely the refund should have been used to reduce the outstanding balance.

It's weird some people are getting cheques. I hope I do. Had they sent you an offer letter?

I complained on 8th Jan and received an auto response immediately. Nothing since then. Chased it up yesterday.

Alex444

Complained on 2nd January acknowledged 3rd, further details supplied Postcode etc. supplied on 5th Jan. Letter received saying they are proceeding with the complaint.

Cheque today, total shock, have they written off the loan???

Alex444

Balance outstanding was £8000. because I haven't paid a bean for the last 2 years, it had been hiked to £12000. and was sitting with Moorcroft until 3 weeks ago when they returned it to Santander.

Have had flexiloan for a number of years, went to £8000, paid it off, then gradually crept back up to £8000. again, silly I know, but my finances were in a mess.

Still stunned with the letter today, can't be right.

edwards97

Alex444 wrote: »

Balance outstanding was £8000. because I haven't paid a bean for the last 2 years, it had been hiked to £12000. and was sitting with Moorcroft until 3 weeks ago when they returned it to Santander.

Have had flexiloan for a number of years, went to £8000, paid it off, then gradually crept back up to £8000. again, silly I know, but my finances were in a mess.

Still stunned with the letter today, can't be right.

Have you actually got the cheque? I got an offer too but I never actually received a cheque(see post a few posts up)

Alex444

Yeah, cheque is in my shaking hand as I type.

debtox

Alex444 wrote: »

Yeah, cheque is in my shaking hand as I type.

Why do you think they have written off the loan though?

Alex444

Well since they originally said I was due them £12000. this figure was from Moorcroft who had bought the debt.
Moorcroft then returned debt to santander and presumably were refunded for the price they paid probably 10/15 pence in the pound.
As santander had written debt off and had claimed from insurers for their loss, balance was zero?
Just surmising, but they should have taken £5000. from balance thus leaving £7000. outstanding, not sent me a cheque.

debtox

Alex444 wrote: »

Just surmising, but they should have taken £5000. from balance thus leaving £7000. outstanding, not sent me a cheque.

I think some others have received cheques rather than account credits. If you had £12k outstanding then I can't see them writing this off and giving you £5k.

I don't know though as I don't really understand what happened with Moorcroft in your situation. Maybe call Santander and ask for your account balance.