Nan in trouble (as a guarantor)

Lizzieb151

Hi, was wondering if anybody could help or offer advice.

My auntie took out a loan (don't know who from yet!) and my Nan signed to be her guarantor and everything was accepted - Auntie got the loan.

Now my Nan is an 83 old OAP on a state pension and no savings or assets.

Auntie immediately defaulted on the payments and so the loan company now chase my Nan for the payments. My Nan is now paying them £30 pw out of her £40 allowance :eek: and is now becoming ill because of the pressure and not paying her bit of rent and other bills.

Now I know that Nan shouldn't have signed as guarantor but surely a reputable loan company would not accept a guarantor of that age with no assets and essentially no income to speak of.

Is there anything that can be done to stop my Nan from having to pay? Or getting the company to revert back to chasing my auntie for the money?

Any advice welcome Thanks

CLAPTON

what are your nan circumstances ?
income, property owner etc

skintandscared_2

Has anyone spoken to your auntie to find out what she's playing at??!!

firesidemaid

i'm tempted for her to either:

a) stop paying completely or
b) pay £1.00 a time, saying that's all she can afford

the above is NOT advice, just how your nan's situation makes me feel.

pay a visit to citizen's advice, phone one of the debt charities or see if age concern etc has anyone who can help.

in theory, yes, she is responsible - but i agree her 'guarantee' is worthless (unless they assumed she had a property).

Lizzieb151

Hi there, Nan is receiving a state pension £102 pw and lives in sheltered accomodation provided by the local authority and as I said no assets whatsoever. She has £40 pw after paying majority of her bills.

My auntie is terrible with money but we didn't know until just now that she had a loan - it was only because Nan is becoming ill and borrowing money off other family memebers that my Mum decided to go through her finances to find out where the money was and realised that she is paying a loan company. She can't afford to pay this though and my Auntie even works full time but from what we gather doesn't really care as she isn't being chased!

What I was wondering if whether anything could be done to release her from being a guarantor as I really don't believe that a lady of her circumstances should have been accepted as a guarantor! Trading standards or some sort of ombudsman perhaps.

Apples2

Lizzieb151 wrote: »

my Auntie even works full time but from what we gather doesn't really care as she isn't being chased!

That, unfortunately is far too typical from those who need a guarantor for a loan. the lenders are no fools, there is a good reason a guarantor was required.

Lizzieb151 wrote: »

What I was wondering if whether anything could be done to release her from being a guarantor as I really don't believe that a lady of her circumstances should have been accepted as a guarantor! Trading standards or some sort of ombudsman perhaps.

I think you are on to a loser sadly. It sounds like there is an extended family. It may be the best option for the rest of you to chip in a bit each to either help cover the payments, or clear the entire loan. Pull together and help the old dear, she is the victim.

If it is with FLM, it is unlikely to be a huge loan so should be manageable.

Much as it will make you seethe (and we can all sympathise), your Aunt has shown her colours. Chasing her will just make you even more mad.

If it all goes true to form, when the old dear finally leaves us, I bet I can guess who gets the lions share of the assets....


.

firesidemaid

there is a trading standards helpline - consumer direct - that might be able to point you in the right direction. although, as you say, it is more of a financial services issue.

i think that firstly you need to work out WHICH company it is that you are dealing with.

Lizzieb151

Ok as much detail I have is that it was for £500 and could be from Provident however Nan won't say at the moment.

heathcote123

Get the family to chip in and pay it off, it's buttons between a few people.

Drown or burn your Auntie.

vax2002

What assets or savings does NAN have, if you can not find this out then I am afraid you have run out of road on helping her.

sprite1508

god what an awful woman!! how could she do that to your nan, like the above poster says surely the rest of the family could chip in - get it paid off - ease your nans worry, then deal with auntie....... make everyone aware of whats going on , name and shame her, this will at the very least stop others falling for the cr+p. Iv just been stung myself by a so called friend, for the tune of 1500 (1800 now with the small claims costs grrrrrrr)