Cahoot Flexible loan int. rate hike

john348809

Back in December there were lots of posts on the massive rate rise Cahoot put on the flexible loans.
Of those of us who cannot move could we have some updates on complaints to the ombudsman.

paulsm

I have a flexible loan with cahoot , are they allowed to hike the interest up like they did ? I thought the interest rate was for the lifetime of the loan. I missed the posts in december so am a bit in the dark.

Rafter

It was a variable rate loan. Cahoot haven't broken the law and just like a variable rate mortgage they are free to raise or lower rates at will.

If you are experiencing hardship as a result you may have grounds for compliant under the banking code but it is hardly an ombudsman issue.

I think you might have grounds if abbey refused to transfer you to one of their best buy fixed loans though, unless your credit rating has changed significantly.

R.