Cahoot Flexible Loan - HELP!!!

harrison_a

About a 18months ago I went on to MArtins website in order to see the best deals on loans.The Cahoot loan at 5.8 % seemed perfect but since last summer the interest rate has been raised by usually a percent until before Christmas where it has gone from 9.1% to 14%!!!
I have spoken to Cahoot and all there staff are disgusted by this decision - apparently I am one of teh lucky ones - others have been raised to 19%. Is this legal?
I am in a position where I do not want to swap to another loan as I am currently buying another house and car and so I do not constantly want my credit rating to be searched

CAN ANYONE HELP?!!!!!!!

tom188

Is this legal?

Yes

This is the most ill used phrase on this forum, the loan is not fixed rate and the interest rate can be changed at the providers will. This will be clearly stated in your terms and conditions.

There are many threads on this subject I suggest you do a search and spend some time reading the responses.

Abbey appear to be running Cahoot down and making the products increasingly uncompetitive.

rsykes2000

I'm one of the 'lucky' ones - mine's only going up to 14.9%, so will be paying it off as soon as possible. Have a search on the forum, there have been several threads about this - it is perfectly legal due to being a flexible loan.