Secured Loan miss selling????

Con_fuss_ed

I took a secured loan in 2005 in my sole name but on a property with a joint mortgage with my husband. It was for 15k over 15 years and regulated by the Consumer credit Act 1974. I have defaulted on the loan, have not paid anything towards it for over 2 years. I have recently become Bankrupt, the loan company from what I hear (Welcome finance) are no longer operating as a lender and I have recently been contacted by the FOS about making a PPI claim against them, which I haven't responded to yet. Sorry this is a little long winded but on reflection I am now wondering whether they were ever allowed to sell me a secured loan in my own name when the property's first charge was in both me and my husbands name. Should his permission have been sought too? Thank you for any advice or help you came give.

jonnyd281

Did you tell them the property was in both of your names?

Apples2

So you applied for, and took a Loan which you merrily secured on a property which you already knew was not in your sole name?

What did you do with all the cash you were grabbing behind your husbands back?

Con_fuss_ed

Jonnyd281 - I did tell them and they at the time said it was fine. I as no expert knew no different.

Apples2 - my husband was fully aware of it thank you. Due to him working away and me having a more steady job and being the main earner it was a logistical decision to do in my name as he was not around to sign docs. Hence I asked the lender if it was possible and they answered yes. So please, no assumptions on me as a character but more constructive advice please. I'm sure people will be put off by using valuable forums if they are going to be vilified.

poppy10_2

Con_fuss_ed wrote: »

I am now wondering whether they were ever allowed to sell me a secured loan in my own name when the property's first charge was in both me and my husbands name. Should his permission have been sought too?

Did you ask them this when you took out the loan?
Seems like it was mis-bought rather than mis-sold.

Apples2

You're going out of your way to find any loophole to wriggle out of repaying money you happily borrowed.
You seem well versed in the borrowing without repaying sect. Saddens me that people can be this way without the meerest hint of guilt.

I'll take a wild guess and suggest you have no intention of repaying the money which "may" have been incorrectly given to you. You want to keep it all but simply tell the lender to go jump.

nrsql

Could be wrong but I don't think there's anything to stop them giving the loan - just that they wouldn't be able to use the security as it's joint. Just means they couldn't force the sale of the property - or in fact get any of the money as part of a sale. Just becomes in effect an unsecured loan.

jonnyd281

Con_fuss_ed wrote: »

Jonnyd281 - I did tell them and they at the time said it was fine. I as no expert knew no different.

You mention that you recently went bankrupt, the PPI will go to your OR (There is a thread about that in the PPI section), what has your OR said about this? Has this loan been included in your BR?

opinions4u

If your husband has not signed the loan agreement, or another form confirming that he is aware of the loan being secured on his property, it's highly likely that the lender will find it difficult to repossess. Which might explain why they haven't bothered trying.

I have defaulted on the loan, have not paid anything towards it for over 2 years.

It doesn't mean that you aren't still liable for the repayments though.

Con_fuss_ed

Poppy10- yes as per my previous quote I did ask as I needed to establish whether my husband who works away would need to sign anything and the answer they gave me was that it was fine. Also it is the job of the lender to give the right advice/answer when a customer asks a question as I did. I am merely trying to establish whether they gave me the right answer as the company's standing has recently come into question regarding the PPI they sold me. So yes maybe it was miss bought but not intentionally.

Con_fuss_ed

Coppa feela- Like I said I took the loan 7 years ago. So yes spent the money. It is only upon recent reflection that I am posing this question. My reasons for not paying as so many of you seem to want to judge on, are my personal extenuating reasons which I feel I do not have to explain on here if that is ok?
To the few whi have responded with personal opinion. If you have no real value to add to this post then I'm sure there are other posts which you will have the skills and knowledge to add value to.