Tsb Loan

jess_me

Hi,
I'm in need of advice about a loan I took out with TSB.
I took out insurance after the loans advisor said I could cancel within 30 days if I decied I wanted to.
The loan amount repayable was £55 monthly... increasing to £70 inc insurance.
I read the insurance small print and realised I wouldn't be eligible for help and decided to cancel the insurance. Therefore reducing payment to £55.

Wrong!!!!

I was told it wouldn't reduce my payments but cancelling would reduce the time I repay the loan.

I then lost my job and asked them for a payment holiday, so I could sort myself out financially. This was one month before I knew I would be having major problems in repaying.
I was told "no" (no reason given).. soooo....
Ended up in debt collection.
I was told to contact customer services and ask for financial help in reducing payments.
Because I had no job, I was apparantely not in any criteria for any help in reduction.. (makes sense! not!)

I finally managed to speak to someone in Debt collection who then told me I had been "Overpaying" my loan and I was entitled to money back.
Which I received, which then was taken back again due to the amount I was over my overdraft limit because of the overpayment!

Got me so far? LOL

I then revisited customer services ( once again giving them a months notice of my difficulties) and asked if they would sort my "overpayment" out and reduce overall payments to my account. I even offered them £70 a month to do so, this would cover the loan, overdraft and credit card.
I was declined and told to wait until I was back in the Debt Collection dept.

I am now being harrassed with letters, phonecalls, threats of being taken to court.

I'm at my wits end and am getting so depressed with it all ...

Any advice?
Oh and I've been to CCCS who told me because I had no job they couldn't act on my behalf..

Jess x

jonesMUFCforever

Can you tell us abit more about why the insurance would not cover you?

jess_me

I did a lot of temp work and in order to be eligible I had to be in the same job and company for over 60 days, which never happened. The most I worked for in each company was 45 maximum. Sometimes it was just one week.
Temping wasn't covered in the insurance.

Jess x

mirrorimage0

hiya i dont know a lot about loans and the legalities etc but in my personal situation, i asked for a ccd refinancing loan which they put my loan and overdraft together and stopped all intereset apart from 1% and put it over twelve yrs for me which i agree is a long time but now i am back working again i can make overpayments to reduce the time. also i think you can only take a month payment break when you have been paying your loan for 6 months or more. hope ths helps.

jess_me

I tried to get a refinance when I cancelled my insurance and was turned down. Couldn't believe it, they had just given me the loan !!!
I seriously dont get that decision!

Jess x

kal25

Hi jess_me, have a look at the link below, may give you a few pointers. i would have thought that your payments would have gone down if you have cancelled the PPI. If not then surely these are excess charges? Have the bank stated why your paymment has not been reduced? If your loan payment should have been £55 without PPI then that's what it should be now ( I would have thought).
I understand how frustrated you can get with lloyds tsb. We had charges coming out and needed to speak to somone about trying to get them sorted so they didn't come out all at once. They wanted us to refinace for the sake of £90!!! I don't think so.:rolleyes:

http://forums.moneysavingexpert.com/showthread.html?t=117175&highlight=payment+protection

jess_me

grr Kal25...
I so don't understand their strategy...
I've now had a letter (today) from their solicitor saying they are taking me to court for non-payment.
As previously stated I had offered a nominal amount of £70 which they declined.!!
I'll write a letter again but I know I'll still be barrarged with calls 3-4 times a day.

It's really getting me down and depressed...deep sigh.

Jess x

jess_me

ps, good link, thanks but I tried all that...

Jess x

kal25

Morning, jess_me, have you tried your bank manager and explained that the ppi was taken even though it didn't cover you and you told them you worked for an agency at the time of application?? May be worth a go, the only other thing would be to ask someone more in the know who to go to,as I am sure this is not right.

TheBlackHorse

LTSB have now changed their process on cancelling lp, this now lowers the monthly pymts and NOT the term. Also they stringently stress on both the websites and branches the the 'repymt holiday CANNOT be used when the customer appears to be in or approaching financially difficulties.

Unfortunately you should have initially been referred to the LTSB CSU (Customer support Unit) to have arranged new pymts / terms etc ... when you made the bank aware of your coming problems, and you shouldnt have been advd to 'wait til your back in collections' that isnt professional and IS NOT good customer care.

Although you did say you had no income whats so ever (?) Not even benefits etc? I struggling to see that you had nothing? If that were the case then there is no real way the bank can help you, whats the point in lower your term/pymts if you cant afford anything?

In addition to this I'm not really understanding how you could overpy on your loan, since LTSB (and most other banks) only take direct debit payments, and wont change these. LTSB only accepts overpymts in the form of 'OVER THE COUNTER' pymt in branch and a chq sent to them central loan sorting centre.