Welcome Finance settlement

The_Son

Hi folks. Looking for a little advice. My Dad has a loan with Welcome, had to get it with them due to previous credit issues. Anyway he missed payments with them a few years back on this loan as well but has been back on track for a couple of years. He has now got the chance to pay off this loan, got his statement the other day and it shows a closing balance of £7100 and when he has rang for a settlement figure they want £7900 as they froze the intrest on the account for a while when he was having problems and they want that intrest as well. Can they do this?

The_Son

You allowed to "bump" on here? Im new on here so sorry if not

cos_2

You would really have to look at Welcome's terms and conditions, and any correspondence between them and your father. I would guess that they 'froze' interest as a goodwill gesture but now see a possibility of recovering the entire debt. Freezing interest isn't the same as cancelling it, and so I guess that Welcome are acting within their rights.

The_Son

Thanks anyway. Was worth a ask.

Just_trying_to_help_2

Ring the branch, tell them that you have been told previously that IT will adjust the settlement to not include the interest. If they don't, call the head office and speak to customer services. He must be able to pay with 4 weeks though or the settlement figure will change, and they will require a new adjustment. He most definately does not have to pay the interest for when it was frozen.