Letter to the bank - any tips?

tigermax

Hello everyone

I posted last week about HSBC who want me to consolidate my credit card and overdraft into a managed loan at 13% APR. After the advice given by some very helpful people here, I contacted the CCCS who were great.

The upshot of this is that I do not want to take the managed loan. I would prefer to keep paying the CC off every month (I have not defaulted on any payments) and pay off the overdraft at the amount I have offered.

I now need to write a letter to this effect to the bank. Has anybody been in a similar situation before, is there any particular way I should word the letter?

Also, the bank said they accepted my repayment offer on the condition that I agree to the managed loan. As I will not be doing this, what is their next step likely to be?

Any advice would be much appreciated.

Crown

Hi Tigermax,

I dont think I saw your original thread but agree its not wise to consildate the debt into as loan especially at 13%. my god what a rip off!

If you have not missed any payments on the credit card then they have no legal right to ask you to consolidate the debt and in the end it is your choice as they are only doing this as they will make more money out of it. I would not worry about the credit card but the overdraft you must be careful of as they and will withdraw the facility if they wish. depending on the amount you should aim on paying this asap.

Id write something along the following lines

Dear Sir/Madam,

I write with regards to your letter dated the ---- with regards consolidating my overdraft balance and credit balance.
After serious consideration I have decided that I could not afford to take out a further loan and am seriously looking to sort out current financial commitments to you.

As discussed in my previous correspondence I am able to make monthly repayment offers of £--.-- and hope that this is acceptable.

I look forward to hearing from you shortly.

Yours Sincerely,

---

As they have already said theuy will accept the repayment offer then see what they say with regards to you decliningthe loan. as long as you are willing to make a commitment to paying them then you may be fine.

hope this was of some help

tigermax

Crown, you are a star. That's exactly what I was looking for.

Thank you for your help, very much appreciated.

Tigermax