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Paying Secured loans Early

Hi Everyone.

I am taking early retirement this summer and will be getting a lump sum. I have been on a debt management plan for 5 years.

My mortgage is with the Halifax and I also have two secured loans with them which I wish to pay off to ease the financial burden I have been under for the past 5 years. This will come from my lump sum. However, I also have a couple of credit cards with them which I defaulted on 5 years ago and which I pay a nominal sum each month to each month on my Debt management plan.

My question is this. If I pay the secured loans can they use the offset rule to take this money to pay my credit card debt instead.? I believe they can do this if you have a bank account with them. My bank is The Cooperative bank.

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