'Revolving Credit Agreement'???!!!!

iBoudica

Tixy wrote: »

Presumably you are not actually paying £66 a month to anywhere at the moment?

On the credit file - does it show that there are loads of missed payments or a default etc?

There aren't any missed payments. I rarely check statements (sorry folks, please don't batter me in oil - I will do religiously now though) but now I've checked the £66.00 is still being taken out on a monthly basis .

pheonixrising21 wrote: »

This does look like a cahoot flexible loan. It is not a 5 year loan. It does not have a term attached to it It works a bit like a card, as in you have a credit limit and a minimum payment amount. You can borrow some or all of the credit limit and repay as much as you want (above the minimum). You could then borrow a little more later if you wanted (within the agreed limit). Does any of this sound familiar at all?

It shows on credit reports as having a term of 999 months (i.e. indefinite) and the monthly payment amount is the last minimum monthly payment.

Beware also of the fact that when Santander took over Cahoot/Abbey, they hiked the interest rates on this type of loan. You probably had a rate somewhere around the 6-7% mark, but its probably now somewhere around the 16-20% mark. they will also have removed the flexible drawdown facilty and removed online account access for it. I'm currently trying to get the interest back from the rate hike, but its taking a while and will be an FOS job...

That does sound horribly familiar......the original Cahoot loan was 6%. Does this mean I didn't pay off the loan then and it just rolls on forever with a higher interest rate than the original 'agreement' (which I thought was a five year loan......


I've never had anything in writing from Cahoot or Santander, the 'loan' agreement with Cahoot was done online.......

Tixy

Do you not have copies of the paperwork from cahoot - either printed off online or emailed to you?

If not you can still write to request a copy of the agreement, which would give you the original terms etc.

But it certainly sounds thats what has happened and that you still owe the money and are only currently paying the minimum flexi-loan repayment. You need to get an up to date statement to see how much you are being charged in interest - and ideally need to increase your repayments.
Or potentially might want to see if you can find a cheaper way to borrow the money elsewhere to pay off this loan.

iBoudica

Tixy wrote: »

Do you not have copies of the paperwork from cahoot - either printed off online or emailed to you?

If not you can still write to request a copy of the agreement, which would give you the original terms etc.

But it certainly sounds thats what has happened and that you still owe the money and are only currently paying the minimum flexi-loan repayment. You need to get an up to date statement to see how much you are being charged in interest - and ideally need to increase your repayments.
Or potentially might want to see if you can find a cheaper way to borrow the money elsewhere to pay off this loan.

So, if I DID pay the £2,700 balance off, it would stop (bit scared of this scary unknown expenditure now ). Could I then claim the interest rate if it has increased after Cahoot transferred to Santander?


And I'm pretty sure there would have been PPI here too........OMG......time to grow up and get myself a financial education.


Many, many thanks all for your kindness and wisdom

Tixy

If you paid off the balance (and the credit file might not have the exact figure) then yes you wouldn't owe anymore.

In terms of the interest - I suspect they wrote to you to inform you of an interest rate hike - so whether you could claim anything back on this I would think potentially unlikely - but maybe phoenixrising has more info as they had the same account as you.

If they did write to you (at the last contact details they had for you) and informed you of the rise and that you had 60 days to opt out and repay the loan in full I believe they would have met their obligations.

If you had PPI on the loan - then you may have a claim to repay it - depending on how it was sold to your originally (eg if you were told you had to have it, if it was a pre-ticked box etc).

happy_bunny_2

Regarding the interest rate hikes, take a look here
https://forums.moneysavingexpert.com/discussion/3578349

Quite a lot of flexi loan cases are currently with the FOS. I advise you either complain to Santander or keep an eye on this thread for updates.

PM me if you want any specific info or post on the linked thread and someone will help you complain.