Lender has terminated my loan in error, where do I stand

CKhalvashi

somethingcorporate wrote: »

Good luck in your quest, I am not sure if you had all the answers why you bothered posting in the first place though.

SC, you were the first person I came across on the MSE forums, and I know as well as a lot of the other long-standing people on this board that you speak a lot of common sense.

To the OP: I didn't want to hear news that I didn't want to hear, but I did, I lost and I moved on. Please take the time to listen to us and what we have to say, as we generally speak common sense. For the sake of a little money, you will be pushed to get any type of decent credit deal for a considerable amount of time.

If interest rates go up, the worst case is that you will be unable to remortgage, and you'll also be unable to access any further sort of short or mid-term borrowing at a reasonable rate.

Remember that for every £1,000 carried on a mortgage, you'll be looking at around 83p in interest each month per 1% rise. Put this over, say a £200,000 balance, that's minimum wage for an extra 30 hours a week. This action now could lose you your home in the long run.

Think of the consequences of this.

CK

MrWillyWonka

I have read the whole thread and it seems that you are a man of principle. Unfortunately the banks and the law are not always of principle.

I suspect that the whole problem boils down to perhaps a misinterpretation of the original letter. I am surprised no-one has suggested this, but if you post the original letter from the lender (omitting personal details) we can determine what the lender has actually done and then figure out what the options are/should have been.

pvt

bangersnmash wrote: »

And just ignore the negativity from some people here, you get lots of that on chat boards so just rise above it, don't engage with it.

Splendid advice Bangers. It's so much easier if one only engages with those who share your point of view.

Chat boards would be such nice places if everyone agreed and exhibited positivity. Wholly useless of course, but nicer.

mankarni

I guess knowing who is the lender you are talking about would help. Have you talked to some one directly over the phone to sort out the issue when you first received the letter or after that? Rather than just depending on online and Registered post ?

bangersnmash

pvt wrote: »

Splendid advice Bangers. It's so much easier if one only engages with those who share your point of view.

Chat boards would be such nice places if everyone agreed and exhibited positivity. Wholly useless of course, but nicer.

No, the point is that constructive helpful advice is of use. It's worth considering and adds to understanding.

Sneering and sniping isn't.

Some people know how to conduct themselves properly on chat boards and how to express information in a polite professional manner.

But unfortunately there are also those who don't. There are those who tend to grunt and growl as they try to express themselves.

So even if the advice is valid if it's wrapped up in unpleasantness then noone's interested. It's missed the target. Simples.

Conrad2

CKhalvashi wrote: »

So, who isn't listening then?

--

Right, so who cancelled the repayment plan again?

--



Because the agreement hadn't been cancelled, just your direct debit, meaning that you haven't honoured your side of the bargain?!

So, you took the agreement to be cancelled, which would imply you weren't specifically told this. This would render

useless, unless you have been told, in writing.

There will be something in the Ts and Cs to dictate that one part of the agreement becoming invalid will render the rest of the agreement enforcable. Tell us who is the loan with, and I'll find it for you.

CK

Wasn't going to post again, but have taken advice and can now say this.

The lender, though in error, have acted outside of the Consumer Credit Act 1974 in issuing me first with an incorrect default notice, and further, by requesting full payment of the outstanding amount of the agreement, which has effectively terminated the agreement, for the reasons I have stated above on numerous occasions.

This represents an unlawful rescission of contract, which basically cancels any obligation I have to pay off this loan.

I have been told that if I had not cancelled the DD, the bank could have claimed that I was not excepting their termination of the loan, as I had kept my part of the agreement in place.

So, thanks for the advice. But very glad I did not take it. That's me way better off. Good luck with your consumer crusading, and god protect anyone that accepts advice from you.

If you wish to check this out, just google unlawful rescission of contract

bangersnmash

Well done, Conrad. That's interesting. Good luck with it, I hope it pans out for you. That's excellent news if that's the way forward.

If you feel like it do let us know how it works out, it could be helpful for some other people as well.

Conrad2

bangersnmash wrote: »

No, the point is that constructive helpful advice is of use. It's worth considering and adds to understanding.

Sneering and sniping isn't.

Some people know how to conduct themselves properly on chat boards and how to express information in a polite professional manner.

But unfortunately there are also those who don't. There are those who tend to grunt and growl as they try to express themselves.

So even if the advice is valid if it's wrapped up in dogpoo then noone's interested. It's missed the target. Simples.

Bangers, you are magnificent and your comments are entirely justified by the advice I have now taken. I realise that not everyone on here can be a solicitor, but the severe lack of knowledge is only equaled by the rampant negativity and misplaced conviction with which people provide bad advice. Ad a touch of school playground bullying and your have the reactions on this thread to a tee.

Once again I thank those who replied civilly and constructively.

bangersnmash

Conrad2 wrote: »

Bangers, you are magnificent and your comments are entirely justified by the advice I have now taken. I realise that not everyone on here can be a solicitor, but the severe lack of knowledge is only equaled by the rampant negativity and misplaced conviction with which people provide bad advice. Ad a touch of school playground bullying and your have the reactions on this thread to a tee.

Once again I thank those who replied civilly and constructively.

Thanks Conrad. Good, glad if my tuppence worth has been of a bit of support despite not being able to offer much in the way of practical suggestions.

Once again, well done for getting to that information, hopefully that will help you resolve this now. Great. Good on you. Fingers crossed.

Yes, chat boards, eh. A mixture of smooth and rough, a bit like life.

Conrad2

CKhalvashi wrote: »

SC, you were the first person I came across on the MSE forums, and I know as well as a lot of the other long-standing people on this board that you speak a lot of common sense.

To the OP: I didn't want to hear news that I didn't want to hear, but I did, I lost and I moved on. Please take the time to listen to us and what we have to say, as we generally speak common sense. For the sake of a little money, you will be pushed to get any type of decent credit deal for a considerable amount of time.

If interest rates go up, the worst case is that you will be unable to remortgage, and you'll also be unable to access any further sort of short or mid-term borrowing at a reasonable rate.

Remember that for every £1,000 carried on a mortgage, you'll be looking at around 83p in interest each month per 1% rise. Put this over, say a £200,000 balance, that's minimum wage for an extra 30 hours a week. This action now could lose you your home in the long run.

Think of the consequences of this.

CK

Sorry, but I told you so.

Google unlawful rescission of contract.

You didn't want to hear news that you didn't want to hear, but you did, you lost now move on. Please take the time to listen to me and what I have to say, as I generally speak common sense. For the sake of a little effort, my debt will be written off and the lender will be obliged to remove any negative reporting to credit agencies.

I really am signing off on this one now...