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£2486 "broker fee"?!?

instaunt
instaunt Posts: 112 Forumite
I'm in debt. A lot. So I realise that beggars can't be choosers. But considering that the word "help" is being used all the time by the government ... where is it?

My choices are bankruptcy (dumping my debts on everyone else) or taking out a loan and keep fighting. But when lenders know they have you cornered ... they really take the p*ss.

£995 lenders fee. £2486 brokers fee. 24.6% APR on £19,000 over 7 years.

I called 3 companies - Sainsburys, Tesco, and Barclays. They all said no to lending me money at 5%-6% and ALL referred me to Freedom Finance. I eventually gave in and called them.

£995 lenders fee. £2486 brokers fee. 24.6% APR.

I've been in business for 12 years. I've never needed anything in that time. The government decided it was my turn to be kicked in the nuts in favour of letting larger (non-UK based and non-UK tax paying) companies take over my industry. 12 years of hard work and with £70,000 equity in my house, the best I can do is:

£995 lenders fee. £2486 brokers fee. 24.6% APR.

My own bank (Barclays/Woolwish) refused to help me. That was after waiting 3 weeks for someone to finally call me back! "Someone will ring you back within the next 3 hours." I heard that a dozen times.

Is there a word stronger than 'rage'?
I've been making animations for my daughter. Tell me what you think? Search for "Where are you Pickles?" and "Pickles and the Bully" on YouTube.

picklesadventures.com/animations/
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Comments

  • chesky
    chesky Posts: 1,341 Forumite
    Eighth Anniversary 1,000 Posts
    How much debt do you have?
    How much do you earn?
  • iolanthe07
    iolanthe07 Posts: 5,493 Forumite
    The APR will be related to the perceived risk, but I agree that the others fees and charges are outrageous. There is a very helpful bankcruptcy sub-board on this site that you may find helpful in your situation.
    I used to think that good grammar is important, but now I know that good wine is importanter.
  • instaunt
    instaunt Posts: 112 Forumite
    UPDATE: I missed a bit in the terms and conditions. The broker also gets a £478 commission payment. So that's:

    £995 lenders fee. £2964 brokers fee. 24.6% APR.
    I've been making animations for my daughter. Tell me what you think? Search for "Where are you Pickles?" and "Pickles and the Bully" on YouTube.

    picklesadventures.com/animations/
  • instaunt
    instaunt Posts: 112 Forumite
    iolanthe07 wrote: »
    The APR will be related to the perceived risk, but I agree that the others fees and charges are outrageous. There is a very helpful bankcruptcy sub-board on this site that you may find helpful in your situation.

    I can't find that board. Where is it?
    I've been making animations for my daughter. Tell me what you think? Search for "Where are you Pickles?" and "Pickles and the Bully" on YouTube.

    picklesadventures.com/animations/
  • iolanthe07 wrote: »
    There is a very helpful bankcruptcy sub-board on this site that you may find helpful in your situation.


    Link :

    http://forums.moneysavingexpert.com/forumdisplay.php?f=136
  • SnowTiger
    SnowTiger Posts: 4,461 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    instaunt wrote: »
    I'm in debt. A lot. So I realise that beggars can't be choosers. But considering that the word "help" is being used all the time by the government ... where is it?

    My choices are bankruptcy (dumping my debts on everyone else) or taking out a loan and keep fighting. But when lenders know they have you cornered ... they really take the p*ss.

    Personal debt?

    A debit management plan with CCCS or PayPlan is an alternative you haven't considered.

    They will help you work out what you can afford to pay and negotiate with lenders to accept lower payments and perhaps freeze interest charges.
  • You are having a tough time now. In some stages of life nothing just goes right at all. While you are in debt, your own people refused you to help. This is how the world react to the people who are poor.
    I would like to know, what you are doing now to earn your living?
    AntFrit
  • I know we tend to blame the government for a lot of things, but getting yourself into debt is really not their fault!!

    Is this is another story of someone who overspent during "the good times" and has nothing to cover a bad patch.
  • I would like to know, what you are doing now to earn your living?

    I was in marketing for 13 years. 12 years with my own company. Google representatives were meeting monthly with David Cameron and other government officials for months before Google finally turned around and put thousands of small companies out of business. (If you can't gain an internet audience these days, your business is in trouble. And Google still controls the internet in the UK.)

    Here is my new project:

    www.picklesadventures.com

    With the loan, I'm going to finished the series of books, animations and apps. It's a tough road ahead, but the reviews on YouTube have been positive:

    http://www.youtube.com/watch?v=Kc1E5pIG3Io

    so I'm hopeful!
    I've been making animations for my daughter. Tell me what you think? Search for "Where are you Pickles?" and "Pickles and the Bully" on YouTube.

    picklesadventures.com/animations/
  • SnowTiger
    SnowTiger Posts: 4,461 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    I know we tend to blame the government for a lot of things, but getting yourself into debt is really not their fault!!

    Is this is another story of someone who overspent during "the good times" and has nothing to cover a bad patch.

    Depends how much trust you put in your government and whether you believe what it tells you:

    http://www.youtube.com/watch?v=OU_fzCpwrNc

    http://www.channel4.com/news/articles/politics/domestic_politics/factcheck+no+more+boom+and+bust/2564157.html

    Boom and Bust is a natural part of a capitalist economy. We will see more booms and more busts. Unfortunately during the booms few want to think about or plan for the busts. One day the boom and bust cycle will end. Unfortunately it will end with a bust. Probably not in our lifetime; or am I also refusing to think about, or plan for, it? :)

    Watch Joseph and the Amazing Technicolor Dreamcoat to discover how booms and busts should be planned for and managed.
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