Banks Recommended to Fix Costs Me Over £40,000!

JumpJet

I took out a large business loan with Lloyds in 2008. The interest rate was a couple of points above base rate, and the repayments started at about £1,300 a month. As the interest rate fell, the payments went down to £600 or so, which was great. In 2010, the bank manager recommended fixing the loan for the term to 5% as he was sure interest rates were going to rise substantially. I did this and it involved cancelling the original loan and starting a new one. The monthly repayments rose overnight from a comfortable £600 to over £1,800 and I've been paying this sum ever since.

Looking back, it seems I've now paid over £40,000 that I wouldn't have had to if I hadn't taken the manager's advice. :mad:

Is there a case for reclaiming this here please?

magpiecottage

Can you tell us:

How many employees does your business have (including you if it is a Limited Company or Limited Liability Partnership)?

What is the total value of its assets?

What is its annual turnover?

This will have a bearing on the options available to you.

JumpJet

We're a partnership with 2 partners and 4 employees.

Value of assets is probably about £150,000 and turnover is about £200,000.