mis-sold loan? ?????

glkelly

Hi
Back in 1998 I had a cooperative bank account and found myself overdrawn. It was only by about £50 but at 23 I panicked! I went to my local branch and an advisor persuaded me the best solution was to take out a loan...this would prevent me going further overdrawn when they took the overdraft charges! I stupidly agreed to this and also think I may have taken out ppi which I actually didn't understand at the time.

Unfortunately I have non of the paperwork for this loan although I have my account details as I was still using the account up until recently.

My question is - is there anything I can do about this now? Any advice would be gratefully received

Stupid_Question

glkelly wrote: »

Hi
Back in 1998 I had a cooperative bank account and found myself overdrawn. It was only by about £50 but at 23 I panicked! I went to my local branch and an advisor persuaded me the best solution was to take out a loan...this would prevent me going further overdrawn when they took the overdraft charges! I stupidly agreed to this and also think I may have taken out ppi which I actually didn't understand at the time.

Unfortunately I have non of the paperwork for this loan although I have my account details as I was still using the account up until recently.

My question is - is there anything I can do about this now? Any advice would be gratefully received

What would you like to happen in response to any complaint?

glkelly

Ideally I would like to have the loan refunded as I don't feel it was the correct advice to give me...

Stupid_Question

glkelly wrote: »

Ideally I would like to have the loan refunded as I don't feel it was the correct advice to give me...

That's not going to happen.

glkelly

I don’t know. .. That's why I asked for any advice.... are there no grounds for complaining about incorrect financial advice?

Poppops

I don't understand your point. Maybe I am being thick.

I read it as:

You were overdrawn
You didn't have the cash to clear the overdraft
Charges were going to make the situation worse
The bank offerred you a way out

It sounds like a solution to me. There is no way that a bank is going to decide not to charge you overdraft fees because you were overdrawn. Or the term overdraft charges wouldn't exist.

Are you sure you aren't confusing this with a situation where a bank's charges, rather than your expenditure, make you overdrawn?

I don't think you have a chance of a mis-selling claim on the loan (does this really happen anyway?). You might have had a chance with the PPI but it's 16 years ago so may be a struggle now

Thrugelmir

glkelly wrote: »

Ideally I would like to have the loan refunded as I don't feel it was the correct advice to give me...

Why 15 years later do you believe the advice to be incorrect. Do you have written correspondence to support your assertion. I'd be surprised if you could recall the entire conversation word for word.

This seems eminently sensible "this would prevent me going further overdrawn when they took the overdraft charges".

glkelly

I had gone overdrawn all be it by a smallish amount.... but yes it was the charges keeping me overdrawn as I was working but the chargers were very high

Stupid_Question

glkelly wrote: »

I don’t know. .. That's why I asked for any advice.... are there no grounds for complaining about incorrect financial advice?

Yes. But you didn't receive any; a salesman sold you a loan. Depending on the interest rate on your loan and the charges added to it a loan may have been the best option to help you out of your financial distress.

If you're unhappy with the PPI that may have been attached to the loan put in a complaint about that, but the loan being mis sold is a non starter. Especially 16 years later.

glkelly

Thrugelmir wrote: »

Why 15 years later do you believe the advice to be incorrect. Do you have written correspondence to support your assertion. I'd be surprised if you could recall the entire conversation word for word.

This seems eminently sensible "this would prevent me going further overdrawn when they took the overdraft charges".

I do remember the conversation very clearly... I would even recognise the advisor I spoke to!

It just came up in conversation recently and got me thinking. ...

Poppops

If you went overdrawn by £50, is that the amount you took the loan for? Purely to pay off the overdraft? Or did you get a loan for more to give you some breathing space?

I do think you're flogging a dead horse. You went overdrawn. Everyone gets charged for being overdrawn. That means we all have to pay back the charges, but paying back the overdraft is simply paying back money you spent.

If you only took a loan for the amount you were overdrawn, I think they did you a favour