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Welcome finance! Help needed please!!!!!!

bubbly_2
bubbly_2 Posts: 5 Forumite
My husband tookout a loan of £2500 with Welcome Finance May 2006.
We asked to top it up with £1200 in May 2007 thinking we wouldn't have to pay any more because we had already paid off 12 months payments.
When we got to their office we were kept waiting for 45 minutes although we had an appointment. Evidently it was someones birthday & all the staff were celebrating! However finally we were seen & because it was nearly time for the staff to go home we were then rushed through the process.
We were granted the £1200 - so they squashed the 1st loan & added it onto the second loan - fair enough! & we signed (foolishly enough).
What has bugged me since is we have to pay an extra £100 per month to what i did before.
Now when I look here is what i found -
1st loan Borrowed £2500 Payments £188.61 per month for 36 months
2nd loan Borrowed £1200 Payments £291.25 per month for 36 months. In total we have to pay back £10,485.00 What a rip off!
I know it is our own stupid fault BUT is there anyway we can get out of this? We also signed for ppi without realising. PLEASE HELP!!

Comments

  • shopaholic2
    shopaholic2 Posts: 637 Forumite
    Part of the Furniture 100 Posts I've been Money Tipped!
    Why are the payments for the second loan bigger than the payments for the first when the amount is less, but the length of the term is the same?
    Thats very strange.
    I'm afraid I have no advice for you, having been in a trap of similar ilk with Citi finance,their interest rate is something ridiculous, and we eventually consolidated some debts, that included, but ended up paying back far more than we originally borrowed.
    I hope someone can help, but i fear once the loan has been signed and taken, there is little you can do.

    Good luck tho
  • jacquij123
    jacquij123 Posts: 188 Forumite
    Why are the payments for the second loan bigger than the payments for the first when the amount is less, but the length of the term is the same?

    Good luck tho

    I think you'll find that the second loan was used to pay off the first.

    I really don't think there is much you can do about the laon. PPI I think can be cancelled but I'm sure it has to be done in the first 14 days.
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