Urgent -Product on finance,returned in 14 days - now bad credit for cancelling loan?

Xatgirl

Hello - I'm hoping someone can help as my situation feels unfair. Urgent as I need to reply to the companies email.

I bought some speakers from an online dealer, using a finance deal (Pay4Later) arranged by them.

The Speakers didn't suit me, so using the '14 day cooling off period', I notified the company within the 14 days of my wish to return them. They confirmed. All fine. They arranged for the items to be picked up.

A few days outside the period, the speakers were picked up. (so already outside 14 days). 2 weeks later they have been evaluated and the return is allowed and is going to go through.

However the company say that although I can cancel the loan with nothing to pay, it is going to have the same negative effect on my credit rating as if I cancelled the loan, which doesn't seem fair!:

" Due to the fact that your order is a Pay4Later order I just wanted to clarify 100% what you wish to do. You can apply the credit to alternative products if you wish or cancel the Pay4later agreement, I do have to warn you that cancelling the agreement is in effect cancelling a personal loan and it may affect you likelihood of having another similar agreement authorised by money lenders."

Having now looked online, I can see the advice was to write to the finance company within the 14 days, which was obviously weeks ago now. As I notified that I wanted to return the product within 14 days to the company, assuming this was enough (and all was approved), it seems hugely unfair that my credit rating should take a hit?! Anything I can do?

Many thanks!

[Deleted User]

It will make no discernable difference. The loan has been settled in accordance with the terms.

lynz68

Take a step back and look at what they actually said.


They were trying to get you to buy other goods with the threat that it MAY affect your credit. The key word was MAY ...... It won't .

Xatgirl

Many thanks for the replies.

zx81 - Very good to know, thank you. Although I think it is a little unfair that it should effect me at all, considering...

lynz68 - Agreed, it sounds like a sales pitch from that from the quote I pasted, and probably is from his perspective. However, he was more specific on the phone though about it counting as a cancellation and the effect on my credit rating.

DCFC79

What do the terms and conditions say about cancelling ?

Pixie5740

Xatgirl wrote: »

zx81 - Very good to know, thank you. Although I think it is a little unfair that it should effect me at all, considering...

Not really because regardless of whether you kept the speakers or cancelled the loan, you still applied for credit and your credit file were searched and this will now be reflected on your credit file.

Xatgirl wrote: »

lynz68 - Agreed, it sounds like a sales pitch from that from the quote I pasted, and probably is from his perspective. However, he was more specific on the phone though about it counting as a cancellation and the effect on my credit rating.

You were speaking with a salesperson who was talking tosh. You don't have a universal credit rating, so there is no credit rating to affect. You'll probably find that this entry on your credit file makes the square root of F all difference if you apply for credit in the future.