Most Expensive Loan Ever?

WSO

I'm fuming - I've just been sent an unwanted letter from Provident (I've been on Mailing Prefence Service since we moved in here and this is my first "junk mail" sent addressed to me for years) so am wondering how they got my details or why they think I need a cash loan of £50 to £500... but while I was looking for some way of venting my frustration and tracing down exactly where they got my details from (to give them a piece of my mind) I noticed the illustration and the typical APR...

177%! :eek:

OH had to come closer to make sure there wasn't a decimal point in there somewhere!

This is something they feel they should brag about? That is just shocking! No wonder it took my OH's mother all those years to pay back those "christmas" loans... you'd have to be desperate to go for rates like that!

inmypocketnottheirs

Yawn. Just found a cure for my insomnia.

Shocking.

Terrible.

OMG

How terribly offensive it must be to receive a letter offering a service you don't want or need.

P.S. Why not just throw it in the bin.

Dylanwing

Low value loans always come out with a high APR. Provident operate in a niche market, and provide a service of sorts. It's easy to mock, but for people with no access to credit they can provide a lifeline... And as with all credit, if used irresponsibly, can be a millstone.
Look at the cash till payday loans, 1355% - Expensive, but they provide a service that may be needed. I have used the Money Shop, £14 per £100 per Month - I miscalculated on my current account, cheaper than having payments bounce and paying Bank charges was one example.

WSO

to inmypocket... I don't throw any mail in the bin without checking if it would need to be shredded or recycled.

to Dylanwing... I see your point that they have their place, but I've also had friends and family get such loans and they were almost always extended before they were finished making it hard to know how much they owed and exactly what it would cost them... this is the first time I've seen it in "black and white" and while I knew the rates were expensive I didn't realise they were so high...

I wonder if the offer has anything to do with the fact that my car insurance payment was declined as I was closer to my credit limit than I thought and the payment made 2 days earlier was still being processed...

inmypocketnottheirs

Amend that to shred it then.

System

just had debt recovery letter in wifes name but can only be from provident as its our only loan.(dosnt specify original company)she owes 2000 but letter states 9000!
hope there not trying to say shes racked up 7000 in interest and missed payments in 1 year?!!
anyone else had dealings with these idiots?

when moved informed them but no one came for month
then agreed on 5 pound week payment but no one came again for month.

rang up scotland(expensive) to sort it out but still no one came.

heard that former collection agent had run off with money but new agent only turned up once.

wrote 3 letters and finally got call frem new agent who wanted to sweep clean..guess what..never turned up.

now just recieved this debt letter a year later not stating its provident and demanding 7000 more than the wife owes!!

incredible but true.

we have done our best to make payments but they just didnt want to know(unless its scam so they can suddenly demand huge fees a year later?)

dazman36

trev1865 wrote: »

just had debt recovery letter in wifes name but can only be from provident as its our only loan.(dosnt specify original company)she owes 2000 but letter states 9000!
hope there not trying to say shes racked up 7000 in interest and missed payments in 1 year?!!
anyone else had dealings with these idiots?

when moved informed them but no one came for month
then agreed on 5 pound week payment but no one came again for month.

rang up scotland(expensive) to sort it out but still no one came.

heard that former collection agent had run off with money but new agent only turned up once.

wrote 3 letters and finally got call frem new agent who wanted to sweep clean..guess what..never turned up.

now just recieved this debt letter a year later not stating its provident and demanding 7000 more than the wife owes!!

incredible but true.

we have done our best to make payments but they just didnt want to know(unless its scam so they can suddenly demand huge fees a year later?)

A provident and greenwwods loan attracts no additional interest at all from Provident or Greenwoods you may find that the Debt recovery company have traced you from another address or labeled you as living at another address prior to this my best option is ask them to send you a full break down of the debt inc date taken out, a copy of the agreement and full payment history do this in a form of a letter stating you wish to obtain this information under sec 7.1 of the Data Protection Act, & the freedom of information act and clearly state that your disputing the facts and you wish for your account to be noted as such.
Also if this is from Provident send Customer Relations at the Bradford head office, Address is on the inside front cover of your book and clearly state your case and that you wish for this to be dealt with as a complaint under the financial ombudsman complaints procedure.
This will grab their attention and will give them 56 days to resolve. of face a stiff penalty from the ombudsman when you refer it to them.

Goto http://www.financial-ombudsman.org.uk/consumer/complaints.htm for more info

Hapless_2

Provident use Westcot or Scotcall as a rule

Butlers1982

Just imagine you got something really bad through the door i wonder how you would cope.

Just put it in the shredder, then burn the pieces.

Then seek some help!

OH had to come closer to make sure there wasn't a decimal point in there somewhere!

If your not looking for a loan i really dont know why its bothered you so much. Companies can charge whatever rate they want, if people are desperate for a loan they will go with whoever will give them a loan.

Yawn. Just found a cure for my insomnia.

Seconded.

gobsmacked_2

Provident obviously asking for additional money to give themselves a good xmas bonus. Not out of my money!

Pinzy

I agree that rate of interest is shocking, but they can charge what they like, it's up to us to be sensible.

There is however, no need to be rude or sarcastic in replies. That is rude, unnecessary and low.

Butlers1982 wrote: »

Just imagine you got something really bad through the door i wonder how you would cope.

Just put it in the shredder, then burn the pieces.

Then seek some help!



If your not looking for a loan i really dont know why its bothered you so much. Companies can charge whatever rate they want, if people are desperate for a loan they will go with whoever will give them a loan.


Seconded.