My choice home buy loan - refund of interest payments

Happie

Hi I have never posted on here and thought that this would be the best place to ask if anyone knows anything about this?
I received a letter from L&Q regarding our my choice homebuy loan which we took out to help get our first home.
They have said that due to an administrative error in the documentation which we have been provided with over the years relating to our my choice homebuy loan. The effect of the error was that the annual statements did not contain all of the information and forms of wording which they were required to contain by consumer credit legislation.
They are rectify the error they are going to repay the interest collected during that whole period 'period of non-compliance'

Does anyone know if they have done something and are trying to quickly fob us of by giving us the interest money back? Or can we be entitled to more??
Hope you can all help
Thanks Sarah

redpete

It's something that a number of lenders have been going through recently. The wording they have to provide on statements is very constrained. If they don't provide the precise wording then the regulators will deem it not to be a valid lending agreement and therefore the lender is not entitled to charge interest - hence the refunds. This has been for things like your options are for making early payments.

Personally I think making them refund all interest is ridiculous for something that is highly unlikely to have resulted in losses for the borrower.

Be happy with the windfall and don't expect even more.

takman

I don't think it's very fair on the lender that they have to refund all interest due to a paperwork error. But it was their mistake so they should have checked it was correct to start with.

But I can't believe people on here want to try and get even more money back for a paperwork error!. People want compensation for everything these days!

DCFC79

OP they have most likely been told to give you x amount as a refund by the regulatory body.

Be happy with the refund. Put it into a savings account if a significant number.

nat77_2

i wondered much the same as you Happie.

window25

Happie have youheard anymore on this - we received the same letter last week!

atomic7431

Mho have sent us a refund for our interest for the past 5 years due to paperwork error.

window25

Atomic have you received the funds or the letter to say you will be receiving it?

funkyfifi

I'm also interested if people have received anything yet xxx
This money would make our Christmas & wondering if it will arrive sooner rather than later xxx

atomic7431

letter was dated the 25th November and according to the letter we should be paid within 15 working days of the date of the letter which will be no later than the 16th of November.

window25

our is with catalyst and letter said within 45 working days!!! :-( Hopefully wont be that long!