Nationwide arrears error refund

jrowlinson

Hi,

I will try to stick to the point just wanted some advice regarding a loan.

- 60 month loan due to end in a few months
- I had missed as agreed with the company a few months worth of payments due to redundancy a couple years ago
- monthly payments increased to cover missed payments

Earlier in the year I received a letter saying there may have been a mistake regarding accounts in arrears for 2 or more months and interest, they would be in contact later once it had been resolved.

Roll up this week I have a letter saying my loan has been settled and here is a cheque to cover the rest of the money in the mix up.

This is all great I'm happy the loan is at zero and I have a nice cheque but the amount just seems a lot given the loan amount and the interest.

with the settling of the loan and the cheque I will have still paid back the original amount and some interest just not a lot.

My plan was to use the cheque to clear another debt I am just worried they could come back and say yeah about that you now owe us that money back.

Should I proceed with putting the cheque in and clearing a card??

Thanks,

JR

[Deleted User]

Basically yes. If there is an error, which is very unlikely, then you would be able to arrange a repayment plan which wouldn't attract interest.

But did the letter give any details that will let you check the calculations or the reason?

jrowlinson

Hi,

The letter outlines it was an issue for accounts that had arrears - arrears statements didn't meet consumer credit standards and as a result interest should not have been charged from the point that occurred.

it then breaks down the amount re credited, just seems a lot, I guess I thinking about the time frame.

loan would have started tail end 2011 and I was made redundant end of 2012 and as I was in arrears then and that is when the error happened for them?? and "interest should not have been charged from the point this occurred" then it would be the bulk of interest on the account effectively being written off??

[Deleted User]

It would. It sounds like you're only left paying interest for the first year.

McKneff

Why not ask them to double check thier calculations, if the amount comes out the same then go ahead and clear any debt you have with a clear head

Keep all correspondence and just move on

somethingcorporate

Sounds legit, the balls up means you owed no interest post-arrears.

Lucky you

KevL75

I just recieved a letter saying I am credited with £687, the wording is a bit hard to understand on what happens if your loan has finished. The thing is though I agreed to pay off the loan for a reduced amount when I got into difficulty. So my question is now if they are going to keep the interest, to pay of the portion that I didn't repay, or are they going to give me the money.

noddlehaggis

Hi, I'm in the same boat as you, received my letter today and I have since settled for less that the full amount, the wording of the letter is terrible! Hopefully someone can help us both out!

KevL75

I have just phoned them on the matter above, and they said because I partially settled the account, they are keeping the payment to pay of the debt I didn't pay. I said at the point of making the partial agrrement it was established that no future payments will be due on the account, but now they have made an error under the CCA and been instructed to pay out they are changing the goal posts. She refused to budge and said we wont be changing our policy. She asked whether I wanted to make a complaint, but I said I wanted to seek advice on the matter first. has anybody any ideas?

[Deleted User]

They're right. They're allowed to use it as redress against the loan.

Horner_90

Did you get an answer to this in the end? I am in the same situation as you poor information on the letter