We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Lloyds have zeroed the interest rate on my loan
AlexTheGreatest
Posts: 4 Newbie
in Loans
Hello all,
A while back I took out a sizeable loan from Lloyds (30k). I've been repaying it slowly but surely over the past few years and it has really been fine. I used it to consolidate a load of old debt from being an idiot student and young fella, basically.
Anyway, a few months ago Lloyds sent me a letter saying that they had set the interest rate to zero on the loan.
I'm bamboozled. What has happened? It doesn't look like there was any PPI on the loan - there's no mention of PPI in any of the loan documentation and the repayments don't look like they include PPI.
I'm confused. Can anyone help me understand what's happened?
Thanks,
Alex
A while back I took out a sizeable loan from Lloyds (30k). I've been repaying it slowly but surely over the past few years and it has really been fine. I used it to consolidate a load of old debt from being an idiot student and young fella, basically.
Anyway, a few months ago Lloyds sent me a letter saying that they had set the interest rate to zero on the loan.
I'm bamboozled. What has happened? It doesn't look like there was any PPI on the loan - there's no mention of PPI in any of the loan documentation and the repayments don't look like they include PPI.
I'm confused. Can anyone help me understand what's happened?
Thanks,
Alex
0
Comments
-
Either an error, or an agreement issue which is preventing them charging interest.0
-
I've spoken to them about it and it's definitely not an error on their part. They're fully aware of what they've done.
I'm wondering if I can reduce my repayments a bit now, which would be super handy at the moment? Any suggestions for who might be able to help me work it all out?0 -
Surely the amount you pay each month would be in your agreement and if you pay less then you wouldn't be sticking to the agreement. Cut back elsewhere if your tight each month.0
-
You could ask them if they will recalculate over the same term. But I suspect not.0
-
Yeah, you're right, of course.
It just feels like they've done something that they shouldn't have done.
You know what I mean?0 -
Well, you're certainly benefiting from it.0
-
You are absolutely not wrong about that!0
-
AlexTheGreatest wrote: »Yeah, you're right, of course.
It just feels like they've done something that they shouldn't have done.
You know what I mean?
Maybe they have, but now they are not charging you interest on your sizable loan, meaning you will pay a lot less back in total.0 -
I imagine it must either be an administration error or maybe misselling. Did you undergo a full interview and fact check before they granted the loan?
Whatever the reason you are benefitting from 0% so presumably the loan should finish much earlier than originally intended.I’m a Forum Ambassador and I support the Forum Team on the Debt free Wannabe, Budgeting and Banking and Savings and Investment boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.
The 365 Day 1p Challenge 2025 #1 £667.95/£430.71
Save £12k in 2025 #1 £12000/£120000 -
Is this a business loan?
It says one type of business loan they offer varies with the BOE rate.I’m a Forum Ambassador and I support the Forum Team on the Budgeting & Bank Accounts, Credit Cards, Credit File & Ratings and Energy boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.
If you can't be the best -
Just be better than you were yesterday.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352K Banking & Borrowing
- 253.5K Reduce Debt & Boost Income
- 454.2K Spending & Discounts
- 245.1K Work, Benefits & Business
- 600.7K Mortgages, Homes & Bills
- 177.4K Life & Family
- 258.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards