managed loan from hsbc

colagirl

hi,
i usually just read posts on here, never had the guts to post b4 so here goes !!
We had debts with hsbc last year including an overdraft, a loan and 2 credit cards, and we couldn't met the payments. The bank told us we had to have a managed loan or they would go to court send the bailiffs etc. We took this loan thinking it was our only option. Basically this loan is around £14,000, but the way the interest is calculated, it actually increases every month, so that it will nearly double. We just had our statement and although we've been paying it for over a year at nearly £200 a month, its only ggone down by about £50 ! Now we have the added problem that my hubby has lost his job so the last 2 payments we have missed. When i rang the bank to notify our change in circumstances they just said tough they can't help us we will have to make up the missed payments. Its really depressing my husband to the point he's ill cos all he sees is us struggling to pay this loan which doesn't come down at all. The bank at the btime we took this out said we could always turn it into a normal loan in the future but when we miss there hardly likely to are they ?
Please any advice gratefully received, my husband is really unwell over this and i am very worried.

fermi

Managed loans are are ****ing useless. The only people they help is the bank.:mad: HSBC with £10 billion + profits know this.

Have you spoken to any of the free advice agencies in my signature? They will help you without trying to sell you anything, and will give honest free advice.

They will go through all your options with you, and help you work out the best course.

colagirl

hi Fermi,
I thought about contacting CCA or someone along those lines, but the bank said theres nothing we can do as they would not accept reduced payments etc on a managed loan, and it was non negotiable, even though i said it would only be temporary until my husband can find work.
Wish we could switch banks, but we just got our first CCJ so no doubt our credit menas no banks will touch us for about the next 50 years !
Maybe they were just trying to put me off ? Its just our situation seems so unfixable, but i think i will ring the CCA and see if they can help.
Thankyou for your reply.

colagirl

i meant cccs not cca !!!

fermi

Yep. To the banks you are just a number. And apart from the account numbers, the only one they care about if the profit they make out of you. HSBC are just trying to protect their own interests.

Contacting CCCS is a great idea. Plus National Debtline (see siggy again) are great for advice if any nasty letters drop through the door.

Keep us posted, since there are just so so many other people out there (and on here) in the same position.

colagirl

hi
i feel so much better now ive been on here to see we're not the only ones in this position, we are just so clueless about it all !!
am going to ring the cccs tomorrow, or one of the others, defo, can't make the situation any worse can it !
ta :A

xxjulyxx

hi colagirl
just read your thread. I was in exactly the same position as you, and worried terribly over my not meeting the payments, after reading these boards i was able to help myself, I too was told the same by hsbc and they offered me a managed loan which i took cos i didnt see any way out, after a while i lost my job and missed 5 payments i offered to repay them at £15.00 @month but they refused and passed my account onto their inhouse dca (mcs) i offered them the same amount and they accepted.
my managed loan was for £15.000.
i know it will take forever to pay back at this rate but when i get another job i can always increase the amount
please dont worry there is light at the end of the tunnel
hope this helps

penguin83

Hi colagirl - welcome to the boards.

My OH had a managed loan with hsbc for about 15-16k and was to pay 240 per month. He defaulted when off work sick and same as the above post they passed it to MCS. Interest is now frozen and we are paying £100.00 pm. I know debt collectors are best avoided but I have found them easier to deal with than HSBC.

tigerfeet2006

Hi Colagirl,

Why don't you see if you can get a basic account ie: an account that will allow DD's, SO's ans an Electron card or similar, These accounts won't allow overdrafts, chequebooks or debit cards so you are more likely to get one.

See this thread, I know you haven't got to this situation but there is some good advice about accounts there.

http://forums.moneysavingexpert.com/showthread.html?t=474254

don_leocornay

To everyone who was bullied into a Managed Loan, I have two questions: Did you receive any paperwork? Did you sign anything?

If the answer is no, then you should be able to reclaim all payments as well as interest applied. I'm in a similar position but received no docs. I'm now in the process of reporting them to the Ombudsman and maybe even taking them to court.

Wannabesaver_4

I had an overdraft with HSBC and they wouldnt accept payments via the CCCS so they sent the debt to MCS (who i found pretty ok to deal with actually) and paid them instalments. I then settled the debt - so colagirl dont feel this is a closed tunnel - there is a light!

I woudl let them sent it to MCS and go from there - far easier than dealing with HSBC as someone already mentioned!