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gibbyhaynes

Hi,

I took out a loan for £4160 on the 21st of March 2001 to buy a car. The payment plan was £242 every month for 36 months. According to my Experian credit report this was settled on the 4th of June 2004 and the total amount I paid was £8712 (I tried working this out and it turns out that I paid about 39 months worth when it was only supposed to be 36 months). On the 4th of June 2004 they rang me up and told me that I owed them more money. This time £48 over 60 months which works out to be £2880. So far I have paid approx 48 months worth, which is about £2304. The total they are expecting me to pay for a £4160 loan is approx £11592. How is this possible?! Also I paid £2000 to settle the account (settlement amount), all together that's £13592. I've rang them up twice asking for statements which they have failed to send me. I called them up again today demanding statements, which apparently I'll get in the next few days. The amount I'm expected to pay is £11592 and so far I've paid off £11016 and have £576 left to pay but according to Experian my current balance left to pay is £752. Where is the extra £176 going?!

My loan is only meant to be for £4160 including interest and everything. I've been paying it for almost 7 years now. What should I do?

chilli_dog

Have you ever missed any payments? or are there some other arrears on the account?

gibbyhaynes

I've only missed a few payments, about 6 over the last 7 years. There's no arrears.

jonesMUFCforever

If you have missed ''about 6 payments'' how can you say there is no arrears?
Every missed payment would mean a fee being charged to your loan which would stretch the repayment schedule.
Did you have PPI attached to the loan as it sounds like they took money off you to repay the capital and interest but somehow forgot the PPI?

gibbyhaynes

Sorry! I didn't realise what arrears meant

I don't know whether I have PPI or not. When I rang them up to find out about my account they said they've lost my records and don't know how much my loan is for, how much I've paid off so far etc.

They've failed to send statements twice and are acting strange on the phone, do you think they've messed up and are reluctant to admit it?

jonesMUFCforever

gibbyhaynes wrote: »

Sorry! I didn't realise what arrears meant

I don't know whether I have PPI or not. When I rang them up to find out about my account they said they've lost my records and don't know how much my loan is for, how much I've paid off so far etc.

They've failed to send statements twice and are acting strange on the phone, do you think they've messed up and are reluctant to admit it?

Yes.
Do you have your own copy of the paperwork to ''help'' them?

gibbyhaynes

All I have is a piece of paper telling me the loan amount and the model, engine size etc of the car I bought with it. Everything else was done over the phone so they haven't sent me a thing!

Their offices are in the next town, do you think I should pay them a visit tomorrow or wait a few days to see if the statements turn up (bearing in mind this is the 3rd time I've asked for them and they still haven't arrived) ?

Thanks for the help so far!

gibbyhaynes

I just called them to find out where the statements are and they have said that 'their computers are down' and they 'haven't had time to sort it out', plus it's the 'last day of the month', whatever that means...

k1mmie

Might be worth sending them a CCA. If they cannot produce a copy of your signed agreement then they cannot enforce the debt. Let's see how quickly they find your documents when you send this!

gibbyhaynes

What's a CCA?

I asked when they'd be in touch next and they said they'd call me tomorrow although I doubt they will as they have been acting evasive.

3rd time I've asked them for statements and still NOTHING! :mad:

Treading_Water

Depending on your situation when you took out the loan, you could have been put on a high interest rate. It does sound like you didn't check at the time just wanted the money. £8712 on a loan of £4160 is very high.
Many car lenders - Welcome included specialise in providing loans for the sub-prime markets at inflated rates and your missing payments would only have inflated your debt.
If you don't have your original paperwork it will be difficult to check the terms though. Although if they can't provide you with anything from there end you may have a better chance.