Bathroom Business

Bathroom_Business

I’m hoping I can get a little help

Back in 2006- 2010 I had a profitable bathroom showroom 2 employees and a couple of contractors I had invested 25k of my personal cash into the business - all went well until the recession - I had an overdraft with the Nat West and my business manager was excellent during the recession cash was short so I arranged a loan to carry the business through the was agree and signed off. £20K in total - several months into the recession I had a visit from my business manager from the nat west the discussions were around assets and value of stock I didn’t own a house or have anything apart from the business - so to the crux - 3 days later my overdraft was basically was withdrawn or stopped as I couldn’t draw on it I was made aware that my business was now unviable my business manager moved to other accounts - the business haemorrhaged I had to shut the showroom and get rid of staff and workers.

I was then notified by NatWest that all my bank accounts would be closed and any monies outstanding would be take from any other NatWest associated accounts - needless to say they took my savings and money out of my personal account - I couldn’t get a bank account anywhere had no money no job and bills to pay !

The business ceased trading - then suddenly 2 years ago I started getting letters from the NatWest indicating I was personal guarantor to the overdraft and loan and they wanted there money back
23k

I was Totally flabbergasted ! I requested copies of the documents and it does seem I am!!!

So to the crux ! I was never at any time made aware by my business manager that I was personal guarantor ! Yes I know I should have read the documents very closely but I just remember signing it and handing it back to my account manager - They have now handed this to shoosmiths who I’m paying £50 a month until I can figure out what to do

I have a job but no assets what so ever no house car etc

Question - was I misold this loan in anyway ? How can they give me loans then shut down the only means I have of paying it ?

What should I do ?

Help anyone .?

[Deleted User]

Bathroom_Business wrote: »

Question - was I misold this loan in anyway ?

Not from what you have said, no.

Bathroom_Business wrote: »

What should I do ?

Maintain whatever payments you can until you can increase them.

If things are extremely bad, then you could look into some kind of debt management programme, including an IVA or bankruptcy, but look carefully into the consequences before doing so.

jonesMUFCforever

OP did you have a solicitor then?
If you did consider suing him if like I think that the bank would have sent the guarantee document to him/her to advise you what you would be signing.

bris

jonesMUFCforever wrote: »

OP did you have a solicitor then?
If you did consider suing him if like I think that the bank would have sent the guarantee document to him/her to advise you what you would be signing.

A business man should always know what they are signing. Being a guarantor for business loans is common practice anyway as they don't usually lend money unless they have an asset to take anyway.


When the recession hit the banks were ruthless, once throwing money at us they then started chasing it with every trick in the book.

jonesMUFCforever

bris wrote: »

A business man should always know what they are signing. Being a guarantor for business loans is common practice anyway as they don't usually lend money unless they have an asset to take anyway.


When the recession hit the banks were ruthless, once throwing money at us they then started chasing it with every trick in the book.

I know but that blows a rather large hole in the OP's side of events does it not.:D

System

Bathroom_Business wrote: »

Question - was I misold this loan in anyway ?

Not going to get any joy with that. Firstly business to business transactions aren't covered with the same legislation as business to private individual because a business customer is expected to have the expertise to be able to go over a contract and secondly when they produce the loan agreement with your name on where it says in one of the sections you're a personal guarantor you've no leg to stand on.