Secured loan settlement

Marky1701

Hi all,
I need some help and advice from all you consumer champions out there.
5 years ago, I took out a secured loan (no other option at the time) through a reputable broker ( Ocean). It was for 28K over 15 years. Over the last few years the interest rate/repayments have risen alarmingly, but I have always kept the payments up to date.
I wanted to restructure to see if I could get a better deal, so asked Swift loans for a settlement figure, and was angry when I was given a figure of £32K, despite having paid them £400 per month for nearly 5 years - I still owe more than I borrowed!!
Any thoughts/help/advice would be very welcome & thanks

CLAPTON

did you take out PPI on the loan?

do they say how the figure was calculated?

Marky1701

Hi & thanks for the reply - no I took no extras on the loan (even though the rep at Ocean finance told me I was only getting this rate if I took out all the insurance - the loan company themselves later advised me this was nonsense) . They simply stated that the settlement figure was calculated in accordance with the CCA

CLAPTON

I can only suggest you write asking for a full beakdown of the method of calculation

they may have used 'rule 78' which was allowed then but you can try it out here

http://www.hughchou.org/calc/rule78.cgi

sand-dancer_3

hi, I repaid a secured loan to Swift (and Welcome) last year and was hammered by the amount of charges they had added. I queried the amounts last week and have received a very long letter which has confused me even more regarding why they charged me so much.

Theres a few references to this company on this site and Im hoping it will get investigated if more people add their experiences.

Marky1701

Hi - are you going to take it further? or has anyone been put in this situation with Swift?
All I can think of is that if my settlement is correct & legally calculated, thank God I never got into arrears with them!

sand-dancer_3

Hi! Ive just replied to your post on another thread! This feels like ground-hog day!
There is another thread from an earlier date from someone else who had a problem with them too.
Im certainly going to pursue it but my limited financial knowledge into the jargon on their letters confuses me and Im very cautious to accepting offers of help, so im in a little state of confusion right now!
But (optimistic head on again!), ill do what i can from the wonderful advice on these sites and then probably take it to the FOS. Again, even if Im unsuccessful in reclaiming anything, Il have at least warned others of this company.
Ill keep you updated, and could you do the same for me?

'Nil Desperandum Sodomiti' (I believe it means 'Dont let the (ahem) nasty people grind you down)'. The only latin I know is from the spells in Harry Potter and I dont think Ive heard him say that ....YET!!

caulodren

Marky1701 wrote: »

Hi all,
I need some help and advice from all you consumer champions out there.
5 years ago, I took out a secured loan (no other option at the time) through a reputable broker ( Ocean). It was for 28K over 15 years. Over the last few years the interest rate/repayments have risen alarmingly, but I have always kept the payments up to date.
I wanted to restructure to see if I could get a better deal, so asked Swift loans for a settlement figure, and was angry when I was given a figure of £32K, despite having paid them £400 per month for nearly 5 years - I still owe more than I borrowed!!
Any thoughts/help/advice would be very welcome & thanks

Well i have worked out that it appears they only charged you 6.7% interest fixed secured loan, which is a very costly variation of loans:
6.7/100*28000=1876, this figure is the annual interest, which has to be timesed by the ammount of years, *15=28140, is the total interest over 15 years, then add the capital on top, +28000=56140, total estimated that you have to repay minus total ammount repayed £400 over 5 years= 56140-24000=32140
It seams they haven't overcharged you if they advertised 6.7%, if they advertized less then they have overcharghed you. Loans are a pain and i recommend not taking out loans. Hope my calculations help you work things out

chalkie99

caulodren wrote: »

Hope my calculations help you work things out

This thread is over 3 years old - would hope the OP has worked things out on their own by now.