Evolution Money - Secured Loan Advice

Livvipivvi

Hiya all,

We are around half way through repaying a £9k secured loan with Evolution Money. The loan has a variable interest rate, was taken out over 6 years and had a ridiculous amount of admin fees added to it, but we went for it anyway because our credit score had taken a beating due to my husband’s employment suffering during the recession and we needed cash to do essential work on the house. 

Fast forward to today and our credit score and finances have recovered, so never being comfortable with having a secured loan sitting on our home, I’m looking to move the remaining debt to an unsecured loan with a mainstream lender. I’m not expecting the repayments to reduce by much because after all the fees being added to the initial loan, the discharge fees  and the ridiculous APR, the redemption isn’t going to be far off what we originally borrowed, but I’ll just be glad to get the debt off the property. 

I’ve been distracted with other issues and focused on getting our finances back on track the past few years, so apart from making sure that the repayments are made every month, I’ve not really thought much about this loan until now. Now that I am focused on it however I’ve realised that we haven’t received any annual statements for this loan nor any interest rate changes, which given the current BoE rate, should have had? I’m not sure 🤔. I do remember the advisor who dealt with our application told us that as the rate was variable, so it could go up in line with BoE, however it should go down as our credit score and relationship with them improved 🤷🏻‍♀️. It hasn’t and repayments have remained the same, but I took it with a pinch of salt at the time and just made the monthly repayments. 

Does anyone have any experience with Evolution? Should we be receiving annual statements and should our interest rate be coming down in line with the BoE rate? I’m going to have to contact them about this and to request a redemption figure, but I just wondered if anyone had any advice on where I stand before I go complaining about not receiving statements and our interest rate not reducing, when we aren’t supposed to be getting them anyway 🤷🏻‍♀️. 

Sorry it’s a bit long, I tend to go on a bit! 🙈😂

[Deleted User]

It'll say in your contract if it moves with BofE rate, but it's very unlikely. It certainly wouldn't move in line with your credit score.

You should have received annual statements os check that your details with them are correct.

Livvipivvi

Deleted_User said:

It'll say in your contract if it moves with BofE rate, but it's very unlikely. It certainly wouldn't move in line with your credit score.

You should have received annual statements os check that your details with them are correct.

Thank you for your help. So would you say the variable interest rate is only for their benefit, meaning that if a borrower started missing payments or the BoE rate increased,  they’d have the right to increase the rate? From what I’ve read so far the BoE rate is mentioned, but only to say that repayments may go up 🙄. I’ve checked all paperwork sent via email and our information is correct. 

[Deleted User]

Generally, the rates will only go one way, as it's such a high risk portfolio.

Livvipivvi

Livvipivvi said:

Deleted_User said:

It'll say in your contract if it moves with BofE rate, but it's very unlikely. It certainly wouldn't move in line with your credit score.

You should have received annual statements os check that your details with them are correct.

Thank you for your help. So would you say the variable interest rate is only for their benefit, meaning that if a borrower started missing payments or the BoE rate increased,  they’d have the right to increase the rate? From what I’ve read so far the BoE rate is mentioned, but only to say that repayments may go up 🙄. I’ve checked all paperwork sent via email and our information is correct. 

Also, Evolution seem to have no problem in remembering our information when contacting us to try to get us to borrow more! No chance of that! 😂😂