Barclays First Plus Loans interest rates
edited 28 January 2021 at 9:29AM in Loans
71 replies 15K views
After 10+ years of campaigning against Barclays FP loan clause fairness the FOS has done a complete U turn and there is now a willingness to find in favour of complainants and for the above to negotiate settlement terms for customers who complained over the interest clause. I have contacted the FOS asking them to review the 10 year old decision on my case which they have confirmed they are able to do and are now considering.
I would suggest that if you have, or had one of these loans you make an appropriate complaint and claim. Of course if you still have a loan it will be now with Elderbridge.
Latest MSE News and Guides
British Gas prepay meter users...
...to pay less for gas from 1 AprilMSE News
The 'odd Easter flavours' thread 2023
What bizarre food stuffs have you spied?MSE Forum
Energy Price Guarantee calculator
How much you'll likely pay from AprilMSE Tools
I am essentially new to this forum as it hasn't really appealed to me before, I really am not in a position to comment on the "negative and downright rude comments", I would however find it very curios if such an attitude persisted, although not unsurprising.
Would a complaint like this do:-
Re the loan no ______in my name as above
Please find below my formal complaint re the variation of interest rates on my loan.
In 2006 I borrowed 50K from you the rate of 8.4 and this went up to 9.5% where it has broadly stayed ever since. The loan Term was for 15 years, I managed to make a lump sum payment to clear it two years ago.
The loan was sold as “like a mortgage” with a variable interest rate, my expectation was that rates would rise and fall as it was a variable rate and that this would be in line with interest rates in general. The loan agreement makes some reference to the now defunct FHBR. I believe that it was unfair, not only in the common day understanding of the word but also in law, both generally and under the UCR provisions, not to reduce the rate on the loan.
A fair approach would now be to treat the loan as a tracker linked to the FHBR up until it stopped being published and thereafter to what it would be (my understanding is that this can be worked out and is also available from the FLA)
I note that there is no mention of a floor on rates within my agreement and therefore would expect rates to drop from 9.5% to 3.5% for much of the term of the loan
Further statutory interest on these over-payments of my money to you is due back to me..
clearly just put in the loan details and that their failure to reduce rates was unfair, it is that simple I think, then if they do not offer a redress you write off to the FOS
its that simple and you could get a lot of your money back