Refund on Interest following incorrect Loan Start date on annual statement

8800guy

Hi, I received a letter from my bank for a loan I have with them stating they had reviewed my account and noted an incorrect loan start date on my annual statement.  As a result, under the consumer credit act they weren’t entitled to charge interest from the time they sent the first annual statement to the time the error was corrected.    They will refund me any interest they shouldn’t have charged.

Has anyone come across this before?  If so it is encouraging to see them acting within the law and being proactive.  I suppose the only question I have is am I missing anything here and should they be paying any compensation rather than just the interest?

DullGreyGuy

8800guy said:

Hi, I received a letter from my bank for a loan I have with them stating they had reviewed my account and noted an incorrect loan start date on my annual statement.  As a result, under the consumer credit act they weren’t entitled to charge interest from the time they sent the first annual statement to the time the error was corrected.    They will refund me any interest they shouldn’t have charged.

Has anyone come across this before?  If so it is encouraging to see them acting within the law and being proactive.  I suppose the only question I have is am I missing anything here and should they be paying any compensation rather than just the interest?

What loss have you suffered as a consequence of their actions? 

Unless you can show it cost you your job or your home etc then the best you could hope for is statutory interest which is 8% simple/non-compounding interest on the amount they overcharged you. 

Nasqueron

8800guy said:

Hi, I received a letter from my bank for a loan I have with them stating they had reviewed my account and noted an incorrect loan start date on my annual statement.  As a result, under the consumer credit act they weren’t entitled to charge interest from the time they sent the first annual statement to the time the error was corrected.    They will refund me any interest they shouldn’t have charged.

Has anyone come across this before?  If so it is encouraging to see them acting within the law and being proactive.  I suppose the only question I have is am I missing anything here and should they be paying any compensation rather than just the interest?

The lender made an error and corrected it

You are being paid compensation - you had a loan and are getting a refund over a technicality