HSBC managed loan

TinaT_2

Hi Crystaltips68 & Jubi!

I phoned telephone banking and went into a branch today. They both tell me the only address to write to is below. The Chief Executive of HSBC is based at Canary Wharfe in London but all HSBC staff say the Chief Executive will just pass it to the following:

The Manager
Service Quality Team
HSBC Bank plc
Arlington Business Centre
Millshaw Park Lane
Leeds
LS11 0PP.

If we are not satisfied with the reply they say we could then write to the Chief Executive, We could also write to the Financial Ombudsman.

Do you want to try & find a better contact or just try this one first?

Will post a draft letter later as running out of time now...

Tina

TEDDYRUKSPIN

Quote: ' In life there is two sides of story ! '

You say that I am contradicting my answer but I am not. A high street lender can only ever offer their products hence, in this scenario a managed loan. They will always mention that you should also obtain debt advice.

In this way, any lender have backed themselves up. They will also repeat this in their documents which you will have signed. This will be stored until the term of the loan and 6 years after.


I understand how people will think if they get to the worse situation. First thing is to ask for help. Next is to blame someone! It's like when you have a grievance in the family.

Good luck if you obtain anything from the Ombudsman service.

As for the above person, I strongly believe that a managed loan is way to high an interest rate!!!

Have you ever thought that the individual in question would have alot of arrears or missed payments which would have showed on the system and on their credit folders? Due to this, the risk analysis will be to reject the application or to offer lower payments at a very high interest rate!

Now for advice:

I still believe you should go to obtain debt advice and ask them to send letters to tell them how much you can afford. If you are after money back because you believe you were short changes, you should put a letter in to the bank. Save a copy. Then within 5 days you will receive a response. Next send it to the financial ombudsman service and wait for a response. If this is not what you want, then take it to the next level.



Good luck.

PS: Answers on a forum are not just to help people. What happened to freedom on the post?

I really believe the way things are going no personal loans will be agreed. Future will be that once you cant afford paying a loan, you will be served notice within 3 months and down the nasty route. No other help will be offered. Welcome to the future of finance.

(1) Never get into debt.
(2) Admit you are in debt.
(3) Reduce you expenditure.
(4) Protect your life if you have insurable interest.
(5) Protect your income
(6) Plan your retirement by pension provisions
(7) Save some money.

sand-dancer_3

Teddyrukspin - Im very disapointed at your comments on this thread.
The reason people like myself come onto this site is to gain support and constructive advice, not to read such damning comments as yours. You exercise your freedom to post your opinions very well, however, perhaps you may like to consider the feelings of the people you are giving your 'opinions and advice' to. In the perfect world no-one would be in debt and we'd all live by your 7 point plan (re your comment #13), but as many of us dont have that luxury, please try and keep your comments and opinions less judgemental.:D

Inactive

sand-dancer wrote: »

Teddyrukspin - Im very disapointed at your comments on this thread.

Sorry I disagree, I think he talks a lot of sense, it may well not be what a lot of people want to hear on here, however it is all constructive stuff.

I am sure you would all be happier just blaming the Banks etc, however the sad truth is, they are running a business, not a charity.

TinaT_2

Crystaltips68 & Jubi - I've sent my draft letter to you both as a private message. Tina

crystaltips68

TEDDYRUKSPIN wrote: »

Ok. Once again, think about what was happening before you got to this situation? Who fault was this? You had no money in your account and your direct debit were getting bounced. You had no money in your account but you kept on going to the atm to withdraw money. When you got the charges you shouted at the member of staff as you told them you were getting ripped off. When reality set in, you asked for help.

Who fault is this?

HSBC can only offer managed loans as last resort. I do believe this is the worse option available but it has it's benefits. It stops you borrowing from the bank and tries to get you to repay back.

But guess what? As you are a constant debtor, you still go out to get a credit card etc and it spirals out of control again as you don't have your overdraft? Very vicious cycle right?

HSBC managed loans are rubbish. Worse interest rates ever and probably stretched until you retire.

I really doubt the ombudsman will help you at all on this. They have not cheated you in anyway as if you handle you account well with the managed loan, HSBC will switch this back to a cheaper personal loan.

What to do? I would get a cheaper personal loan elsewhere and cancel the managed loan. No other answer.

Or? Get a better job? More money? Stop going on JSA or alike?

Ouch, you have made a lot of wrong assumptions about me, Teddyrukspin...

I have never shouted at HSBC staff when I rollercoasted into to this situation with them.
I split up with my partner and was left to pay rent, bills etc on a part time income as I had a small child at home. I struggled for a long time, but my problem is that HSBC could see what my income was but kept on offering me more, and therefore getting me into more debt. I appreciate that I allowed this situation to worsen, but sometimes in life you need to keep the wolves from the door, only to find your caring bank were also a wolf waiting patiently.

I am not a constant debtor as you have said[where do you get your info from?]. this is the only debt I have.

I have worked my whole adult life and have NEVER claimed JSA as you appear to think I have, debt can appear anytime in your life, and I hope that people are sympathetic, if your financial life spirals out of control, TeddyR.

By the way, can't get a cheaper loan elsewhere as you wisely suggest, as I now have a poor credit rating because of.........MY MANAGED LOAN......

crystaltips68

jubi wrote: »

Just received paperwork for daughters managed loan. Payments £250 per month interest £200 per month. Nearly fainted. Going to read again incase mistaken . Can't possibly let this go let me know if anyone else is fighting this situation as its nice to have company.:mad:

Hi Jubi,


That interest rate is a bit of a shock, I know...

Keep fighting though and please feel free to msg me if I can help, or you can help me....

crystaltips

CLAPTON

what actually is the interest rate?

crystaltips68

CLAPTON wrote: »

what actually is the interest rate?[/quote

On my original agreement that I have, started in 2004, it says the APR is 16.9 per cent. It quotes that 'no account has been taken in the calculation of this APR of any variation that may occur as a result of any change in the bank's base rate which may be varied by us from time to time at our discretion'

Not too sure what that means, but guessing the interest rate can change as and when.....

In 2006/07, I paid in 1190.76 to the loan, but the actual amount that was paid off over the year was 721.20. So,469.56 was the interest I paid, thats scary, ouch....

ANDENA

Ask for monthly bill from now on and actually see how much you pay of your Managed Loan ,you will be shocked .can i just say CAB saw my agreement of the managed loan and could not believe the interest i was paying,i had my loan since 2005 and just payed money every month it's only since looking on this site i looked into it,found out i am only paying £34.00 a month of the loan which was £11200 i got a 7.4%APR loan now .and shut hsbc down. read my threads on M/L.My husband was made redundant but hsbc could not wait a month for money to come through,so suggested to have this .