Repayment cover - Really Urgent Update - Pls help?

salkane

I recently took out a consolidation loan of £15000 with the halifax over 7 years

I did it in a branch

I did ask for both the amount of monthly repayments with and without the repayment cover

However in the process the loan amount of £347 a month was approved with the repayment cover

As it was my lunch hour, I said that we never got the sum without the cover and the advisor said that they would have to restart the whole process so I asked what sort of sum i would be paying on top of the loan and was told that it would not be much ... just a few pounds extra and I could cancel; the cover within 30 days anyway

I found out how much the cover is costing me £80 a month!!! or just under £7000 for the 7 year loan period!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! For a £15000 loan!!!!

I asked to cancel it on the phone and was told I had to into the branch ... went into the branch and they seemed most reluctant to help me and have asked me to come back today at lunch time. They also mentioned something about begining the process again?

So:

Can they cancel my loan now? - well they wont get anything back cos i have paid off all my other loans

Can they insist I take the cover out? I was told I can cancel it

I am still withing the 30 day period

Any swift answers will be great - as i have to see them in 45 mins

Thanks

Rafter

You have been misled by the advisor ( who gets 5x the commission for selling loans with PPI and the threat of the sack if a certain percentage of loans are not sold with Payment protection insurance.)

If you are within the cooling off period, cancel straight away - they cannot withdraw the loan offer just because you decline the insurance.

Sorry I missed your 45 minute deadline - hope you got the right result.

R.

salkane

Hi all - very interesting thing happened today

All the bank staff were rather cold towards me - seeing that I have been going there for the last 6 years.

I was also told to turn up at 12.30 today in a letter given to me by another bank staff personally yesterday - but the thing is in the letter it stated 12.00 pm and he changed one of the zeros to 3 to reflect the 12.30pm

When I turned up today at 12.30 - they told me that he was on lunch and that the appointment was booked on their systems for 12.00 - how convenient - so anyway I insisted that someone see me

I was then seen by someone who went throught stuff with me and told me that they would have to sort out a new loan for me in order to cancel the repayment cover and that the redemption on the cancellation was £498+

I immediately said that I was within my 30 days cancellation period and that I just wanted that to be cancelled ... and the member of staff then sort of glumly said that I was right.

He then spent the next 45 mins dealing with it and finally said that they would have to take a new loan out and they would pay that money into my bank and immediately withdraw the sum to pay out the old (recently) taken out loan ... I queried it and they said they had no choice.

So I let them do it ...

And then the member of staff says "Ok all done!" and prints off the new loan agreement and says "Sign here, and here, and here and lastly here" ... so I do

He then goes to do the transfer and withdrawal of the monies of the new loan.

In the mean time I look at the agreement .... and WOAH!!!!!!!!!

So I wait for the guy to get back and thank him profusely for all the help and then say to him ... "HOWEVER, there is one really big problem ... the original loan was at 11.9% ... now it seems to have gone up to 14.45%!!!"

I thnik his face said it all ... but he called a colleague over and asked her in a most suspicious way "The rates for loans change everyday don't they ... and she replied .... errrrr.... yes they do"

I then said ... well that is immaterial ... I had a loan at 11.9% and now its gone up to 14.45% .... why?"

He said ... well thats the only way we can cancel the repayment cover ... sorry ... by taking out a new loan" ...... !!!!!!!!!!!!!!!!!!!!!!!

Again I was on my lunch hour and so I had to go and left with the parting words ... "Fine, but I will be checking into this and I will be back."

Can anyone give me any advice??

Thanks

salkane

Help help help please? - anyone got some legal stuff on this?

Thanks

jonesMUFCforever

Initiate a written complaint - not to the branch - but to Customer Services.
I would fax it to them so that they can investigate without delay.

I would also if seeing somebody in a branch to discuss a loan arrange an hour or so off work in order for both parties to complete the interview.

salkane

Hey ejones999

Thanks for the advice - but I did not understand the second part of your message - to go into the branch and have an interview?

jonesMUFCforever

salkane wrote: »

Hey ejones999

Thanks for the advice - but I did not understand the second part of your message - to go into the branch and have an interview?

No I meant if you go anywhere (not just a bank) make sure you have enough time for your appointment.
A lot of what has happened seems as a result of you trying to rush everything into a lunch hour.