bank loan

jimmyw_3

hi i wanted to know if anyone could advise on the following, 7 years ago i had a business that failed and was left oweing natwest about £20,000 some on personal loan some on overdraft and some on business overdraft that some had a directors guarantee. They put it all together and agreed of payments of £140 per month. i never had any default notices or anything and cant seem to find any paperwork for it all. Over the last 6 years i have paid £9000 so thought i would ask for a statement as never had one. The starting balance in oct 2002 was £14500 the balance 6 years later having paid £9000 is £14572!! £72 more than when i started! any advice what i do or where i go now as i seem to have wasted £9k. thanks alot

tyllwyd

Does your statement show where the money has gone? Have they been charging late payment fees or anything like that? What is the interest rate on the loan? Was the interest front loaded? How many years was the loan originally taken out over?

jimmyw_3

they never put it all into one specific loan over any period they just accepted £140 per month i never signed for it at all never given interest rate or anything statement shows daily interest of £4.75

tyllwyd

Well, £4.75 x 30 = £142.5, so if you were paying £140 it looks like they gave you an interest only loan. Did you think you were paying back any capital?

jimmyw_3

i never had anything to say otherwise there were 3 debts a loan with only 3 years left to pay, an overdraft of £2500 and a business overdraft they lumped them together and accepted £140 but i never had any paperwork for a new loan or info about consolodating them so no idea how money was split between them

dhassen

tyllwyd wrote: »

Well, £4.75 x 30 = £142.5, so if you were paying £140 it looks like they gave you an interest only loan.

:eek: bloody hell...... that's less than interest......... what do you call that loansharking?

RAS

Need some of the more experienced people here, but surely on the loan, rather than an OD, then they HAD to get a signed CCA and must have told the OP that it was Interest only????

jimmyw_3

just had a call from natwest apparantly the balance is now at £40,000!!! almost double what it started even though i have paid £9k!!! any suggestions

RAS

Jimmy

You need to contact NDL - contact detals on here http://www.moneysavingexpert.com/loans/debt-help-plan#help

And do you know if this is a loan, or an OD?????

jimmyw_3

it neither it apparantly is still seperate accounts dealt with by the recovery section so still overdfaft now at £6k loan (would have been paid off) was £9k now £15k and 2 business overdrafts were £14k and £4k now £14k and £7k have requested all original documents, final demands and directors guarantees under section 78 of consumer credit act. they did say they would settle for £30k i bet they would the thieving little ********