Harder Mints Posted June 20, 2012 Share Posted June 20, 2012 a very well know bank for all the wrong reasons that cost the tax payer billions has applied a charge on my account for me trying to pay a loan off. I took a loan out some time ago with a view to paying it off within the agreed terms of business. This has been my marker , if I'm honest, I'm proud we have managed to set the money aside so were able to pay it all back 8 months before the settlement date. There is no incentive for me to pay it off as the rebate is not only offensive, hidden charges will be applied for failing to complete the terms of business. we would not knowing have taken any loan that punishers us for trying to mange our finances any better than we can. I remember asking, " if i pay it off will we incur any penalties ?" "No" was the answer, you incur the daily interest thats all. we expected that, as in a few days interest, however not a charge for early repayment. I may add gives the big bank their full amount back with interest ( well almost) Im absolutely disgusted by these people that ruin the banking system. can anyone help or advise me, who or what, i can do? Link to comment Share on other sites More sharing options...
truman Posted June 20, 2012 Share Posted June 20, 2012 What did it say on the paperwork that came with the loan? Link to comment Share on other sites More sharing options...
Harder Mints Posted June 20, 2012 Author Share Posted June 20, 2012 What did it say on the paperwork that came with the loan? An early repayment fee may apply. when we purchased the loan we made it clear we intended to pay off the amount as soon as practically possible. As such , a product that reflected our plans. They now say we're paying it off to early, hense the charge. Link to comment Share on other sites More sharing options...
truman Posted June 20, 2012 Share Posted June 20, 2012 If it said they would charge for early repayment (as most loans do) and you were aware of it then how is it a rip-off.. genuine question.. Link to comment Share on other sites More sharing options...
barleycorn Posted June 20, 2012 Share Posted June 20, 2012 Quite often the early repayment charge is the equivalent of 3 months interest on the balance remaining. A quick tip to get around this is to pay off say 95% of the remaining balance one month and then the remaining balance the next month thus minimising the 3 months interest. jkb Link to comment Share on other sites More sharing options...
iansheff Posted June 20, 2012 Share Posted June 20, 2012 Is it going to be worth your while paying it off due to the charges or will you be as well just finishing paying the loan? Link to comment Share on other sites More sharing options...
Mummytwo Posted June 20, 2012 Share Posted June 20, 2012 Phone them up to complain, tell them you were told there would be no early repayment fee and so they have lied. Link to comment Share on other sites More sharing options...
Harder Mints Posted June 20, 2012 Author Share Posted June 20, 2012 Phone them up to complain, tell them you were told there would be no early repayment fee and so they have lied. Thanks, I have actually called to explain what was said initially when we took this loan out. I remember asking if we would be penalised if we repay to amount sooner. I await a return call. Link to comment Share on other sites More sharing options...
Harder Mints Posted June 20, 2012 Author Share Posted June 20, 2012 If it said they would charge for early repayment (as most loans do) and you were aware of it then how is it a rip-off.. genuine question.. Your right 99% of loans do say they may charge for early repayment. I questioned this at the time and was told if within 12 months of the term then it would not normally apply, as all loans are front loaded. And that's he brunt of my complaint. They now are changing their tune. And I'm not paying a small amount back, it's a condsiderable sum of money. Link to comment Share on other sites More sharing options...
truman Posted June 20, 2012 Share Posted June 20, 2012 Your right 99% of loans do say they may charge for early repayment. I questioned this at the time and was told if within 12 months of the term then it would not normally apply, as all loans are front loaded. And that's he brunt of my complaint. They now are changing their tune. And I'm not paying a small amount back, it's a condsiderable sum of money. What does "not normally" mean..what has to happen for it to be not normal...? Link to comment Share on other sites More sharing options...
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