Looking for some help and am new so please be kind!.

I have a loan with loans2go.

I borrowed 850

was told I would pay £92PCM interest

which was included in my monthly payment of £164

I have made 9 payments

today rang for a redemption figure

was horrified that they still want £474

despite admitting Ive already repaid over 1400!.

I feel sick.

I have dug out my original credit agreement

I did indeed sign for an 850 loan with a total repayable of 1972.

Interest rate is 500.7%.

Horrified I have done some digging with the fca handbook

and found that a logbook loan is classed as a high interest short term loan.

The way I have read is that means they come under the new rules of capped interest from 2015

and I should never have been expected to repay more than double my original debt?

Can anyone confirm that this makes the loan unenforceable

and I can request the excess I have paid back?

Please say I'm right

because I would love to wipe the grin from their faces

I can't believe I agreed to those terms but I was desperate X

sadly that doesn't apply to them?

its a secured loan against your car.

I did think that

but when you read into the new legislation it does say it covers log book Loans

and is covered in the concs handbook.

When reading the concs handbook

it does say interest is capped for all high interest short term lenders (a loan for 12 months or less).

I think I'll ring the ombudsman service tomorrow and ask for advice

because it's very misleading.

I would think all logbook loans are secured on a car so I don't know why they would mention it in the list of high interest short term lenders from none are included?.

I have read and re read it and I can't find any exclusion,

the only ring it excludes is a loan secured on land or property (mortgage).

The recent review into bill of sales even says they will ensure firms comply with the concs handbook

and all this mentions is a cap of 0.8% per day or a maximum of the same value as the loan in interest and fees? X

yes gotta agree.

its worthy of a call to them [FOS]

or the FCA [CONC rules]

it does appear that its applicable

sorry

dx

Hi I really need some help and advice I am so stressed.

Long story short but took a ridiculous loan with loans2go for 850.

Repayment 1947 over 12 months.

(Longer story as it was mis sold to me as having monthly interest applied When it was a fixed sum agreement).

I missed a payment three months in and didn't catch it up

and a few months later I made only a partial payment so 1 1/2 months arrears.

I asked for a redemption figure months later and was quoted the full fixed sum to 12 months.

This was over 550 at the time and I had already repaid 1400.

I complained I had been mis sold the loan as they clearly weren't applying interest monthly and I was being offered nothing in early redemption.

In order to deal with my complaint they agreed to reduce my balance to 300 pound with three payments being due at 100 each. They confirmed this arrangement in writing and advised the changes had been implemented.

I believed this had cleared my arrears and I made my first 100 pound payment.

I struggled with the second month and they allowed me to make weekly payments to clear the balance which I did 3 weeks later than was originally arranged.

The loan was repaid and I breathed a sigh of relief.

I then Applied for credit with a lender I frequently used and was unexpectedly refused.

I checked my credit file and found loans to go had applied a default 3 weeks before the loan was repaid in full for a balance that was due 6 months previously. It didn't make sense.

I contacted them and asked them to remove the default.

I had never received any default notice and even without the arrangement they made I was not 3 months in arrears as per ICO guidance and our relationship had not broken down.

They refused to remove it and so I contacted the ombudsman.

I had an adjudicator go back and forth for 5 months while they still refused to remove it.

2 weeks ago they finally said they would remove it but show as partially satisfied.

I refused this action as it was settled in full.

The adjudicator passed it to a proper ombudsman and I have received a ridiculous response today.

It states loans2go have agreed to remove the default in full and not show my account as ever been in arrears and they therefore do not have a decision to make and cannot award compensation as loans2go are being more than fair??!!

They would have been fair had they agreed to do this in October 16 when I first complained.

How can they suddenly decide to remove it before an ombudsman makes a decision and that be ok?

What about the period from October til now where it has affected my ability to obtain credit and caused me so much anxiety to have it removed?

I have to accept or refuse the ombudsman decision but I am confused as they haven't actually made one!

If I can't be compensated via the ombudsman on what grounds would you take court action?

I know they breached data protection by not abiding by ICO and data protection and updated a default for an incorrect date and Amount and it wasn't three months in arrears.

The anxiety stress and depression this has caused me are indescribable and I want loans2go made accountable for what they did.

I should add after months of prompting they produced a load of paperwork notice of arrears and defaults to the Ombudsman and not one piece of this paperwork was received by me.

The default notice they provided shows a balance for the whole fixed sum and took no account of the arrangement of compensation to reduce my balance.

Where do I go to next?

I hope others read this and stay well away from loans2go

old and new threads merged for history

please keep to one thread.

dx

tell the FOS...

also worthy to involve the ICO too.

dx

Thank you. Finally getting somewhere.

It seems the ombudsman did not pass on the fact loans2go had agreed to remove it and have today apologised and offered me compensation.

As they made no decision on the default itself I'm free to pursue further action.

I have made a formal complaint to the ico which hopefully help other customers.

I've also issued loans2go with a letter before action and intend now on taking them to court for breach of data protection act a d credit consumer act.

The arrogance they showed in refusing to correct their mistake left me so stressed and angry.

At least I can help other people suffering the same fate.