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HSBC managed loan - letter


Dav3yBoy
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Posting all over the show on here, am i really that bad with money??

 

Anyway,

Could someone please point me in the direction of the template letters, still trying to find my way around.

 

My wife was put on a managed loan last year by HSBC because of a £700 overdraft problem. It was incorporated into a loan she already had for about £18k i think.

 

It turns out after i looked at her accounts that she pays £200 a month towards this managed loan, however only £60 of that actually goes toward the loan amount, the rest is interest. Is this correct?

 

i am looking for a letter to send that will ask the bank to break the whole thing down to see if it is legal/ethical/logical etc

 

All help greatly appreciated

 

Dave

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Unfortunately managed loans work like that. You pay a very small ammount off the debt when you first start payments. This eventually reverses so that i the end the majority of your payments come off the debt.

These are the worst kind of loan and if you calculate how much you will have to pay back I think you will be shocked.

I will try to find you some information on managed loans and I will post the links here for you later.

 

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I have written to HSBC asking them for full info on the managed loan and the break down of the charges.

 

My wife will not break payments but i will continue sending them letters on how unfair it is until they listen.

 

Thanks for info and look forward to info you can find

 

Dave

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