Who has had Managed Loans?

[lookinforinfo]

Lueeze, thankyou for your excellent post and the breakdown of the costs in your

case.

A couple of points do arise from your post.

Whilst the rate of interest claimed on the unlawful charges applied to your current

account are accepted as 8%, there should be no argument about the rate claimed

on your managed loan. Here, the disputed charges have been lumped into one sum,

you will have an agreement with the bank about the rate of interest and the loan period. I cannot see any reason therefore not to claim the full rate of interest that the bank charged. You are entitled to expect that your situation will be restored to that that existed had the unlawful charges not been levied

 

In addition, I cannot see why you are not claiming for the interest applied by the

mortgage company on that part of the loan that represents your charges. Had you

not been able to move the loan, you would have claimed for that interest over the

whole period from your managed loan. The fact that the interest claimed via the

mortgage was not charged by the bank is irrelevant. You were forced to pay the

interest because the bank acted unlawfully

[Essayeffsee]

Anyone any further down the line with MLs?

[Mrs Charlton]

I have one, I was told it was a consolidation loan to cover m/card, o/d another loan. They told me I could change the amounts I paid to suit my income etc then when I fell on harder times they wouldnt reduce my repayments so i could still make regular payments so the same thing charged for having no money. Ive nearly paid mine now tho but they wont take extra payments unless its from a HSBC debit card but i dont bank with them anymore so they wont take extra payments from me so i can pay it quicker!!! losers

 

Thats exactly what they did to me too. I was in my last year of Uni at the time and during summer set up payments for large amounts as worked full time in the holidays, then when I went back in the October I tried to reduce the payments as they said I could, but then they wouldn't let me. Grrrrrrrrrrrrrrrrrrrr.

 

I can't wait to get my statements back for all this, I bet there is a good 1k of charges to be claiming.

[MrMatteh]

Ive read this thread a couple of times now, and Im just a little confused *what* it is about Managed Loans people are claiming?

 

I was forced into a managed loan for about 2k when HSBC refused to help me out of control overdraft and credit card, and kept applying charges to my current account. Im now £250 away from completely paying off my Managed Loan, and after reading this Im still trying to work out what part of the managed loan (if not all) of it I can claim back, and under what grounds?! :E Sorry if Im coming across a little blonde here, but Ive just woken up! ;-)

[hmspilky]

ive got a managed loan for about £23 grand, i didnt have a clue what the loan was all i knew was it was my last resort before bankrupsy, ive had a £30 charge already on it for insuficiant funds to pay the s/o. hsbc knows how much finacial trouble im in.... ive got no property, no assets just £23000 hanging over my head. Why shouldnt i go bankrupt?? my other worry was that if i claimed back my ilegal charges, would they close my account and say pay up for the loan?

im in a right state really with my money, im going through divorce, paying maintanence, trying to look after myself to and tryin to pay off my debts and theres not enough to live on.

ohh well theres my sob story i really dont know where to start with working out whats going on with my managed loan..... any advice? maybe bankrupcy is a good option for me?

[maconights]

Basically its like an unnoficial red flag on your account..."This person has had to let us dictate thier loans..don't give them an inch!" It also means you seem to pay a higher amount in interest, they won't help you with anything else until this is cleared! they will charge you rather than give you an overdraft!

 

Hi all,

Another 1 here with a managed loan.......The way i understand the difference between a managed loan and a pers. loan is...I may be corrected..

 

A personal loan is a fixed % interest rate ..eg 7.5% for the term of the loan eg. 5 years(you know how much you pay and when your loan will end and how much interest you will have to pay)

 

A managed loan works like a credit card...

You find yourself in difficulty,they suggest a managed loan @whatever you can afford to pay. YOU have no choice and agree....

Interest is at X % ABOVE the base rate EG 4.5% + X % = Y

 

MY OWN EXAMPLE

i pay 7.5% above base(4.5%) = i pay 12% interest on my outstanding balance(charged daily) and pay say £100 p/m

 

IF the base rate changes to 5.5% ..I still pay 7.5% above that = 13% interest on my outstanding balance (charged daily) but i am still paying £100 p/m

 

Therfore i am paying more interest ..and not changing my monthly payment.So IT WILL take longer to pay off.

 

The basic solution to getting rid of a managed loan is....Find out what % above base your paying...try to get a fixed term loan for a less %...or ..increase your monthly payment as and when your circumstances allow you to ....

 

hope it helps

Mac

[royzor]

I am trying to sort out a problem with a loan my mother took out with the Halifax. she took out a 5k loan in 2001, the interest was added on at the beginning of the loan. Her last payment should have been this month but they are insisting she still has 1 month outstanding but she swears that she has never missed a payment. when she wrote to them asking for details of all payments she had made and which date they claim she has missed the payment they claim is outstanding, they only sent details from 2003. We also noticed she was charged a monthly interest rate on top of the the interest that was added at the beginning of the loan. Should this interest have been added monthly as well as the total or is it a monthly breakdown of the total interest (If that makes sense) or has she been diddled into a ML loan. Also what can i put in my letter requesting the remaining 2yrs of payments so that it sounds i know what i'm talking about and kind of official.

[jo5ephedward5]

I had:

 

£500 credit card - it was within its limit and no missed payments

£1000 - INTEREST FREE student over draft - within its limit (just)

£400 - unautherised overdraft - i got this mostly as they let some payments go throught when i didnt have the money then they charged me till it got to £400.

 

I wrote regarding the £400 unautherised account and made an offer of £50 per month - the response was, yeah we accept this and have stopped your credit card, and both overdrafts - here a solo card please stop using your switch cards and master card and return them - we have arranged for a managed loan on your account at £1700 over 5 years - total payable 3000!!!!

 

Now forgive me but thats a lot more interest than i would have paid if i had put £50 a month between my card and overdrafts at low / no interest - i think this was irresponsible leanding, i also felt althought they said if you dont wish to accept within 10 days the full ballance must be clear that i had to accept - i was 21 and didnt know better - i will send a DSAR to them and claim back charges but these will be a under £400 as except for the 2 months where this happened my account was perfect! - i would love to claim the loan back - i know i owe some of it but i shouldnt have to pay all that interest - i pay £50 a month and they put well over £20 on in interest per month, also they mark my credit file as one month late every month even though i always pay on time!

[Guest Lueeze]

Just an update, I have ben away since last week so I have not yet filed my HSBC claim.

 

I will not be claiming interest as I do not know the figures for either my managed loan or the consolidation loan I took out as both are paid off now, and the HSBC I only had for a few months so would amount to pennies.

 

Also it would take me over £5k (I already had to reduce my charges so I could keep it in SCC)

 

I will keep you updated. Check my HSBC thread about wording and advice from other mods.

[speedy]

Ive just had a look at my managed loan. I pay £86/month of which about £55 is interest. Is there anyone here who could work out what rate of interest im paying. I have an outstanding balance of approx £4300 which i recon will take me another 143 months @ £30/month. Im already claiming for £5k (which ive just done at court and im waiting to hear from d n g solicitors. ) so im gona keep reading this thread as id like to claim back what i can.

[jo5ephedward5]

i think they are all about 17% interst but obviouslt if you only pay a low percentage a month of the ballance most becomes interest

[smel24]

Okay I have received a response to my Prelim letter saying that HSBC do not think that I am entitled to a refund at all.

I am now going ahead with the LBA letter but can I include at this point that these charges led to me being forced to get a Managed Loan as the bank then offered me no other solution despite just graduating and getting a job?

I don't think I have had any charges put on the loan but it is certainly high interest and a loan that I never wanted in the first place.

 

Smel

[lookinforinfo]

Just a quick note to Speedy and Smel.

Your bank will confirm the rate of your loan interest but bear in mind you should only claim for interest that relate to that element of the loan that was for bank

charges not all the interest.

[ppauls150]

This is the whole point that i started this thread. Due you reckon there might be some way that someone can actually work out that when you took these loans out that was to maybe put a halt to being charged every month, the loan would of consisted of charges that you would of had and not the bank. This loan has had interest put ontop, but again you wouldnt of maybe needed the loan if you hadnt been charged all the charges. Then to top it off further down the line they end up putting you on a Managed Loan which once again consisted of the loan from the first place (Which more than likely was a propotion of charges and interest) to now interests piled ontop from the Managed Loan.

 

If someone decides to figure out how much interest they have paid between the loan and then also the Managed loan where these two loans comprised of Charges to how much they actually owed the bank and where this probably wouldnt have happened in the first place if they hadnt taken these charges.

 

Does that make sense ? lol

[maconights]

This is the whole point that i started this thread. Due you reckon there might be some way that someone can actually work out that when you took these loans out that was to maybe put a halt to being charged every month, the loan would of consisted of charges that you would of had and not the bank. This loan has had interest put ontop, but again you wouldnt of maybe needed the loan if you hadnt been charged all the charges. Then to top it off further down the line they end up putting you on a Managed Loan which once again consisted of the loan from the first place (Which more than likely was a propotion of charges and interest) to now interests piled ontop from the Managed Loan.

 

If someone decides to figure out how much interest they have paid between the loan and then also the Managed loan where these two loans comprised of Charges to how much they actually owed the bank and where this probably wouldn't have happened in the first place if they hadn't taken these charges.

 

Does that make sense ? lol

 

it makes sense ..but i aint the man to work it out !

Maybe a better man than me can .?

 

seriously ... I would love to be able to get HSBC for putting me on a managed loan .......

Any help would be appreciated ...thx

Mac

[rdm2006]

Just wondering that if the bank put someone on a managed loan due to an overdraft caused by unlawful charges could it be said that by their unlawful actions the banks have applied duress if so then a contract signed under duress is unenforcable isnt it ?

[vicky1234]

Hi,

 

I have never used this website before so I am not quite sure how it works. I guess I just tell my story!

 

My husband and I had a thriving business 2 years ago (public house). The brewery offered us a second pub to add to our profile. At this point we had a personal loan of £15000 with HSBC, a M/Card with a limit of £8000 and a healthy personal and business bank account.

 

We then asked to borrow £20,000 from HSBC in the form of a small business loan. They agreed to £10,000 and a £3000 O/Draft on our business account.

 

So in total we owed them £28,000 (unsecured). We took on this second pub and unforunately the business didn't do what we all thought it would. (The brewery and HSBC had agreed with the business plan) This meant we just got further behind with payments and then got charged over and over again. We approached our business banking manager to help us but she said there was nothing she could do.

 

We ended up having to sell both pubs and now my husband and I along with our 3 children are living with parents, working very long hours to try and start repaying this debt. HSBC then consolidated everything into a managed loan. The debt is now standing at nearly £40,000.

 

I'm still not sure how any of this happened. We never had any assets to cover this loan and they were perfectly happy to lend us this money on an unsecured basis. Yes, we asked for the money but I wish they had now said no!

 

The repayments started at the beginning of august (approx £600 per month) but £1000 interest has already been added. The debt will never be repaid!

 

Vicky

[Thirdworlddebt]

Greetings,

I have been on Incapacity for nearly 5yrs now, my bank has always known of my situation, to cover my charges, they where happy to extented me the privilege of a managed loan,

not once, not twice, but 3 times.

Each time saying "to help tide me over until I get back on my feet".

I now owe £10.000 for a £4.000 loan.

 

Pray tell me:

Was this the best assistance they could of given to someone in my position.

 

I am now in remission, I would now like to get my own back.

Where do I sign up? & Where do I start?

can someone come back to me.

 

Hence Thirdworlddebt

[winnie123]

I was offered a managed loan by HSBC back in Oct 2005 when I went in the bank requesting £10 out of my savings account so that I could put petrol in my car to get to work. I couldn't transfer this in to my current account as I was so overdrawn the money would have been swallowed. All HSBC were intrested in was offering me the managed load to pay off my o/d and my mastercard. It would have worked out over a 15 yr period at 12.9% intrest. I declined and then contacted CCCS. When cccs were trying to negotiate terms with HSBC on my debt managment plan HSBC again sent paperwork through for a managed loan again with 12.9% intrest. We ignored the paperwork and are now paying the overdraft back and credit cards with no intrest applied at all.

[Thirdworlddebt]

Greetings,

Cheers Winnie123, The empire is sticking back, I'll keep you informed and tell you what happens.

[Tigs33]

Not sure if we are the first but HSBC have settled our claim (or agreed to) which includes the interest on the managed loan

[MrMatteh]

I should a reply to my LBA by Thursday!

 

Ive claimed all my charges, plus the interest on the managed loan that I wouldnt have had to pay had my charges not be in the loan!

 

I wonder what response i'll get!

[Tigs33]

Matt I doubt they will say anything, they didn't with us, I just hope more people claim the loan interest if they felt they were forced into the loans through the charges.

[MrMatteh]

heh - I was tempted to claim the whole loan, but I knew they'd start questioning that and I just want the money Im owed now

[jo5ephedward5]

Matt I doubt they will say anything, they didn't with us, I just hope more people claim the loan interest if they felt they were forced into the loans through the charges.

 

have you finished paying the loan - i'm in the same situation but only a quater way throught my agreement with HSBC, they told me unless i could pay off the £400 i owed them (over half in charges) then i had to take my credit card and £1000 interest free overdraft and the £400 unautherised overdraft and covert them into a managed loan and lose all facilities i.e. debit cards etc

 

I'm going to claim back the charges over the whole account life - this is maybe £500 but want to claim all the interest too - am i right in thinking that i can only claim what they have charged to date...i guess then i could use my claim money to pay off the loan before more interest is added or continue to pay and claim again once its paid off...in 4 years!