Who has had Managed Loans?

[lateralus]

i've been trying to follow all of this and it is really ugly. hsbc lures people (especially young and inexperienced) into using an overdraft encouraging them to treat it as free money, only it isn't. Because when you go over it, they slap a charge on. When it happens enough times and they increase the overdraft to a truly unhealthy level, they lovingly lure you into a loan to which they apply appalling interest rates and tie you to them for time and all eternity or until you win the lottery or drop dead (maybe they even ask for more back when you die!). They should be horsewhipped (as my granny used to say)! Yet they are still doing it and this is so sad - story after story of people being sucked in. It's so revealing to read this thread. Is there a happy ever after? Ok, we've gotten back the charges on the current account but is anybody saying that there is anything that can be done about the managed loans? Or is it simply a case of paying it off as long as it takes and pray it never happens again?

[lateralus]

ian, you might like to look at this:

 

http://www.consumeractiongroup.c o....r-account.html

 

We all know who likes to close accounts on the second claim, we should be encouraging anyone who is in this situation to write to the ombudsman. There just might be a bit of egg on hsbc's face, and £125 in the account holder's pocket! :grin:

 

courtesy of crusher.

[lateralus]

you need to look at a couple of peeps who have done this - the idea in a nutshell is to look at the date you took out the ml and compare it to your list of charges you've prepared for your current account claim. if, for example you took out a loan for 4k and your charges on your breakdown total 2k at that time - the idea is - for whatever reason you took the loan - 50% of it was due to the charges that were on your accout - so therefor 50% of the interest on that loan UP UNTIL THE DAY THEY PAY THE CHARGES BACK is reclaimable as you wouldn't have taken that amount - the 2k - if they hadn't put the unlawful charges on your account - now, you have to personalise this - it might be totally different figures and it might be 100% of the interest - just depends on your situation.

but as these ml loans are written up like a repayment mortgage - in that the early repayments consist of almost all interest - narrowing down to less and less interest as the months pass. you are likely to see it come out as a very healthy sum.

my understanding is - you then proceed to ask for it back - just like you do with the current account.

 

please, please give this a go ------

i would absolutely love to see hsbc brought to their knees for doing this to peeps. it has bothered me so much - i stopped reading this thread.

 

but tigs33 with her husband-v-hsbc paved the way

and lots of others are making a start.

this could be huge....

it just takes the will to do something about it.

if you don't ask you'll never know

but as the people who have the managed loans are the ones in the most difficult financial positions - i would say you have nothing to loose.

and no, i can not see them recalling the loan just because you are challenging them.

 

if you want to see others - go on the blue strip across the top of the forum that starts with user cp on the left - go across to the site search and put in managed loans - look down the right side to hsbc threads and just start reading. knowledge is power. read up, get psyched and give it a go.

sunday morning sermon over - now you won't have to go to church!!!

[lateralus]

yes, your loan for 15k will have been incurring interest at some rate like 18% - you'll find that on your statements when you get the info. so, if all of it was due to charges on your current acct - then you'd ask for 100% of the interest which in the beginning of the loan will account for almost all of the loan payment - so you paid it off 7 mo later - so you'd not incur any more interest after that - so you are asking for probably all the interest paid on 7 mo. sounds like it wouldn't be much - unless you understand that repayment this as described in the above post - say your loan payments were 200 for 7 months - youd probably be due about 1300 - nearly all of the interest at the early stages. i really am at the beginning stages of understanding this - first thing to do is get your paperwork. now look at this: Bong v HSBC *Contractual Interest & 13yr claim**WON!!!** (1 2 3 4 5 ... Last Page from post 100 - about 110 - this is how bong first explained it to me - so you might understand it better in her words.

also, look at this:hsbcfiddled V HSBC help please and if you don't want to read the lot - start at post number 72 as this is another possible way to at least get started with your managed loan problem. this is big.... read it!! i'm not totally convinced it applies but if it does....wow

 

and here is a copy of his letter he sent:

the request for agreement here for you to cut and paste.

Quote:

Re:− Account Number Here

 

With reference to the above agreement, I would be grateful if you would send me a copy of this credit agreement.

 

I understand that under the Consumer Credit Act 1974 (Sections 77−79), I am entitled to receive a copy of my credit agreement on request. I enclose a payment of £1.00 which represents the fee payable under the Consumer Credit Act. (Send with postal order for £1 by recorded delivery)

 

I understand a copy of my credit agreement should be supplied within 12 working days.

 

I also understand that under the Consumer Credit Act creditors are unable to enforce an agreement if they fail to comply with a request for a copy of the agreement under these sections of the Act

 

I look forward to hearing from you.

 

 

 

so do some more reading, get fired up and get going!

[lateralus]

i'm not much wiser than you at this - but my understanding - if you've done a claim already - you should have a schedule of charges through that period when you got the loan - so - broadly speaking - if you took out the loan in nov.05 and you have your breakdown handy - you look at the running total of charges - see what the total was on nov.05 - say for example it was 2k - well then you divide 2000 by 7130 and you would have 28% of the loan was because of the charges - so the theory is from nov.05 to the point where the charges are repaid, dec.06 for that 13 months - 28% of the interest that you have paid is reclaimable for the same reasons as your first claim. explaining it that without the charges - you would not have had to take out the ml for that extra 28%.

contractual interest is a higher rate - and the thinking is the bank charged you xx% (we were using 15.9% i think - but don't know if it is still that) - then you would claim that amount back.

hopefully you might get the interest % and also the amount of interest of each payment from your statements.

as for the time after your charges were paid back - i'm not sure what would happen and i really don't know any more than this - so - hopefully someone with a bit more knowledge will come along and correct what i've done wrong and fill in the blanks - but it's a starting point to understanding it.

 

 

i did ask bong a long while since about this and she explained it as above and here's what she said about the period after the charges had been refunded.

 

So you will need to find out what percentage of the managed loan related to unlawful charges and interest and apply that percentage to the ML interest.

 

I would also then apply contractual interest to the monies being reclaimed, or statutory interest when it goes to court.

 

At the moment I'm still thinking about what would happen with future interest on the ML. These are my thoughts - if they have refunded the offending penalty charges, and you could technically use this money to pay off that part of the ML, then you are in a poisition to mitigate your loss as it were and reduce the interest that is accruing. I think therefore that if you don't use the money in this way, maybe you would not be entitled to future interest rebates. Perhaps, looking at it this way, the claim for interest on the ML would only relate to interest charges in the period from when the ML was taken out to the date your current account charges were refunded? However your claim for interest on top would carry on until the claim was settled.

 

 

so, as i say - hopefullly someone else can fill in the blanks - that is the extent to what i know about this.

[lateralus]

pete, was hoping someone else would jump in here - my personal opinion is that because you've signed the settlement letter on the claim - i think the interest is up the swanee. hope someone else has a better take on it.

 

but, on to the loan - i'm just going to put a couple of things up here which i've posted before - but you might just be able to glean something from them which could help you now -

check out tigs wording on her letter and why she felt the man.loan was a direct result of the charges on the account -

Husband v HSBC - Paid (1 2 3)

Tigs33

 

and the other is bong's explanation to me about the relation between the charges and the managed loan interest - start with post 100 for a dozen posts or so -

Bong v HSBC *Contractual Interest & 13yr claim**WON!!!**(1 Viewing) [/url] ( 1 2 3 4 5 ... Last Page)

 

hope this helps a little, pete

[lateralus]

it's not cut and dried, greeneyes -

some people think the way to go is to ask for a copy of your loan agreement and if they can't produce it - then they are in breach and the loan can't be legal - therefore you can stop paying. others are trying to get back the interest paid on the loan if the charges were solely due to unlawful bank charges which put you into debt with them in the first place. it's a mixed bag and whatever you choose - you need to read this thread from beginning to end (that will take time! lol) and get your head around the whole idea. you need to be up on all of it if you want to take them on. a good place to start is to read this thread to see one success story Husband v HSBC - Paid (1 2 3). then put managed loan into the search on the blue strip at the top of this page to read more about how people have proceeded.

it really means educating yourself on the ins and outs of the managed loan to see if you are up for taking them on.

 

it is heartening to see on yesterday's news that they banks are finally coming under some fire with regards their heavy handed approach to personal loans taken out to pay back people's debts to the banks. it's about bloody time someone did something about them!

possibly try the media thread to see if there is anything new afoot with that angle.

 

best of luck, my heart goes out to anyone ensnared by hsbc with this hideous loan!

[lateralus]

wouldn't it have been really, really nice if you had just happened to keep a log of all those phone calls - like the dates, times and approximately what they had said - gee, that would come in ever so handy - it would be super if you could remember where you put that little log! and if they can't provide the dates and times and tapes you asked for - well then it really would be super-duper if you had kept a log - probably most of those dates would be similar to the day of the month that your payments were made (or perhaps when they were due). if they can't provide the information - then i doubt that they could challenge yours. that sure would be a handy little log to have kept!

 

i'm would never advise anyone to make up that information - that wouldn't be kosher (or even legal)...........i'm just thinking what a nice thing it would be to have!

 

 

 

(tongue firmly in cheek!)

 

 

 

 

 

btw, pete... it was bong's advice to you - had you considered getting the interest on the m.l. back on your old hsbc thread that prompted me to ask her what she meant and how to do it on post 100 of her 13yr contractual interest thread........i had forgotten it was your thread got me interested til i went back and read it again. very good luck with this!

[lateralus]

absolutely the right thing to do meddy - do not under any circumstances let them weasel you into these horrible things - it is all one way - to their benefit - not yours - no matter how they present it.....

do whatever it takes to keep them at bay and do not succumb to the managed loan sticky web from hsbc.

[lateralus]

pete, i'm really out of my depth here - and i know i've pointed to this thread before - but try reading on page 5 - from post 99 onwards for a few postings Bong v HSBC *Contractual Interest & 13yr claim**WON!!!**(1 Viewing) (1 2 3 4 5 ... Last Page)

bong, was helping me understand the idea behind claiming for the ml - and her take on what happens after you have gotten charges refunded are her ideas - but if she is correct - then i think it answers some of your questions - though probably not the way you would want them answered.

i'm so sorry i can't be of more help - maybe someone will come along with a bigger vision of things or a better grasp to help you. keep the faith!!

[lateralus]

back to campari - just one other route to look at - i fairly certain that when an agreement is signed outside of their office or place of business (your home would be under this), you do have a cooling off period on any contract - how long it is and whether this applies is something to look at,

the time period being between when you sent it back signed and when you wrote to cancel. just check it out as a possibility.