Loan not on credit file

[Glavey25]

Its ok i knew this one was coming.

 

What I am saying is that i did not plan to get made redundant. I have worked extremely hard for them over the last 5 years and made them a fortune. I had planned my career around barclays, then one day you get taken into a room and told that they can not afford to keep you. (on the same day they announce 3 billion in profits for the year) Comes as bit of a blow. Now have bills to pay, my son to look after and a roof to keep over my head with no income. And yes I am looking for a new job but the simple fact is that every job that is availiable to me will not pay enough to cover all my normal bills and this loan. I will try and come to an arrangement with them but I want to know where I stand if I simply cant afford to pay anything.

Edited August 7, 2009 by Glavey25

[cerberusalert]

It might be wise to get in touch with the FSA and get a definitive answer as to whether it's a regulated loan; Contact us : FSA Money made clear ? about the FSA

[Glavey25]

I have already tried calling them twice. Both times i was told they simply do not know.

[Laurel&Hardy]

Its ok i knew this one was coming.

 

What I am saying is that i did not plan to get made redundant. I have worked extremely hard for them over the last 5 years and made them a fortune. I had planned my career around barclays, then one day you get taken into a room and told that they can not afford to keep you. (on the same day they announce 3 billion in profits for the year) Comes as bit of a blow. Now have bills to pay, my son to look after and a roof to keep over my head with no income. And yes I am looking for a new job but the simple fact is that every job that is availiable to me will not pay enough to cover all my normal bills and this loan. I will try and come to an arrangement with them but I want to know where I stand if I simply cant afford to pay anything.

 

I totally sympathise with you, honestly, which is why I wouldn't want to see someone like you who has already been crapped on by a major bank get into even more trouble by them. They certainly owe you more than you owe them, but you gotta do it the right way.

 

If you can't afford to pay them do what I did years ago when I could no longer pay my Visa bill due to loosing my job. I contacted them and came to an arrangement to pay £40 a month until things got better. As it was I managed to pay them off after a few years, and so they didn't take any legal action and I didn't get a CCJ. Also, they stopped all interest charges etc, but I couldn't use the card anymore.

 

The bottom line is make sure you pay a little something and always communicate with them, that way it will be very very difficult for them to nail you for anything.

 

Hope that helps.

Edited August 7, 2009 by Laurel&Hardy

[Glavey25]

I have already tried to explain the situation. As I will no longer working for them my options are limited. I have to pay the loan back in full or they will try and switch it onto a personal loan what means the interest rate will go sky high. I dont know how they will give me a new loan with no income though. This is a very difficult situation.

[Laurel&Hardy]

I have already tried to explain the situation. As I will no longer working for them my options are limited. I have to pay the loan back in full or they will try and switch it onto a personal loan what means the interest rate will go sky high. I dont know how they will give me a new loan with no income though. This is a very difficult situation.

 

It certainly isn't easy for you. Have you told them in writing?

[cerberusalert]

Have a read from page 9 http://www.oft.gov.uk/shared_oft/business_leaflets/consumer_credit/oft140.pdf it seems as if it may not be covered by the CCA but by what I understand it could depend on the interest rate they charge.

[Glavey25]

thanks I have read it. How on earth did you find that? You are really good. The loan is a staff loan so I would imagine its not to the general public but the interst rate is fixed at 8.something % . Its not dependant on any movements in the index or highest bank rate plus 1% (page 13) Do you think it may be covered?

[cerberusalert]

I don't think it is no, but your saving grace could be that there is no written agreement.

[Glavey25]

No I havnt. Probally next step. I just want to get all my facts straight before I try and make further arrangements

[Glavey25]

so what would you do next?

[cerberusalert]

I think the bank's got a big problem here, there's no written agreement no T&Cs & even if there were you haven't signed agreeing to them. I just can't see how they could possibly enforce repayment let alone make you sign another agreement which would in effect create a new loan. I'm going to ask one of the site team to ask one of the legal bods to have a look at this thread & give an opinion.

[Glavey25]

again thank you so much.

 

Im feel like im stuck between a rock and a hard place. Im facing being unemployed for the first time in my life with a loan that I have to pay and family to support.

All the jobs I am looking at the wage will not be enough to cover both. Given my service in barclays pay rises ect... I will have to start all over again with another company.

Im scared of defaulting on this loan and it effecting my credit rating in the future and even getting a ccj.

When I took out the loan I was foolish to think that I had a secure career with barclays and I would never be in this situation.

[Glavey25]

nfnre

[noomill060]

To be fair, if you have borrowed the money you should pay it back, not try to run off. I know that many lenders get back stacks more money than they gave out, and I disagree with many of their policies & tactics, but if I lent someone money I would want it back.

 

On the flip side, if we all refused to pay back what we borrowed, then many more people would end up in the same position as you, and that is redundant.

 

I am not trying to preach to you good vs bad etc, so please don't take it personally, but if you can't pay it back because they have made you redundant, then try and work out some agreement first, because I feel that if you do play dumb and pretend that you never took out a loan because they can't prove it, I suspect you will end up in court and might even end up in a much worse situation? i.e. fraud?

 

Just my 2pc mate, nothing personal.

 

 

This isnt about the morality of the situation.

 

This is about the legality and lack of a CCA.

 

If they ask you to sign any agreement, tell them to screw themselves.

[Glavey25]

I know im not signing anything else. The loan is not covered by the cca as the loan was not avaliable to the general public. So it sounds like Barclays are making up their own law. I dont know who regulates it if there is anyone or anything at all. I just dont know what to do. I do not want this to effect my credit and even got a ccj. But with it not being on my credit file on the first place I dont know if it would get that far. I need to know what my rights are and if this loan is enforcable.

[yourbank]

Glavey the only thing I can say with regards to getting out of banking is that the grass is GREENER on the other side.

I never work weekends, I am paid for the hours I work and not simply salaried and working weeks of unpaid extra.

Get your CV up to date though and look at all the jobsites(reed, totaljobs, indeed) and sign yourself up to an agency or ten. Look at your local paper online and jobcentre plus website. I would do it before you leave

[maroondevo52]

Two threads merged.

[rickyd]

Its up to them to prove the loan exists. Without a signed credit agreement I think that might be difficult and if there's no credit agreement, its hard to see how there could be a default as there's nothing to measure it against.

 

I'm not sure you're entirely correct about not falling under the CCA as you're still a consumer after all, but the lack of a signed document makes the outcome far from clear.

 

Perhaps one of our resident experts could advise?

[Glavey25]

how would I be able to get in touch?

[bradfordlad]

Hi Glavey25, not sure if you are still looking into this (or if you got a result?), but my wife works for Barclays and has a staff loan.

 

In October she received an annual statement stating:

 

"Since 1st October 2008 changes to the Consumer Credit Act (CCA) require us to provide you with an annual statement of your loan account with us"......."

 

To my mind, that would suggest that staff loans ARE regulated, otherwise they wouldn't need to send a statement, would they?

 

Hope this helps.....

 

BL

[Glavey25]

Im still at a loose end with it. Thinking about going to see an independant financial advisor. I noticed that I got a statement for the first time last year.

 

Thank you for your advice

 

Ill keep you posted

[rickyd]

Can't see how an IFA can help in this instance.

 

Life insurance or pensions maybe, but not personal loans.

[Glavey25]

ha ha. Just found that out. He didnt have a clue.

 

Ive officially left barclays on the 1st of nov. So far they havnt got in touch with me about the loan even tho it says in my redundancy pack i have to pay it back within 2 weeks.

 

Does anyone know if they can take money out of my account without my permission?

 

I get my redundancy on the 23rd of Nov and i am worried they will take all of it to go towards the loan. Even though my redundancy will be only be enough to pay back approx half.

[cerberusalert]

Does anyone know if they can take money out of my account without my permission?

They are allowed to offset between a/cs.