Annyfog v Northern Rock

[annyfog]

hi davey77, I need some advice please. I have 2 loans with Northern Rock which were taken out 2004 & 2005. Whilst reading some of the post on CAG about what is enforceable or not i did some calculations on mine. Both are fixed interest rates for the duration of the loans, however the amount i pay each month does not calculate properly to he interest rate and the total amount payable shown on the agreement does not match up. Would this be unenforceable.

 

regards

 

annyfog

[davey77]

Hi Annyfrog

 

Not quite my area but i'll try and point you in the right direction and give an opinion.

 

If you are sure everything else is in order re the agreements (prescribed terms/signatures etc) and the problem is with the calculated interest rate then i would say the amount in question is the issue.

 

If it's a small minor discrepancy (a few pounds more or less) then i doubt a Judge would come down very hard on the creditor for it even if technically the agreement is not in order. (And likewise the creditor won't be too concerned if you push it, or look like you are pushing it towards a court room.)

 

If on the other hand the amount is considerable in relation to the loan amount (Difference between what the paperwork says and what your actually paying) then at least you have a good bargaining tool to use against the creditor and a situation that creditor would prefer not to be looked at by a Judge. So they will/could be likely to come to a compromise (eventually) to avoid that happening. Depends on how much money we are talking about as to how much the creditor digs their heals in.

 

You can use a major discrepancy in the agreement as leverage to get a better deal/full & final.. maybe a write off although that last one is tough to get and depends on how confident you are about your stance and what you want to try to achieve as well as the state of the legal issues currently of which i am no expert and i certainly haven't been watching very closely for a few months.

 

In the first instance i would post up here your agreement (minus personal details) for others more in tune with these specific issues to view and give their opinion on. They might see other potentially helpful flaws to use against the creditor.

 

In the mean time here are a couple of threads i have found with similar issues you might find useful to read through. Hope that's of some help.

 

http://www.consumeractiongroup.co.uk/forum/welcome-finance/250224-my-welcome-finance-agreement.html

 

http://www.consumeractiongroup.co.uk/forum/legal-issues/249898-unforceable-credit-agreements.html