got a loan [bridging] but they are going for repo? - help lost!!

[muminneed]

In a nut shell,

 

I asked the bank that held my company's accounts for a mortgage

so I could leave my violent partner and get my children to safety.

 

They gave me a loan on an all monies charge basis.

 

I didn't find out for another year it wasn't a mortgage,

they gave me no advice and even now some ten years on I dont know what kind of loan it is,

some say bridging loan others an equity mortgage.

 

The bank have come up with various reasons why I couldn't have a residential mortgage

e.g I had one already on my marital home.

 

The loan was in my name so when my company folded it continued.

 

The loan has been renewed at a higher interest rate with a new fee of about £1000 every six to twelve months.

 

I have been broke for the last 9 years at least and whilst i've tried to pay some I 'been able to.

 

They have let the loan go on and on and compounded interest and raised the interest etc

but not issued repossession action until now.

 

During the last ten years they have taken the loan payments to the tune of about 30,000

via I assume their right of set off from my account, or at least an unauthorised overdraft

they have created on it by taking the loan payments as well as compounding another 10k into the loan.

 

In 2010 I lost my job and have been unable to pay anything since then.

 

They issued me not with repo action but a new loan with a capital element for £1300 pcm

representing a 120% increase in monthly payments.

 

This was after the relationship manager called me for a meeting

demanded 30,000 be paid to them within 48 hours or he would issue this new contract.

I didnt sign it and I still havent.

 

They also sent all of my info to my ex husband.

I only knew he had it when he presented it at our divorce hearing,

said I was financially inept and couldnt look after my children.

 

I need to know if the contract is unenforceable, duress? undue influence?

they knew full well that I was very much at risk with my husband

and gave me no choices on the loans second incarnation,

felt like being held to ransom.

 

Have they mis sold?

 

They gave me no advice and didnt and still havent explained what this loan is or why it was right for me.

 

Ive asked questions in the last ten years about why they still consider it to be affordable

when clearly it isnt and they have carried out no affordability checks at all, just kept on renewing it.

 

I was going to start my own business and one point and written in their notes is the belief

that they dont think I will make anything like that.

 

They also have me down as a property developer who intended to rent the house out ???

 

I haven't had any statements on either the account they made me open to feed the loan

from their unauthorised overdraft or the loan account in about 4 years.

 

I have made two subject access requests, one half came back, the other not at all.

 

Now the Solicitors are saying I'll get the paperwork needed for the possession and nothing else.

 

Feeling a lot like this moving to :(.

 

I have no money as Ive sold everything to pay off their overdraft fees,

 

Ive got no money for rent / deposit and am now convinced my children will end up in care...

[citizenB]

The bank should provide ALL data in respect of your financial relationship with them. If they dont, then you need to escalate your complaint to the Information Commissioner.

 

In respect of the actual loan, you should probably be looking to make a formal complaint to their Chief Excecutive at the Head/Registered office. They have 8 weeks to investigate the complaint, after which time if you are no closer to getting a resolution you should escalate your complaint to the Financial Ombudsman.

 

Have you had a look at MCOBS to see if there is anything there that might help you ?

 

http://www.fca.org.uk/firms/firm-types/mortgage-brokers-and-home-finance-lenders/mcobs

[Peterbard]

Hi MIN

 

Did they by any chance renew this loan every year, also was it linked too a business facility ?

[Lucyis]

Hi, yes they did and charged me for doing so.

And yes they linked it to a business account but half way through.

There are also loads of notes in their files questioning what kind of loan it is so I dont think they know themselves as there is nothing in the contract alluding to it being a business loan or for a business purpose.