HSBC Managed Loan can we claim?

[raaydaar]

Right here we go, having trawled through the threads, I have noticed that quite a few of us on here have been forced down the managed loan route from HSBC.

 

I was forced to take out one of these loans (at Base rate plus 10%) for something around the £5k mark to cover my somewhat excessive overdraft.

However, by my reckoning, the majority of this amount is in fact covered by the unlawful charges they have added to my account.

 

So can they be pursued for these monies? Has anybody tried?

[grinder99]

I also have a managed loan with HSBC. I have a current account also with a cheque book. I got into some financial trouble a couple of years ago and HSBC forced my hand.

 

Nevertheless, I have racked up about 2 1/2 k in bank charges over the past 6 years. I dont see how just becasue the account is managed it can justify £30 for returing a dd

 

marc

[lateralus]

raaydaar, that's the question isn't it? there is a very long thread dealing with it:

Who has had Managed Loans? (1 2 3 4 5 ... Last Page)

and several people are looking into it.

here's a little help from bong when i was asking -

 

from bong's thread:

 

Well then there is this thread here which is a successful claim for interest on the manged loan : Husband v HSBC - Paid

 

What I said to pete, in a PM, was that I understand this to mean the following:

 

Say for instance the managed loan consisted of old overdraft of £2000, bit of spending money £500, and credit card balance £1500. Total £4,000. Managed loan taken out on say 25 June 2005. What I would do is using the spreadsheet you made to reclaim your bank charges, find out what the unlawful charges and overdraft interest on the unlawful charges totalled at 25 June 2005. Say it totalled £2,000. That means half of the managed loan was taken out to pay unlawful bank charges and interest, and it follows that half of the interest on the managed loan is reclaimable.

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.

 

lots of discussion - don't know if any hsbc success stories but check out that one bong mentions, it was done at the same time as the current acct. hope that helps - if you really want to get stuck in - put managed loans in the search on the blue line above and there is mountains of stuff to read.

[raaydaar]

Lateralus, thanks for that, I've done the whole managed loan search and read with interest what has been written.

 

I've decided to go ahead and claim for this and am currently burning the midnight oil designing my little spreadsheet calculating all the various intersts at the rates applied by the bank and by god is it hard work as they seem to apply a slightly different interest rate each month, anyting from 1.45% to 1.35% so my calculations are taking some time, but I'll get there. I'll post my calculations when I've finished and see what you guys think.

[mvaman]

my girlfriend has a managed loan with hsbc and has been paying £145 per month for circa 5 years on a £9000 loan, after going through her paperwork it transpires that she is actually only paying off £35 per month,the rest is in interest charges, doing quick calculations it will take a further 18 years and a total of roughly £25,000 to pay off the full amount, and i thought robbery was still illegal in England!!!!!!!!!!!!!!!!!!!!

does anyone have any ideas on how to approach this as we are banging are heads against brick walls at the moment

 

kind regards and thanks in advance

[Castlebest]

Think Lattie covered most of your options in post #3 above, the problem you will have is proving what part of the loan was made up of charges taken by the bank from the old accounts.

 

If the loan is 5 years old you will only be able to request the last year of statements before the accounts were wrapped up into the loan because the bank will claim anything older is statute barred.

 

pete

[bb23]

read this

BBC NEWS | UK | Banks 'prey on customers in debt'

we should at the very least be allowed to ask for our interest rate to be reveiwed

i am at present setting up a dedicated website and forum where HSBC Managed Loan specific customers can tell their stories - i then wish to bring this to the attention of the media with the help of a few journalist friends to see if theres anything we can do about the extortion and exploitation!

[bb23]

I've already claimed my charges back but my managed loan came about due to a credit card and existing loan, plus umeployment and then charges being added

 

if i've already claimed my bank charges can i claim against the managed loan due to the fact that IN PART the charges are what contributed to my need to get the loan?

[marti82]

I have had loans with hsbc since 2002 in 2004 i fell pregnant and had a lot of debt so i reconsolidated my hsbc loan to include overdraft. unfortunately 10 weeks after having my baby i had a severe car accident which left me unable to walk for 15 months. my loan payments at the time where £347 a month but i was able to claim on the payment protection insurance which paid it for 12 months. As i was still very poorly severley depressed and at times suicidal with no job after my injuries i couldnt afford the repayments but i went with gregory pennington who sorted all my creditors but hsbc wouldnt accept their offers, but we still sent them money every month. I started to get hassled daily about my debts and hsbc would not deal with gregory pennington, my partner was very upset as i had kept my debts secret as i was managing them before my accident and he was scared we could loose out house.(none of my loans where secured) so in the end i felt i had no choice but to accept their new loan. my payents are £150 over 10 years the start balance of the loan was £15200 i have never had anywhere near this ammount off hsbc as i have been paying since 2002 all reconsolidated loans with them and in 2007 i payed £3500 off to reduce my balance i still owe £6500 and havnt paid them for approx 6 months as i have rang them so many times over the last 2 years complaining of how unfair it is and how much they have ripped me off, in effect they have stolen from me they preyed on me when i was at my lowest and now they want the full ammount i owe or they will get debt collectors onto me! I actually want to go to court as i feel i have a really strong case to win as i was so ill i was on medication to help with the depression and my suicidal tendancies all brought on my these sharks hassling me and pressuring me to pay when i had no money to do so. Can any1 offer me any help and advice unfortunatey i have no paperwork it scared me that much i threw it all away. I am a lot older and wiser now and just want to fight my case.

[bb23]

That sounds aweful

 

You need to send a subject access request to begin with

 

There's a section on here which has templates. In my phone do can't see where that is (sorry)

 

It's a long process. It took me a year & I lost I'm the end!

 

But I fought the whole way & you should too