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Cahoot - 5% increase in rate is it Legal?


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I have a flexible loan with Cahoot, they have just increased their rate by 5% to 20%!!!!! I queried this and they said they no longer offer this kind of account and that the rate was inline with similar loans in the market. Is that sort of increase legal, anyone, thanks

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You will need to review the T's and C's to see what they say about interest rate increases, but a question about the flexible loan. Is this a personal loan over a fixed term where the interest rate was fixed at the time of taking out the loan?

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Ah, 'reasonable'. Provident charge 110% and the rate is 'reasonable' because the test of reasonableness is not quantified anywhere. There are better deals elsewhere. Switch to another provider and save a bit.

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