can I challenge this at this late stage?

[maybelline]

My finances are in a mess but I believe it is because I have always had a very limited income which was manageable until the banks etc decided to start charging every 5 minutes for the slightest thing. Stupidly, years ago, I entered into a secured loan with Welcome Finance, it started as a car purchase needed to get to work over time they offered me increases and I agreed, when I lost my job I had trouble. I have managed to get my monthly payments reduced but is still hard to manage on benefits. Each time I signed up for a new loan, it attracted a £1000 charge, I cant remember what it was called but to protect them if my house was repossessed they said, even though I only increased the loan by about £2,000 on each occasion I was charged and owed £13,000 in all. There was always lots of equity in the property so wasnt sure about this charge and the reason. When I got ill, they put me under a lot of pressure but have said I can settle at around half owed but I do not have a lump sum to offer either. I signed contracts not fully filled in at home, I think this affects my rights too.

[bram stoker]

Firstly, you will need to do a DPA SAR request to your bank who charged you the charges putting you in the debt position in the first place.

 

Secondly, do a DPA SAR request to welcome finance to gain full details of the original loan and subsequent loans.

 

Once you have the full details you will be in a position to calculate what the bank owes you to start with, and we can look at whether the £1,000 charge you refer to per loan is a fair term within the contract.

 

There may be a possibility that you can sue Welcome Finance for irresponsible lending, but you will need complete details of your income and expenses to calculate disposable income. This will come with your DPA SAR request from the bank. WF should have considered whether or not you could afford the repayments before giving you the money.

 

Take this a step at a time. It will be quite complex and may prove to be a difficult process, so be prepared if you want to go ahead. Keep a file with copies of EVERYTHING.

 

Let me know what you decide.

Good luck,

Vamp.

[maybelline]

thanks for your response, I think I will need a lot of energy for this, am going to tackle the bank first, just drafting letters to local council also. I dont think I should try everything at once cos I know I wont cope but I will make a start:)

[bram stoker]

A good idea. Good luck.

 

You say it was a while ago, but I'm assuming here, this all falls within the last 6 years.

[bram stoker]

One other thing. A DPA SAR request can take up to 40 days, so I'd get on with both if I were you.

[pmhread]

Welcome Finance are beyond a joke. I stupidly took out a car loan from them in 1996 over a four year term. I realised in 2000 that the loan should have been paid up a couple of months before so I phoned them and asked why they were still taking payments and they told me I still owed over £5000 (I only borrowed £3500 and didn't miss a single payment!) It took months to sort it out with them.

 

Anyway, that doesn't help you in the slightest but good luck anyway... Make sure everything is done in writing and documented in a clear and concise manner. They really can't be trusted.

[maybelline]

Welcome Finance are beyond a joke. I stupidly took out a car loan from them in 1996 over a four year term. I realised in 2000 that the loan should have been paid up a couple of months before so I phoned them and asked why they were still taking payments and they told me I still owed over £5000 (I only borrowed £3500 and didn't miss a single payment!) It took months to sort it out with them.

 

Anyway, that doesn't help you in the slightest but good luck anyway... Make sure everything is done in writing and documented in a clear and concise manner. They really can't be trusted.

 

thats interesting - my car was only £3000, then I stupidly paid it off but it cost £5000 to clear the interest on top, to secure a new loan to sort out arrears with another dodgy outfit (used to be I Group) as I was in danger of losing my home, I know people will say its your own fault but all the time I now realise I was afraid and didnt really know my rights, the interest is phenominal and now owe £13000??

[maybelline]

A good idea. Good luck.

 

You say it was a while ago, but I'm assuming here, this all falls within the last 6 years.

yes, it was in the last six years but as it is secured on my home I cant do anything to risk it, but it started out as finance from a car dealership. i increased the loan twice I think (?) they sent the money to GE as it was to stave off the threat from the mortgage lender, I paid a fee plus MIG although my mortgage is for about a third of the actual property value so no chance they wouldnt be covered if it was sold. I have just negotiated a reduction in my arrangement as I have been struggling, will this weaken my position at a later stage I wonder.

[maybelline]

decided to send DPA request after all, will be interested to see what turns up?

 

What powers do secured lenders have (assuming you are up with payments) if they have defaulted you in the past but made an arrangement and accepted a reduced payment, can they pursue repossession just becuase they feel like it or on the grounds that the account has not run smoothly?

[maybelline]

Won This Some Time Ago!!!!!

[Lilywhite]

Glad it worked out well, could you let me know exactly what happened as my OH is having problems with WF regarding an unsecured loan that he took out.

 

Lilywhite

[maybelline]

there are several WF threads on cag, one or two follow my case, we went to court for prelim hearing, I used a solicitor - eventually we settled, also look at unenforceable agreements, this was the main point for my case, good luck.