Uncle Spielberg
Well-known member
- Thread starter
- #21
No not the case.
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Credit Cards or Loans taken out before April 2007 ?.
- Thread starter Uncle Spielberg
- Start date
No not the case.
Let's not be cagey about this - I'd be interested to know what gets stamped on your credit file if you pursue this loophole - "Weasel bastard who got out of paying a legit loan back - never lend to him again" stamped in red I would think!!
Challenge Banks Over Unfair Loan and Credit Card Agreements before April 2007
challenge banks over unfair loan and credit card agreements
This year, has not been a favorable one for the banks especially here in UK.
The banks are now facing a new challenge posed by the unprcedented discovery of thousands of unfair loan deals. According to Consumer Credit Act (1974), consumers can challenge the validity of their loans under the pretext of “unfair relationship test”.
If you have a personal loan with a current balance of £2,000 to £25,000, which were made active before April 2007, you can be eligible to make unfair loan claims after appropriate scrutiny. With these unfair loan claims, the UK banking industry can lose billions of pounds in consumer debt. It has been estimated that a shocking 60% of personal loans are unfair and as per insurance experts, around 79% of the loans are vulnerable to full legal challenge.
The reason for this fiasco is because the banks may be receiving higher payments from their customers than the agreed values through incorrect wording or poor documentation. Financial compensation claims companies can evaluate the loan and credit card agreement and if they discover that the loans are unfair then you can process a claim. According to these compensation claims companies, if the loan documents are unfair, then consumers can sue the financial institution seeking compensation for the negative impact their unfair loan had on their credit score.
It is said that there is clear evidence which shows that a number of high street banks have as many as 30 loan agreements in force and most of them are unfair because they have not been rewritten from scratch rather they have been, “added to, altered, plagiarized, cannibalized and amended”.
There are number of factors which will effect the validity of a consumer claim. Following are some of these factors;
• Discrepancies in the total value of the credit owed
• Number of dues
• Rate of interest
• Frequency of repayments
If there are any drafting errors in the above listed areas then it will make the loan balance null and void. According to court’s rulings, such loans will automatically become ‘contingent liabilities’. This will have an extremely negative impact on the balance sheets of the banks especially in a situation where they expected to raise billions of pounds to fight liquidity.
There will be a deadline fixed before which the claims can be filed so that it does not remain open perpetually. Therefore consumers are advised to review their loan documents if they should have even the slightest doubt. In this scenario, banks have very little grounds to defend themselves. According to legal experts, if you have any Payment Protection Insurance taken along with your loan, then they will look to refund this too.
This problem could have been easily avoided if only banks were careful with their documentation. It is hard to believe that how some of the high street banks can be so unprofessional in their approach, which has lead to their own loss.
Challenge Banks Over Unfair Loan and Credit Card Agreements before April 2007
challenge banks over unfair loan and credit card agreements
This year, has not been a favorable one for the banks especially here in UK.
The banks are now facing a new challenge posed by the unprcedented discovery of thousands of unfair loan deals. According to Consumer Credit Act (1974), consumers can challenge the validity of their loans under the pretext of “unfair relationship test”.
If you have a personal loan with a current balance of £2,000 to £25,000, which were made active before April 2007, you can be eligible to make unfair loan claims after appropriate scrutiny. With these unfair loan claims, the UK banking industry can lose billions of pounds in consumer debt. It has been estimated that a shocking 60% of personal loans are unfair and as per insurance experts, around 79% of the loans are vulnerable to full legal challenge.
The reason for this fiasco is because the banks may be receiving higher payments from their customers than the agreed values through incorrect wording or poor documentation. Financial compensation claims companies can evaluate the loan and credit card agreement and if they discover that the loans are unfair then you can process a claim. According to these compensation claims companies, if the loan documents are unfair, then consumers can sue the financial institution seeking compensation for the negative impact their unfair loan had on their credit score.
It is said that there is clear evidence which shows that a number of high street banks have as many as 30 loan agreements in force and most of them are unfair because they have not been rewritten from scratch rather they have been, “added to, altered, plagiarized, cannibalized and amended”.
There are number of factors which will effect the validity of a consumer claim. Following are some of these factors;
• Discrepancies in the total value of the credit owed
• Number of dues
• Rate of interest
• Frequency of repayments
If there are any drafting errors in the above listed areas then it will make the loan balance null and void. According to court’s rulings, such loans will automatically become ‘contingent liabilities’. This will have an extremely negative impact on the balance sheets of the banks especially in a situation where they expected to raise billions of pounds to fight liquidity.
There will be a deadline fixed before which the claims can be filed so that it does not remain open perpetually. Therefore consumers are advised to review their loan documents if they should have even the slightest doubt. In this scenario, banks have very little grounds to defend themselves. According to legal experts, if you have any Payment Protection Insurance taken along with your loan, then they will look to refund this too.
This problem could have been easily avoided if only banks were careful with their documentation. It is hard to believe that how some of the high street banks can be so unprofessional in their approach, which has lead to their own loss.
Garage_Doors
Originally the Swankers
whats a PM ?
otk
~(.)(.)~
Are Student Loans eligible to be cancelled?
If you want to comment it would be better if you were more informed on the subject. Fact - This was exposed on Panorama 11/11/08... Fact - Hundreds of thousands of pounds have already been written off from many of the high street banks. I have also been told that MBNA alone have £4 Billion set aside for write offs....
I agree it does look a bit to good to be true, but with all the evidence I have seen, it does exactly what it say's on the tin..This is why I am actively recommending that my clients take advantage of this, I would NOT like Gareth recommend anything unless I was confident it was right for my clients.
Vankleek Hill Seagull
Well-known member
As the banks f**ked up in the first place, they wouldn't be in the current situation. I have no sympathy for them.
Garage_Doors
Originally the Swankers
Well mines a yes you all those questions, anyone filled the form in ?
beorhthelm
A. Virgo, Football Genius
- Jul 21, 2003
- 36,019
that be a link to a compnay that will assess you, probably to gain a fee... methinks most touting this will be. dont sign up to this unless you like spam.
im aware that loans with payment protection are liable to be problematic for the banks, but if all loans and credit cards as described are potentially flawed then bye bye banks and bye bye economy.
I disagree - this seems to be an endeavour to escape a commitment based on some vague technicality and little to do with improper selling.
Lord Bracknell
On fire
What he said.
People have got used to the idea that credit is some sort of "entitlement". It isn't.
If you'll need a loan in future, think carefully before acting now.
Uncle Spielberg
Well-known member
- Thread starter
- #34
Look Guys. I am willing to see people and explain it to them. If they act on it is up to them. It is not a scam and and I would not want to be involved in a scam. This is in the arena already and if I did not offer this advice to my clients I would not be doing them a service and if I didn't someone else would anyway. There is no obligation for anyone to act on my advice and information.
I have worked too hard for too long to risk ruining a good reputation.
I have worked too hard for too long to risk ruining a good reputation.
ROSM
Well-known member
surprisingly the court case on getting OD fees back has gone really quiet now!
Uncle Spielberg
Well-known member
- Thread starter
- #36
Judge has given the Banks 6 more months.
ROSM
Well-known member
The idea of packaged lending with one rate fits all is soon to be a thing of the past. Credit in future will more reflect the risk associated with the borrower - I would have thought than anybody who has found a method of avoiding paying debts that they willingly entered into (oh dear me, I didn't realise i'd have to pay back what I'd borrowed) would find getting future credit either impossible or very very expensive. Also dont forget that the government will get back the money from HBOS, RBS and Northern Rock by having a vested interest in them being very profitable in the future!
Uncle Spielberg
Well-known member
- Thread starter
- #39
I take your point but since April 2007 the contracts are pretty watertight so this won't happen again. This is prior to April 2007 when some contracts could prove to be unenforceable and challenged. The fact is it is the lenders errors. As I said I am giving the information out and leaving it up to individuals as to whether they want to act on it or not. There's no hard sell but if I do not give this information to my clients someone else will and they perceive they had their interests more = lost client.
JJ McClure
Go Jags
My mrs is waiting to hear the outcome of that one.
It's a tough one to call. On one hand I doubt that the government is too keen on costing the banks even more money and potentially causing another bailout. On the other hand in these times of doom giving Jo public some money back to spend on the ailing economy may help.