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Posted: Sat Dec 15, 2007 1:17 pm
by lily
A report in the early morning news today told of a man who having got into financial difficulty signed on to a debt management programme. He was constantly being called by his bank as they were not happy to accept his offer and wanted him to take out a loan at approx 13 per cent APR. (no expert but isnt that a tad high???? Mine was at 7.9 APR)

He said he is being harrassed and pressurised into taking out the loan but after consulting with CCCS was advised to refuse, which he did. His bank actually phoned him while the BBC were filming.

The report went on to state how lenders are harrassing customers who find themselves in financial difficulty. (as if) HSBC declined a TV interview but stated that the fact that the individual was back in full time employment he was able to make the new, high interest payments. The banking guidlines are there to help struggling customers.(again, no expert but isnt this irresponsible lending???)

They offered me a loan even though I am on benefits, what chance has anyone with HSBC as a creditor really got????

HSBC should hang their head in shame.

lily

Posted: Sat Dec 15, 2007 1:32 pm
by Adam Davies
Hi
Yes this is in the main news today.Some banks are contacting people who are already with debt management companies and attempting to convert their debt into a long term,high apr loan.
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

Posted: Sat Dec 15, 2007 2:31 pm
by lily
So much for debt freedom.

lily

Posted: Sat Dec 15, 2007 5:11 pm
by Skipper
I saw that also. So much for partnership work and understanding in Debt management.

I also heard that a BBA official had said that Banks do not need to agree with debt charity what the best course of action is.

Long live IVA abd BR protection orders..cos we will need them more for 2008.

"Always think outside the box"

Posted: Sat Dec 15, 2007 5:48 pm
by Adam Davies
Hi
Part of the Banking code of conduct states that creditors should agree to communicate with the debtors nominated debt management company but I know that this doesn't happen.
Creditors sign up to the voluntary code but certainly,from the stories that we read about on this forum,do not always abide by it
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

Posted: Sat Dec 15, 2007 6:51 pm
by emma_t
Hi lily
Its mad isn't it

I had an overdraft on my bank account and a credit card with hsbc which was included in my iva.

Before the iva was approved they offered me a loan to cover both monies owed to them, I told them I can't afford it anyway what difference would a loan make i still could not afford it but they continued to apply presure...

I have had such a better service from the co-op so far I wish I had changed banks years ago
E x