Ocean Finance and the ilk
#31
What they miss off from the adverts is this:
(To be read in a monotone Geordie accent) "I cleared all ma debts an' had enough left over for a holiday [this is where they edit it] and I've got twenny grand I can spend on me credit cards noo an' all"
(To be read in a monotone Geordie accent) "I cleared all ma debts an' had enough left over for a holiday [this is where they edit it] and I've got twenny grand I can spend on me credit cards noo an' all"
#33
Originally Posted by Ted Maul
I don't get it, if you owe £20k on credit cards costing you 24% apr, then why not take out one of these loans, against your house, at an apr of 9% or whatever. lower interest charges, over longer period = more manageable debt.
it's the stupidity of going 20k on your credit cards in the first place thats the problem.
Ted
it's the stupidity of going 20k on your credit cards in the first place thats the problem.
Ted
When you look into the small print on these it is not usually that simple. Where possible they arrange a secured loan and then add a MIG fee. You then pay interest on the loan and the fee. I have recently had a client who had a 'consolidation' loan from Welcome for 3k. The arrangement fee of £999.00 was added to this as well as the MIG at £2500.00. By the time she made her first payment the balance was £6499.00. The rate she was quoted was 3.0%. She was led to believe that that was annual rate. That was actually monthly rate. She had signed up the paperwork a couple of months before she found me. She wanted to change her mortgage to a fixed deal, and while going through her finances she showed me the paperwork for the loan. I suggested that it might be better to add the £6500 to her mortgage rather than pay 36% APR. She called them for a settlement figure - £30500 (basically all the interest she would have paid had she kept the loan for 10 years as scheduled)
Looking through the small print, all the info was there, but I had trouble understanding it, so I would think that most of the people who might be looking for a loan like this would have no hope.
Hopefully the FSA will clamp down of this when they take over. They are already making moves to do so..... fingers crossed
#34
Scooby Regular
Fast Bloke Above - Consolidation loan for 3k - repayment £30500k
#35
Originally Posted by fast bloke
Wait until 31 October. The FSA is taking over all secured lending and these comapnies will not be able to exist
& anyway - waiting for the FSA to do anything, you will be in your grave before anything gets put in place
Thread
Thread Starter
Forum
Replies
Last Post