Hi there
the above has happened to a family member. In brief she had a personal loan due to be paid off in May 2012, monthly repayments approx 180 per month. She had an overdraft of approx 1300 with the same bank, and in June/July 2010 she decided to add this to the personal loan. The loan is now due to be paid off in July 2013. The repayments are still around the 180 mark. She recently added up the money involved and realised that the extra she is paying 180 by 15 months = 2700 for an add-on loan of 1300.
Now she had suffered a bereavement in 2007 as her husband died suddenly and she really is only getting back to herself in the last while, including examining her finances, so it is quite possible she signed and agreed to any type of terms and conditions. She thinks that the bank gave her a cost for clearing her original loan early, including interest she would have paid if the original had gone to term, added on the 1300 and then rearranged the whole thing to be paid over 3 years, but it seems extremely unfair.
Any advice?
Thanks
the above has happened to a family member. In brief she had a personal loan due to be paid off in May 2012, monthly repayments approx 180 per month. She had an overdraft of approx 1300 with the same bank, and in June/July 2010 she decided to add this to the personal loan. The loan is now due to be paid off in July 2013. The repayments are still around the 180 mark. She recently added up the money involved and realised that the extra she is paying 180 by 15 months = 2700 for an add-on loan of 1300.
Now she had suffered a bereavement in 2007 as her husband died suddenly and she really is only getting back to herself in the last while, including examining her finances, so it is quite possible she signed and agreed to any type of terms and conditions. She thinks that the bank gave her a cost for clearing her original loan early, including interest she would have paid if the original had gone to term, added on the 1300 and then rearranged the whole thing to be paid over 3 years, but it seems extremely unfair.
Any advice?
Thanks