Can a bank reopen al loan account

[gogs]

I had a secured loan account with a bank.They just closed the account and did not tell me. Can they reopen open it? Where do I stand. with this help

[FlamingParrot]

Re: Can a bank reopen al loan account

Hi and welcome

You say you edited your post because it did not have enough info, it's still got very little info.

If the loan is secured on property you still own, they can start possession proceedings if you default on you repayments. :scared: Obviously if the property has been sold and the equity wasn't enough to pay off the balance on the loan, then it would have become unsecured.

When you say they 'closed the account', what do you mean? :confused2:

[gogs]

Re: Can a bank reopen al loan account

Hi and welcome

You say you edited your post because it did not have enough info, it's still got very little info.

If the loan is secured on property you still own, they can start possession proceedings if you default on you repayments. :scared: Obviously if the property has been sold and the equity wasn't enough to pay off the balance on the loan, then it would have become unsecured.

When you say they 'closed the account', what do you mean? :confused2:

Hi The loan is secured and it is with Citi. I have been keeping up with my payments and just there in April(2014) Citi cancelled the Direct Debit they have given no reason whatso ever why they cancelled it. I I phoned my bank to clarify that it was Citi that cancelled the DD and they confirmed they had. So I phoned up Citi this week(2nd June) and asked why had my DD been cancelled I told them I had been in toch with my bank etc, so the person I spoke to put me on hold and said they wanted to check something. They went away and a few mions later came back and told the account had been closed. So asked had they given a reason why? So Citi have now said that they are going to investigate and write a letter to me in 4 days time hence I would like to know where I stand with this as my April and May payment on this account have not been paid. So can Citi reopen a secured loan account up again after it has been closed??

[gogs]

Re: Can a bank reopen al loan account

Please let me know where I stand with this matter as I still have not heard back from them yet?

Regards
Gogs

[FlamingParrot]

Re: Can a bank reopen al loan account

Obviously I can't tell you why Citi would have "closed" the account on a loan that's still outstanding, sounds like there's been an admin error somewhere...

As this is a secured loan and you seem perfectly able and willing to keep up your repayments on it, I would suggest WRITING to Citi :typing: heading the letter COMPLAINT and detailing all the issues you've experienced, from the unexplained cancellation of the DD to the unhelpful response you got over the phone. hone: Make a note of every communication you've had with them and how they've handled them. Provide as much info as you have with regards to the account, how you've been making payments, etc.

Citi has up to 8 weeks to respond to your complaint. If they do not, or their response is not satisfactory, you can take your complaint to the Financial Ombudsman (FOS), but the first step is always to complain to the bank. :rant:

Keep a copy of everything you send and receive. Although the phone is quick and convenient, with matters like this it pays off to get everything down in writing. It will help enormously should they decide to argue you have defaulted on your loan. :thumb:

[gogs]

Re: Can a bank reopen al loan account

Obviously I can't tell you why Citi would have "closed" the account on a loan that's still outstanding, sounds like there's been an admin error somewhere...

As this is a secured loan and you seem perfectly able and willing to keep up your repayments on it, I would suggest WRITING to Citi :typing: heading the letter COMPLAINT and detailing all the issues you've experienced, from the unexplained cancellation of the DD to the unhelpful response you got over the phone. hone: Make a note of every communication you've had with them and how they've handled them. Provide as much info as you have with regards to the account, how you've been making payments, etc.

Citi has up to 8 weeks to respond to your complaint. If they do not, or their response is not satisfactory, you can take your complaint to the Financial Ombudsman (FOS), but the first step is always to complain to the bank. :rant:

Keep a copy of everything you send and receive. Although the phone is quick and convenient, with matters like this it pays off to get everything down in writing. It will help enormously should they decide to argue you have defaulted on your loan. :thumb:

So basically you are telling me although they have closed the account I am still accountable to pay them even though the account is closed?I want to know can Citi reopen my account??

[Guest]

Re: Can a bank reopen al loan account

So basically you are telling me although they have closed the account I am still accountable to pay them even though the account is closed?I want to know can Citi reopen my account??

When you say this is a secured loan, i take it to meant that they have a charge on your house ?

You need to check this with the land registry. you can do it on line just google the LR web page it will cost you £3 and you will be able to see if they have any charge on your property.

Basically if they have the charge will remain until they remove it, irrespective of any agreement or irregularity in the payments.

I would ensure I had a paper trail which shows no fault on your side, if the payment have been interrupted by them then write and email stating this, and ask for another payment method say any arrears generated by their error will not be payable , and any default charges incurred will be vigorously contested.

But you must get all this in writing and keep a record in case of any future problems.

[gogs]

Re: Can a bank reopen al loan account

When you say this is a secured loan, i take it to meant that they have a charge on your house ?

You need to check this with the land registry. you can do it on line just google the LR web page it will cost you £3 and you will be able to see if they have any charge on your property.

Basically if they have the charge will remain until they remove it, irrespective of any agreement or irregularity in the payments.

I would ensure I had a paper trail which shows no fault on your side, if the payment have been interrupted by them then write and email stating this, and ask for another payment method say any arrears generated by their error will not be payable , and any default charges incurred will be vigorously contested.

But you must get all this in writing and keep a record in case of any future problems.

Just to let you know the loan is secured to my property but a few years back Citi also released the charge to my property through their lawyers. The original document is with my lawyers.

[gogs]

Re: Can a bank reopen al loan account

Would it be in my best interest to check the Scottish Land registry as I live in Scotland? Citi is based in London

[Guest]

Re: Can a bank reopen al loan account

Would it be in my best interest to check the Scottish Land registry as I live in Scotland? Citi is based in London

Yes i would think it important to find out if the charge is still outstanding. http://www.ros.gov.uk/customerservic...registers.html
Is the agreement terminated ? Why did they release the charge ?