Elderbridge ex Firstplus interest rate hike

[Fred]

Hello every one, I had secured loan of 65000 pounds from 2004 and paying 8 to 9 %, around 600 pounds per month paid over 13 yrs, this comes around 13 x 12 x 600 = 93000 pounds but still my loan balance = 55000 pounds , meaning I have only paid 11000 but I have to continue pay another 12yrs approximately. This is clearly something wrong. should the government take action immediately against them?. If I can remember, prior to 2007 when interest rate going up or down, they have taken action correctly by sending letter saying that due recent Bank of England interest change hence they increased or decreased interest rate...but note this point ..after 2007 when interest rate going down to 0.5% they have not taken any action at all. Now recently they started again when the interest rate gone up and they increased interest rate. Do you think we can claim some money back from them? do you think we need to expose this to media such as Evening Standard? are we living in the democratic country?

Yes, there have been successes in claiming back the increased liabilities imposed by alleged unjustified increase/s Section 4.4 of the SCLG (second charge lending guidance) is the key to this argument.

[MIKE770]

Like what happened to us few years ago 2011/12 Bank of Ireland increased Interest rates to 4.85% and the government and authorities did nothing=fact. ex Bristol & West Building Society mortgage

[Peter67]

Re: Elderbridge ex Firstplus interest rate hike

Just got it myself, hence registering here.

They didn’t reduce it when the rate went down by 0.25% but, have increased it by 0.5% now the rate has gone back up.. not happy.

Did anyone win with any previous FOS or unfair terms claims in court for when the rate didn’t increase with the big decreases in rates years ago? I know there was complaints back then.

Thinking of an initial complaint, but not sure which tact to make.

Hello every one, I had secured loan of 65000 pounds from 2004 and paying 8 to 9 %, around 600 pounds per month paid over 13 yrs, this comes around 13 x 12 x 600 = 93000 pounds but still my loan balance = 55000 pounds , meaning I have only paid 11000 but I have to continue pay another 12yrs approximately. This is clearly something wrong. should the government take action immediately against them?. If I can remember, prior to 2007 when interest rate going up or down, they have taken action correctly by sending letter saying that due recent Bank of England interest change hence they increased or decreased interest rate...but note this point ..after 2007 when interest rate going down to 0.5% they have not taken any action at all. Now recently they started again when the interest rate gone up and they increased interest rate. Do you think we can claim some money back from them? do you think we need to expose this to media such as Evening Standard? are we living in the democratic country?

[Trax01]

Hi I too have interest increase from Elderbridge .. the Fso obudsman are sugusting refund of interest charges from 2013 to 2016 plu 8 per cent of simple interest until original date loan loan settlment can anyone advise me ?? The loan was 8k taken 2007 mussed 3 payments at ge moneys advise lol no seriously ... current balance is just over 6000k ... minthly payment was 127 now 134 ... very confused please should I accept this and roughly what would it mean for the loan

Don't know whether to advice to accept or not, others might be able to tell how far court claims got (that were settled out of court), and if they got more. Though there appears to be very little information on what others have received.

What exactly are FOS saying? Refund of all interest charges between 2013 and 2016? Why only up to 2016, what happens to future interest? I haven't started a complaint myself, but was thinking along the lines of wanting interested recalculated gong back to when the BOE base rate reduced, as I am at the original interest rate from 10 years ago, which I bet will rise now the rate goes up over the next few years.

Its very difficult to find what others have claimed, and what success they had with FOS or court claims, not sure why though. Or whether to claim against Elderbridge or the new owners.

[Salsa]

I haven't tried not sure where to start!

[Fred]

Here you go Fred.

So, in effect, they can supply you with notification/s of increase regardless of the content, priceless............can you add up the sum of charges based on what they have stated ?

[Salsa]

Here you go Fred.

[Fred]

Has anyone else received a letter today notification of payment correction? They advised the wrong payment amount from the last interest rate rise letter in Jan, How can we trust these people to get anything right? I have raised a complaint with Elderbridge today for what it's worth, getting so fed up Financial ombudsman seems to be dragging their feet too.

You need to post a redacted copy please, because, in my view the one I have seen makes little sense.

[Salsa]

Has anyone else received a letter today notification of payment correction? They advised the wrong payment amount from the last interest rate rise letter in Jan, How can we trust these people to get anything right? I have raised a complaint with Elderbridge today for what it's worth, getting so fed up Financial ombudsman seems to be dragging their feet too.

[redstar]

Hi I too have interest increase from Elderbridge .. the Fso obudsman are sugusting refund of interest charges from 2013 to 2016 plu 8 per cent of simple interest until original date loan loan settlment can anyone advise me ?? The loan was 8k taken 2007 mussed 3 payments at ge moneys advise lol no seriously ... current balance is just over 6000k ... minthly payment was 127 now 134 ... very confused please should I accept this and roughly what would it mean for the loan

[Fred]

Hi

Does anyone have an idea of the number of customers currently complaining to the financial ombudsmen regarding the interest rates?


Thanks

No, to be honest there are no "publicly available" systems that would allow for such a specific request. The business knows why of course, so ask them, please let us know if they give you an informative reply. My guess is not.

I can get you data on Firstplus/Elderbridge complaints in general ?

[Salsa]

Hi

Does anyone have an idea of the number of customers currently complaining to the financial ombudsmen regarding the interest rates?


Thanks

[Trax01]

So, called elderbridge, and they confirmed to me my interest reduced by 0.5% in October 2016, and now the rate has gone up, my rate has to reflect that. I vaguely remember it doing that.

the worry is, they will ratchet up with future increases, and the last reduction was a set up for that.

guess I don't have a complaint at the moment, but will in the future?

if I did want to complain about the lack of previous reduction, would that be against firstplus or elderbridge?

[Trax01]

Re: Elderbridge ex Firstplus interest rate hike

Very strange, mines identical, but my rates changes from 8.7400% to 9.2400%, so slightly higher than yours.

however on the next line, it says my new interest is made up of the 10.000% plus additional 0.7600%, as outlined in my offer, but I am sure the offer had no such figure...

10 minus 0.76 does equal 9.24 though.... perhaps they have let us know how their internal calls work by mistake?

i wonder what answer they are going to give me about their base rate of 10%......

[Fred]

Re: Elderbridge ex Firstplus interest rate hike

Well, got a typical copy letter from them. How incredibly unclear & frightening is this then, FHBR 10.0000% ? WoW !
--------------------------------------------------------------------------------------------------------------------------------

Elderbridge Ltd. PO BOX 908
Newport, NP20 9NX
Private and Confidential
Mr X
8th January 2018
Account Number: xxxxxxxxx
Dear Mr X
CHANGE OF INTEREST RATE
Property Address: Xxxxxxxx

Following a recent change in the Finance House Base Rate (FHBR) your loan interest rate will change from 8.6440% to 9.1440% with effect from 7th March 2018.
Your new interest rate will be made up of the current Base Rate of 10.0000%, plus the additional rate of 0.8560-%as outlined within your original loan offer.

The FHBR is set and published by the Finance and Leasing Association and provides companies with a base on which to calculate lending charges. Elderbridge regularly reviews the FHBR and any decision to vary the rate of interest applicable to your loan is made after taking into account any change in the FHBR.
We need to change your repayments so that your capital balance will be repaid within the remaining term.
Your new monthly payments will be:-
£xxxx on Xth April 2018 with subsequent monthly payments of €xxxxx on or immediately after the Xth of each month
Please note the payment amounts provided are for your contractual monthly payments only. If you have set up a formal arrangement to make overpayments this should be added to the above amounts. If you have misplaced the letter confirming the amount of the arrangement, please contact us and we will confirm the amount for you.
As you do not pay by direct debit you will need to change your monthly payments to include the payment changes noted above. If you would like to set up a direct debit payment, please contact us.
You can settle your loan at any time by giving us notice and paying off the amount you owe together with a discharge fee. If you would like a settlement figure, we would be happy to provide this for you.