Nat west business loan - cant find agreement

[Amethyst]

Re: Nat west business loan - cant find agreement

http://www.thisismoney.co.uk/money/a...acts-they.html

Good point. I didn't put two and two together with Paul's case. Daft of me. I really hope I have made the SAR strong enough to get this info out of them, although I doubt they would be so lax in sending evidence of their malpractice to a customer again. Possibly ask Sparkie or Paul to have a look once we have the SAR back.

As far as I am aware from the thread Natwest have not given a settlement figure at all and if they did it would be nigh on impossible to validate it's accuracy without any idea of terms.

The bit I am a little concerned about is their solicitor threat letter stating payments had been returned since April 2010. Jackien has continued making payments at the sum they gave her following the break, and has she actually been defaulted and IS the loan in collections ?

[Jackien]

Re: Nat west business loan - cant find agreement

If you have sent a new SAR to them today then don't contact them at all until after you receive the response to the SAR.

Is it possible that, when you took the payment break, someone at the bank disposed of your file by accident?

It may well have been lost as you had to contact them to resume paying the loan after the break so I would wait for the SAR.

Good Advice, thank you and yes I agree that that the file has gone AWOL somehow.

[Streetwise]

Re: Nat west business loan - cant find agreement

They get 40 days to answer an SAR 200k at about 3% would cost the OP about £650 in interest in that time.

Just a point

My point is that when you default with the bank the interest rate you are charged increases buy about double better to find out NOW.

Re: Nat west business loan - cant find agreement

If you have sent a new SAR to them today then don't contact them at all until after you receive the response to the SAR.

Is it possible that, when you took the payment break, someone at the bank disposed of your file by accident?

It may well have been lost as you had to contact them to resume paying the loan after the break so I would wait for the SAR.

They get 40 days to answer an SAR 200k at about 3% would cost the OP about £650 in interest in that time.

Just a point

[IanM]

Re: Nat west business loan - cant find agreement

http://www.thisismoney.co.uk/money/a...acts-they.html

[IanM]

Re: Nat west business loan - cant find agreement

If you have sent a new SAR to them today then don't contact them at all until after you receive the response to the SAR.

Is it possible that, when you took the payment break, someone at the bank disposed of your file by accident?

It may well have been lost as you had to contact them to resume paying the loan after the break so I would wait for the SAR.

[Jackien]

Re: Nat west business loan - cant find agreement

Sounds like you have excellent leverage to negotiate a new deal, however it must be remembered that whilst the old loan is still drawing interest it will be eroding the equity in you property, a good reason to get them moving IMO.

Yes I agree but will I get a better rate on a new deal, I think not. But in principle yes.

[Streetwise]

Re: Nat west business loan - cant find agreement

2006 payments were nearly £2500 so not interest only I recall it being around 1.5 above base, it was a good rate at the time and even better now!! I remember because we had a big deposit, obviously the £700 is not right and probably should be around 1500/1600. I do have the funds to put it right but Im going to make them jump through hoops for it. Your replies have given me strength.

You need to phone them and ask for a settlement fee, a breakdown of all charges and copies of statements since the last statement received,you have to ask why they issued a formal demand and what rate of interest they are applying to your account at present and from when PHONE NOW.

Re: Nat west business loan - cant find agreement

The property is probably worth about the same 50% LTV although its better than that because of what has been paid off and we have potential for a building plot here which is potentially very valuable, which is why Im clinging on in here !!

Sounds like you have excellent leverage to negotiate a new deal, however it must be remembered that whilst the old loan is still drawing interest it will be eroding the equity in you property, a good reason to get them moving IMO.

[Jackien]

Re: Nat west business loan - cant find agreement

I don't know if you have already said so forgive me , if I repeat the question.

How does the equity in the security stand up now compared to when the loan was taken out, we know that property values have dropped, is there now a negative equity in respect to the loan or do you have a surfeit, in other words is your property worth more or less than the security value.

The property is probably worth about the same 50% LTV although its better than that because of what has been paid off and we have potential for a building plot here which is potentially very valuable, which is why Im clinging on in here !!

Re: Nat west business loan - cant find agreement

I don't know if you have already said so forgive me , if I repeat the question.

How does the equity in the security stand up now compared to when the loan was taken out, we know that property values have dropped, is there now a negative equity in respect to the loan or do you have a surfeit, in other words is your property worth more or less than the security value.

[Jackien]

Re: Nat west business loan - cant find agreement

Sorry was farting about with numbers.... so around this sounds like it was Interest Only ...

Interest Only @ £700 a month would be a 3.5% interest rate
Interest Only @ £1800 a month would be around 8.65% interest rate

So could be 3% above base rate on interest only ? (stacks up with the base rates)


Do you have a policy or something in place to make the capital repayment at the end of the term ?

2006 payments were nearly £2500 so not interest only I recall it being around 1.5 above base, it was a good rate at the time and even better now!! I remember because we had a big deposit, obviously the £700 is not right and probably should be around 1500/1600. I do have the funds to put it right but Im going to make them jump through hoops for it. Your replies have given me strength.

[Amethyst]

Re: Nat west business loan - cant find agreement

So we need to find out the terms of the 9 month break in payments - especially if was an interest only loan - was the interest added to the capital during that period (increasing the capital figure) and the £700 was calculated without taking that into account ?

[Amethyst]

Re: Nat west business loan - cant find agreement

Sorry was farting about with numbers.... so around this sounds like it was Interest Only ...

Interest Only @ £700 a month would be a 3.5% interest rate
Interest Only @ £1800 a month would be around 8.65% interest rate

So could be 3% above base rate on interest only ? (stacks up with the base rates)


Do you have a policy or something in place to make the capital repayment at the end of the term ?

Re: Nat west business loan - cant find agreement

I asked them to restructure the loan more than 2 years ago and they said this one would have to be cleared, and for the reasons above (previous reply) the loan is at a low rate due to the interest rates. Getting another loan out of them would not be easy I Im sure. They are just not making money out of me and have the charge so im easy pickings.

Yes indeed and they have little to lose in waiting , and I presume that there is additional equity there?

It is difficult to advise because I do not know all the details and what has gone on before, but it seems to me that a conversation should be had as a matter of urgency between the bank and yourselves with the goal of creating new agreement. If the old agreement has been defaulted it is unlikely that the would or even could re-instate it.

It may be that they are in no hurry, all the time the arrears build, the debt becomes a larger proportion of the security value(as I say I do not know the figures) they may be awaiting a trigger point at which they will commence an action.

Really as said we need a fuller picture, I am sure we will be able to will assist when you get the details of your SAR in the meantime personally I would seek a face to face talk with one of the banks executive accounts team.