Welcome Finance Secured Loan Question

[Bazza]

I have a Secured Loan with Welcome Finance since Nov 2003 in which is still active and on checking my Deeds from Land Registry they are not named on it but a company Progressive Loans ?

Sorry for a stupid question but does that imply that Welcome have no hold on my property and therefore it is not Secured by them ?

Can someone also advise when is or is not a Secured Loan enforceable ?

[dogtired]

Re: Welcome Finance Secured Loan Question


They were one and the same I think.
Not sure about the enforceability of this ours says the same, Welcome have failed to produce a valid agreement, even after an SDAR.
Right or wrong I have not paid them for nearly five years, to date they have tried with two different DCA.
I hope some one can answer your question, I would like to know as well.

[Bazza]

Re: Welcome Finance Secured Loan Question

They were one and the same I think.
Not sure about the enforceability of this ours says the same, Welcome have failed to produce a valid agreement, even after an SDAR.
Right or wrong I have not paid them for nearly five years, to date they have tried with two different DCA.
I hope some one can answer your question, I would like to know as well.

Many thanks for your reply and hope someone can kindly further answer my questions.

[Bazza]

Re: Welcome Finance Secured Loan Question

Rather than start a new thread, could some expert on here have a look at the attached Secured Loan Agreement and kindly assist in the following further questions.

APR clearly states 20.10% but Monthly interest is 1.35 %. Surely it should be 16.20% ? If incorrect would this affect the enforceability of the agreement ?

Mortgage Indemnity fee charged on a secured loan below £25k - Is that correct ?

The loan is secured on my property by way of a charge, not by a mortgage / 2nd mortgage ?

Also Welcome have not provided a signed agreement that was dated by them. When would the 7 day cooling off period start from ?

Thanks for looking.

[nemesis45]

Re: Welcome Finance Secured Loan Question

Is the witness to your signature a Welcome employee?
What else is provided with this document?

[Bazza]

Re: Welcome Finance Secured Loan Question

Is the witness to your signature a Welcome employee?
What else is provided with this document?

Hi nemesis thanks for responding.

No the witnesses were not Welcome employees. I have a signature by someone at Progressive Financial Services but they have not dated it and when I requested details as part of my SAR, I received the same with no date.

Terms of Credit on the back. When I also checked loan interest details, it mentioned that the monthly interest may increase or reduce from time to time but would give at least 14 days notice. I never ever received anything to that effect.

[nemesis45]

Re: Welcome Finance Secured Loan Question

What's actually happening with the debt now Baz?
As you say this in not a mortgage or 2nd charge on the property so I think the
MI P is not relevant anyway.
Hopefully we will get some more opinions on this pretty quickly.

nem

[Bazza]

Re: Welcome Finance Secured Loan Question

Here's a copy of Terms of Credit in which they could not provide as did not have details. I located a copy myself from some old papers in loft.

Also should they have provided the following.

A Demands & Needs Statement

And

Statement of Price breakdown ?

Cheers

[Bazza]

Re: Welcome Finance Secured Loan Question

What's actually happening with the debt now Baz?
As you say this in not a mortgage or 2nd charge on the property so I think the
MI P is not relevant anyway.
Hopefully we will get some more opinions on this pretty quickly.

nem

Well nemesis, I am still making monthly payments all be it at 0% interest after a previous complaint but still unhappy in giving this lot any further payments.

I have been reading various posts on other forums regarding the MIF and enforceability of agreements but just wanted some clarity going forward.

[nemesis45]

Re: Welcome Finance Secured Loan Question

Hi Baz,
I've just had a quick look at MIP's nothing specific on loan amounts, but much to say that they are useless!!
Is this still in the hands of the Welcome "scheme" managers?
You could challenge the MIP on being appropriate on a secured loan not a mortgage.

[Bazza]

Re: Welcome Finance Secured Loan Question

Hi Baz,
I've just had a quick look at MIP's nothing specific on loan amounts, but much to say that they are useless!!
Is this still in the hands of the Welcome "scheme" managers?
You could challenge the MIP on being appropriate on a secured loan not a mortgage.

Thanks Nem.

I know I have been researching myself but all seems a bit of a grey area.

No it was taken out in November 2003 but the only contact I have with them is from one of their offices in Slough chasing some old missed payments. I have dealt with them by other means and they have now stopped hassling me.

Well that's what I am trying to draft up by using all that I have collated but I wanted to also highlight the incorrect APR% on the agreement and anything else, like interest being charged on an acceptance fee.

[nemesis45]

Re: Welcome Finance Secured Loan Question

Have you had annual statements of the account Baz?
I think the MIP is an unnecessary matter in this case.
How much is still owing?

[Bazza]

Re: Welcome Finance Secured Loan Question

Have you had annual statements of the account Baz?
I think the MIP is an unnecessary matter in this case.
How much is still owing?

Yes nem,

Nov 2013 to Nov 2014

£ 12,070 Closing balance including last 3 months payments.

Any thoughts regarding APR ? Sure this is incorrect.

Just located an old letter from Welcome where I had previously mentioned this and I will quote their response word for word :tinysmile_aha_t:

"On your agreement the APR is detailed at 20.1% and the monthly interest is 1.35%. Therefore multiplied by 12 gives an annual rate of 16.20%.

This is the same as the annual interest rate showing on my latest statement, there has been no amendment."

They have virtually stated what I had asked but does not really explain why my APR is not 16.20% on my Agreement ????? Something doesn't seem right with this and I will be asking further questions and checking some old annual statements.

As for the MIF I am sure they previously said that it was not an insurance policy but a charge to me. It look's as if interest is being paid on the acceptance fee.

Does anyone know where it states in the Consumer Credit Act about loans about the limit of £25,000 ?

Any further assistance would be appreciated as I may need some help to draft up a further complaint.

[Bazza]

Re: Welcome Finance Secured Loan Question

Also is there anyway I can calculate what percentage has been applied since start of loan ?

I do have all payment details / statements from day one and capitalisation amounts before they were stopped.

But I did not receive any Statement of Price payment breakdown or any Demands & Needs Statement to sign ?

[nemesis45]

Re: Welcome Finance Secured Loan Question

I don't recall anything in CCA'74 about Mortgage Indemnity at all.
£25K limit for agreements but not insurances.
They do call this a fee I know I'll do some more digging Baz.