HSBC loan interest refund

[Maria4444]

Hi
I wonder if anyone can advise me. I've looked about and can't find any recent information regarding this but I apologise if it's been asked before.
In January this year I received a letter out of the blue from HSBC saying that as they hadn't reminded me, on my annual statements, of my right to make partial repayments on my personal loan (taken out in Jan 2012) then they were unable to keep the interest that I had paid during that period. They have refunded this amount to me-it wasn't a huge amount as the loan was only £1000. On the letter it stated that this right was only for loans taken out after 10 June 2010. I had another larger personal Loan with them taken out in July 2010 and they say that this is unaffected as they are only refunding interest on loans taken out after 31st October 2010.
I have tried to research this and I may be right or wrong. Having read about a bit I can see that this new piece of legislation came out on 10th June 2010 but that it didn't need to be enforced until 1st February 2011 (to allow a transition and implementation period) but that HSBC decided that loans taken from 31st October 2010 would be considered for redress.
My query is, should my annual
Statements for my July 2010 loan have included information regarding my right to make partial repayments, as my loan was taken out after June 10th 2010 (therefore I had the right to make partial repayments) and by the time my first annual statement was due in July 2011, the bank should have been including this information?
I've since stopped banking with HSBC as they made my life hell and their customer service is a joke. I know some people will think that it's wrong to try and claim money when I didn't suffer any loss but I have paid thousands in bank charges for my own mistakes over the past few years .
If anyone is able to advise if you think I could get anywhere with this I'd be really grateful. Thank you

[Amethyst]

Re: HSBC loan interest refund

Yep your loan falls in the bit between;




It was a fixed sum / term loan ?

[Amethyst]

Re: HSBC loan interest refund

However, if you have a copy of that letter that states they are refunding on loans taken out after June 2010 then I think you may as well respond pointing that out to them and going to the FOS if they continue to refuse. It doesn't cost you anything to take it to the FOS. The information on settlements should have been included in your annual statement in July 2011.

[Maria4444]

Re: HSBC loan interest refund

Hi thanks so much for your quick reply.
The letter they sent me doesn't say that they are refunding on loans taken from June 2010. It just says that the right to make partial repayments only applies to loans taken out after 10th June 2010. When I called to ask if my loan was affected they said that they were only considering loans taken out after 31st October 2010.
I have seen that information that you have posted above before and that is what made me think that if I had the right to make partial repayments then it should have been included on my annual statements-and it wasn't. I have seen on other forums that others have been told the same thing from HSBC but I haven't found anyone who has challenged this on a loan taken between June - October 2010. I will put it in writing to HSBC and then take it to the FOS - as you say it won't cost me anything.
Thanks once again for you reply.

[coverfan]

Re: HSBC loan interest refund

I have received an interest refund from HSBC in respect of an old loan, for periods when the annual statements did not include info about overpaying. However, I have another twist on this. I have looked at the new regulations and have written to a car finance provider I used to point out to them the same conditions applied and their statements have never included info about the right to repay. The loan was NOT Hire Purchase, it was a loan and was taken out in the 'gap' period - August 2010 to be precise.

My reading of the transitional rules highlighted above by Amethyst is that statements sent to me AFTER February 2011 should have included info about loan overpayments. Have seen nothing mentioned so far about car loans, but see no difference as they are fixed sum loans. The car finance company has said they believe that only loans taken out AFTER Feb 2011 are impacted and none of the statements issued to me up to 2015 needed the info. I am certain they are wrong and the transitional rules seem clear. They have refused to refund interest and have basically said, go to the Financial Ombudsman.

Any views? Anything different about fixed sum car loans taken out between June 2010 and Feb 2011?