is this agreement for a secured loan enforcable

[calconnor66]

Hi I looking for some help I got myself into some serious debt a few years ago, and had to take out a very big loan (75K) secured against my property, to get myself out of the mire. The loan will go on for year and years, and I have been looking at all the cases currently on CAG, and would like to know is this enforceable, ad it does not appear to have the prescribed terms etc. Can anyone offer me any help!!

Edited September 6, 2009 by calconnor66

[Luxxinterior]

Hi I looking for some help I got myself into some serious debt a few years ago, and had to take out a very big loan (75K) secured against my property, to get myself out of the mire. The loan will go on for year and years, and I have been looking at all the cases currently on CAG, and would like to know is this enforceable, ad it does not appear to have the prescribed terms etc. Can anyone offer me any help!!

 

Hi Calconnor66 ...

The images appear to be unreadable, not sure if it is just me, but you may have scanned it at too small a resolution.

 

You may want to post them on photobucket or a similar site and then post the link here.

 

Regards

[calconnor66]

Hi dont know if this is any better will download photbucket when I get home later if not

Carolyn

page 1 001.doc

page 2.doc

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page 4.doc

[midge61]

Hi

 

You poor sole yet another Blemain agreement.

 

If you search Blemain you will find many threads about them (none of them good)

 

As your loan is over £25 it is not covered by the CCA so I am not sure where you will get help but I am sure someone who knows more will be long soon.

[sgianthebard]

I don't know more but I am in a similar situation and have asked various questions about it. It seems that because the loan is over 25K and secured, we just have to bite the bullet and keep paying

[cupcake68]

Hi

 

Me too!

 

Ours is for £130+k!!!!!!!

 

Cannot believe what I am hearing about these people!

 

There must be someone that can stop them doing what they like?

 

Cupcake

[frettful38]

Hi

 

Me too!

 

Ours is for £130+k!!!!!!!

 

Cannot believe what I am hearing about these people!

 

There must be someone that can stop them doing what they like?

 

Cupcake

 

 

Hi cupcake, sorry to hear that you cannot find anyone to have a look at your agreement. One thing I would suggest first of all is that you make an appointment with your local Citizen Advice Bureau and they should have their own solicitor or someone with knowledge of Consumer Law. Once they have seen your agreement they should point you in the right direction.

 

The other I suggest is that you find a Consumer Law Solicitor, try googling one and see if you can find a solicitor to look at your loan agreement. It is similar to mine and it has many flaws in it. The only thing we need to do is get a proper legal stand on it and see what action can be taken.

 

Good luck and keep posted and vica versa.

[cupcake68]

Hi frettful

 

It's really hard to know which way to go.

 

You hear so many bad stories about bad solicitors not knowing their stuff and also there are so many awful tales of people being treated so badly by Blemain.

 

Our loan is for so much money, if they started adding charges to ours we wouldn't stand a chance!!

 

I cannot believe how much more I've found out about Blemain today. I did a search at the beginning of the year and have let it lie until now, but now there are so many more people admitting just how awful Blemain are!

 

Cupcake

[frettful38]

Don't matter how bad they are, if they have done bad then they will have to answer for this, they are not above the law. If you read this and check it against your loan agreement you will see how strikingly similar they are;

I have a loan agreement with a sub prime lender for £35k. I am not in any arrears and up to date with everything. I have been charged over £300 is charges for being in arrears in the past, which I believe have been added to the total loan. I have paid a secret commission without my knowledge or consent too. I did raise these issues with my lender, who basically fobbed me off with their legal jargon, we can do this and we have and tuff luck. I did not pursue this matter as I had other things to deal with.

I had contacted a CMC who initially took on my case and said I had a good chance, then I sent them more info and they just closed my file without any explanation or reason. Since then I have given my a agreement to a Consumer Law solicitor to look at and I am still waiting to hear from him for over 3 weeks. The subject of enforceability is a very sensitive area, and you need to know what you are up against before going down any route of tackling it. I received advice that my loan agreement had many flaws in it, so out of curiosity I needed to did deeper to see if that advice is worth fighting for. The advice I received is below, I would like to see what others views on it are please.

 

1. I contacted Ocean/Finance with the view to borrowing £35k and placed my full trust in OF believing that for paying them a fee (broker's fee) they would in return, act and advise me and guide me in obtaining the best deal they could, and that advice would be unbiased and fair. It was made absolutely clear to OF and the Lender who duly received the form that this was the sum of money I wished to borrow.

 

2. I then duly filled in a loan application form for £35k.

 

3. After passing their criteria checks I received a loan agreement from Blemain Finance Ltd which I duly signed, because I had placed my full trust in OF and the Lender that everything would be exactly as I had requested, I did not completely read all the terms and conditions of the agreement, one of the reasons for this was that they were too small to read, but as I believed that other borrowers had the same agreement, and it had been scrutinised by my broker before hand if had not been as I applied for, I would have been advised so by the broker.

 

However having now magnified the terms and conditions, I am of the opinion:

 

There are certain terms and conditions that could be realistically considered grossly unfair and that the agreement is not as it is stated to be under Consumer Statutes.

As the loan is over £25k (£35k the sum applied for) on its own it is an unregulated unrestricted use Creditor-Debtor agreement and covered by Common Contract law. However

 

1. The total loan shown is more than what I applied for.....I have been misled and misrepresentations have been made to me. I was led to believe that the brokers fees would be taken out of the sum applied for as per Term 11

 

2. I was also led to believe that the acceptance fee would also be taken out of the sum I applied for as per Term 2 (a)

 

3. I was also led to believe that the Solicitor's costs would be taken out of the sum applied for as per Term 18

 

4. I was also led to believe that the Title Insurance would be taken out of the sum applied for as per Term 2 (a)

 

It is now quite apparent that this is/was not the case. It has been ruled by the Courts irrespective of an agreement being regulated or unregulated that Brokers fees are considered charges for credit and therefore cannot be considered as a loan nor can they be added to or included in a Total Loan Amount under any circumstances.

 

It has been ruled that Charges for credit must either be paid before an agreement commences or at the end of an agreement, furthermore as it is a charge for credit no interest can be applied to it as in truth that is what it is NOT a loan.

 

Should Blemain Finance claim that it is indeed a loan in this instance, then it is considered another separate loan and would make the agreement a "Partly Regulated" agreement and should/must be stated as such at the top of the agreement, this would make an agreement and the brokers fee treated as a separate loan agreement.

 

This would have to be shown clearly and would require its own breakdown in monthly payments and the rate of interest shown clearly having its own interest rate shown as APR, variable and not stated as just an interest rate.

 

This loan would be constructed as a Restricted use Creditor-Creditor-Supplier agreement falling into sections 11.1(b) and section 12(b) of the Consumer Credit Act 1974. It would also need to conform to the Consumer Credit Regulations, format of Credit agreements. The same set of rules would apply to the Solicitors fees and the Admin fee and Title Indemnity Insurance.

 

If they are claimed by Blemain Finance that they are charges for credit the agreement must state that they are indeed charges for credit............. and it has been ruled in the Courts that Charges for credit cannot be added to the loan facility and interest cannot be charged on such charges.....Wilson v First Counties Trust Ltd.

 

Under these circumstances I believe that my loan agreement has too many flaws in it to be rectified by a Court and is and would be declared unenforceable.

 

I could stop paying my loan, and wait for BF to start legal proceedings against me as the loan is secured against my house, then I could hit with the information above but I want to see what this Consumer Law solicitor comes back with first and if he agrees with me or not. I would love to hear anyone else's views on this matter, and advise if it is true or not, and what is the best course of action.

[cupcake68]

Frettful

 

I read this on your thread and agree with what you say but they do have us over a barrel.

 

Unless we find someone who can take them on!

 

Cupcake

[frettful38]

We will, its just a matter of time. Have a go at the suggestions I made to you earlier about the CAB and googling a Consumer Law Solicitor who can look at your agreement for you

[cupcake68]

I will do!

 

Good luck!

[frettful38]

you too

[sgianthebard]

I'm watching this thread with much interest too. The loan I have which has had charges for late payments, arrears and continual interest increases has my whole life in limbo. I am working 3 jobs just to break even and I'll be in my 50s before I am clear of it.

 

If someone ever invents a time machine, please go back 4 years and talk some sense into me before I allowed my (now) ex-wife to talk me into taking this damned consolidation loan out.

[Figaro123]

Whats the situation now regarding this

[sgianthebard]

Wish I knew...

[honeybee13]

Hello guys.

 

This thread dates back to 2009, I'm not sure the OP is going to update it at this stage after new posts.

 

I'm closing the thread, OP if you wish to update please report this thread to the admin team and we can reopen it.

 

HB