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F E Smith
F E Smith, Advocate
Category: Law
Satisfied Customers: 11280
Experience:  I have been practising for 30 years.
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I have a Amigo loan that should end June 2018, that will be

Customer Question

i have a Amigo loan that should end June 2018, that will be 60 payments of £197.62, but when I contacted them they said the last payment will be September 1st 2018 then October £6.25. The contract of the loan is 60 payments. So is it right for them to ask more. Know other correspondence has been made other than my phone call on Saturday 1st April.
Submitted: 7 months ago.
Category: Law
Expert:  F E Smith replied 7 months ago.

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So in effect, are they in effect asking for an extra payment of 197.62 and a final payment of 6.25 which will make 61 and a bit payments?

Have you asked them for an explanation as to why they are asking for this?

Customer: replied 7 months ago.
My final payment is 2nd June 2018 that makes a total of 60 payments. So when I rang them to confirm this Amigo,s said they will be more payments in July,August and September of £197.62 then in October £6.25. All because the first payment didn't go out until 2nd July 2013.
Expert:  F E Smith replied 7 months ago.

I’m unable to speak to you now but I can call you just after nine in the morning if you still want to speak.

However I need some more clarification please.

This is probably the question that you are asking but started on 2 July it would finish on 2 June 2018, 60 payments so I can’t see why if the payment went out on 2 July there should be payments in August September and October because that is 62 and a bit payments. Am I missing something?

Have you been banging your head against a brick wall with Amigo, because from what I understand, that situation is not uncommon.

Customer: replied 7 months ago.
I'm unavailable to speak to tomorrow because my father died on Sunday and I've got a funeral to arrange and everything tomorrow but when I rang amigos they said because when the first payment went out in 2013 and the payment of money went into my account there was a gap of about six weeks that incurred interest and that is the reason I have to pay three more payments in July , August and September.
Expert:  F E Smith replied 7 months ago.

I’m sorry to hear about that.

Please let me know if you want to speak still. I can do most days and evenings including weekends as long as I know when. In your own time.

I obviously don’t know when you took the loan out (what day of what month) or when the first payment was due under the terms of the agreement but £401 late interest seems extortionate if it’s for the six week period.

If you look on the agreement, it will tell you when the first payment was due.

The total amount of payments you have made over the five-year period has been £11,820 and that amount of interest seems grossly disproportionate.

I suggest that you now put everything in writing or, if you do speak on the phone to them, follow it all up in writing.

You need to ask them exactly how this interest has been calculated and what provision there is in the contract and what is the paragraph number in the contract which allows them to charge this interest and where in the contract does it show how it’s calculated. Tell them that unless you get a satisfactory answer, you will make a complaint to the Financial Ombudsman Service. If you don’t resolve the matter satisfactorily within an eight week period, then you can make a complaint to the Ombudsman here http://www.financial-ombudsman.org.uk/consumer/complaints.htm

You do have to wait that eight weeks

Can I clarify anything else for you?

I’m happy to answer any specific points arising from this.

Please take a moment to look at the top right hand corner of the page and rate my service by clicking one of the stars at the top of the screen. It’s important you use the rating service because that gives me credit. It doesn’t just give me a pat on the head! (Although there is an incentive scheme where the more five-star ratings I get, I do actually get a pat on the head! :-)) All you need to do is press Submit. Thank you.

If you still need any point clarifying, I will still reply because the thread does not close.

Best wishes.

FES.