Household HSBC Watch

Mon Mar 27, 2006 8:13 am      

J.P. in Missouri provides great insight with this 'behind the mask' look at predatory operations at Beneficial Finance:

I too fell victim to this horrible company. It is literally turning my life upside down. We received an offer from this company to take out a second mortgage on our property. The amount to be borrowed was $20,000.00. Out of this twenty thousand, some of our other creditors were to be paid off. This loan was originated in 1999, after 12 months of timely payments our interest rate was to be reduced. This never happened. When I contacted them to find out why our rates were not been reduced I was told the payments were not made on time. I told them this could not be true because the payments were debited from my checking account, which has overdraft protection. I am told by my personal bank's president that even if funds were not present they would have paid any way, that I would be charged a fee, and have thirty days to pay my bank with out incurring any more charges. So I know all payments were made on time.

I would also like to inform one of Beneficial employees that responded to a thread I read here that Beneficial does not charge you when you are setup to have payments debited from your checking monthly. This is Bull Sh*t, they were hitting me around $12.00 a pop. I see nothing free about that so unless you in fact know what you are talking about keep the trap shut.

Hold on this gets better. No luck on getting the rate reduction. We were told we would have to redo the whole loan to get the better rate we were supposed to get after 12 months. Here we go, we did indeed rewrite and about $4000.00 later managed to reduce our rate from 28% to a not completely unbearable 17%. Ok the original amount $20,000, paid one year, didn't make a dent in the principle because of rate, refinanced cost $4000.00 to do that! So at the out side it's $24000.00. I have been paying around $500.00 a month since Y2K; we now owe them well over $30,000.00? How does this figure?

It gets better. Do you remember I said that in the original loan with them they were to pay off some other creditors? I have a credit report that reflects that most of these other creditors only received partial payments. One in particular was a $1200.00 account and today I am said to owe them around $5000.00! How does this happen when I have the copy of the original contract and it clearly states that these creditors were to be paid? It didn't happen and I am living proof!

It gets even better, now in the spring of 2005 I had to under go surgery, so I'm going to be off work for a while. I'm thinking this will be a good time to use the insurance that is supposed to be attached to this second mortgage; I mean we paid for it, so we should be able to use it right? Wrong! I called before the scheduled surgery to see how the insurance we purchased on the loan worked; the response I got was "you have no insurance on your loan". Well why the hell does my loan docs. It has insurance on it? She tells me it is some other kind of insurance it doesn't pay payments if I am hurt or disabled. I asked what does it pay? She tells me she can't release that information. What the HELL is going on here. Gets better yet, ok what about hardship I ask? Well you have to submit all the forms we review them to see if you qualify and if you do all you pay is the interest and that can go on for 6 mos. Ok, cool what is my interest on my payments? Let's see, here you are paying $496.00 and out of that $32.00 is going towards principle so you will still have to make monthly payments of $464.00. That's it! That's all you can help me?

After all these years as a good customer, that's all you can do for me? Go to Hades and get a reality check on how humans are not supposed to treat one another. This company needs to be stopped. One more complaint to throw out there. Remember when HFC/Beneficial/Household/HSBC was the recipients of a class action suit? Most of us that have ties to this company or companies received a letter from our State attorneys office informing us of this action and then received letters from the HFC settlement on what action to take? I call this place to see what options I may have, I mean I received a letter telling me that the minimum amount of monies I would receive was around four hundred and some bucks.

While on the phone with this settlement chick, she tells me that since we have a second mortgage with the company that we don't' fall in the criteria of the lawsuit which later I find out was a bold faced lie. How many people did they tell this to so they could keep the numbers down on the recipients of the class action suit? After seeing all the crap they have pulled on this site I just want to win billions of dollars and make it my life's goal to bring this company DOWN with any means possible. Ok I have lowered my blood pressure for the night so I am done for now but rest assured, I will bitch some more later.


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