DW in Rhode Island said: “My ex-wife and I had a line of credit with HFC. We separated and I closed the account, continuing to payoff the balance at about 6 percent. I lost my job and was out of work for 8 months. During that time my loan was taken over (sold) to HSBC.
I got behind during the out of work period. My interest rate was raised to 24.99 percent. Also during that period, HSBC began closing it’s branches. After returning to work full time, I brought the account current.
After 6 months of ontime payments, I called to request that the interest rate be lowered since I had kept the account current and would continue to do so. I got the call center somewhere overseas.
In that call, I was told that my loan rate could not be renegotiated due to the branch closings. This seems wrong and unethical to me because HSBC raised my rate without me going into a branch and renegotiating the rate!
Out of my $100.00 monthly payment, approximately $12.00 is applied to the principle. How can I fight this without defaulting?”
Editor’s Note: As of today Rhode Island has the highest unemployment rate in the nation. The loan discussed here is a daily-interest (simple interest) loan. This is free money for HSBC until the borrower defaults.
Related posts:
