HL in Maryland said: “My girlfriend and I went and applied for a $7500 fixed motorcycle loan at Cycle World in Glen Burnie Maryland, May 6, 2006. after 16 months of payments I was concerned about my payments, the balance didn’t seem correct. I had paid $4000.00 in payments in 16 months and my balance only deducted a couple hundred dollars. I called HSBC to find out what the problem was and was told I was paying on the interest.
I asked how much interest I had to pay. I was told sir I can’t tell you that. I then asked to speak to someone in the finance department, I was denied, asked for the residing agent of my loan I was denied. Being told this by HSBC I told them if you can’t tell me in total what my charges are I’m not paying you anything else do to breach of contract on HSBCs’ behalf. Since then I have file complaints with MD DLLR who said the contract was none binding and didn’t fully disclose all fines and fees as required by Maryland state law.
DLLR filed complaint with the MVA and the OCC. I filed complaint with the OCC and was never contacted by them about my complaint. I called the OCC repeatedly for 4 months requesting to speak with an investigators since you have to wait 24 hours for a response which never happened. I did recieve a letter requesting to merge the 2 complaints as one which I denied. I filed again at MVA in Glen Burnie MD on the grounds of fraud and HSBC broke MD State laws.
DLLR said these things are wrong but they have no power to do anything cause the bank is regulatory Bank. The MVA sent me an unsigned document detailing the investigation, which said he can’t figure out what kind of deal I have Credit card or loan.
HSBC did reposses the motorcycle illegally. I was not sent certified leter 10 days nor 5 days after repossession by state law. Cycle World said I have a copy of the fine print detailing the financing of the motorcycle which I don’t. We don’t even have the APR% on the paper work, MVA is passing this on as good policy.
I requested the MVA investigator to check into the vin# to see if that motorcycle was totalled in an accident, I was told they (the MVA) has no way to check a vin# of a vehicle. We are being hounded by dept collectors and it’s on all three credit reports.”
Editor’s Note: Your loan is a daily interest credit card type of loan. These loans have been the standard for HSBC motorcycle loans since 2003 and before that they were the standard for Household International. HSBC bought Household in 2003. See our article – written in 2005 – warning about motorcycle financing. The article explains the truth about all HSBC motorcycle financing.
In all probability Cycle World of Glen Burnie Maryland knew this was not a fixed rate loan, unless they too were duped by HSBC.
Do you want to finance a motorcycle through HSBC? No, and this is why:
Using $10,000 as the basis of the purchase, if every payment was made on time and the rate was fixed at 9.95%, it would take 220 months ( 18 years 4 months) to pay off the motorcycle. This is not a fixed-rate loan. Do not confuse “fixed-rate” with “rate fixed at”, which also applied to daily interest credit card loans.
Related posts:
[...] Cycle World Glen Burnie Maryland and HSBC motorcycle financing … [...]