Bank loan

Mikeyshragh

Could I offer my bank an amount to pay off my loan. I have my loan 6 yrs now and had to lower my payments a few times. All back over 5 years again. Can I just offer them an amount to pay the loan off. Without giving them the full amount.

Bepolite

Mikeyshragh wrote: »

Could I offer my bank an amount to pay off my loan. I have my loan 6 yrs now and had to lower my payments a few times. All back over 5 years again. Can I just offer them an amount to pay the loan off. Without giving them the full amount.

Foakes v Beer to kick off the discussion. Of course it's not that simple.

sawdoubters

unless your in default I don't think they would go for that

but you could ask,is it unsecured

Mikeyshragh

sawdoubters wrote: »

unless your in default I don't think they would go for that

but you could ask,is it unsecured

I got a letter from them asking me to close my Bank accounts with them by 60 days. Also to pay remaining balance on the loan which is 9000

Superdedupity

I'd head to your local MABs, and bring your loan documents with you, they'll be able to properly advise.....don't ignore it though:)

Mikeyshragh

Superdedupity wrote: »

I'd head to your local MABs, and bring your loan documents with you, they'll be able to properly advise.....don't ignore I will do thanks.

Mikeyshragh

sawdoubters wrote: »

unless your in default I don't think they would go for that

but you could ask,is it unsecured

What does it mean if I'm in default. And how would I know if it's secured or not? Thanks

Peregrinus

"Secured loan" means that you have given the bank some kind of security for the repayment of the loan, e.g. a mortgage over a house - meaning that, if you don't repay the loan, they have the right to take the house and sell it, and then repay the loan out of the sale proceeds. Apart from land, houses, etc, other securities might be security over a car or over some company shares. You would know if you had given the bank any kind of security.

An unsecured loan means that the bank has no such rights over assets; if you don't repay all they have is the right to sue you and get a judgment against you, and then enforce their judgment.

"In default" means that you have not made payments that, under the loan agreement, you are required to make.

Superdedupity

If their asking you to close your accounts, they may (or may not) have a course of action in mind. Go see MABs, an appointment can take a little while to get, so call them straight away:)

schemingbohemia

Why are they asking you to close the account? If you identify the bank people might have more advice.

If they're closing off their loan book in Ireland then perhaps they are interested in getting some money in rather than the whole amount. However, don't ignore this as they could sell your debt to a debt collection agency who are pains to deal with and tend not to go away.

Superdedupity

I know BoI generally close / request the closure of accounts if planning on seeking judgement;)

Going Forward

Mikeyshragh wrote: »

What does it mean if I'm in default. And how would I know if it's secured or not? Thanks

How can someone not know what default is at this stage?

Going Forward

Superdedupity wrote: »

I know BoI generally close / request the closure of accounts if planning on seeking judgement;)

And Danske Bank/NIB are doing a runner at the end of March.

No Pants

Going Forward wrote: »

And Danske Bank/NIB are doing a runner at the end of March.

Danske were my first suspects too.

Superdedupity

http://www.citizensinformation.ie/en/money_and_tax/personal_finance/debt/personal_insolvency/debt_relief_notices.html

Don't know if this has any relevance to you OP, but maybe something to consider, depending on circumstance

Mikeyshragh

schemingbohemia wrote: »

Why are they asking you to close the account? If you identify the bank people might have more advice.

If they're closing off their loan book in Ireland then perhaps they are interested in getting some money in rather than the whole amount. However, don't ignore this as they could sell your debt to a debt collection agency who are pains to deal with and tend not to go away.

It's a unsecured loan. Ands it's also with Bank of Ireland. I was paying more than I should have being. And I missed 3 or 4 payments around Christmas and then I got the letter asking me to pay my loan off in full and close my account within 60 days or it will be closed for me!

No Pants

Mikeyshragh wrote: »

I missed 3 or 4 payments around Christmas

Weekly or monthly?

Mikeyshragh

No Pants wrote: »

Weekly or monthly?

It's weekly I pay my loan