Without a doubt obtaining a loan through Lloyds TSB is the worst thing I have ever done in my life. At the time of getting the loan I was a very naive 21 year old and going through a few temporary money troubles that looking back weren’t so bad. The thing that makes me more angry is that I feel I was more or less pushed into taking out the loan. I originally rang my bank to increase my overdraft limit by £200, well it was January and everyone knows how long a month it can be! The clerk on the phone was very helpful as I explained my situation, he said I had a good rating with the bank but asked if I could make an appointment to go and see him and bring statements in for all my bills. Still thinking this was just to increase an overdraft I agreed and went to my branch of Lloyds TSB the following day.

It was agreed that to clear my bills and also take a little extra I would borrow £5,800. I don’t consider myself to have been an immature 21 year old but I didn’t really have much financial sense shall we say and I think that banks often take advantage of this. I was earning brilliant money working full time and a part time as a barmaid and hadn’t been in arrears with any company’s but had just lived above my means and was very generous at Christmas (I am sure a few of you are the same). Because I had a good job I was confident that it would be fine and I knew that I had more than enough to cover the re-payment each month. I wish I had of had time to read the paper work and think it through but I really do feel as if I was pushed into this and also the clerk took the payment slips from all my bill statements and paid them there and then. This meant that I couldn’t cancel the loan as half of it had been paid out already!

In January 2002 I took the loan out in good faith, had a full time permanent job and never failed to make the payment. In May the same year I applied for and got a new job with a different Company, more money and greater responsibility. Four months later I was made redundant! (that’s right could only happen to me). No problem I thought my loan is covered as I have been paying the insurance premium. I put in my claim and was told that I wasn’t eligible to claim as I hadn’t been in my last job for 6 months even though I had been made redundant, they weren’t prepared to take the matter any further until I made a fuss at which point it was explained to me that they would have to send a questionnaire type form to my previous employer and if I had been given any sort of discipline within the previous two years I would also lose my right to claim. I had never heard anything so ridiculous in all my life and to top it off the customer service was absolutely appalling with every person giving you different information. I did eventually receive the money for the insurance but it took 7 months for them to process, by this time I had a job. What use is this service to anybody? In my opinion there should be a law against this.

The third complaint is the amount that I have to pay back, as I previously mentioned the amount borrowed was £5,800. The APR is 16.9% which is higher than most anyway but with the added compulsory insurance I am having to pay back a total of nearly £11,000 (that’s right your eyes do not deceive you). My payment is £169 per month and I have been paying this for exactly two years now and after a recent request for a full balance statement I was shocked to discover that I still owe £5,436. So two years down the line I have cleared exactly £364. To me this is absolutely disgusting and in just over three years time when I have cleared this completely I will give no business to Lloyds whatsoever.

To sum up they are absolutely the worst loan Company I have ever encountered and go out of their way to charge you money for terrible service and no flexibility. The customer service is non existent and you will pay through the nose for this terrible service. I wish I had something good to tell you or something positive to say about this Company but I don’t.