LeahAnderson133
Registered User
- Messages
- 1
Complain in writing. You should have been informed in writing of this conditionI got a car loan today, as I was in dire need of a new vehicle. While applying for the special car loan I was never told my already existing savings would be frozen.
In the meeting I had for the loan I even asked would i still be able to still take out money they told me it shouldn't be any issue. I had 7 thousand in my savings as it was the money I got from my dad dying. Today when I tried to take out 100 for school trip they told me I can't take out money as I have a pending loan. Is there anyway to unfreeze my account, my credit union wont help me at all.
You should have been informed in writing of this condition
It’s not enough for it to be “well known” if it is a consumer contract, if it is in the documents it’s probably enough. If I were him/her I would ask where this is written down.That is a very interesting point.
Is it not enough that it is well known (?) that credit unions treat their share accounts as security for loans?
I would suspect that it is on the loan documentation.
Brendan
It’s not enough for it to be “well known” if it is a consumer contract,
I am bewildered as to how paying interest on your own money can be considered an advantage!They use the shares in your account as security against the loan you have taken out One advantage may be that when your loan amount is lower than your share amount you can requested a covered loan which in most CUs has a cheaper interest rate
good luck
The credit union is only obliged to hold a minimum 25% of the value of the loan balance of your shares as security. If they are holding more you can write to them and ask them to release any shares in excess of this.I got a car loan today, as I was in dire need of a new vehicle. While applying for the special car loan I was never told my already existing savings would be frozen.
In the meeting I had for the loan I even asked would i still be able to still take out money they told me it shouldn't be any issue. I had 7 thousand in my savings as it was the money I got from my dad dying. Today when I tried to take out 100 for school trip they told me I can't take out money as I have a pending loan. Is there anyway to unfreeze my account, my credit union wont help me at all.
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