Car loan interest rate - increased
My husband has the salary account in commercial bank. He took car loan 6 months back at the interest rate of 4% in CBQ. We checked the online statement and it shows as current interest rate as 9.25%. They changed the interest without any notifications. We have sent a mail and didn’t get any response. Anyone facing the same issue?
Yes, Sripad is right. Actually, what you agreed for is 4% flat, means irrespective of the remaining outstanding balance in your account they will charge you 4%. What they may be charging you is 9.25% on the remaining balance. Initially you may get charged more, but when the outstanding balance comes down, the interest charged will be less. Effectively you will be paying equivalent to 4% flat. But double check the caculation to make sure you are not paying more.
Hi,
Check out 9.25% will be decrecing and 4% flat. This is what i have been told while taking the car loan. They cannot increase the rate of interest by 100% with out information. Just read the document carefully again
this is one another prank played by banks. they give you a novel print kind of paper with 1000 terms & conditions that makes u almost impossible to read at the same time. you just sign it to rush ur procedures. Those tiny terms creates major conditional problems for you later.
Rightly said by Atif, this is actually what is interest all about lady...
Get rid of the loan or car asap... best suggestion...
Well, you didn't read the TERMS & CONDITIONS before signing LOAN DOCUMENTS
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Bank has full right to change INTEREST RATE at anytime.
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If you have copy of your loan document, you can read it again