Blemain Finance in hot water over repossession order

Blemain Finance in hot water over repossession order




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It has been reported that secured loan specialist, Blemain Finance, has lost a legal battle against a client in arrears, and has been prohibited from issuing repossession proceedings against him for at least five years. 

According to BBC News, Bridgend-based Peter Bentley said that the relationship between himself and the lender was “unfair” and “illegal.”

 

Mr Bentley took out a secured loan of £40,000 in February 2007 to provide extra financial help whilst he cared for his elderly parents.

 

However, he soon had to cut his working hours from 48 hours a week down to 19 in order to fulfil his caring duties. His income dwindled, leading him to fall behind with the loan repayments.

 

After his parents passed away and Mr Bentley was still unable to increase his hours, the lender began to hound him to repay the loan. Continuing to add on interest, by the time his hearing had reached court the loan stood at £47,000.

 

Yet it would seem that Blemain Finance were reluctant to let the case go to court, and in exchange for Mr Bentley withdrawing his argument, the group agreed to slash his monthly payments from £550 to £150, and promised not to charge him any interest or legal costs “whatsoever”. Their repossession claim was also dismissed.

 

Whilst a spokesman for Blemain appeared to play down the incident, saying: “Mr Bentley fell behind with his loan payments, however, the matter was resolved before it went to court.” Lawyers representing Mr Bentley called the lender irresponsible and claimed that it had taken advantage of his “naivety, vulnerability and desperation.”

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