Complaint Review: Beneficial HSBC

"My husband has a Capital One card, and since we made on-time payments for six consecutive months, they lowered the interest rate to 14%."

The lower interest rate applies to new purchases, not the current balance. You are still paying the higher interest rate on the previous balance.

You must be able to prove you suffered a loss due to another's negligence or breach of contract to win a lawsuit. Nothing in your complaint supports this.

I've left this report alone since I made the update a little over 2 years ago. Since the beginning of this year, people have been posting on my post. I only stated my opinion. This is from the owner's website about the policy of removing reports:

"... The Internet changed all this.  Since 1998, the Ripoff Report has helped to educate and empower millions of consumers by creating a huge database of more than 600,000+ consumer complaints which grows with each passing day.  As part of that mission, we have adopted a strict policy we dont remove reports, PERIOD.  Even when companies threaten to sue, we stand behind our users and fight for their First Amendment rights by refusing to remove their reports.  Because of this policy, we have spent millions and millions of dollars in legal fees fighting to protect freedom of speech, and we have a long track record of legal victories to prove it...."

And guess what? I stand behind every single word I've said in the initial post!! If you want to pay the extra money to remove my post, KNOCK YOURSELF RIGHT OUT!!

If you find an attorney unethical enough to take up your "class action" suit, make a video of the judge laughing his butt off when you get to court. 

The other posters here are telling you like it is. The loan agreement was signed with specific terms and the lender is under NO obligation to change them because you're demanding it.

What part of their action is illegal and actionable in a court of law?

The best way out of this would be to pay this loan as quickly as possible and resolve not to be so foolish in the future.....the terms WERE agreed to.

Nope, I don't work for them either.

Why is it always the wives who arrogantly post about the stupid things their men got them into? Where's hubby, lady? Why isn't HE posting here? Maybe because HE has sense enough to know this isn't a ripoff, but a legit contract he stupidly got y'all into.

This isn't a credit card, where the issuers have flexibility to raise and lower rates at will. It is a sealed contract loan entered into at a set rate for life. Your darling partner agreed to pay 29% interest.

Don't like it, pay it all off.

Can't pay it all off? Then in your next life, learn to live within your means and not take out loans you can't afford.

And as for having the unmitigated gall to tell others her to bug off? SCREW YOU! This is a public forum, in which you CHOSE to air your own financial illiteracy, so if YOU don't like the rebuttals, YOU bug off!

More than one person has tried to explain to you Mrs. Mensa as to what is happening here but you just don't get it, do you? There is NO ripoff here, at least as far as HSBC is concerned. If you read your contract before signing it Mrs. Mensa you would have seen the APR and if you didn't like that figure then you should have not taken the loan. How simple is that? If you would have read that contract Mrs. Mensa college graduate then you would have seen the interest amount which is paid as part of your regular payment. If you were to enter this big long word, "AMORTIZATION" into a search engine, Mrs. Mensa, then you would see the ratio between interest and principle and how interest is PAID FIRST and then your payment is applied to principle. Its all very easy to understand Mrs. Mensa college graduate, just call your bank and have the nice loan officer explain it to you. Yes, almost 30% APR is high but that's the price paid for marginal credit. Oh wait, I'll bet your husband has an 850+ credit score so I must be wrong there too. So in summary, you see there's no rip off here...at least not on the part of the Lender. And thank you for the compliment about being an HSBC employee. If I ever need a job, I'll include your comments on my resume!

Guess what, Jim, I do happen to have a college education and I do understand loan sharking when I see it!! So, if you don't have anything constructive to add to my initial posting, bug off and leave us alone!!

You still don't get it do you? Apparently there some intelligence issue here. With each loan there is INTEREST. It is paid FIRST and then the principle. I have a feeling you don't even understand that. Find somebody who can explain all this to you using pictures. You just might be able to understand that.

I also am with  this a*hole mortgage company and can not find any way out there last response to me was "well I guess if you don't make your payments you'll go into foreclosure and lose your home" no kidding thats what they said we have lived here for 11 yrs raising our children but every time I try to get help the door closes WHY IS IT THAT WE HAVE TRILLIONS OF $$ TO SEND TO FOREIGN COUNTRIES FOR HELP BUT THE TRUE AMERICANS???? NOTHING WHAT IS WRONG WITH THIS COUNTRY MAYBE IF I PUT A RED DOT ON MY FOREHEAD I'D GET BETTER RESULTS,

Well, since this report I made in June, I just wanted to let you know how much the balance has not gone down! Even with the credit line canceled and all the "insurances" taken off, it's still over $8,000. His most current statement says $7992, but he hasn't received his November statement yet.

My husband has a Capital One card, and since we made on-time payments for six consecutive months, they lowered the interest rate to 14%. So I don't want to hear any bull-honkie about companies not lowering the interest rates for on-time payments.

I've noticed there have been a few more reports filed since I wrote mine. I'm still in for the class-action lawsuit if anyone's interested!

HSBC/Beneficial Finance does loan at extremely high interest rates. IMO they engage in predatory lending and they have perfected the art of 'loan slavery'. The best way is to never get involved with them. Since you already have a loan, the next best way to 'get back' at HSBC is to pay them off as quickly as possible and never borrow from them again. I know this is easier said than done.

Remember this:  if you pay miniumum payment you will be stuck in that awful loan for years.  If you acclerate the payback (pay extra toward the pricipal balance) you will pay off the loan much more quickly and not pay as much in interest. You will be paying the same interest rate, just fewer dollars.  Even if you add an extra $25 or $50/month to your payment toward the principal you will see a huge difference in the payoff.

Also, even if you pay a few days early you will save money as the interest is calculated on the outstanding balance. If you pay late, then most of the payment goes to interest and nothing goes to principal. That's how you get stuck in this loan for years. HSBC counts on you not realizing that even a few days late adds to the payback amount.

Go to bankrate.com and look at the loan payoff calculators to figure out how much time and money you can save by paying down the loan quicker. You can save thousands of dollars over the term of the loan.

You don't need to pay a lot extra to make a big difference. You can also sell some items around the house to apply toward the loan. You might consider getting a temp extra job to get rid of this loan. Do just about anything to dump them because they can and will make your life miserable if you don't pay.

My point is: pay them off and don't ever use them again and that will hurt HSBC more than a potential class action suit ever would hurt them.

Just my .02's

Nothing to  sue them for. Beneficial is known as a consumer finance lending company which means they loan to people with less than good credit and charge enormous interest rates. These type of loans are typically front end loans which means all the interest is paid in the begining of the contract.

I would think that normally, if you are making payments on it, they would lower the finance charge to reward the work you are doing to get the balance paid off.

Please tell us what section of the loan agreement describes this "reward".  I guess they are just crazy in requiring your husband to complete the agreement he made.  Because I am sure that every one of your other creditors have this "reward" built it to their agreement, and this bank must just be the odd-ball.

Whether or not you think that it was a "terrible mistake", no one forced your husband to take the loan.  If he didn't like the terms then he didn't have to agree to them.  But since he did agree to the terms then he is obligated to fullfill the terms of the agreement he made. 

If you want to file a suit and "terrible mistakes" were something you could sue for perhaps you could sue your husband.