beneficial hfc. Horror Story

2008-03-13 09:55:43

( Financial )



In the past many people trusted the beneficial finance company and used beneficial financial services. beneficial hfc was a well-thought-of company in the financial services industry. But recently some negative reports about beneficial hfc are filtering through.

What are people saying about their experiences with beneficial hfc?

One beneficial hfc client claims that they persuaded him into taking a mortgage in 2001. he did this because, although his home had been paid for he had a few high interest cards. He received a good faith estimate for 15 years at a specified monthly rate. However his first statement reflected considerably more. When he enquired about this discrepancy he was told that not only did he have to pay the balance off, but that there would be a prepayment penalty. Because of his financial situation he was unable to do so. When he lodged a lawsuit against beneficial hfc he learned that beneficial hfc had been in flagrant violation of the original agreement made. Consequently he filed for bankruptcy protection in 2004. In the bankruptcy proceedings he reaffirmed the mortgage. What happened next was that beneficial hfc simply used the reaffirmation to ??? the settlement as well as increase his account by 1000’s of dollars. The balance included thousands of dollars in deferred interest. The reaffirmation was so dated so that the first installment became due in time for the bankruptcy to discharge. In 2004 an amount of thousands of dollars was added. This was hidden on the back of the account. The client only discovered this when he arranged to refinance in 2006.

The interest charge amounted to thousands of dollars over a period of less than 30 days.

When further information came to light it appears that the reaffirmation had been treated by beneficial life as a refinance as well as adding the prepayment penalty as a deferred interest – and this a long time past the 26 month allowance of the settlement.


All rights Reserved © Tradenet Services srl
Do not duplicate or redistribute in any form.