This company has ripped us off of $11.000.00 or more in interest on interest, on top of interest. We took out a loan in 2005 for $2,258.95 then added $2,071.76 for insurance then added $2.952.82 interest. The total on loan is $ 7,283.53, for 48 months. Payment of $190.76 first then $150.91 for 47 months and an interest rate of $27.99.
For a year, our bill would come saying $151.00 was applied to balance. But our balance was not changing much. On October 25, 2006, we renewed the loan trying to drop interest down and the payment. It dropped to $24.99 but the loan went up. We have no money to use, the insurance doubled and the interest doubled, but remember no money to use.
We know the new loan started out at $7,047.08. What happened to all the payments we made for the year at $151.00? We paid $1.812.00 off that loan. The loan went up another $7,047.08 and went up to $235.74 then $206.80 for 59 months, still no more money to use. The amount on the loan has gone up to $12,436.08 and the insurance has doubled and interest has gone up, not down. It was to drop to $24.99 but it did not. This time we made payments of $207.00 a month for 36 months, total of $7,687.74. Subtract that and the loan should be down to $4,748.34.
But we had to renew it again due to money. This time they dropped interest down to $21.99. This time we dropped most of the insurance, kept disability and it, too, doubled and there was no credit back from the other insurance that had already been paid, they kept all of our paid insurance. The loan amount financed is $ 13,289.63. What happened to all we paid on for 37 months? The pay back is up to $26,264.25 and remember, we have no money to use. The payment now is $431.33 for the first month then $311.24 a month for 84 months.
I lost my job but I still payed this high payment for a year, total of that year was $3,734.88. Then it got bad. I lost employment, took a job at $7.50 an hour. I could no longer make that payment. So they dropped the payment down to $220.00 a month for 7 months. I asked if they could drop it lower and they came back with a higher payment of $231.00 a month and that is when I said enough. The bank is broke.
Now they are taking us to court and saying we still owe $7.500.00. How can we owe that amount when we have paid almost $19,000.00 on a loan that was $7,283.53 to start with in 2005? This is interest on top of interest on top of interest. The loan is paid off. Can I sue them for the over payment on this loan? And what should I do when we go to court? I need help.
