*********, ********* Home Loans contracting

I contacted Absa to apply for a further advance on my Home Loan. I wanted an extension on my existing loan, not a Multi Plan account. I was told that without a Multi Plan account I would not get a favorable rate. Application was submitted, valuation done, application approved and I was sent a quote. The consultant read it to me over a voice recorded telephone conversation and I agreed to proceed. Straight after the conversation I decided to do some calculations. I was advised to take the Multi plan because of the great rate of Prime less 0.4% ( My original loans is at Prime, so it is only a 0.4% reduction). 0.4% on an additional R150,000 loan is R50 less than if it was on the original loan and rate ( Prime). While this sounds good, I now have another Home loan account, with another account number and an additional Monthly service fee of R68,50! So in actual fact a Multi plan costs me more! No wonder they are willing to provide a rate concession below prime, as the new service fee that is levied more than covers this! This is *********, underhanded and devious way to get clients to think their bank cares and yet you actually make even more money this way! I am sure that almost all clients do not even realise this! I I then emailed the consultant to say that I would rather have 1 account than this " more beneficial" Multi Plan account. She called me back and said she had just accepted everything on the system and if I wanted it changed she would have to start all over again, and I would probably get a rate of 11.3%, which is what another client had just received. Having worked for Absa for 13 years, I understand the credit scoring system very well and so I find it hard to believe that the this change will amend my rate to a new rate above prime. I expect my loans to be amended to a single facility and approved at a rate of 10.14% (Prime less 0.11) which is the average of the rates that I was offered on a Multi plan account.