Blog · Debt Camel

Is it a lot of work to run your own DMP ?

Most people use a firm to run their Debt Management Plan (DMP). In this case you make one monthly payment to the firm, who then divides it between your creditors. This is free if you go to StepChange, Payplan or CAP - other firms do exactly the same but charge you a fee each month. But you can do all this yourself, not using a DMP firm. The advantages of this are: you are in control; … [Read more...]

Debt advice in 2018 – my round up of the year

At the end of 2017 I wrote: Persistent credit card debt and overdraft charges tackled, bailiffs brought under control, SFS being used by all creditors, and a breathing space that will actually work in practice – that would be a good 2018. That would have been an amazing 2018 - I would have been happy with just a couple of those. But it is disappointing that none of them were achieved this … [Read more...]

Making bankruptcy look more scary than it is

It's natural to feel worried about bankruptcy, but some websites set out to make it sound a lot worse than it is. Some of what they say is simply wrong. Other bits may be right but they leave out important facts, so the issue sounds more difficult than it is in practice. And it's common for problems associated with bankruptcy to be listed in detail, but very similar points … [Read more...]

Is your refund from Vanquis right? It’s probably too small!

Have you had an email or a letter from Vanquis saying it is refunding you some money? In late 2018 tens of thousands of people are getting these refunds. Nice? Yes, but it may be too low... Some people are being given tens of pounds when I think they should get hundreds. And people getting hundreds should be getting thousands! There were no details of the refund in the email or letter … [Read more...]

Lending Stream stops customers complaining by email

Lending Stream has changed its complaints handling to make it harder for customers to make an affordability complaint and ask for a refund of the interest they have paid. Until recently you could send them a complaint email, as you still can to the other payday lenders. Now all emails to complaints@lendingstream.co.uk or payments@lendingstream.co.uk bounce back. Instead, you have to complete … [Read more...]

Settling old debts – ask for the CCA agreement

A reader asked: I have a Debt Management Plan where I still owe 17k to 10 creditors. I have been paying for ten years at £150 a month, so it will end in about 8 years. Most of the debts have gone from my credit record but a few are marked as “on a DMP”. I want to pay off the debts and improve my credit rating. I have been offered about 7k by a relative, so I could offer all my DMP creditors … [Read more...]

Debts – why, how & when to ask for the CCA agreement

The Consumer Credit Act (CCA) gives you the right to be sent a copy of your credit agreement and a statement of your account for most loans, credit cards, catalogues, store cards and Hire Purchase agreements. CCA agreements are important! If a creditor can't find it then: you can't get a CCJ for the debt; and you may decide to stop paying the debt. But the right to ask for the CCA … [Read more...]

Barclays & Barclaycard send letters offering a refund

UPDATE Spring 2024 Barclays is sending people some “NOSIA” letters – because Barclays failed to send you a Notice of Sums In Arrears letter and because of that it is refunding interest after the date the letter should have been sent. The Response Form can be found here https://www.barclays.co.uk/help/remediation/orf/ – that is a genuine page. It says some people may need to send a picture of … [Read more...]

Complaining to the Financial Ombudsman – what happens

When you have a complaint about a loan, credit card, mortgage, pension or insurance and you can't get it settled with the company, send the complaint to the Financial Ombudsman Service (FOS). FOS describes what happens: Your complaint will be investigated by one of our case handlers, who will try to understand what happened and if the business did anything wrong. Your case handler will let you … [Read more...]

FCA will cap BrightHouse prices and interest from April 2019

The Financial Conduct Authority (FCA) is capping the cost of buying from BrightHouse, PerfectHome and other pay weekly shops from April 2019. This is very good news. It is not just a cap on the interest, where the FCA has imposed the same 100% cap that currently applies to payday lending. The FCA is also proposing controls over the prices of the goods the shops are allowed to charge. … [Read more...]

Can a debt collector or a lender call you at work?

A reader asked: I work in a Finance Department and I am worried I will be called by a debt collector about a credit card. Can I say I don't want them to call me at work? This is a common worry. Whatever your job, you don't want your manager or your colleagues to know you have money problems. It could be a lender or a debt collector, it could be an overdue bill or a debt. Creditors should … [Read more...]

What happens after an IVA fails? What can you do?

Your IVA seemed like the perfect solution when it began, but now it may be failing. Will you be back to square one and have difficult creditors to deal with? Or could you even be made bankrupt? First, there may be ways to rescue your IVA An IVA failing may not be a disaster, for some people there are better options! That's what the rest of this article looks at. But don't assume nothing … [Read more...]

How the Wonga administrators will handle refunds – the Proposals

The Wonga Administrators sent a letter in late October to some of Wonga's creditors with their proposals to handle the administration. These include: background on the events before administration; how to decide the payday loan affordability complaints that have already been sent to Wonga; and how to encourage other customers to submit a complaint. These Proposals were agreed by a … [Read more...]

QuickQuid – misleading customers about loans over 6 years old

Mr X has received a reply from QuickQuid saying why it will not consider an affordability refund on payday loans that are more than six years old. This part of QuickQuid's reply isn't related to the details of Mr X's case. It looks like a standard response QuickQuid is sending everyone whose complaints include these older loans. I often see pretty poor replies from payday lenders to people … [Read more...]

Dear Payday Lender CEO – should you start a redress program?

On October 15, the FCA sent a Dear CEO letter entitled Affordability of High Cost Short Term (HCST) loans to payday lenders. This letter tells the lenders to review their affordability assessments. There are some very clear points about what the FCA expects a payday lender to do if it is not making good affordability assessments now or hasn't done in the past. "Chains of loans" over an … [Read more...]