Not hard to pick the top debt news this week: Wonga!
Tweet of the week
Possibly one of the last Wonga refunds to be paid in full:
— Debt Camel (@DebtCamel) August 30, 2018
Implications for refunds and customers with current loans:
- Wonga no longer – latest news on refunds My article – I will be keeping this up to date as more details emerge from the administrators
- What will happen to your Wonga debts if it collapses and what are the compensation claims? Sun: The payday lender has confirmed its closure meaning administrators will take over the debts.
- Wonga: Will my debt be written off and other questions answered BBC
Why Wonga isn’t covered by the FSCS – my article.
A couple of contracting articles from the Guardian:
- I won’t cheer if Wonga fails. I was grateful it was there for me Don’t paint the most famous payday lender as a villain, it performed a valuable service in a troubled society.
- Wonga made borrowing too easy – none of us will mourn its demise The payday lender went a long way towards creating demand, not just satisfying it.
Yes, Wonga has gone, but the money sharks still circle Stella Creasy writes in the Guardian: For the sake of every cash-strapped Briton, our priority should not be to dance on Wonga’s grave but to stop this happening again.
Wonga collapse leaves Britain’s other payday lenders in firing line Reuters: “This is just the starting gun for mis-sold credit, and it will define the landscape after PPI,” she said, adding her company was planning to start managing claims on automatic credit card limit increases and doorstep loans. – looks like someone has been reading Debt Camel!
If Wonga falls, responsible credit providers must be there for those in need Michael Sheen writes in the Metro: The regulators can only push down on the likes of Wonga and exert pressure on them from above if the fairer alternatives are adequately supported to take up the slack.
Other debt news
High-interest lender set up by billionaire dubbed ‘legal loan shark’ cashing in as hard-up customers flock to use its products Mail: Amigo said revenues in the three months to June 30 were 47 per cent up on the same period last year, at £62.9m.
Our Debt: The True Cost ITV Martin Lewis tells tonight’s programme: “So do we have a crisis with eight million people who are struggling to sleep at nights because of their debts? Yeah, that’s a crisis if you ask me.”
Credit crisis, what credit crisis? British families have racked up a record £213.5BILLION debt amid fears the market is ‘overheating’ Mail: Families spent £900 more than they earned in [the year to July] and the debt mountain, which excludes mortgages, is now £5.2billion higher than its previous peak in 2008 – at the start of the financial crisis.
Cut price funeral plan aims to provide a dignified send-off without people getting into debt Liverpool Echo: “People are blowing their savings, getting loans and getting into debt because the costs of funerals are rising rapidly.”
Best new mortgage rates revealed: Loan bonanza for first-time buyers as prices fall despite BoE rate rise Mail: Rates at 95 per cent loan-to-value have never been lower.