A “Scheme of Arrangement” is in place for borrowers from the Money Shop, Payday UK or Payday Express who were given unaffordable loans.
The ICL Scheme of Arrangement has paid the large majority of ICL customers who had a claim for unaffordable lending accepted in May and June 2021, see Money Shop, Payday UK / Express – Latest news for details.
What happens next?
A few people have not received the first payment
Two groups of people have not yet received the first payment.
1) bank payment not received
The normal reason for this is if ICL had the wrong bank account and sort code details. You may have typed them incorrectly or they may have been entered onto the ICL system incorrectly.
If you can send ICL your correct bank details, they will attempt to pay you again in July.
2) cheque not received
This may have been sent to an old address or got lost in the post. ICL has to wait 6 months before canceling these cheques. You need to give ICL your bank details. You will then receive the first payment and the second payment in December.
Small second payment to be made by ICL to customers
ICL is still receiving some money eg from a VAT recovery claim. The June 2021 Scheme update said that this will be distributed to customers by making a second payment in December 2021.
I have been told ICL expects there will be an extra £1.5m to be distributed.
This will be about 10% of the amount customers have already been paid, taking the 4.31% that was previously paid up to about 4.7% in total.
As an example, if you have already received £100, you will be paid about £10 extra in December.
This second payment will only be made by bank transfer. People who were sent the first payment by cheque will only get this second payment if they have given ICL their bank details.
This second payment will be the final distribution. ICL will be liquidated in January 2022.
How to contact ICL
To correct your bank details, email email@example.com.