Did your payday loans cost so much when you repaid one you had to keep on borrowing?
You can get a refund of the interest you paid on unaffordable loans.
It’s easy to ask for a payday loan refund using the free template letters here. The letters work if your payday loans were repaid or you still owe money.
The comments below this article have thousands of stories of the refunds people have got using these letters. It is a great place to ask questions!
Contents
What are “unaffordable” loans?
Was a loan affordable just because you repaid it?
No! If paying a loan left you so broke you had to borrow again – from the same lender or a different one – it was unaffordable!
The regulator says:
“the borrower should be able to make the required repayments without undue difficulty, whilst continuing to meet other debt repayment obligations and reasonable regular outgoings.”
That means a payday loan is only affordable if you repaid it on time and you could still manage to pay your other bills and debts.
Payday loans are meant to solve a short-term problem. If you kept repaying one then getting another loan soon after, the lender should have stopped lending to you.
If the loan was small and it was the first loan or second loan from a lender, the lender may not have realised the loan was unaffordable for you. But it was irresponsible lending to just carry on giving you more loans.
Many lenders ignore obvious signs of problems such as your loans increasing in size, or borrowing again soon after repayment.
How much compensation can you get?
You don’t have to calculate this. Just ask for a refund from the lender and see what you are offered. This is simple and it works well.
The Financial Ombudsman has seen tens of thousands of payday loan affordability complaints.
A typical decision by the Ombudsman is that the payday lender should refund all the interest you paid interest after the third, fourth or fifth loan.
But if your first loan was large, or was rolled over several times you could get a refund from just one loan.
Which lenders can you get refunds from?
You can complain to lenders that are still in business, even if they are no longer lending. These include:
Lending Stream, Cash Converters, CashASAP, Drafty, Dot Dot, Fast Loan Uk, Fernovo, Fund Ourselves, Kabayan, LoanPig, Mr Lender, Moneyboat, MyKredit, My Finance Club, QuidMarket, Savvy, The Money Platform, WageMe, Wizzcash,
See this email list for payday lenders for a longer list and all the contact details to use.
If the lender has gone into administration, including CashForUNow, Piggybank, Ferratum, Oakam, Safetynet Credit, Tappily:
- make a claim to the administrators – there is normally a simple form for you to complete, see the lender’s website for details – but there will be a time limit for doing this.
- you may not get much cash back but this is very easy to do. A balance may be reduced or cleared even if there is no cash to distribute. And if you win the complaint any negative marks on your credit record will be removed.
It is probably too late to make claims to other lenders who gave up years ago, see this list.
For longer-term loans there are better template letters to use on other pages:
- doorstep lenders and guarantor lenders,
- Loans2Go – the worst loans in Britain!
- 118 Money, Likely Loans, Bamboo, car finance, bank loans and other long-term loans.
Do this before, before you send in a complaint
Doing these things now will make your life easier later.
Get a copy of your TransUnion statutory credit report and keep it. After complaints are started, sometimes loans are deleted and you may want the full report if you later have to go to the Ombudsman.
If you still owe money to the lender, read Will an affordability claim hurt my credit record, and other questions. These looks at your options for stopping paying, the effect on your credit record etc.
If the rest of your finances are difficult, look into a Debt Management Plan (DMP) where you make one affordable payment a month to StepChange. This gets you into a safe financial position as these affordability complaints can take a long time to go through at the Ombudsman. Winning a complaint then speeds up the DMP.
Unless you can afford to make this month’s payment without borrowing again, cancel the CPA to the lender at your bank. Otherwise the lender may take the money and you will be in a mess.
If your loan was sold to a debt collector you complain to the original lender. But also tell the debt collector that you are disputing the debt. It is a good idea to carry on making payments to the debt collector if they are affordable.
Start your complaint & get loan details
Find the lender’s email address for complaints from this list.
Put “AFFORDABILITY COMPLAINT” as the subject of your email:
You should never have given me these unaffordable loans. Paying you each month left me with too little money so I had to keep borrowing to get through the next month.
You should have realised from the number of times I borrowed that my debt problems were getting worse. It was not responsible to continue to lend to me. [Add more details eg how often you borrowed or rolled loans if you know them, how the amount borrowed generally went up etc]
[Include/change this if your credit record would have shown big problems:] My credit reports would have shown all my other debts and problems including late payments/defaults /CCJs/debt management.]
I am asking you to refund the interest and any charges I paid, plus statutory interest, and to delete any negative information from my credit record.
[delete this sentence if you know what all your loans were.] I know the difficulties your loans have caused me but I no longer have all the loan details. Please send me a list, showing for each loan when it was taken out, how much interest and charges you added, and what I repaid. This will enable me to assess any refund you offer me.
[delete this sentence if none of your loans were sold.]If a loan was later sold to a debt collector, please inform me of the date of sale and the name of the debt collector.
Some ways to improve this
Add any other points that help you describe what happened to you. You don’t need to list the loans – the lenders knows them.
Some examples:
- “I took out another loan with xxxx to pay you.”
- “Sometimes I borrowed to pay the rent and then had to top-up to get money for food.”
- if you weren’t treated fairly while you were borrowing or when you could not make a payment, add a bit about this.
You can attach bank statements if you like, This is a good idea as these show how unaffordable the loans were for you. If you have gambling showing, this helps your complaint, it doesn’t harm it.
I don’t know if many lenders actually read what you send them. I
it’s easy to make these complaints – you don’t need to calculate what refund you should get or quote laws.
Only one loan?
The template refers to multiple loans because that is what normally happens with payday lenders.
When you only had one loan and it was large, read Refunds from large loans and use the template there.
If you only had one loan and it was small, this is going to be a very difficult complaint to win. If you have borrowed once or twice from 5 leaders, that is much more difficult to win an affordability complaint than having 4 or 5 loans from two lenders.
Waiting for a reply from the lender
This email starts your affordability complaint.
They may send the list of loans first and later respond to your complaint. So don’t be surprised if you get sent info on the loans but nothing about your request for a refund.
When you get your loan information, you can send in more details about your complaint if you want. You don’t have to do this, your complaint has already begun and the lender has to reply.
The lender should reply to your complaint within 8 weeks from when you send the email, not when they acknowledge it. Make a note in your diary for 8 weeks time and chase the lender up if you don’t get a reply.
Don’t be surprised if you have to wait until the end of the 8 weeks to get response – this is common.
Send your bank statements or other information?
Some lenders ask you to send them a copy of your credit record, payslips or bank statements.
Credit record – the lender can check your credit record themselves if they want. But you should download a copy of your credit record asap as the Ombudsman will ask for it. Don’t put this off, the sooner you get a report downloaded, the further back it goes which is good.
Don’t send payslips – they won’t help an affordability complaint and the ombudsman never asks for them.
It is a good idea to send bank statements. But think twice about the cost of copying and postage if there are a lot. Some lenders seem to ignore them if you do send them.
Again this is a good point to get those bank statements even if you do not want to send them as they will help an Ombudsman claim a lot. You can get them going back at least 6 years even if the account has been closed.
Lender says No or makes a poor offer
If the lender rejects your complaint or offers you a small amount, don’t be depressed. You may still have a very good case!
It is easy and free to send your case to the Financial Ombudsman where many thousands of people have won their payday loan complaints, despite being rejected by the lender.
Give up?
Some lenders try to make your case sound bad when it isn’t. People have had large amounts refunded after a complete rejection!
Just ignore any of the following comments, they do not mean you have a weak case:
- they relied on your loan applications and you didn’t give accurate facts – see Lender says I lied for more about this;
- you repaid some loans early – this doesn’t prove the loans were affordable, just that you were trying to save interest;
- your borrowing didn’t go up every time – irrelevant, what matters is that you kept borrowing;
- you had a good enough credit score or they didn’t legally have to check your credit record – if you only had one or two small loans that is true. But if the loans were large or you kept borrowing, they should have looked more closely;
- your loans are over 6 years old – the Ombudsman will look at these even if the lender says they won’t!
A good enough case to go to the Ombudsman?
If you don’t know what to do, ask in the comments below this article. Accepting an offer settles your whole complaint – you can’t change your mind later.
Don’t worry that you will lose a small offer by going to the Ombudsman – this doesn’t happen.
Some points to think about:
- if you are offered a refund on only a few loans, don’t accept it if you think the lender should have realised a lot of the other loans were unaffordable;
- an offer to write off your current balance may sound convenient … but it may be very poor if you should get a refund as well;
- if getting defaults or late payments removed from your credit record is important to you, are you happy with what the lender is proposing to do? Don’t assume your credit record will be cleared if the lender didn’t mention this.
One or two loan cases are hard to win at the Ombudsman. It’s probably best to give up on one or two loan cases unless:
- the loan was large. Here is one single loan case that was won even though it was an installment loan and the borrower had a good income. And another single loan case for a loan of £1,000. You can win cases for smaller amounts if the repayment would have been a large amount of your income; or
- you still owe money.
Don’t delay too long – there is a 6-month time limit after a lender rejects your complaint to send the case to the ombudsman. When you aren’t sure, send the complaint to FOS. This is easy to do – let FOS make the decision.
How to send a complaint to FOS
Put in a separate complaint about each lender.
Don’t wait until all your lenders have replied before sending the first one to the Ombudsman!
FOS’s “complain online” option is easy and takes you through your complaint step by step.
You can just copy what you said in your complaint to the lender. You can add more details, for example, if you disagree with what the lender replied to you.
If some of your loans were over 6 years ago, tell the Ombudsman when and how you found out about these complaints. For example:
“I knew the loans were causing me difficulty in 2016, but I thought this was my fault for being bad with money. I didn’t find out that the lender should have checked the loans were affordable until June 2022 when my brother told me about these claims/I saw an advert from a claims company on Facebook/I read an article about these claims” – change this so it is right for your case!
Things to attach:
- the reply you have had from the lender.
- bank statements if you have them. Ideally from 3 months before your first loan until the last loan was repaid or you defaulted on it. This strengthens your case, showing how unaffordable the loans were. You can still get bank statements even if your account is closed – if you don’t have them, start the process of getting them now, don’t wait until FOS asks for them.
- a copy of your TransUnion Statutory credit report
- a copy of the credit agreements for the loans if you have them. If you don’t, don’t worry, FOS will get them from the lender.
What happens after you have sent a case to FOS
You will normally be contacted within a couple of weeks and asked for a copy of your credit record and your bank statements if you haven’t sent these. If you have sent these on one complaint, then when you complain about a different lender they will use the ones they already have.
After this initial contact, your case will wait for the lender to send FOS your case file and then wait to be picked up by an adjudicator who will make a decision on it.
If you are still making payments to the lender, tell the lender you want to reduce these to an affordable amount. This will make waiting for an Ombudsman decision much less stressful for you.
The Financial Ombudsman has a two-stage process. Most cases are settled by the first “adjudicator” stage but about 10% go to the second “Ombudsman” stage.
A few problem cases
Don’t ask for a refund:
- if you are bankrupt now or have been bankrupt in the past – any refund would go to the Official Receiver.
- if you are in an IVA, as refunds will go to your IVA firm not to you. If your IVA has finished the refund may still be sent to your old IVA firm.
- if you are in a DRO now, getting a refund may mean your DRO is cancelled!
More help
You can ask a question in the comments below – you may get a reply from someone who has been in your exact situation.
Don’t use a claims management company. They are expensive and often incompetent. It’s easy to do this yourself and you can ask questions below and get replies from other readers who have done this.
Card & catalogue affordability complaints
Can you get an overdraft refund?
Could a Debt Relief Order help you?
Andrew says
Hey :)
Hope I can explain this without making an essay!
Had a loan with 247moneybox. In July 2019 entered a payment play with them. Around November 2019 I entered an affordability complaint as I had 9 pretty much back to back loans.
They stopped taking payments in December 2019 and my balance was £822.
I tried calling an emailing but never get a reply. At one point I just gave up trying. However this week, so over a year later I updated my address with them and they finally responded. So I decided to ask about my balance and complaint.
My balance is at £822 and find it mad they never responded to me but equally never sent me an email, a call or letter about this amount – surely they would have chased me for this? Also the balance to me suggests no refund complaint was upheld.
They claimed that they did get in touch with me about my complaint and decisions were sent out. I haven’t got mine?
They’ve also said if I pay £411 they will close my account and settle the loan. I’m very tempted by this as I don’t claim to not owe it and I just want this sorted. Is this the right thing to do?
Sara (Debt Camel) says
It is a shame you let this drop and didn’t send the case to the Ombudsman.
Have you asked them what the decision was?
The last loan, how large was it? How much have you paid so far?
Andrew says
I did actually send this to the ombudsman. I did this through resolver. I can’t remember what the reply was. I think something along the line of because they are recently in administration they will deal with this on a longer time frame and kind of sent it back to them. (This is a good lesson for me to save everything down)
Yes – yesterday I’ve asked for copies of the decisions made on my loans and in terms of balance I think around £150 before reaching financial issues. Then when a payment plan was set up for £30 a month, I paid about 2 payments of this before payments stopped.
Thank you :)
Sara (Debt Camel) says
how large was the last loan? Are you surprised at the £822 balance?
Andrew says
The last loan was £750
I’m surprised in the sense because of my own assumptions – which I know you should never assume. Because I complained, because they stopped taken the payments, because they didn’t reply to my emails and because the balance is the same as it was when I started my payment plan – I’d have thought it would have some sort of reduction. My best guess what that it was taking a lot of time to get through all the complaints but something was happening so I didn’t expect the balance to be the same as it was back then.
However – mentally I’d prepared for this situation where eventually they would get in touch and the balance would be the same. I am happy to pay what is owed and I know I can’t escape that and if I do need to pay to settle, I would – I would just hate to rush into this and it turned out they didn’t bother with my complaint/nothing was applied.
I think I am going to bite the bullet a bit and just pay – the relief i feel just knowing they have actually spoken to me and the fact there is an option to close this would be such a relief for me.
I have spoken with the financial ombudsman about this – is it best to wait and see what they say before committing to any payment? have got an email drafted explaining that I accept the settlement fee and to confirm this will stop all liability, contact etc before paying the amount
Sara (Debt Camel) says
ok but if they stopped taking the payment by DD, then your credit record should not have been affected. You should ask them to remove the missed payments / default.
Andrew says
another strange thing was that the credit file wasn’t affected – it all positive and no mention of a missed payment! it does feel like a strange carry on lol
thanks so much for your help :)
Sara (Debt Camel) says
OK, make sure you have a copy of your credit report showing that downloaded so you can keep it.
Sean says
Hi Sara, i know its too late to put a claim against QQ but is it possible to take a case to FOS to dispute an unaffordable loan? i have a default on a loan from them and believe the loan shouldn’t have been issued.
Sara (Debt Camel) says
No – once a company is in administration you cannot take a complaint to FOS.
Chantal says
Hi Sara,
I made a complaint to Ferrartum over 9 loans that I took out between 2018-2019. There was a break between loans 2-3 of 6 months but loans 3-9 were in successive months as I borrowed more to pay off interest (I had lots of other payday loans at the same time too).
They offered me a redress on loans 7-9 saying that by then they should have recognised a reliance on borrowing from myself. I turned it down and asked for them to extend their redress to loans 5-9 (by their own logic surely they would have seen a pattern by loan 5?). They said no.
I escalated to the FOS but my adjudicator wrote to Ferrartum only asking for redress on loan 9, even though Ferrartum themselves offered redress on more loans than this?! They were quick to accept his request and they’re both now waiting for my response.
Surely the adjudicator should have taken my initial request into mind when communicating with Ferrartum instead of asking for even less. Should I escalate to the Ombudsman, I’ve heard that over 90% of cases side with the adjudicator :-/
Sara (Debt Camel) says
If you feel the increasing size of your Ferratum loans and your other debts meant Ferratum should have realised you were in difficulty by loan 5 or 6, then its worth taking this to the Ombudsman.
Paul says
Hi
I have used the letter for an affordability complaint with Peachy. They rejected my claim. I advised them I was going to the FCA and now they have requested my bank statements/credit reports/payslips from 2018. Is this a fair request from them?
Sara (Debt Camel) says
Peachy are in administraion – you cannot take a complaint about them to the Ombudsman anymore. I suggest you do provide your bank statements and credit record – if they show your income there isn’t a need to supply payslips and you can say this.
Kelly says
Hello, does anyone know the current status of 247 Moneybox? Can I still make an affordability complaint to them? Thanks.
Sally says
Hi Sara ,
First of all I would like to thank you for this site , such great comments and full of experiences
Update of my last three cases .
Mrlender had not agreed to the adjucator decision, so went to ombudsman on 9th April. I was not expecting a final decision so soon , on 26th April the ombudsman has made his final decision and has upheld my complaint fully .
I’m in similar position with carcashpoint, still awaiting ombudsman decision since March 12.
Sara (Debt Camel) says
Excellent, both that you won the Mr Lender case and that the Ombudsman decision was so quick.
Kal says
Hi Sara,
I am hoping you can help me. I sent an affordability complaint to 247 Moneybox yesterday. I have received an email back today saying that they went into administration and that the administrators sent an email to everyone who were due redress. I was totally unaware and received no email, I’ve been told it’s too late. My loan was passed to ARC about a year ago and I cleared my balance early this year. If they went in administration then was ARC right to have let me clear all remaining funds? I feel like I have paid something that I shouldn’t of. I hope this makes sense. Thanks.
Sara (Debt Camel) says
If they went in administration then was ARC right to have let me clear all remaining funds?
I don’t think ARC was obliged to inform you of the administration.
Ronald says
Hi Sara and everyone
This site has been so useful, so this is my 1st time posting. So I placed an affordability complaint against Moneyboat in June 2020 last year all send by special delivery and was accepted. 8 weeks passed no reply. So forwarded my claim to the FOS, my case was eventually picked by case handler December 2020. Funnily once the FOS informed them of my claim. They emailed me a letter of the complaints procedure as if they never received my complaint back in June 20. In that seemed to me what appeared an indirect threat that they will report me for fraud! Didn’t bother me just emailed sorry you had your chance case is now with the FOS.
After the FOS chasing and chasing for my file with them eventually February 21. The case upheld my claim in my favour gave them a deadline to respond by. Suprise, suprise they didn’t even acknowledge or reply back to the case handler assessment. My case is now is now with the ombudsman for a final decision.
Do you they actually payout? I have read reviews on trustpilot and I’ll be honest their 5 star reviews seems very suspect! The one star reviews I see alot of them similar to mine. I believe their is one complaint that is gone through two decisions in the customers favour and they have yet to still acknowledge and pay them.
I’m just wondering if anyone on here is having the same problem?
Thank you
Delyth says
Hi
Moneyboat rejected my claim last year. It was sent to fos and the adjudicator stated that they needed to pay the interest of my 3rd loan back. They had until the 20th April 2021 to reply. A few days later they accepted the findings and fos asked if I accepted the offer, which I did. Moneybox have emailed today to ask for my bank details. I have supplied them and should revieve £300 in 5 days
Ronald says
Hi there,
That is good to know, so you’re case they accepted the assessment the first time round. They completely ignored the case handlers assessment in my case. Now I have to sit tight and fingers crossed, the final decision sides with the case handler assessment in my favour.
So frustrating though because they have used every excuse with my case, they claim they were busy due to covid-19 but funnily decide to email me as soon as FOS got in contact and indirectly threaten me. Then when sending my file over they only sent half what was needed for the FOS, just feel it delay tactics.
I’m happy to hear that yourself will be get money back, so there is hope.
Hannah says
Hey, can I just ask out of curiosity how long the complaint took for FOS to sort? I have had a few complaints refused.
Ronald says
Hi Hannah
To be honest it just depends on each complaint, and how much the payday loan they will cooperate with the FOS. Also take into consideration the pandemic that will have delayed the progress of each complaint, and not to mention the amount of complaints the have had to deal with.
Like you had I have a few complaints, I had one with Fernovo letter sent to them on the 7th August 20 no reply so filed my complaint to the FOS. 3/11/20 the FOS acknowledged my complaint. 8 Jan 21 case handler emailed with an assessment and upheld the case in my favour. And gave them a dead line to respond by 22 January. 18th January Fernovo accepted the FOS decision and within a week my refund was in my account.
Just have to sit and wait till the FOS get round to each case unfortunately. As you can see with Moneyboat I feel they are being unresponsive to the FOS.
Delyth says
I think I’ve been quite lucky. And it probably helped that the adjudicator only recommended 1 of 3 loans be repaid. But yes, they picked it up straight away. I was expecting to have to chase it after 4 weeks, but thankfully not.
Good luck with your claim
Lynne says
I found Moneyboat very difficult to deal with. They took me to court over £350 with no correspondence prior. I kept up payments but I did put an unaffordability complaint in against them and, like others have said, they threatened me saying they will report me for fraud. It’s obviously a scare tactic but very underhand.
Also when I asked them about a settlement figure to close the loan early they said they couldn’t do that as I was out of my original contract time. That didn’t sound right to me as other lenders let me settle a long time after the original loan was taken out.
Ronald says
Hi Lynne
It doesn’t make sense at all they would not let you have a settlement figure. They took you to court again to me that’s like bully tactics. As soon as they sent me an email asking to put my complaint again, with an indirect threat off fraud. I knew straight away were this was heading, so didn’t get directly into it and told them straight. Can I ask is everything sorted now?
Lynne says
Hi Richard thanks – no it’s not. There’s a bit left to pay on the CCJ and I just wanted it off my record or at least marked as partially settled.
With that in mind I asked them what reduced settlement figure they could give to pay it off sooner rather than later and they just said that I’d have to pay the full amount owing as the loan was ‘out of contract’. I don’t know if it’s different coz it’s a CCJ debt but with other lenders such as 247 moneybox and ferratum they just let me pay a reduced amount to close the loan and remove it from my file! That’s all I wanted.
Sounds like moneyboat are just being awkward then.
Lynne says
Sorry Ronald – been a long day 😂
Dylan says
Hi Sara
I originally applied for 200 loan in 2019 and was rejected and offered a 500 Loan from another providerwhich was loans2go. This turned out to be 3x longer in duration and in price. It was most likely not financially viable for me at the time and and no affordability was carried out. The balance sits at 2057 for a 500 loan, is it worth trying to fight against this?
Sara (Debt Camel) says
Yes! See https://debtcamel.co.uk/worst-loan-in-britain/
Nick says
Hi, can anyone help!
After 8mths the FOS have finally appointed an adjudicator and are looking into my complaint against everyday loans. Has anybody been in the same position recently? How long have EDL taken to give the FOS all the relevant information and how long have you waited for your claim to be resolved?
Any help would be greatly appreciated.
Sara (Debt Camel) says
FOS doesn’t normally allocate an adjudicator until the lender has provided the case file. Most EDL cases are discussed on the page for large loans so see the comments here https://debtcamel.co.uk/refunds-large-high-cost-loans/
Amanda says
can i ask anyone thats have their complaints picked up by ombudsman did yous have to file in a complaint form and sign a hard copy before they would look into complaint? I have sent all documents they needed but they now asked for a signed complaint form. didnt know if i could just do it electronically or do i have to print it and then send it?
Ronald says
Hi Amanda,
Will all my complaints, I downloaded the forms and manually filled them in and signed them. Then scanned and send them as an email attachment. All cases have been acknowledged.
Ross says
I’ve used the FOS, on several occasions, and have done everything online without the need for ‘hard copies’ and postage. The only time I have had to sign anything is when a lender requires you to sign an acceptance form, via your FOS adjudicator. I think if they expected everyone complaining, to be signing/sending hard copies, they would have so much paperwork, they would be buried in it? Please correct me, if I’m wrong, as this could be a new thing I’m not aware of but it would seem pretty strange. all the same?
Emma says
Yes, same here .All done through website , signed ,scanned and emailed back over.
Regards
Emma
morgan armstrong says
Hi sara ive used this forum before and find it reqally helpful and yet again asking for some advice on figures if possible.
My payday loan with loans2go has been upheld from 2018 1st loan £750 paying £169 p.m and paid it back 6 weeks later
2nd loan £750 which was £171 and paid that for 6 months before paying the balance off whatever it was. Would you know the interest and refund i would get from these two?
Mnay thanks
Morgan
Sara (Debt Camel) says
No, sorry unless you know what the settlement amounts were it’s not possible to guess how much interest you paid.
PJH says
Awesome news. Got my Payday Uk redress today paid into my bank. Too my surprise I have received the full redress amount. Not 4p in the pound as everyone is saying. I’m made up. Hopefully others get the same full amount like i did. Good luck with that.
Sara (Debt Camel) says
Before everyone gets too excited about this, did you make payments to ICL after the start of the administration? Because those amounts should be repaid in full. This refund is NOT the same as the 4p in the pound you will get back on the interest paid.
S says
Hi, I’m unsure on contacting Drafty regarding the above.
Back in 2018 I went abroad on a contract. Whilst there I found myself in increasing financial difficulties due to poor income.
I applied for a Drafty loan and was granted a total of £600 revolving credit line. Checking the statements, there are constant withdrawals within days of each other with increasing debt from the onset.
At the same time, I was defaulting everywhere, my bank, my phone bills, credit cards, everything.
I notice that in august of 2018 they actually increased my credit limit to £720.
I’ve not heard from Drafty since July 2019, they had issued me with a notice of termination in the January of the same year.
They advised me that they had passed my account to a debt collector, I actually agreed a Payment Plan. They then retracted the account and bought it back the same month claiming an error on their part. Nothing since.
They advise I owe over £800 in July 2017… but no contact makes me nervous to contact.
I just don’t want to poke the fire as they’ve registered nothing on my CF – not even the default they’ve issued?!
What are your thoughts?
Sara (Debt Camel) says
What credit report are you looking at?
Lynne says
I just checked Experian. Lending Stream have taken the loan off my report and my scores gone up by 125 points! I’m over the moon. The only issue on there now is online shopping accounts from 4-5 years ago, but so far they’re refusing to budge in terms of taking them off.
I did notice though that vanquis card is still on there and I opened the account in 2010! Should that not have dropped off by now? 11 years seems a bit excessive.
Sara (Debt Camel) says
Accounts drop off 6 years after they default or six years after the account is settled/closed.
Lynne says
Ahh thanks Sara great. So on closer inspection the default was July 2015 and there’s another default from August that year too so that means those 2 will also vanish this summer hopefully 🙏🏻
R says
Hi Sara
I have a quick question. If you take out a loan thats to be paid back over a number of months, should this be recorded under ‘personal loans’ on your credit file? I have 2 agreements that last 6 months and 12 months and both of which have been settled under “other loans” which i believe is key word for Payday loan and yet i would deem a pay day loan as something is paid back 1 month within borrowing?
If im correct, should a lender change this since it impacts on mortgage applications?
Sara (Debt Camel) says
the legal definition of a payday loan is a loan with an APR of over 100% and a term of one year or less. This covers more than just the old-style payday loans that were repaid on your next payday.
Chris says
Anyone else here waiting to hear from 247 Moneybox regarding their redress claim? The administrators of this are another lot that seem to be dragging things out, no communication since last year and all that’s happened so far is the ‘Redress Claim’ area has disappeared, presumably because it’s now past the time to claim but those of us who have put in claims are hearing nothing, well, I’ve not heard anything at least, I’m not sure about anyone else.
Faye says
Hi, my redress was turned down by 247 money box 23 loans 12 one after another sometimes re lending on the same day as re paying then a gap of a few months then another 11 one after another £13000 paid in interest..email at the beginning of the year saying no redress as my loans didn’t fit their methodology beggars believe.. they said if I wanted to send bank statements and pay slips in I could, I closed the bank account 5 years ago, and pay slips were all electronic and company closed 4 years ago so can’t access pay slips as log in details were on an old phone .. I’m so cross because if someone is lending month after month it’s clear they have a cash flow problem. When I have spoke to them they are very dismissive and quite arrogant not helpful at all, I’ve decided to write it off and learn from my mistakes. I think this whole payday redress is a utter disgrace with nobody to fight our corner
Wendy says
Hi Chris, if this is the same people who are dealing with ‘Money Shop’ I am emailing them daily now, they said they were paying out in April now it’s May, it’s getting beyond a joke
Nats says
Has anyone had an update regarding piggy bank? I haven’t heard anything since the administrators were appointed well over a year ago now. …
Ronald says
Hi Nat,
I received correspondence from them back in February, but that’s because I placed an affordability complaint against them, even though they went into administration. Basically they addressed my complaint, and sent me a calculation of the potential redress according to the two loans I had with them, obviously won’t be the full amount once paid out.
Classed me as unsecured creditors. Had till the 3rd March to accept offer. Gave them my updated bank details So now it’s just a case of me waiting for my payout, and waiting for correspondence from the administrators to inform the unsecured creditors will take place
Lon2501 says
Hi Sara
Quick question for you – when a lender does a hard search and reviews a credit report, are they able to see the name of the companies that did searches soft/hard? i.e. I am applying for a mortgage, but last month I also changed my current account so a bank did a search under my name. Will they see a bank or a loan etc or will they just see the name i.e. Barclays or BMW insurance etc?
Thanks
Sadaf
Sara (Debt Camel) says
A lender looking at your credit record can never see the names of other lenders, not for debts, not for searches.
Andrew says
I have emailed Lending Stream regarding a refund on a loan I made to them while I was in a financial mess. My credit file at the time will have been awful but they still loaned me the money which I was unable to repay. They have replied offering me a £25 refund but do not agree with my complaint. I am still paying the balance off which is now with a 3rd party via my DMP . I am unsure wether to accept this offer or to take it further. I was not entirely truthful when filling out the expenditure part of my application due to wanting to get the loan. Any help would be appreciated. Thanks
Sara (Debt Camel) says
How large was the loan?
Andrew says
Hi Sara, thanks for the quick response. It was £250 but the balance I owe now is around £390.
Sara (Debt Camel) says
it is very unlikely you would win a one loan case at the Ombudsman when the loan was that small.
How large are the total debts in your DMP? How much are you paying each month to it?
Do you have any other debts outside the DMP?
Andrew says
Debts are around £12k now. Been in the plan for 3 years. Paying £154 a month and no debts outside the plan.
Cazza says
Has anybody heard back re an appeal of the CashEuro Net scheme.
After Quick Quid, Lending Stream, Wonga and WDA all upheld my claims Onstride refused which I think is bizarre as they upheld my QuickQuod ones before they went into administration.
I appealed via the appeals email on the 8th February and have heard nothing. I provided bank statements and credit report so that they can see how awful my finances were.
If the reject is there an alternative to the FOS?
Sara (Debt Camel) says
yes, some people have had their appeals upheld.
Blue says
Hi Sara,
I have been chased by Merlingen Investments and now Moriarty Law for a debt to Vivus taken in 2016. I had a complaint in with Vivus but they went out of business before it was dealt with and now they don’t exist. I haven’t acknowledged the debt with Moriarty law but asked for a credit agreement and proof – they sent me A credit agreement but not one with my signature on or any indication of electronic signature. I haven’t replied to them yet.
They are threatening to apply for CCJ and what was a £300 debt is now £600. I still haven’t acknowledged it and I do believe it was lent unfairly. Do I have any way ahead?
Any advice gratefully received, thank you for all you do.
Sara (Debt Camel) says
How many loans did you have from Vivus before this one?
What other problem debts do you have?
Blue says
Just this one loan with Vivus but I’ve had problem debt for many years that I’m finally getting on top of. I have had redress from other Payday and Guarantor lenders in the last two years.
Sara (Debt Camel) says
Then realistically you would have had very little chance of winning an affordability complaint about this. Are you making payments to other debts? If you can make a settlement offer, Lantern may settle? Or you can make an offer of monthly payments?
Matt says
Hello everyone
Did anyone take out payday loan with Cash Converters?
Can I clam anything from?
JR1981 says
I did and got a really good sum back!
Matt says
How do i apply for the cash converters
Susan says
I did and got a good payout
Joanne Rice says
Hi i did loans with ramsden financial and had to roll them over every month for years they are not accepting this and have even said they cant find my account any help would be appreciated
Sara (Debt Camel) says
how loan ago were the loans?
Carol h says
Hi,
Im just wondering how long people have waited time wise for the ombudsman final decision, the adjudicator upheld my complaint against WageMe but they disagreed offering an amount less than the adjudicator had recommended, which I rejected, they then came back with another offer again less than the recommendation so again I rejected. It has now gone to the ombudsman so just wondering how long of a wait also the adjudicator had dismissed the first 8 loans does the ombudsman ever now include them?
Thanks for any info offered
Sara (Debt Camel) says
It seems very variable.
IF you accepted the adjudicator’s decision, you should now go back and say you accepted it as a speedy resolution of your case, but now it has to go to the ombudsman, you would like all your earlier loans to also be considered as they too were unaffordable.
Omolara says
Hi Sara – can you please recommend a broker am looking to buy my council property in a few months – I have no CCJS or defaults – but I have used PayDay loans in the past – last one taken in in 2018 – Many thanks
Sara (Debt Camel) says
no sorry, there is a very limited number of lenders that will give mortgages on right to buy properties, so a normal broker may not help.
C says
Hi there.
Try London and country brokers, online they’re LANDC.co.uk
They’re free as they charge the mortgage company the fee and they helped me get my fixed rate with Santander only 18months after last PD loan.
All the best.
Nick says
When are they starting to pay?( Money shop re PaydayUK) meant to be late 2020, then early 2021, then April 2021 then May 2021…… Already pathetic re the amount we are getting and now they are taking the Michael!!
Wendy says
It’s driving me crazy! I had an email saying won’t be able to log into portal after 8.5.21, payment will be early May and it’s 9.5.21 now, they are a complete joke! Let’s hope it’s soon xx
Charlene Francis says
I received an email Friday saying the below.
“As of 8th May 2021 you will no longer be able to access the Claims Portal.
We will commence making payments in May 2021 and we will email you before we make your payment to confirm your payment amount. We are not able to confirm your specific payment date.”
Hopefully they start paying soon.
I agree we have been waiting far too long.
If I hear anything I will post it. x
Lee says
Hi Sara I wonder if you can help me at all please the Ombudsman has recently upheld my complaint against Drafty
A) Remove all interest, fees and charges from the account from 31 October 2018.
B) Treat all payments made towards his account since 31 October 2018 as though they had been repayments of outstanding principal.
C) If at any point would have been in credit on his account after considering the above, you will need to refund any overpayments with 8% simple interest* calculated on these payments, from the date they would have arisen, to the date the refund is made.
D) If there is an outstanding principal balance, then you can use any refunds calculated as part of “C” to repay this. If a balance still remains after this then you should try to agree an affordable repayment plan. If you have previously written-off any principal, then you shouldn’t pursue outstanding balances made up only of principal you have already written-off.
E) You should remove any adverse payment information recorded on credit file from 31 October 2018.
before i reply what does this all mean exactly ? Details below of balance etc that I have worked out:
Outstanding balance: £1278.21
Payments made : £2506.76
Interest paid : 1315.69
you help is so much appreciated
Sara (Debt Camel) says
Do you know how much you have borrowed from them? And the total payments you have made?
Lee says
its an open ended credit facility so i had a limit of £1250 – which you could draw down on upto that amount
in total i borrowed £1102
I have repaid £2506
and interest was £1315
i have a balance with then still of £1278
Sara (Debt Camel) says
“i borrowed £1102
I have repaid £2506”
In that case you have paid them £1404 more than you borrowed. The balance you owe should be cleared and that 1404 should be refunded. Plus a small bit of 8% interest which is hard to guess at.
If you are offered less than that, come back here?
Sean says
I have just had exactly the same complaint upheld from exactly the same time with similar amounts. How ironic! Drafty have until 26th May to reply! Hopefully 4 figure sum I’ve worked out
Lee says
I have accepted the offer reluctantly it didn’t seem right but its cleared the balance and I have some refunded to me.
Sean did you get a offer?
Lynda says
Hi Sara
I’ve used your template this morning to complain to lending stream, my loans have been paid back in full and I’ve paid over £1,000 in interest. Do you have any idea how long they take to get back to you & any idea if they pay anywhere near if they accept it? Thanks
Paul H says
Hi Linda,
I went through quite a lot of comments on here regards LS before I wrote to them so I would have an idea. They personally got back to me within 2 weeks but the majority was within 4 weeks. For me they offered to refund from loan 7 to 13 and was similar for 2 others on here with them agreeing to about 50% of the later loans not being affordable, even our replies from them was worded the same. I tried to negotiate for 1 more that I knew should have been included but as others stated they stick to their guns. They include a link in their reply to enter bank details and money in bank account within 24 hours. I had 6 missed payments from early 2016 for the last loan with them which was showing as a negative mark on my credit file which they removed However reading on here people who have took their case to the FOS have had then had all kinds of problems then with LS with them slow to pay if the case goes against them or slow to remove negative marks on credit file. I wish you luck anyway.
Lynda says
Thanks so much! They’ve got back to me saying final response that they don’t agree it was unaffordable any ideas? Thank you
Mike_p says
It’s very common, perhaps even standard, for lenders to reject complaints saying the loans were affordable. Just raise a complaint with the finanical ombudsman service and see what they make of it.
I complained to Lending Stream and they rejected my complaint saying the loans were affordable, however I raised it with the financial ombudsman service who said that 11 out of 16 loans were unaffordable and I got a £1300 refund from them.
Eli says
Hi wondering if you can help. I submitted a claim to lending steam for two loans taken out in 2013 (review of credit history would have seen multiple other payday loans at the time). Claim submitted 16 Feb and response two weeks later (25 Feb) rejecting (they did specify final response letter). They sent through all the loan details in March and I subsequently logged a claim with Financial Ombudsman 11 March (and got the automated acknowledgment email). So far I’ve heard nothing more from the FO, and have followed up to no avail. I appreciate the pandemic has had an impact but two months is a long time with no response when they seem to indicate 10 working days, or am I expecting too much?
Sara (Debt Camel) says
I suggest you wait until it has been three months and then phone FOS up and ask if lending Strem has sent over its case record.
robert jones says
At the start of my DM plan I challenged lending stream about affordability issues and they rejected my claim.
Before I had a structured repayment plan with I was trying to handle all myself.
Lending stream in particular were aggressive in their tactics.
I received 184 emails from them even during the cooling off period and the level of stress I was under sent me over the edge, it took just over a year after my plan was set up before I was in a good enough frame of mind to challenge them again. I explained to them that I’d been suffering with stress due to their approach and that at one point I was on the vet he of suicide due the hassle I was receiving.
They sent a reply saying that because I’d waited so long to challenge their decision that it was too late, they also sent a police officer round to my house as I’d explained I was feeling suicidal a year earlier.
I challenged it with the FOS but was also told that I left it too long.
Thankfully I’m almost clear of my debts I have a job that’s allowing me a better work life balance and the future looks more optimistic.
However I can’t stress enough how bad lending stream are and how important it is to challenge decisions straight away.
My only hope with lending stream now is for them to eventually go under just like all the other lenders and that I can lodge a complaint via their claims portal when they do.
Even that will only be pennies on the pound.
Emilie says
Hi, I just wanted to drop by to say thank you and to tell you about a success story. I used the above templates to raise complaints to various lenders on 8th April 2021. Today I have received my final response from Lending Stream. They are refunding me £239! I didn’t think they would uphold my complaint as I only took out 3 loans with them, one of which I still had an outstanding balance. I am very surprised to see they are going to refund me and remove any negative information from my credit record. I am still waiting to hear from most of the other lenders. Thank you so much!
Lynda says
That’s brilliant! I have over 8 loans with them and they have got back to me saying they don’t agree it was irresponsible lending and it’s their final response.
Anyone know if there’s anything else I can do?
Sara (Debt Camel) says
Send your complaint to the ombudsman. You may not win, but with 8 loans it is not reasonable to want someone impartial to take a look at this.
Lynne says
I had success with Lending Stream after they initially didn’t uphold my complaint. I didn’t let it drop and I explained that I’d lost my job, I had no way or means of paying this loan back and it was making it hard to find work as employers could see the defaults on my credit file.
Eventually, after the full 8 weeks they decided to write off the outstanding debt AND remove it from my credit report. I was over the moon with that outcome.
Mrs B says
I received an email from 247 money box yesterday. Email states administrators will be in contact before the 30th of June 2021. Just an update for anyone waiting!
Chris says
Cheers. I’m glad they haven’t forgotten about us lol.
Faye says
I had my redress refused 23 loans what a joke Harrison’s are
Wendy Rayne says
Is this part of the money shop? As they’ve told me May lol
Andrew Howars says
Anyone heard of myjar are next?
Sara (Debt Camel) says
Myjar are already in adminstration. I am not sure what you are asking?
Andrew Howard says
Scheme like moneyshop, wonga or does in administration mean it is too late? Thanks
Sara (Debt Camel) says
The money shop has been the only approved Scheme so far – Amigo and Provident are now seeking one.
All other payday lenders such as Wonga and QuickQuid have gone into administration. myjar went into administration in December.
If you think you had Unaffordable Myjar loans yoh should contact the administrators ASAP.
Vicki says
I had no idea that my jar were in administration this is the last one left on my credit report so keen to get that removed if I can. Any idea if they are doing the claims portal like Wonga and Money Shop?
Sara (Debt Camel) says
I don’t think so, call them.
Chris says
I put in a claim with myjar and didn’t hear anything back for months and months. When I rang up they said they couldn’t locate my account. I 100% had loans off them in the past but will have used an old phone number and email address which I have no access to anymore. They searched my postcode (which would be the same) and name but they said they still can’t locate it. Is there anyway I can find this info to prove to them?? I don’t have access to the email address anymore so won’t be able to locate email confirmations etc.
Sara (Debt Camel) says
do they show on your credit record?
Frances says
Hi. I would send a Subject Access Request. I did this with the Money Shop who for weeks said they had no trace of me. After my SAR request I received details of all my loans . Might be worth a try ?
Ivan says
Re: Andrews question about MyJar.
I used the ‘Resolver’ redress letter template platform through MSE. MyJar to their credit upheld all my loans and paid in full within a few weeks. I received the payment direct to my bank account 4 months ago………. Suprisingly efficient!
https://www.moneysavingexpert.com/site/resolver/
Sara (Debt Camel) says
Myjar is an administration – do not use resolver. Go direct to Myjar customer services.
Sue says
Does anyone have contact details for My Jar Administrators please.
Sara (Debt Camel) says
Myjar Customer Support on 020 3006 2000
Anton says
Sara, I would like to say thank you for all the advice from this website, I have been successful so far with leading stream, quidmarket, CASH4UNOW, Avant, Moneyshop, Mr Lender, Oakham and Ferratum. Total refund in the region of £2500, got couple more that have gone through to the ombudsman too :)
Becky says
Hi, did you get them taken off your credit report also?
Jammy96 says
Hi,
Will MY JAR, have any kind of scheme? I lost an affordability complaint before they went into administration, this also happened with Quickquid but then I won after they went into adminstRtion.
Thanks
Sara (Debt Camel) says
not a scheme – they are already in administration. You need to contact customer services and say you want to make an affordability complaint. Do you have a current balance owed? How many loans before that?
Jammy96 says
Yes I have a current balance owed and my credit was shocking when that loan was taken out. They have previously rejected my complaint but that was a while back.
Sara (Debt Camel) says
are you making payments? what is the rest of your current financial situation like?
Jammy96 says
I did recently emailed them twice asking to set up an arrangement and have had no reply. My financial situation is slowly recovering many thanks to this site.
Sara (Debt Camel) says
if you cannot afford the repayments you should pay less. You are not asking permission, you are telling them.
This will harm your credit score but the negative mark will be removed if your claim for unaffordable lending is upheld. Make sire your claim goes in!
Hannah says
Hey Sara, I raised an affordability complaint with Lending Stream last year and they upheld my complaint and refunded me. They also removed the defaults from my credit file on Transunion but I have checked and they are still showing on my Experian File. Is this normal?
Sara (Debt Camel) says
No – ask LS why they have not sorted your Experian record.
Lee says
Hi Sara i commented before but it seems to have gone, I have a FOS complaint upheld in my favour stating the following;
A) Remove all interest, fees and charges from the account from 31 October 2018.
B) Treat all payments made towards his account since 31 October 2018 as though they had been repayments of outstanding principal.
C) If at any point would have been in credit on his account after considering the above, you will need to refund any overpayments with 8% simple interest* calculated on these payments, from the date they would have arisen, to the date the refund is made.
D) If there is an outstanding principal balance, then you can use any refunds calculated as part of “C” to repay this.
E) You should remove any adverse payment information recorded
my figures are as below, this is an open ended credit facility which you could withdrawn from as long as you were within your limit.
Total borrowed (drawndown) since Oct 18: £1102
Total repaid since Oct 18 : £2506
interest paid : £1315
draft have today come back with the below which doesn’t seem right to me:
Below is a breakdown of the offer:
Interest and charges paid from 31 October 2018 – £1,105.46
8% simple interest – £169.06
20% tax deduction – £33.81
Outstanding principle – £931.40
Total to be refunded to you – £309.31
Removal of any negative information about the credit facility from your credit file – recorded from 31 October 2018.
please can you advise?
Sara (Debt Camel) says
your previous comment is here https://debtcamel.co.uk/payday-loan-refunds/comment-page-209/#comment-421468
You said “i borrowed £1102… I have repaid £2506”
Can you double check those numbers? Were they the borrowing and payments from tOct 18? or did they include amounts before then?
Lee says
these are the amounts since 31st October 2018 yes
there were amounts before this which weren’t upheld and that I have not included.
Sara (Debt Camel) says
do you know what the balance was at 31 Oct 2018?
Lee says
21/10/2018 Closing Balance £1297.30
——————————-
further response from FOS – I am really confused now
We don’t conduct any calculations at the Financial Ombudsman Service.
Drafty sends us the calculations as it also works out the 8% interest added to the refund.
I’d like to clarify that any principal /capital you’ve borrowed won’t be refunded – which would be the £1,102 you’ve calculated. This is because you’ve had the benefit of the facility/loan so we don’t feel it’s fair to refund the principal. Additionally, any outstanding principal is deducted from the refund you’re due.
The payments you’ve made since 31 October 2018 haven’t all gone towards interest. Part of the payment would’ve gone towards the principal and would’ve reduced the principal balance outstanding.
It is not a straightforward calculation as this is a running account facility. Each payment would need to be split into interest and principal and only the interest part is refunded (any outstanding interest is written off and is not refunded as it was never paid).
Although we don’t do the calculations, I can see from the statement of account I constructed that you repaid interest of around £1,012 from 31 October 2018 to around 31 March 2020 (I can’t see any payments being made after that date from the documents sent).
The credit line was then suspended around May 2020. I presume the difference in what I can see and what Drafty has calculated is from any additional payments you’ve made towards the interest since then.
Sara (Debt Camel) says
Because the balance was high on 31 Oct 2018, the simple approach to these figures doesn’t work well. You can ask Drafty for a monthly breakdown of how much you borrowed and how much you repaid, breaking the repayments down into interest and capital.
Lee says
is this too simplistic? as per FOS steps that they instructed Drafty to follow:
A) Remove all interest, fees and charges from the account from 31 October 2018
interest, fees and charges from the account from 31 October 2018 Of £1315.69 minus the current balance of £931 = £384.69 credit
B) Treat all payments made towards his account since 31 October 2018 as though they had been repayments of outstanding principal.
payments made principle only no interest total £1488.06 add this to Step A as interest has cleared the balance = £1872.69
C) If at any point would have been in credit on his account add 8% – In credit by £1872.69 + 8% Interest approx. £381 = £2253.69
£2253.69 to be paid
Lee says
I’ve gone back to FOS asking for a breakdown of how drafty have arrived at this figure.
Surely FOS should be sense checking these figures or have an idea/ understanding what the offer should roughly be.
Lee says
Please help :-( FOS reply …..
Point A means any outstanding interest or charges should be removed from the account (you do not need to repay this).
Point B means any repayments that went towards interest should be refunded. This does not include payments that went towards the principal. However, if there is an outstanding principal, then your interest payments should be used to reduce this.
Point C means 8% interest will be added only to the interest you have repaid on the facility (not any principal repaid).
I appreciate your request however, it’s unlikely Drafty would be able to provide a payment by payment breakdown of their calculations. It is also not something we generally expect them to do. I can request for this (as you’ve asked) however, I’d just like to manage your expectations.
From your email, it appears you’ve included principal payments under point B which shouldn’t be the case. That point solely relates to interest repayments from 31 October 2018.
If you take away any principal payments which you’ve added, the offer should appear correct to you.
Sara (Debt Camel) says
I am sorry but I can’t see where some of your or FOS’s numbers come from so I can’t really say anything sensible.
Krzysztof says
Hi Guys,
got a question.. today I received a final response letter from Ferratum, partially upheld my complaint and offering me 700£
however I think that they should upheld complaint about more loans that I had with them
basically I had 17 loans over 3 year period and they upheld only 6 loans totaling to 700£
Now my question is – if I want to take them to FO, is there a chance that I can loose what I was awarded by Ferratum ?
thanks for help in advance
Sara (Debt Camel) says
Would you like to say some more about your 17 loans…
Do you know the total interest you paid on the loans?
Were they any big gaps between them when you didn’t owe them any money? Did the loan amounts generally go up?
Have you repaid the last loan?
Paul H says
Hi Krzysztof,
Ferratum are one of the firms who will compromise. Quite a few people who I know had only had their complaint partially upheld but had gone back to them with a fair compromise which they then accepted. Therefore I knew what to expect when I complained about the 37 loans in total I’d had with them one after another. They initially agreed from loan 16 so I went back and said the amounts I was borrowing went higher £400 plus for loan 3 but I’d be willing to compromise from loan 6. They came back with an improved offer from loan 9 which for me was an extra £700 and rather than the FOS route I agreed.
Quite a few of us dealt with a Julie Wright there but I do think they come in with a lesser offer initially in the hope the person is desperate for the money and will accept the first offer. Obviously it then saves them money in less to refund from a business point of view. It is definitely worth going back to them with a compromise though. They was one of only a couple who was willing to compromise on their initial offer. They was quite quick to respond as well which made me think they knew they should have included more but had made an opening offer to see if I’d accept. Good luck anyway.
Andy says
Hi Sara
Would this be a normal response ?
Or scare tactics ?
In the event of an affordability/irresponsible lending complaint, could you please also provide us with copies of your bank statements applicable at the time of your applications, so that we may carry out a full and comprehensive review of your complaint.
Should it transpire that information provided by you at the time of application was false or misleading, we may register this attempt to gain redress falsely as a first party fraud with CIFAS the fraud prevention agency. To learn more about fraud and understand your rights please visit cifas.org.uk. Any fraud marker may affect your ability to obtain credit with banks and other lenders in the future.
Sara (Debt Camel) says
Some lenders say this to everyone. I am not aware of anyone who has problems with this if they have taken their complaint to the ombudsman.
Ron says
Hi Andy
May I ask who this is with? I had one with Moneyboat they indirectly threatened me with something similar with what you have stated. They ignored my original complaint so mine went straight to the FOS. When FOS informed Moneyboat of my complaint, thats when they decided to use the scare tatics. I paid no attention to it as I followed the complaint procedure properley and the FOS upheld my complaint in my favour.
Neil G says
Hi All
I think I have missed the boat in terms of redresses but I am currently in the process of trying to fix my credit rating.
I believe I have had unaffordable loans with Satsuma and Quickquid both im lead to believe are in administration.
I am not that bothered about getting a refund i would just like the loans removed from my credit file due to irresponsible lending. I have emailed both companies although I only seem to get an out of office reply and was wondering is there steps to get these loans removed from my credit file
Sara (Debt Camel) says
Satsuma – not in administration, currently proposing a Scheme, read https://debtcamel.co.uk/provident-scheme-refunds-vote/. You should submit a claim.
QQ – in administration but you are past the point where you can submit a claim. If you wait another 6-12 months, the administrators may have stopped talking to the CRAs – at that point if you feel the loans were unaffordable you can contact the CRAs and ask for the loans to be “supressed”, see https://debtcamel.co.uk/correct-credit-records-lender-administration/ but it is too soon to do this now.
Neil G says
Thanks this is great Sara much appreciated
Kelly Reid says
Hello Sara,
I have had to post on here as the Provident page didn’t have an option to post a comment.
I haven’t yet received my Scheme ID to vote on the SOA for provident. Last communication was back in March when they said I’ll get it early May via email. I will give them a ring next week as my emails aren’t being responded to either.
My question is, do I have to vote if I have made a claim, is it compulsory? If I don’t vote then will it mean that my claim is not going to be dealt with? Is it important that I get my Scheme ID?
Thanks in advance,
Kelly
Sara (Debt Camel) says
The current Provident Scheme page explains this and you can comment below it: https://debtcamel.co.uk/provident-scheme-refunds-vote/.
Louise says
Hi Sara,
I accepted the redress from Piggy Bank in March. Do you have a rough idea when customers will know the amount that they will be receiving or when any updates will be made? Do you think it is still a little bit too soon as I haven’t heard anything in a couple of months.
Thanks.
Kel says
I am looking for exactly the same info too, Louise. I will post if I know anything. I have went on to live chat with Piggy Bank but they’re a bit reluctant to give any info. I was wondering too if it would be like Moneyshop and just give a percentage. I’m not very good with all this!
Karen says
Hi Sara
If you won a pay day loan claim and you pay tax on it and i don’t pay tax how do I claim it back please
Thank
Sara (Debt Camel) says
See https://debtcamel.co.uk/ppi-payday-refund-get-back-tax/
Kyle says
Hi, just looking for some advise. I raised a complaint against Quidmarket for irresponsible and undaffordable lending. I had 3 loans with them of £300, £300 and £400 with a little over a year between the first and last loans. The last 2 loans were both paid off a little early.
At the time of taking these loans i was suffering badly with a gambling addicition and was borrowing more and more from different lenders.
They have rejected the complaint but have offered as a gesture of goodwill to remove the loans in their entirety from my credit reports (which is great as my main aim is to clean up my credit reports, have gone from bad to good and closing in on excellent in a little under a year).
The only thing i’ve picked up on in their response is that on loan 2 they state i claimed i had monthly credit commitments of £320, however on running a credit check they realised i had 8 outstanding debt payments totalling £957 a month. On loan 2 i claimed i had monthly credit commitments of £220, however on running a credit check they realised i had 9 outstanding debt payments totalling £748 a month.
Although they claim this still left me enough disposable income would it be unreasonable to suggest that they should have questioned me further on this or asked for further information based on the discrepancies in the information they had?
Sara (Debt Camel) says
What were the “gaps” between repaying loan 1 and taking loan 2? And between repaying loan 2 and taking loan 3?
During this year, did you get into more debt elsewhere? have any defaults or missed payments?
Kyle says
Hi Sara,
There was 8 days between repaying the first and borrowing the second, and 7 months between the second and the third.
I was definitely getting into more debts. From their own credit checks, at the time of applying for the loan 1 i had 4 outstanding debts totalling £320 a month… by time of the loan 2 this was 8 outstanding debts totalling £957 a month and by loan 3 9 outstanding debts totalling £748 a month. There was no defaults or missed payments.
I replied to them Friday thanking them for their goodwill gesture but pointing out i felt with the increase in debt between loans and discrepancies between what i claimed my commitments were and what they found that i felt they should have questioned me on this or carried out further checks, and (maybe i was chancing it but…) i said i would be happy to accept £150 refund (25% of interest) and the loans removed from my credit report.
I have just received a response stating “Our firm investigates all complaints thoroughly, and will only provide redress when a demonstrable error is discovered. This is not the case here. We are sorry that you have felt the need to complain about our decision to approve the loan applications you made, but there is no evidence or basis to uphold that complaint”
Just wondered if you felt they had made an error based on the increases in debt and the discrepancies on my application, or if i should maybe just accept their offer of removing the loans and move on?
Sara (Debt Camel) says
That is a big gap between loans 2 and 3. It isn’t impossible, but it is pretty unlikely that you would win an Ombudsman case in this situation.
Kyle says
Thats a pity… would it make no difference to the situation the fact that they were fully aware through their credit checks that in the 5 months between loans 1 and 2 i had doubled the amount of outstanding debts from 4 to 8 and my monthly credit commitments had increased from £320 per month to £957 per month? Should that not have raised alarm bells with them?
Sara (Debt Camel) says
I’m not saying it is impossible to win this case, I am just saying that 3 loan cases are not easy and the big gap makes this one hard. Your point is a good one, so it’s up to you if you want to try.
George says
Hi Sara, do you know wjats happening with piggy bank, I had my frl off tbem in December 2019 but everytime I contact them they/the administrators give me no update as to what is happening. Do you know what the current estimate is for redress?
Jamie says
Hi
Not sure if anybody knows or if it’s possible to lodge a complaint against 24/7 moneybox for unaffordable loans? I know they went into administration a while ago and I’m not looking for any financial compensation, I just want the defaults removed from my credit file. Can anyone help?
Daniel says
Hello. I have an outstanding balance with quickquid of £929 from a £500 lend in December 2017. I was just about to pay this then seen this page. They defaulted me in 2018. I was young and in no for financial state to borrow but they borrowed me it so I took it. Is there anyway of getting my default removed from my credit report? Should I pay this off? Appreciate any advise. Many thanks.
Sara (Debt Camel) says
You didn’t make a claim for unaffordable lending to the administrators?
Riddle says
Hi, you state not to claim if you have been bankrupt in the past, I was declared in 2013, released after a year and then paid restitution for 3 years, I dont understand why the receivers would be entitled to any claim as i am discharged and these loans were taken after that?
Sara (Debt Camel) says
If the loans were AFTER you were discharged, then you can claim and all the money will come to you.
Hayley says
Hi, I had quite a few loans with Lending Stream, I still have an outstanding balance which they are chasing me for – outsourced to a debt agency. Can I still put a claim in against them? I have had no contact with them since March 2020… Thanks in advance.
Sara (Debt Camel) says
yes you can. Use the template in the above article
Daniel says
Sara il like to say thank you for all you do , and the time and effort you out in to help others I’ve used and found that templates you’ve put on here useful and so helpful what your doing is helping so many of us change our lives Thank you .
Daniel says
Sara should companies be borrowing you when you was on an iva? Or is that both or your faults?
Sara (Debt Camel) says
how large were the loans?
and has the IVA finished?
Daniel says
Both was credit cards one was £1200 the other £1000 limit and the iva has finished now .
Sara (Debt Camel) says
Taking the credit was a breach of your IVA, where you should not have borrowed more than £500 without permission from your Insolvency Practioner. But the lenders should not have given you the credit.
Have they increased the limits since your IVA ended?
Daniel says
No I had to get a family member to pay them off for me as I was struggling .
Sara (Debt Camel) says
well i doubt this is worth pursuing. Not so much because of the breach of your IVA terms but because any refunds would count as a windfall in your IVA and probably be claimed by your IVA firm even though the IVA has completed.
Daniel says
Thanks Sara already put a claim in but won’t Push it anymore after your reply just thanks again .
Neil G says
Hi Sara
the FoS have found in my favour to uphold 6 loans, I had with a car loan company although they only want to uphold 3.
They have emailed me to say as a goodwill gesture they will uphold all 3 plus £500 or else they will ask for an ombudsmans review, my questions is how long does an Ombudsmans review take? It took over 12 months for the FoS to make a decision on my account in the 1st place and I dont want to not accept the offer for the company to go into administration and I only recieve a fraction of my redress if this makes sense.
Sara (Debt Camel) says
I am sorry but it isn’t possible to say. Who is the lender?
Neil G says
AutoAdvance
Would it be worth ringing the Ombudsman for a rough estimate??
Sara (Debt Camel) says
you could ask and explain your dilemma.
Saram says
Hi I had an arrangement piggy bank I owe 150 and was paying £1.00 I put a complaint in last year and they declined over put a few in since the recent was February and they declined again saying that they have an arrangement for £1.00 a month and that’s that.
I missed the payment for March because they keep trying to take it out randomly and not when I’ve requested. Now they won’t agree to the £1.00 a month and are sending over 20 emails a day asking for £20 a month. I’m on benefits and have larger bills to pay. They are saying that it’s only a small outstanding balance I should be able to pay it off. :( any advice Sarah?
Thanks Sara
Sara (Debt Camel) says
how many other debts are you paying a token £1 a month to?
what other debts do you have? do you have unpaid priority bills?