Have you had a catalogue, credit card or store card where your credit limit was too high? So high that the monthly repayments were hard to manage and you got into more debt?
Many people were originally given an OK limit, but the lender kept increasing them.
You may have a good complaint that the lender was irresponsible in allowing you to borrow so much that the debt was unaffordable.
This article explains how to complain and ask for a refund of the interest you paid
Contents
What is “affordability”?
The following is my summary of the regulator’s rules:
- a lender must check if credit is affordable when you apply for it. A mortgage lender will ask for bank statements, but a catalogue offering a £200 credit limit doesn’t have to go into so much detail;
- a lender should also make new checks when deciding to increase a credit limit;
- credit isn’t affordable if paying it leaves you short of money for your bills,everyday expenses, and your other debts;
- if you have to borrow more most months, this would not be affordable. This could be borrowing on the same account – making a credit card repayment but then using the credit card to pay for food so the balance never drops is “borrowing more”;
- you have to be able to repay the balance within a reasonable period of time. Paying the minimum amount is OK for a short while, but not for a prolonged period.
How to complain
Good reasons to complain
If the lender could see any of these on your credit record, they should probably have declined your original application:
- recent credit record problems: defaults, missed payments, or arrangements to pay, mortgage arrears, payday loans;
- you already had a different credit card with the same lender where you were only making minimum payments and were using it for essentials like food and petrol. If you were given two credit or catalogue accounts by the same lender, often the second one should never have been given.
- other credit cards where you were near your limit and persistent overdraft usage. Here is an Ombudsman decision saying Zopa should not have given quite a low initial limit in this situation;
- a level of borrowing that looks too high in relation to your income.
Your credit limit should not later have been increased unless you could afford it. In addition to the points above, the following should have also warned the lender you were in difficulty already:
- making minimum payments for a long while;
- using a lot of your limit for a long period;
- a lot of gambling showing on the account statement;
- recent missed payments or an arrangement to pay on this account;
- your overall level of debt on your credit record has gone up a lot.
You don’t need all the details to complain
When your lender increased your credit limit, you don’t need the exact date. If all you can say is “you increased my credit limit several times” that is fine. You don’t need to ask for copies of all your statements – you would get a ton of paper!
But getting your credit record can help. You can’t go back and see exactly what your credit score was in say 2018, but take a copy of your current credit record as soon as you complain (get your free TransUnion statutory credit report). That will show what the pre-2018 problems were that the lender should have spotted.
Template to complain & the email address to use
The best way to complain is by email. It’s free, instant and you have a record of what you sent and when. Here is a list of credit card and catalogue email addresses to use.
In the suggestions below, I’ve invented some examples for the bits in italics in brackets. Change/delete these to tell your story.
I want to complain about irresponsible lending by you for my Barclaycard account number 987654/444. My date of birth is dd/mm/yy. The email address I used for this account was myaddress@whatever.com.
Then say they should never have given you the account:
You should never have allowed me to open an account with such a large credit limit. When I applied in 2015, you should have checked my credit record and you would have seen I had recent missed payments to a credit card and a default only two months before on a loan.
Or say that they should not have increased your credit limit:
You should never have increased my credit limit in 2015. At that time I had only made minimum payments on this credit card for a long while and/or I was using a very high level of my credit limit.
If you had properly checked my credit record before increasing my limit, you would have seen that in the two years since my account with you was opened, I had got additional late payment markers and defaults and/or taken out a lot of other credit. This should have warned you I was struggling with my finances and it was not responsible to lend me more. By increasing my credit limit you made my financial position worse. Instead you should have offered me forbearance by freezing the interest on the card.
I do not know the exact months of these credit limit increases. In your reply to this complaint, please tell me the dates and amounts.
If the lender should already have known you had problems with your account, mention these
You should also have realised that I was having difficulty because:
of the late payment charges you added to my account
of the gambling transactions showing on my card statement
I had missed two payments to you the year before in 2017
I had already asked you on the phone if it was possible to stop adding interest for a while.
End with asking for a refund:
I would like you to refund me all the interest I paid and any late payment charges from the point the account was opened
OR
I would like you to refund me all the interest I paid and any late payment charges after you increased my credit limit in 2018.
I would also like any late payment and default markers to be removed from credit records after this point.
I understand that if I take this complaint to the Financial Ombudsman, 8% simple interest is usually added to a cash refund.
Points to think about
Timing
These complaints can be made if your account is still open, or if it is closed and settled, or if it is with a debt collector (NB the complaint goes to the original lender, not the debt collector.)
You can complain if you already have a CCJ for the debt. Add a sentence to the template saying you want the CCJ removed as part of the settlement of your complaint.
If you have had an IVA or bankruptcy after these problems, or if you are still in a DRO, then ask in the comments below, as this can be complicated.
Old accounts
The Financial Ombudsman (FOS) can only go back to April 2007, when the law changed to allow these complaints.
Many lenders will reject complaints about something that was more than 6 years ago and say the ombudsman won’t look at them. But FOS will often look at old problems if you have only found out in the last three years that you can make the complaint.
If your account was opened in 2015 but the lender increased your limit in 2018 and 2019, then the two limit increases are within the last 6 years and can definitely be looked at.
However, complaints about things that happened more than 6 years ago may be hard for you to produce much evidence for. But if you feel you have a strong older case and you have some evidence, then take it to the Ombudsman and let them decide!
An alternative approach for old accounts
If your account was opened a long while ago and you defaulted and still owe a balance, perhaps in a DMP, think about asking the debt collector to produce the Consumer Credit Act agreement for the account.
If the current creditor can’t produce a proper copy of the agreement, the debt cannot be enforced in court and you can simply stop paying anything to it. This applies to all credit cards, store cards and catalogues.
It may be that the balance on the account is larger than any refund you might get. In which case if the CCA agreement cannot be produced, you would be better off.
Is a refund what you really need?
This depends how large your current financial problems are.
Complaining about newish debt will often only get the interest removed – you still have to repay what you borrowed. Don’t spend months arguing with lenders and going to the ombudsman if you will still be in a mess even if you win.
So phone National Debtline on 0808 808 4000, tell them you are thinking about affordability complaints but you would like to know what your other debt options are.
Poor reasons to complain
You can’t complain just because the interest rate was high or because you have paid them a fortune over the years.
A poor credit score on its own isn’t a reason why you shouldn’t have been given an account. But if your credit score was poor because you were having a lot of problems with your existing debt, the account should have been refused.
You won’t win an affordability complaint if something unexpected went wrong later in your life. If you had been managing a credit card fine for years but then you lost your job or separated from your partner and you defaulted, this isn’t the lender’s fault.
Don’t be put off by a rejection or a poor offer
Lenders often reject good cases
If a lender rejects your complaint or offers a low “goodwill” gesture, don’t be fobbed off – they want you to give up.
In particular, if the lender says you had made all the payments to them on time so they had no reason to think you had problems, you can ignore this. Or if the lender dismisses your complaint as the account was opened over 6 years ago.
When you have a Final Response from the lender – or after 8 weeks if you haven’t had a Final Response – send your complaint to the Financial Ombudsman Service (FOS). Don’t delay doing this!
Is a “partial uphold” good enough?
If the lender says they should not have increased your credit limit in June 2018 when your limit was increased and they will give you a refund of interest for balances over the previous limit, that may sound good. It is sometimes called a partial uphold or a partial refund or proportionate interest.
But often the amount of money refunded in this situation is a lot less than you might expect. So tell the lender you want to consider their offer but need to know how large the refund will be.
Often you were already in a difficult financial situation at that point, with cards close to maxed out, being used for everyday essentials and only paying the minimums. At that point the lender should have stepped in and offered to help you by freezing all interest. That is why a partial refund is often not good enough, you should have all the interest refunded from that point.
How to send a case to FOS
Send FOS a complaint using their online form. You can use bits of what you put in your complaint to the lender. If the lender has rejected your complaint or given a poor offer, say why you think this wrong.
The FOS form at the end asks you to add supporting documents. Don’t worry if you don’t have A copy of your credit or finance agreement – lots of people don’t and the lender will supply a copy to FOS if FOS asks for it. Don’t delay sending a complaint to FOS while you try to get this from the lender.
If your credit record shows that you had other debt problems, send FOS a copy of it. If you have kept some, send the oldest one you have, otherwise send the current one. Also get your bank statements if they will support your complaint and send those to FOS too.
FOS is a friendly service but not fast. Just use normal English, not legal terms. Using a claims company or a solicitor doesn’t help or speed this up.
Ask questions below!
There are hundreds of comments from readers who are using this template. It’s a good place to see how these complaints often go and to ask any questions.
FAQs about Affordability claims
Can you get an overdraft refund?
Could a Debt Relief order help you?
Taylor says
Supposed to be *£5.5k
Scott says
Hi Taylor,
Forgot to mention that there had been comments back in April that Shop Direct complaints had been put on hold at the FOS whilst the Ombudsman was reviewing how these complaints should be handled.
A comment in August says they are still being delayed.
You could be in for a bit of a wait when it gets to FOS.
Scott
Joseph says
Is ANYONE waiting on a Capital One case to be looked at by an ombudsman? I’ve been waiting 5 months now!
Kiradevil34 says
Hi Sara,
Following a complaint made to shop direct through lowells, they have now issued a county court claim against me regarding this debt. I have informed them there is a dispute and a complaint made to the FOS so they were fully aware of my position. They pingponged letters which never answered my question for shop direct final response and their letters contain several personal errors! I have up writing to them as in my eyes I had informed them several times a complaint was with the FOS so their action should have stopped.
I don’t know how to defend their claim and I consider it very vexatious considering they knew I was disputing the debt! Is there anything I can do??
Thank you in anticipation xx
Sara (Debt Camel) says
oh, this is pretty unusual.
I suggest you do three things all at once, asap:
1) send Lowell complaintsresolution@lowellgroup.co.uk (copy it to their solicitiors if t=you have their email) a complaint immediately saying that they have started court action about a debt despite being told by you that you are disputing the debt with Shop Direct. Say this is in breach of CONC CONC 7.5.3 R which says “A firm must not ignore or disregard a customer’s claim that a debt has been settled or is disputed and must not continue to make demands for payment without providing clear justification and/or evidence as to why the customer’s claim is not valid.” and CONC 7.14.1 R which says “A firm must suspend any steps it takes or its agent takes in the recovery of a debt from a customer where the customer disputes the debt on valid grounds or what may be valid grounds.”
2) tell FOS that Lowell has started a court case about this debt, despite being told that a complaint is underway and ask if FOS can give priority to resolving your case
3) talk to National Debtline on 0808 808 4000 about how you should defend this claim. If you ignore it you will get a CCJ in default.
Kiradevil34 says
Hi Sara,
Thank you so much for the swift response, it is hugely appreciated!
In one of my ping pong letters I already quoted the above – I have kept all copies!
I have an email confirming the FOS recieved my complaint but haven’t had any further correspondence from them yet but it’s only been about 6 weeks. I have communicated with lowells by writing to keep them updated.
I have been reading legal beagles for a while now so I will log in to MCOL tonight.
I’m intending on writing to lowell as well for my data to capture the communications between them and their solicitors as well as shop direct.
Wish me luck!
I’m fuming!
Xx
Sara (Debt Camel) says
Good luck, send in that written complaint to Lowell.
Legal beagles are very good – you want the best possible defence to the Claim AND to ask for the claim to be “stayed” (legal jargon for put on hold) while for FOS case goes through.
Definitely phone up FOS and say what has happened and that you sould like your SD case given priority because of this.
Kiradevil34 says
Again thank you so much, I feel stronger and calmer than earlier!
If I complain to lowell about this and I am unhappy with their response…which is most likely can I also complain about their conduct to the FOS? Surely whilst a complaint is with the FOS as a dispute and the FOS is there to resolve they aren’t ‘allowed’ to bring a court claim?
I also have complaints with FOS with next directory and RBS!
Thank you xx
Sara (Debt Camel) says
“If I complain to lowell about this and I am unhappy with their response…which is most likely can I also complain about their conduct to the FOS?” yes you can :)
Sounds like you are going to end up an expert in FOS cases…
And no, they should not have started this court case. This hardly ever happens.
Ross says
Hi Sara,
Just had a disappointing final response, from Barclaycard. I have had the account since 2002, and they state that as the last credit limit increase was in 2010, I am out of time to raise a complaint. They have said that I can take it to the FOS, if I want to. This is interesting, as other companies (namely, Capital One) told me that FOS wouldn’t look at it because of the time elapsed. Could you offer your opinion please on whether I should pursue this please?
Sara (Debt Camel) says
I don’t recall anyone winning a case that old, sorry. I would be surprised if FOS will look at it.
Ross says
Thanks Sara, much appreciated. I’ll leave it at that.
Jonny says
Hello,
I’m just looking for a bit of advice. About 12/18 months ago, I don’t know the exact dates, I applied for a loan with RBS (£4.500), a credit card with RBS, a credit card with NatWest and a credit card with Ulster Bank. Appreciate that seems mental, but it is true, and I was desperate! That desperation is costing me now as I’m really struggling.
Anyways, after applying for the and getting them accepted, I applied for a second NatWest and a second RBS credit card and they were both accepted too – this was about 6 weeks later after the other credit cards.
The first credit card from RBS has a credit limit of £10,600 which was increased after 3 months, the second from RBS has a credit limit of £350 (which was reduced from £8000!!), the first NatWest credit card has a limit of £4150 which was increased after 3 months, the second one from NatWest has £1050 limit (again reduced from £8000!!) and the Ulster Bank card is £3900.. so in total the limits plus the loan are over £25,000. They asked for proof of income on the loan, which I proved, and my income varies from £3000 to £3500 per month. The APR isn’t too high on some of the cards but I’m still paying over £250 interest per month and my minimum payment, plus loan payment, is £500.00.
Jonny says
*FURTHER COMMENT AS ORIGINAL TOO LONG*
That obviously sounds affordable but I have had an overdraft on the RBS account for about 5 years, it has always been up to the top of the limit, as my salary doesn’t get paid into that account and I’ve never had enough left to properly begin repaying it! I then also have my Lloyds account, I have a loan with Lloyds and 2x Barclaycards and a history of payday loans with a few other cards.
From the above, any personal would probably see this as clearly unaffordable lending and even if not why would they allow me to have 5 credit cards and a loan within 2 months?! What do I need to do? As the accounts are open, are they going to penalise me or threaten me? I need to know this before I complain as anything on my credit file will potentially mean a loss of my job.
Jonny says
And yes the combined debts because of these are about £25,000…. *FINAL COMMENT*
Sara (Debt Camel) says
So why were you desperate 12-18 months ago?
And at that point your credit record was perfect? And you applied for all that credit at the same time?
Jonny says
All of the credit was applied within a relatively short period. The loan was granted in April, 3 credit cards in June and 2 in July.
My credit history was not perfect – far from it. I already had about 7 credit cards, 1 outstanding loan, 2 overdrafts and outstanding Payday Loans as well as previously repaid Payday Loans (admittedly on time).
I owed money to a family member and an ex-partner and was also gambling.
Do I have a good case regarding this?
Sara (Debt Camel) says
Have you stopped gambling?
I think you need to talk to a debt adviser about your options – I suggest you phone National Debtline on 0808 808b 4000. These affordability complaints are harder to win than payday loan claims. And you would only get the interest back, you will still be left owing a very large amount. You can’t assume at this point they are likely to make a huge improvement in your situation.
Jonny says
Hi Sara,
Yes, I’ve stopped gambling now which was obviously one of the main issues.
On my current salary I am left with very little but I just about manage to get by and I’m almost at the end of the Payday loan cycle (have registered complaints) and repaid most of them now and now I’ve complained too none of them will allow me to borrow any more which is great.
Appreciate what you’re saying regarding the RBS group. It’s likely they’d side with me and refund interest but this interest over the last 12 months is probably only about £3,000. I’ll have a look at my options and see what I can do. Thanks.
Sara (Debt Camel) says
So if you will be in a more manageable position when the payday loans are repaid soon, that is good.
And any payday loan refunds can reduce your credit card balances or overdraft.
I’m not saying don’t make affordability complaints about the bank loans and credit cards, I just don’t want you to see them as a miracle that will resolve your situation. You should see them as slow, likely to have to go to the Ombudsman and generally uncertain.
A. says
Has anyone had a refund from aqua back onto their credit card? They accepted the adjudicator’s findings and are to refund me around £1500. The 28 days were up on Wednesday. I emailed the adjudicator to let her know and she was going to chase them. They then refunded £36 yesterday in 3 separate transactions. Any ideas if every transaction will be separate?
Joseph says
Hi A, I won a complaint against Aqua a few months ago. Nightmare company, they went over the 28 days so my adjudicator had to chase them. They put all the refund into my credit card then bank transferred me the difference after clearing the balance. They were really obstructive at every stage, took ages to wait for an ombudsman as well as the rejected. Good luck!
Ljc says
Hi Sara
Between 2005-2012 I had many credit cards/loans given to me or the credit limit increased over and over but I was drowning in so much debt , payday loans etc . I think a few of the credit cards companies and banks should not have given these to me as it was irresponsible lending . The thing is I don’t have any paperwork but I have bank statements showing payments going out / bouncing etc and wondered how I can approach these companies because I can’t say for definite you increased my amount 5 times over the year when clearly I was struggling to pay the current minimum payment . Should I ask for a SAR from each of them as then hopefully it will detail when I took loans/cards out , when limits were raised etc and go from there ? Thanks in advance
Sara (Debt Camel) says
I haven’t come across anyone winning a credit card complaint where all the problems occurred more than 6 years ago. if you want to try, just put in a vague “you raised by limit to unaffordable levels” complaint and see how it goes.
The payday loans are much more likely to be worth going after.
Ian says
Has anyone had any joy with JD Williams? Ive had 7 increases in the last 30 months from £100 up to £2000. I currently owe about £1300 but the more I look into this the more I dont understand why I was given the increases when I have a huge history of bad credit. Im in the middle of sending the complaint over now but wondered how people had got on with these?
SC says
JD Williams initially rejected my unaffordable lending complaint saying all checks had been done etc. however when this went to the Ombudsman they ruled in my favour and as I’d cleared my outstanding debt refunded me the additional interest I’d paid plus 6% statutory
All in all a good result for me, but I found them difficult to deal with and on occasion very very rude and aggressive
JA says
Hey Sara / All
I had my adjudicator uphold my complaint with Aqua today- They upped my limit from £250 – £1000, May i mention that I was on a DMP at the time they done this.. Does any one know how quickly/slow aqua are to respond to the adjudicator and whether they normally agree with them rather than go to an ombudsman.
Thanks :)
Tracey says
I had my Debenhams store card in 2001, credit limit was £850, by 2003 they increased it to £4000.00 and then increased it to £6000.00 by 2006. I was only a shop assistant at this time earning £150 a week. I have suffered from mental health issues since I was 15 years old due to abuse. One of the ways I would deal with my issues was to shop (overspend) to compensate the abuse I suffered. I recently found this site and decided to complain to Santander. They replied saying they weren’t going to uphold my complaint as they don’t have proof anymore because it’s over six years, but I do. I sent them copies of statements since 2001 through to 2010, copies of my payslips from these years, also a letter from my therapist as proof of my mental health. They still say NO! So I have now passed it onto the FOS, they said they will contact me in about 2-3 weeks. Are they telling the truth or am I going to have to wait a decade??
Sara (Debt Camel) says
You may get a fast answer as to whether FOS can look at this complaint, but if they decide yes, it will still take many months to actually look at it.
What is your current financial situation like? Has this old credit card debt been repaid?
Tracey says
I am in financial difficulty and I still owe on the card, it’s now been passed onto debt collector
Sara (Debt Camel) says
Has it been passed to a debt collector or sold to debt collector? This makes a difference to your options.
Also is this your only problem debt?
I am trying to find better alternatives to an affordability claim as I think the chance of you succeeding is very small.
Tracey says
To be honest I don’t know whether it’s been sold or passed on. I have other debts (7 in total) most in debt collectors hands.
JA says
Hello Sara,
Bit of advice please – Aqua have responded to my adjudicator partially agreeing with the views.
They have said they agree to refund the interest and charges from the increase (£250 – £1000) as it was deemed irresponsible but they are not agreeing to remove the default from my file saying its fair to show a true reflection of events.
Surely if they admit to IRL they should put me back into a position I was in before the increase?
Thanks
JA says
Also, If this goes to an ombudsman would they ever change the entire outcome i.e Say that aqua no longer have to refund me the interest and charges?
thanks
Sara (Debt Camel) says
The adjudicator’s statement that negative marks should be removed is a normal decision. So the Ombudsman will probably agree with it.
Where a lender agrees with most of an adjudicator’s decision, an Ombudsman often doesn’t consider that at all, just takes it as agreed.
JA says
Perfect thank you for clearing that up for me.
Jason S says
Does anyone have a email address to send an affordability complaint to capital one credit cards please?
JA says
I had to log into my account and put a complaint through there secure message platform as I also struggled to find an email address.
Jason says
Thanks JA,
Found it that way, appreciate your help.Was it the full 8 weeks until you got a response.
JA says
I’m sorry but I can’t remember if im honest, It was quite a long time ago.
Good luck with your case
Jason says
Thanks JA they partially upheld my case. Got a £707 refund so really pleased thanks for your help
Rachel says
Any help so much appreciated please??
2011-2012 a huge payday loan mess.
Had to declare herself bankrupt in 2013 and started debt management plan.
Vanquis gave her credit card 2012 limit was £250.
She did not include vanquis into her 2013 debt management plan as thought she could manage paying as was small amount of £250.
During her bankruptcy process vanquis upped her a limit to £550 in 2013.
Then upped it to £1500.
And now its at £2500.
She has always been up to her limit and over limit. I fee they should never gave her the card in the first place.
Can i ask what you think about this?
My mum has since put an affordability complaint into vanquis. They have come back saying not upheld. Were really rude and demanding payment.
She has asked for a payment plan and interest to be frozen.
They are still adding inerest.
Her account is now sitting at £2900, and still to reply to her email about the payment plan.
She has today, filled out the financial ombudsman form online, got her credit report and can download statements when needed.
We know that she has paid £6115 interest since opening account in 2012.
Do you think this is a strong case and possible to receive all or any money back?
Or how should we move for forward from here, am i doing the right thing?
Sara (Debt Camel) says
Are you saying the Vanquis account was opened before she went bankrupt? And that they then increased her credit limit in the year before she was discharged?
Rachel says
She opened credit card in 2012 and went bankrupt/debt management plan in 2013 but didnt include this vanquis into this as was low limit of £250. Her bankruptcy lasted 3 years. During this time vanquis increased her limt 3x up to £2500.
It went from £250 to £550 to £1500 to £2500.
She has been stuck in this £2500 limt ever since
Rachel says
At the time the card was issued was when she was in payday loan hell also
Sara (Debt Camel) says
Was the Vanquis card listed on her bankruptcy application?
Rachel says
Mum had vanquis card 2012 before the bankruptcy 2013. So it would not have been on her application. But was issued to her in the middle of hundred payday loans.
The 3x increases happend during bankruptcy
Sara (Debt Camel) says
Can you ask her? Because her bankruptcy application should have listed all her debts, including the Vanquis card.
Rachel says
Vanquis and littlewoods were 100% not on her bankruptcy i have double checked this with her.
She didnt tell them about it at the time of bankruptcy. Goodness knows why sara, possibly in denial.
Sara (Debt Camel) says
Well she is unlikely to be able to argue they shouldn’t have given her a credit limit of £250 at the start. The monthly repayments on that would have been tiny.
The the problem is that she should have listed the Vanquis card on her bankruptcy application. Leaving a debt off because you forget isn’t problem, but carrying on paying the debt is, she should not have done this. I think with this as a background she is going to find it hard to argue that Vanquis were in the wrong to increase her credit limit.
What debts does she have now apart from this Vanquis card?
Rachel says
Guarantor loan, little woods, behind with rent, friends and this vanquis
Even tho the limit £250 was small. My mums whole wage was due out on paydays loans
Rachel says
So someone who is in bankruptcy can have limits increased 3x ? I think this is crazy.
No wonder people get in a mess! Surely some sort of credit check has to be done before an increase? Would any checks shown her situation?
And like i mentioned earlier, mums whole wage was owed out to pay day loans, so godnoes why they gave her card in the first place.
Thank you for your time and replys x
Sara (Debt Camel) says
The problem is your mum broke the rules around bankruptcy by not listing the Vanquis card, by continuing to pay it and by taking a credit of more than £500 without informing the lender that she was bankrupt.
Vanquis havent behaved well but your mum was in breach of the Insolvency Act.
I suggest your mum needs to look at what her options are for resolving her current debt position.
Rachel says
What would you suggest? Ive put in affordability complaint in against vanquis.
And saw templates for guarantor loans. Bit of breathing space would allow her to catch up with the rest. And any redress would just get her out the mess
Do you think its worth me going ahead with affordability complaint?
Thanks
Sara (Debt Camel) says
I assume you mean your mum going ahead.
I don’t know what will happen if she goes ahead. You could talk to National Debtline on 0808 808 4000, they may have seen a similar case where someone concealed the Vanquis card from the Official Receiver.
Who is your mum’s guarantor?
Paul says
Hi,
Response from Aqua is unsuccessful for irresponsible lending saying they acted correctly but they increased my limit 4 times in one year,
now off to the Ombudsman. Are Aqua difficult? as I got their response exactly 8 weeks today.
Joseph says
Yes, very, I found AQUA difficult to deal with. Always waited till the last minute to do anything – Keep going with it though, they refused to accept adjudicators decision but ombudsman upheld again. They had 30 days to pay out and they paid me on day 34 I think. Stick with it, don’t give up !
JA says
Paul – I got a very similar response , they were fairly fast in responding to my adjudicator though.
Joseph – AQUA Partially agreed to my adjudicator accepting they shouldn’t of increased my credit limit but they don’t agree to remove the default which I found very weird as it was caused by the limit increase. I’m waiting for an ombudsman currently, How long did yours take to get picked up by one?
Joseph says
Hi JA, sounds typical. I would personally refuse that and take it all to the FOS. I think it took about 3-4 months for it to be picked up, they refused adjudicator, then ombudsman.
Paul says
Thanks for the reply, today was the 8 week deadline with Aqua. I called them and they said final response letter sent out yesterday but the advisor read it out to me. So I am just waiting for the letter to arrive in the post then I will send everything to the Ombudsman. I will do it through the Resolver website.
Thanks
Paul
Joseph says
Hi Paul, if I were you I would submit to FOS straight away and then wait for the letter to come, letter might take 1-2 weeks to arrive but at least you’ve shredded some waiting time at the FOS, as long as you have it when it’s gets to the adjudicator you should be fine
David Jacques says
Hi Sara,
Vanquis have recently reviewed my complaint and have agreed to refund my interest and charges since a credit limit increase. They are assumingly going to apply the refund to my card balance. Am I able to request this refund via cheque or bank transfer.?
Sara (Debt Camel) says
No. Not unless you can argue that you are just about to lose your house through eviction for rent or mortgage arrears or something like that.
Tracey says
I have heard back from FOS saying there is a huge waiting list so my case won’t be seen as of yet. Is there anyway I can jump the queue?
Sara (Debt Camel) says
You can talk to FOS about your mental health and how you have had problems for many years.
BUT as I said before, I think it is going to be hard for you win this complaint as it is so old. And with a lot of other debts with debt collectors, wining this complaint is not going to resolve your financial situation.
I suggest you talk to National Debtline on 0808 808 4000 about what your debt options are.
Colin Brown says
Hi Sarah,
I have a Marbles CC. When I initially took it out the limit was £150 then about 1 year later they increased it to £750. Every month I can barely pay back the interest. At the time I took out the increase limit my bank statements show there was no money to take on any more debt. Does this mean I can make a complaint for unaffordable lending? There is currently £750 left to pay.
Sara (Debt Camel) says
How long ago did they increase your limit to 750?
what are the rest of your finances like?
Colin Brown says
Hi Sarah,
Around 10 months ago, every month the interest either just gets paid or doesn’t get paid on time and they are forever chasing me. I am always scratching round for cash to pay the minimum payment. I guess that’s proof that it was completely unnafordable. The other finances take so much of my money I can just about pay my bills from my salary. Every month after the bills go out I have theee weeks with no money. On a separate note I am breaking that cycle as all my payday loans complaints have gone in. If they had checked my bank statement from the previous month when I applied it will have shown there was no way I could afford the card.
Any thoughts would be appreciated!
Col.
Sara (Debt Camel) says
ok, then I suggest you talk to StepChange and set up a debt management plan. Any complaints you win against payday lenders or Marbles will speed up the plan, but getting one in place will get you into a safe finacial place while the complaints go through.
It is worth complaining to marbles, but expect them to reject it and for it to have to go to the ombudsman.
Ruth says
Dear Sara
I am on IVA with these are my creditors. Can I make the claim against them? Like Next was my old account they topped my credit limits without checking and I was paying only minimum for years
Sara (Debt Camel) says
You can but any refund goes to your IVA so there is no point :(
ad says
Hi Sara
i had an aqua credit card limit was increased from £200 to £1200 to £2400 all within 6-7 months. the card is now at £2800 and with lowell who i have a payment plan with. i used this card to gamble but my winnings would go back on to it, even with the gambling transactions they were increasing my limit probably as it looked like my credit was used and then paid back. would i have a complaint on this ?
also since have 4/5 credit cards all with minor limits that i have not been able to pay and over their balance – i was in other debt around £15k surely they should have checked this before allowing me to open the accounts? all were within 6 months of eachother. capital one also allowed me to open a second credit card account for £500. My first one with them was a luma card which i had for 3 years with loads of missed payments and always going over my balance.
should i complain to all of these ? not sure what part of the templates i should use and how much details i should go into.
Joseph says
Ad, yes definitely complain. I had 3 credit cards in total a few months ago, all maxed out (Aqua £550, Vanquis £500 and Capital One £800) – I put in affordability complaints with them around the same time as I did all my payday loan ones, as I thought I would give it a shot even though I was not optimistic. Vanquis and Aqua cards all interest repaid to me and deleted from credit file (horrible long list of missed payments). They used the refund to clear the balance but I still walked away with roughly £800 cash in the bank. Still waiting on my Capital One card with an ombudsman, it’s been 6 and a half months now so I hope it’s getting there. Good luck ! Any questions ask, not many people seem to have done the irresponsible lending with the credit cards but I have (and won all of them so far, just waiting on 1)
Martin says
Oh, that lovely trio: Vanquish, Aqua and Capital One… How quickly each of them has replied to you after the first complaint letter? I understand every case is different, but who was the worst/best to deal with? From your previous posts, it seems Aqua will require FOS input.
Sara (Debt Camel) says
They will probably all have to go to FOS. Keep your hopes of a speedy res=ult very low.
Ts says
Hi Sara,
Have you had any success stories with high street banks? I’ve a Lloyds overdraft that I complained about a few months back as the change in the way they charge, costs me £7 per day. It is a 5k overdraft and during the time I’ve had it I’ve had multiple payday loans (which I’ve managed to claim 90% of interest back from via this site!).
I wondered if this was worth pursuing. They rejected my complaint that the £7 per day was unaffordable, if I complain should I just send this straight to the FOS or start a new complaint that I should not have been lent a 5k overdraft?
Thanks
Sara (Debt Camel) says
Some people have won complaints about overdrafts. You need to start a new complaint as your previous one wasn’t that they gave you a limit that was too high. Bit when was your overdraft limit last increased?
Ts says
Around 3 years ago.
Lucia Cook says
Hi Sara, wondering if you could help. I am looking to complain to Barclaycard about a credit card I was given in Aug 2018 with an immediate £10k limit. I applied as a balance transfer offer. At the time, I had previously just taken out a loan of £8k to cover & clear some debts. I had a credit card with Tesco Bank for around £3k (which i was transferring), another with Marbles (£1200) and two with Capital one at £700 and £1900. I closed all but the Tesco one on transfer. Stupidly, I spent on it again, and on the Barclaycard. In no way could I afford the payments on £10k with a £8k loan on my wages. Does this sound like something I can complain about? They are both now in default.
Sara (Debt Camel) says
Realistically the only refund you could get is the interest that is charged. On a balance transfer, that would be nothing. How much interest have you actually paid on the card?
And how soon before was the loan application? If it was at about the same time as the Barclaycard application, the BC may not have seen the loan on your credit record when they looked.
What is your total debt at the moment – BC, Tesco, the loan, anything else eg bills in arrears? How much can you afford to pay to your debts each month?
James says
Here’s a query…
I recently notified Bank of Scotland on my engagement with StepChange and my intent to go into a DPP/DAS, including my overdraft.
My overdraft has been £700 for many years now and I live almost entirely near the upper limit of this.
(I assume) after receiving my letter (although they did not acknowledge it), BOS stopped charging the daily OD fee (c. £1.15). I assume the two are connected. Recently however, after several weeks, they started applying the fees again.
I have switched the bank account my salary goes into but obviously this is creeping up my debt.
Do I have ground for complaint, either that they continue to charge when I have notified of financial difficulties, or indeed that the overdraft itself was a persistent debt and as such the bank should not have allowed me to borrow in this (expensive) manner over time?
Many thanks! :)
Sara (Debt Camel) says
hi James, I will ask a Scottish debt adviser to answer this one.
Alan McIntosh says
Hi James
Once you apply for apply for a DPP the interest, charges, fees and penalties are all frozen. However, if your application is not successful, they are re-applied.
If it is they remain frozen. However many firms still apply them to your debt, but on successful completion of your DPP they are written on. The reason for this is if you DPP is ever revoked they can be be re-added. So the interest freezing benefits of DAS only really come to fruition on successful completion of the Programme.
James says
Thanks Alan.
Any idea why they (BOS) would have stopped charging then re-started?
Thanks.
Paul Wakeman says
Well this is a new one on me!
“Dear Mr Wakeman
Your complaint about Capital One (Europe) plc
Thank you for the information you sent us.
We’re helping a lot of customers at the moment – so I’m sorry that we won’t be able to reply straight away.
We’ll be in touch as soon as we can. In the meantime, our contact details are below in case you need to speak to us.
Kind regards
Rosie says
So Aqua finally agreed with FOS decision about irresponsible lending by continually increasing my credit limit. They were given 28 days to sort things out. As they missed this deadline, had to get the FOS to chase them up to be told that “the complaint handler that was dealing with my case has left the business” Yet more delaying tactics….
Sara (Debt Camel) says
deep sigh.
Steph says
Hi Sarah
I am working with national debtline on a dro as I have debts of £18.5k made up of catalogue, credit cards and personal loans. My income is made up of ESA, enhance PIP, housing benefit and a small pension. Over the last 12 to 18 months I have been using the credit cards to buy food, fuel etc as All my income has gone on paying minimum payments on the credit cards. According to my credit file my credit utilization was high although up until September I had not been late or defaulted. 2 of the credit cards were taken out at the beginn8ng of the year both with a £1k limit (BOS & Halifax). During this time my statements have shown a minimum payment plus an additional payment none of which I have paid. Would it be worth me writing to the credit card companies re irresponsible lending or would the fact I hoping a dro is approved it would be a pointless exercise.
For info, I have a chronic illness and suffer with acute depression and anxiety for which I take medication.
Many thanks
Sara (Debt Camel) says
This seems pretty pointless. These complaints would almost certainly have to go to the Ombudsman which would take months. If you got a refund, it would just be used to reduce your balance. And 1k credit limits that weren’t later increased sounds a weak case anyway.
Good luck with your DRO, that sounds like a good way to get a clean start.
Cal says
Hi
Has anyone had any success with Shop direct/ very lately? My complaint has been with the ombudsman since January of this year and they still haven’t come to a conclusion as yet. I’m not sure what the delay is. Thanks in advance.
Annie says
My complaint has been with the fos since the beginning of December 2018 and I have heard nothing other than a letter a long time ago to say it would be months before it would be looked at so I’m just waiting until I hear further from them
Laura says
Mine has been since end of last year aswell. I got a letter that said they were on hold while they talked to the buisness. Good luck with that.
Out of every company I’ve dealt with in my mess these, by a country mile are the worst! I only communicate with them through the secure webmail and even then the replies are unbelievable but I noticed they have deleted these so I sent a gDpr request and you guessed it 30 days and ignored. Worst ever!
Good luck with your case
Cal says
Oh wow they are bad I’ve had quite a complaints since last year also and these have all been dealt with even QQ have settled.
Emily says
Hi, I currently have a complaint against Barclaycard that is with an adjudicator. I was just wondering does anyone have any success stories with Barclaycard? Thanks x
Laura says
Hi Emily,
I had success with everything but Barclaycard. The adjudicator took Barclaycard side and then cancelled the card which was fair enough but they wanted higher payments to clear the card quicker which seems bizarre if you are complaining about Affordable lending!!! but the adjudicator sorted this for me. Probably not what you were looking to hear but that’s my story. Best wishes with yours
Louise says
Hello
Can anyone advise please, during a dro i applied for a simplybe catalogue, my credit limit was £200 and manageable, within 3 months it went up to £800 ans then £1500 each time i was grtting close to my limit. I couldn’t afford min payments, asked them to freeze interest and pay £60 a month after 10 months they have now aols to debt managers, i have since lost my job and very unlikely i will work full time again due to having 2 babies ans childcare cost which got me in a mess anyway.
I have been in touch with debt managers and after income and expenditure forms filled im minus nearly 200 every month.
Anyway paying them £1 a month which is coming off my water payment.
My partner offered full and final payment of £350 which was refused.
My question is 1. Should my credit limit gone up that quick, after only ever making min payments, plus being insolvent. 2. How long can you keep. Paying a pound before i get a ccj?
Taaha says
Hi,
Would it be worth writing to santander about my overdraft? They gave me an over draft of £1500 a few years ago, which I have maxed out immediately and for years been paying the monthly charges, but they was numerous payday loans and credit cards coming out as well and forever looking for cash to balance bills. Is this irresponsible lending?
Sara (Debt Camel) says
what was your credit record like when you were given the overdraft and how many years ago was this?
Tasha says
My credit has always been in the red, with a lot of payday lenders refusing me and very little accepting me, only loans offered to me would be guarantees , this would have been around 3/4 years of being In my over draft and paying the full charge every month.
Thanks
Sara (Debt Camel) says
These cases can be hard to win unless the bank increased your overdraft. You will probably have a better chance to of a refund from the payday loans. And a guarantor loan if you had one of those?
See https://debtcamel.co.uk/overdraft/ which looks at what you can do to get out of your overdraft.
Tasha says
Yeah I just checked my online account, and took screen shots, in a 3 month period they increase my overdraft 5 times, with missed direct debts I between.
Emma says
Hey,
I received a letter from BoS in June, they refunded me charges applied to an account which ended up at a debt collection agency (now paid off). I contacted BoS in July to complain about the rest of charges applied to the account before the period they applied the refund – they disagreed and I forwarded onto the FOS. Was allocated an investigator and they have said that BoS or them will investigate because the claim is over 6 years old yet BoS did there own investigation a few months back and gave me a refund from over 6 years ago?? Do I go to the ombudsman? I am not happy at all!
Laura says
Hi everyone.
I’ve had my complaint to capital one partially upheld by then. Really random but I got a cheque in the post saturday and a email Sunday. They said although I wanted negative markers etc removed from my credit record they couldn’t as that’s not a true reflection of events? Bit confused because if they are admitting it was unaffordable and refunding you then how can they justify the negative markers etc? Anyone took this to FOS? Or any similar experience to share? My main concern is getting my credit record back on track. Thanks
Sara (Debt Camel) says
How “partial” was the uphold?
Laura says
The first credit limit increase was fine but the second wasn’t
Joseph says
Make sure they refund ALL the intrest. I had a complaint with Vanquis upheld and they just closed the account while removing the balance. Only upon checking, I noticed I had paid more in intrest than the actual outstanding debt and I contacted them to refund me the difference. They said they thought clearing the balance was enough, but the FOS said to refund all the intrest not just enough to close the balance. Sneaky credit card companies!
Sara (Debt Camel) says
was the cheque for an amount you thought was fair? Were all the negative markers on your credit record after the last credit limit increase?
Carol says
Hello, I had a bank of Scotland Mastercard from when I was 22 I’m now 42. They increased my limit so much it eventually went up to £7000 when I was 33. This was sold to a debt collector…which I’m still paying. Can I still complain ? My minimum payments in my 20s was £330 a month!!! Yet they still increased my card limit!. So I used that to pay the minimum payments ….until I couldnt do it anymore. Now paying a less amount every month to the collector.
Sara (Debt Camel) says
So all the credit limit increases were 10 or more years ago. I am sorry but I haven’t seen anyone win a complaint that their credit limit was increased that long ago. 6 years normally acts as the bar. I can’t say it’s impossible you would win a complaint but I think it’s highly unlikely.
How much do you still owe? There may be a different way to challenge this. I hope it isn’t on your credit record any more?
Carol says
Thanks for responding, I still have £4,500 outstanding unfortunately.
Sara (Debt Camel) says
ok, then I suggest you read https://debtcamel.co.uk/ask-cca-agreement-for-debt/. If the debt collector can’t produce a true copy of the CCA agreement for the debt, it is unenforceable in court. So you could decide to simply stop paying any more. This isn’t guaranteed to work, but for a 20 year old credit card that was sold to a debt collector a long while ago it is well worth a try.
Ljc says
I have raised a similiar complaint against mbna . Mbna said it’s over 6 years so they are not uphelding I sent to the fos 2 weeks ago so will update here if I have any joy
Joseph says
Hi Carol, 2/3 credit card complaints won and 1 with an ombudsman now and I’ve won 2/3 so far, i would deffo say sending this to FOS! Credit card complaints seem to be different and a little harder to prove, but you’ve got nothing to loose so do it! Good luck!
Kate says
Has anyone had any lucky with complaints relating to credit limit increases and late payment reporting by Next. I have held an account with them for a few years now whereby my limit has increased over time. It has decreased a few times if there has been negative reporting on my credit file and then within a month or 2 my limit has increased again. They have recently decreased my limit to £1500 but I have an outstanding balance of £2300 with them which I am paying off at £120 per month.
I have contacted them twice recently to ask them to change my payment date from the 11th of the month to the last working day of the month as my financial circumstances have changed dramatically over the last few months due to payday lenders and I want to make sure I am paying my creditors when I have reasonable funds available. They have refused my request and are now marking my credit file with late payments, which is making my file worse (not that it can get much worse at the minute). I am still making the monthly payment but just wanting the payment date changed.
I have spoken to customer services and collections and no-one is willing to help me.
Is it worth my while raising a complaint regarding all of the above or just carry on letting them report late payments?
Sara (Debt Camel) says
Sorry I didn’t see this comment before.
I think it is worth complaining that they have failed to allow you to change the date you pay and that this is unreasonable. Ask tofor the date to be changed and for the late payments markers to be removed. Send it to the Finacial Ombudsman if they say No.
I can’t say you will definitely win this, but why not try? You have a genuine problem and they have been unhelpful. It will only take a few emails from you to try.
.. says
Hello not sure if I told you before but a few years ago I took out a credit card as I was desperate for credit,I was a student and money was hard to come by.So in my application I said I was working either though I wasn’t etc.Was given a £3 hundred balance,As my credit file was reasonably good which was adequate just to tide me over till I finished uni and got a job.Ive managed this account rather well since my just making the minimum payment,However since then they have increased my credit limit to a grand then to a grand a half then to 2 which I maxed out and have paid back in full now.Within 18 months of me getting the card my borrowing from other lenders has grew and my credit file got worse.recieved a default 6 months before the final increase .I’ve asked marbles to decrease the interest at least but they’ve always said no.Is this worth complaining about…
Sara (Debt Camel) says
Are you still using this card? Do you have other debts as well?
.. says
IThe account is still open but the balance is zero now.I have set the card up to be paid in full each month so no interest in charged.Earlier this year I had a later from Marbles saying that I was in persistent debt as I was only paying the minimum for 18 months.Before the limit was last increased I had been late a few times with the account
.. says
As for other debts I only have a barclaycard account and an overdraft both debts are not to high.2k on barclaycard at 6.9% .and 7 hundred with m oversees which is interest free.About a year ago I had a ton of creditors about 12 most of them I owed between 2 hundred and fifty to 5 hundred pounds.So I doubt I could complaint to them .However I did owe my university money for rent I did tell them I was in trouble with money I set up a payment plan with them last year and one payment bounced then a month later I found out they issued me with a CCJ so am considering taking action about this
Sara (Debt Camel) says
Credit card affordability complaints aren’t as easy to win as payday loan complaints as the moneghtly repayments are so much lower. This complaint feels rather “thin” and I am not sure you would get anywhere. Only the last increase is at all questionable as you had a recent default, and from 1500 to 2000 that wasn’t a large increase. Requests to reduce interest are normally rejected unless you can show hardship.
Carol says
I’ve just done Capital Bank £1000 then another capital back 4 months later £1000. I maxed out the first one which exceeded and they still gave a second one in which I maxed out. Both in arrears still, missed payments, , even before the first card was taken out I had late payments and defaults on my account with aqua,.vanquis and Barclay card. I’ve checked my credit report and it’s all there, how I got some credit cards I just dont know. So have put in an complaint with them.
Sara (Debt Camel) says
sounds a strong complaint!
C says
Received this email today from Capital One. Anybody heard anything about this before:
“We know you have a good track record with making payments. But, for nearly 3 years, you’ve paid more in interest, fees and charges than towards the amount you borrowed. You’re paying off your balance slowly and it’s costing you more in interest.
We’re worried about this. And the Financial Conduct Authority has introduced new rules. If you don’t act now, we may have to take further steps in March, which could include us suspending your card.”
Sara (Debt Camel) says
A lot of these letters are going to be going out over the next few months. See https://debtcamel.co.uk/credit-card-pay-more/ for more details.
Dan says
Hi Sara
I have had refund success with some payday loans, amigo and 118. I am now wanting to complain to both MBNA and Santander.
MBNA gave me an account with a £1500 limit and an immediate 1400 money transfer. I was in a lot of debt with payday loans and a 2k Santander overdraft (which will talk about in a moment). I also was at a point where i had a heavy gambling addiction. MBNA would have seen all of the huge gambling transactions on my statements but never asked for them.
Santander offered me an overdraft which was increased twice. £300 tp £1200 to £2000 very quickly. They too after being in the OD gave me a credit card with a £2000 limit all after months and months of gambling transactions and payday loans.
Ive been paying minimum payments on the CCs ever since (about 15 months) whilst trying to clear other debt but has been tough. Minimum payment for MBNA is 25 and Santander is £55 but find i have to use the credit card straight away after making payments to get through month.
Can you offer advice on whether you feel i have a claim.
Sara (Debt Camel) says
I think both these Claims are worth being made. I can’t say how likely you are to win them at the Ombudsman.
Dan says
Great thanks.
Santander is my main bank. They especially should have seen my statements as i bank with them!
What are the implications of making a complaint about credit cards and ODs that dont get upheld? This may sound a little silly but wouldnt want to have a negative relationship with my main bank
Sara (Debt Camel) says
No one has reported problems but there haven’t been that many complaints against banks.
Perhaps you should move to a bank that treats you better? Without an overdraft? And just aim to pay off the Santander overdraft – which would obviously be quicker if you get a refund, but surely needs doing anyway?
Jl says
Hi,
Anyone had any payments recently from Shop Direct (Aviva insurance). My claim has taken approx 130 days for them to investigate & uphold. Now they are saying another 21 days approx before I will receive cheques!! I feel like it has been one delay after another with them & beginning to lose faith that I will ever see this money.
Ben says
I’m still waiting for my cheque. I received a letter on the 23rd of August advising my cheque should arrive within 21 days which is long gone.
They recently received more funding from their owners – https://www.ft.com/content/f9fb456e-0614-11ea-9afa-d9e2401fa7ca I’m hoping that this means cheques will be going out soon as I suspect lack of funds is what’s causing the delay.
Jl says
Hi Ben,
Thanks for your reply. My letter said 21 days too, I called and was told they are two months behind with cheque issuing. You should be getting yours within the next few weeks then, fingers crossed.
bex says
So I have a credit card debt of almost £4k, over the recent months I am ashamed to say I have got caught up in online gambling. I managed to get a 6k loan with a high rate lender, despite always making minimum payments to my credit card, long-standing overdraft and defaults on an argos card (which went to a debt collector) and next account. I’ve had the loan since August 2019, could I ask them to freeze interest? Would they expect full payment immediately if I did complain?
Sara (Debt Camel) says
Who is the lender of the loan? How much did you borrow and what is the current balance?
How large is your overdraft, the defaulted Argos account and the Next account?
The 4k credit card – has your limit been increased?
Last, have you managed to stop the online gambling? If not, that is your top priority. You can’t tackle your money problems while you are still gambling.
Paul says
Hi Sara, just a thought as I know credit card statements for a long time have had to have the apr and various interest rates shown on each statement they send to you so you know how much you are paying in interest and to encourage you to pay more than the minimum etc.. is this still the case with catalogues such as JD williams ? ive just gone through many old statements about 2 or 3 years old and not 1 of them show any interest rate at all just a credit charge. was this legal ? is it possible to maybe try reclaiming all the interest charged as they didn’t make it clear on a monthly basis? I had a loan once where they didn’t send a statement for 1 year and they were made to refund all the interest for that year, think it might have been 118118 money, but just wondering if there is a case or not with jdwilliams ?
Sara (Debt Camel) says
Not so far as I know, but you could ask National Debtline on 0808 808 4000.
Carol says
I wondered if anyone had success with Next and Very. I’ve recently lodged a complaint with both and barclaycard. My credit limit with next was £3,000 and my very was £2,500, my barclaycard was £4,000. When I maxed out barclaycard and other cards, I turned to next and very, I only ever paid the minimum on all and even then it became unmanageable. I attached my credit reports showing when I came into difficulty and my limits on all these should have been looked at. I feel I have a strong case against them all. But just wanted to hear others experiences with them. Many thanks.
Mia says
I need some help. £24000 in debt gained in the last 18months.
Barclaycard 0% balance transfer card. £10,000 with min payments of 200 a month (killing me)
Opened this in September 2019
Bos personal loan £10,000 mon they payments £246 since may 2019 when I got it.
Also have a £450 overdraft I’m never out if with them.
Tesco credit card £4500 min payment 100
Lloyd’s (part of the BoS group) credit card £900 taken out Apr 2019?
Capital one £700 ish taken out in 2016.
Now I have a gambling addiction, all traction online. With my own bank who provided the loan, overdraft I’m never out of and the lloyds cc. Also tesco credit card just increased my limit when all that card is used for is gaming sites. What can I do. I need help out of debt. I haven’t gambled in over a month. I wanted to ask these companies for a full and final settlement figure with a loan from my dad….(but that’s 10k) to wipe these. Will they do this when I’m up to date with all payments? What can I do
Sara (Debt Camel) says
No they won’t accept a settlement offer when you haven’t defaulted on the debts.
I suggest you
– contact StepChange https://www.stepchange.org/how-we-help/debt-management-plan.aspx and set up a debt management plan (DMP) with all the debts in it, including your overdraft. This should get interest and charges frozen on them and mean you just make one affordable payment a month to StepChange.
– get yourself a new bank account with someone you don’t owe any money to with no overdraft on it (StepChange will explain why a new bank account is a good idea.)
That will get you into a safe position where you aren’t under financial pressure each month. This is good for everyone but it’s vital for anyone who has had a gambling problem as the last thing you need is to be constantly worried about money and subject to temptation.
The Barclaycard may be hard to win a complaint about as this was just repaying other debt so Barclaycard can say their option was cheaper. But it is a huge limit and they should also have seen the very large loan already on your credit record so this is worth a try.
Also complain about the large personal loan – see https://debtcamel.co.uk/refunds-large-high-cost-loans/. That page says it’s for high interest loans but it works the same for very large loans at lower rates of interest – your complaint is that if they had looked at your situation, and as your bank they could see your bank statements showing a big gambling problem, they would have realised it was irresponsible to give a loan to you. Ask for the interest to be removed from the loan.
Then in a year or so, you will know how your complaints have gone, this may have reduced your debt, your debt will have gone down because of your DMP payments, and some of your debts will have been sold to debt collectors. At that point a settlement offer from your dad is more likely to be considered.
Tracey says
I have a random question….. it seems to me every financial adjudicator and ombudsman are working on ppi cases. What is happening to all the other (non ppi) cases at this time. Surely they have adjudicators looking at other cases too.
Sara (Debt Camel) says
There has been a completely separate team dealing with PPI for years. The other adjudicators and ombudsman don’t get drafted in to help with the PPI cases.
Tracey says
Thank you for getting back to me. This is good to know, as the email I received from them said they were busy dealing with PPI cases at the mo so can’t look at mine for quite a while.
C says
Well really interesting response from Next. They do not uphold my affordability complaint but are willing to reduce my outstanding amount from £1,858 to £294 by removing the interest. If this isn’t clearly an admittance of wrongdoing I don’t know what is!
Joseph says
Confuses me why companies do this, but I wouldn’t care I would just be glad they did it haha
Carol says
That’s interesting as I’m waiting from a response from next also. I’m fairly confident about my case as I provided evidence. There last day to get back to me is next week. They told me my file was archived so taking longer than normal
Ben says
Just a quick update. I finally received my Shop Direct cheque on the 12th which hopefully gives people a bit of an indication of the current wait time.
Martin says
Actually, Vanquis was quite quick with responding: in about 5 weeks the answer was “No, because no” and “oops, sorry, we forgot about your SAR, there you go – £50 for you”. They stick to their ground as they are the subprime lender and even if my then-situation was bad, it was OK enough for limit increases. I am going higher up with it, even though when I check the past rulings/outcomes of the FOS investigations, vanquis has not lost even one case.
Aqua has flooded me with 200 pages of the copies of the old statements and literary one useful page containing my point-blank refusal to be subjected to 59.9% APR (which led to the card closure) and three days later I have received another letter “we need more time”. As they are still within the 8-week period, I will wait patiently.
Chris B says
Hello,
Does anyone have a complaint email for capital one? The website says to complain via your account which I don’t have.
I raised a complaint via resolver and I’ve had no acknowledgement for 8 days now. I did one for Vanquis and they responded via resolver and letter within 3 days acknowledging the complaint.
Capital one , nothing. Any help, please.
Carol says
I did so through resolver also. I think it was 2 weeks before they got back by letter
Joseph says
I’ve got one ongoing at the moment, complaint origionally in Decemeber 2018 which they rejected, took to ombudsman in Febuary 2019 and just waiting for ombudsmans final response (to give you a time frame if you do decide to go to FOS)
Paul says
Hi,
My Vanquis complaint at the FOS is now being looked at, they have also received the requested info from Vanquis but yesterday the FOS emailed me to say that have asked Vanquis for more info about my complaint. Does anyone know what this could be.
Thanks
Paul
Carol says
So I heard from Vanquis whom I had a £500 credit limit with in 2017…..they aren’t upholding my complaint however they said that they would refund me £539 of interest / charges from 2018 . The letter dated 16th December said they would issue a cheque within 28 days. Anyone have any experience with vanquis ? Will it likely be close to the 28 days ?
Thanks so much to the website for helping me, I never thought I would get anything back
Joseph says
Hi Caorl, yes 2 weeks if I remeber correctly – Used £500 to clear credit card then paid me the rest which I think was about £450 (I took them to FOS and had all years intrest refunded). Well done!
Elle says
Hi,
the Freemans catalogue company has not upheld my complaint of irresponsible lending because they say they can’t see any further data than around 2 years ago to support my complaint, even though I can see all their monthly/yearly credit increases since 2014 when I do a credit check.
They also can’t explain why I was accepted for 9 catalogue accounts during this time (with 4 being owned by them) but they have enclosed a cheque for £723 to cover the last year’s late payment fees and interest etc. They say this is a goodwill gesture.
I wish to take this case to the FOS now along with the other catalogue companies I complained about.
I would like to know the following please?
Perhaps a silly question but, can I keep and cash the goodwill cheque? What happens to this money if I don’t win this case via the FOS?
Can I go on to use all the related info and outcome of this case for the other catalogue cases if I take those further too?
Thanks again. Elle.
Sara (Debt Camel) says
You should tell them you are taking the case to FOS and ask if it is still alright to cash the cheque.
Do you still owe them any money?
I haven’t seen anyone end up with less money by going to FOS, unless they just offered you a token £25 or something to go away.
You won’t have the outcome for this case from FOS for a while. Don’t delay starting other complaints waiting for this – complaints get harder the older they are so start them now.
ELLE says
Hi Sara,
Thanks for the guidance,.. No I no longer owe Freemans money,.. all but one of the 9 catalogues has been paid off now but to do this I borrowed money from our mortgage current account to stop their high interest, so this was nearly £8000 in total, I am still paying this off and will be for a very long time as I already had £15,000 owed on this account already… this has to be paid off at the same time as our mortgage end date in 8 years time.
I will contact Freemans again now and check about the goodwill payment etc… and then take to FOS.
I will also start the complaints for the other catalogues that have stated that they don’t uphold my complaints.
Do you think that the fact of even being given a goodwill cheque helps a case like this? I.e. its rather like they know they were in the wrong.
Thanks.
Sara (Debt Camel) says
I think it shows you have got a case that is absolutely worth taking to FOS! But it’s the good case that means you will hopefully get a better award from FOS, not because the lender has already offered this.
Elle says
Hi again Sara,
I’ve added the bulk of the letter that came with the cheque below, I think I added as another comment previously so you may not have seen it, sorry.
“We conduct a credit assessment on all customers before opening a new account or increasing the credit limit, which includes up to date information from credit reference agencies.
I can confirm that at credit assessment would have been completed when your account was opened, unfortunately we no longer have access to the application data and are therefore unable to establish the reason as to why four accounts were accepted. Any credit increases would have been communicated to you via a statement message and if not required you were advised to contact us.
Having considered all the matters raised, I regret to inform you that I am unable to uphold your complaint.
However, with the information you have now provided regarding your financial situation, this has enabled us to review all of your accounts in relation to late payment fees, interest and deferred interest.
As a gesture of good will we have made a decision to refund these back to January 2017.
Below we have outlined each of these relating to each account.
Please find a cheque to the value of £723 in full and final settlement.
In accordance with the legal requirements as they apply to the investigation of complaints, I must inform you that this is my final response”.
Elle says
Well, I’ve just got off the phone to Freemans and they were infuriatingly vague.. they say if I bank the cheque that’s it, this would be seen as my accepting their offer.
They say that as the letter says that’s their final response and the cheque payment is in full and final settlement that’s their final offer of redress.
I questioned this as the payment is stated to be a good will gesture to cover just a years’ worth of late fees and interest on the one hand and yet the complaint of irresponsible lending has been not been upheld by them on the other…so which is it? They couldn’t really explain apart from repeating their original words.
I stated that I would likely be taking this to the FOS.
But I’m feeling so confused now,…what do I do next? I can’t really afford to loose the £723 completely. What happens to this money if I hold off banking it for now and if the FOS don’t rule in my favour?
Thanks again, ~
Joseph says
I remember having this once. If it’s a good will gesture then your allowed to take it, if it’s not then don’t. Try calling them again tomorrow and speaking to someone different, but I would get it in writing (somehow) that’s it’s purely a goodwill gesture. Does it specifically say it’s a good will gesture on the final response letter?
Elle says
Hi Joseph,
I’ve added the bulk of the letter below… I have just removed the 4 account numbers and the break down of their calculations.
“We conduct a credit assessment on all customers before opening a new account or increasing the credit limit, which includes up to date information from credit reference agencies.
I can confirm that at credit assessment would have been completed when your account was opened, unfortunately we no longer have access to the application data and are therefore unable to establish the reason as to why four accounts were accepted. Any credit increases would have been communicated to you via a statement message and if not required you were advised to contact us.
Having considered all the matters raised, I regret to inform you that I am unable to uphold your complaint.
However, with the information you have now provided regarding your financial situation, this has enabled us to review all of your accounts in relation to late payment fees, interest and deferred interest.
As a gesture of good will we have made a decision to refund these back to January 2017.
Below we have outlined each of these relating to each account.
Please find a cheque to the value of £723 in full and final settlement.
In accordance with the legal requirements as they apply to the investigation of complaints, I must inform you that this is my final response”.
Elle says
Then the letter says if I’m dissatisfied I can take it the FOS within 6 months of the date of the letter…etc, etc…as they all do.
I could really do with knowing where I stand with this… like I said before it’s a lot to lose if I go to the FOS and they don’t rule in my favour. ..can the cheque taken back or if I bank it can they request the money back?
Who could I speak to about this?
I could ring them again as you suggest,.. and try and get something in writing,..but what do I actually ask this time to get them to explain it clearly?
The only real evidence I have of the continuous increases in credit limit on all four accounts with them is in my credit files… I didn’t request any of the increases, only paid minimum amounts each month and not always on time, and they have all risen from around £200 in 2014 up to £2000 on each in around 4 years…one of the other catalogue companies (NEXT) rose to £5000 and it’s still at that,.. even though I only owe them £250 now.
Like many people, I didn’t know until last year that I could even make a complaint about irresponsible lending etc so I didn’t keep all my statements over the years… I’ve only got my last year 2017-2018 with Freemans/Kaleidoscope/Grattan/Bon Prix because I requested copies when I opted to borrow money from elsewhere to pay them all off… I think they said then that they only keep a years worth available.
Thanks again ~
Joseph says
Hi Ellie, sorry for the late reply – I hope you still get to see this. Accept the £723!! They’ve clearly stated that’s it’s gesture of goodwill and doesn’t say anywhere it’s in full and final resolution to your complaint – so I would take it and still submit the the FOS! Also, they’re unable to establish the data for when the 4 account were opened? POOR!! That works in your favour for your complaint if they can’t provide this information.
I think you’ve got a really good complaint (only my opinion) – If you want to be safe, reply tomorrow their email saying “I accept this £723 gesture of goodwill payment but acknowledge that it is not in full and final settlement on my complaint’ – Then at least you have something on paper to prove it wasn’t accepted as a final resolution? Plus you get access to that money, bonus! Good luck! (This is just purely my opinion on what I would do and have previously experienced)
Joseph says
Sorry, I’ve just re-read and can see it states “full and final settlement” – I would deffo reject this and take this to FOS though, I think it could be worth a lot more
Elle says
Thanks Joseph, I don’t appear to be able to reply to your las two replies,.. not sure why so just wanted to say thank you here.
It’s a rather cleverly/confusingly worded letter in the regards the payment,.. but as I’ve just said to Sara, I think I will try and speak to the FOS first and get their take on it too and then hopefully go from there.
Thanks again, ~
Sham says
Hi, some advice please. I opened a Barclay credit card account a few years ago and at the time my credit score was very low and I had existing payday loans and a bank overdraft of 1500 that was reached. Barcleycard accepted my application and straight away gave me a £3.500 limit in which I maxed out very fast due to overspending and a gambling addiction. I wrote to them recently and asked why they gave me such a high limit instantly and they sent me a letter saying that they went on by what I had put in my application. In my application at the time I could afford the card but very soon after things went out of control with gambling and overspending. Should they have done more checks? If they had checked I believe they could see my existing debts and borrowing pattern that would suggest I could not manage my finances very well. Is it worth sending my case to the ombudsman for a review?
Sara (Debt Camel) says
how long ago was this credit card opened? Was Barclays the bank you had your overdraft with?
Carol says
My response. Not happy with response as I became in debt due to next and I provided evidence of this. £5,000 credit limit for me was shocking, on my income, this card went into default and arrears
And I opened other cards to pay for payments on this. See below. Is it worthwhile going to FO?
In December 2013, your payments were arriving on time, and you were sometimes paying more than the minimum payment we were asking for. So as you were managing your account well, and the information we were receiving from the credit reference agencies, was good, particularly the affordability score, we felt happy to increase your credit limit to £5000.00.
This limit was reduced in January 2014, when there was a change to the information we received from Experian. And we reacted to this by reducing your credit limit to £3600.00. The limit was increased to £5000.00 again in February 2014, as a result of the information received. This limit remained in place until September 2015, when the score we received from Experian indicated your balance may become unaffordable.
If you felt we were offering you a higher credit limit than you could afford, we would have reduced it at any time had you contacted us.
Matt says
Hi
I took out a Barclaycard with a limit of £1500. Within 23 months it had gone up to £11k.
They never asked me once about what I was earning and can I afford the new minimum payments.
I gambled all that money and paid minimum payments each month.
Is this worth pursuing?
I didn’t have any other debts at the time.
Many thanks
Paul says
Did you bank with barclays? If so they could probably see your income in your current account, if not they might have based it on the income you told them when you applied foe the card. also having no other debts meant you were more likely to have good affordability depending on your income / employment. You might have a case but could be very difficult to prove with no other debts at the time. The real problem is your gambling and If you havent already you need to seek help with your gambling as things wont get better until you do. If you are finding things unaffordable now then seek debt advice
Matt says
No didn’t bank with Barclays
Sara (Debt Camel) says
How long ago was this?
Matt says
This was between 2015-2017
Luckily for me I put the gambling behind me and my family paid off the £11k debt
All the transactions were gambling ( up to 50 transactions a month)
Could they see these on my account? As I find it reckless they increased my limit from £1500 to £11000 in 23 months.
Sara (Debt Camel) says
I think this is a good reason for a complaint to Barclaycard. Point out that your credit limit was increased dramatically in a period of less than two months, during which time you only made the minimum payments and all the transactions on your account were for gambling. Ask for a refund of all the interest you paid. Send the complaint to the Finacial Ombudsman if Barclaycard say No.
Matt says
I will Sara
Many thanks for the advice
Jen says
Hi. I put in complaints to a few companies on New Years eve. Capital one have called and asked me to call back. I’m slightly concerned as to what to say, I’m not great on the phone. Any idea what they will be calling to ask? Anyone dealt with them?
Thanks.
Sara (Debt Camel) says
Do you owe them money at the moment? Can you afford to make the minimum payments to all your debts?
Jen says
Hi. Up to date except for this months minimum payment however am at the limit on all accounts. No. I have £13000 total debt and am paying around £700 a month at the least to keep up. My only income at the moment is child tax credit, child benefit and a maintenance payment. My ex partner was a high earner and I’m living in the house we jointly own with my children with him paying the mortgage. Even if the house was sold I couldn’t rent due to credit score. He recently lost his job and has returned to teaching so taken a huge drop in salary. Otherwise he said he would have borrowed against the mortgage to clear my debt. Because of my credit score I’m stuck between a rock and a hard place at the moment. I often pay the credit card payments, Vanquis and Capital one then use them to pay other accounts. This keeps me at the limits at all times. My complaints were to three JD williams accounts, Next, Capital one and Vanquis.
Jen says
Can I add I had defaults and very poor credit rating when all of these were opened with the exception of next. However they increased my credit while I was I that position. Often lowering and then increasing my credit limit.
And previous JD williams accounts which went to their collection agency then were paid off and closed down. I just had enough of the stress of these accounts and the way they operate. I was vulnerable but not now so time to get things sorted out.
Sara (Debt Camel) says
Using one card to pay another card is a typical pattern when you can’t really afford the minumums and just getting by each month. But January is often the month this all collapses…
If your credit limits have been increased, putting in affordability complaints is a good move but these can take a VERY long while to get resolved. Not just 8 weeks but having to go to the Finacial Ombudsman which can take 6-12 months.
I suggest you should talk to StepChange https://www.stepchange.org/how-we-help/debt-management-plan.aspx about getting a debt management plan set up to include all your debts, not just these credit cards but overdrafts, catalogues etc as well. Then you will make one affordable payment a month – much less stress – and the interest should be frozen so all your payment is reducing your balance. If you win any of these affordability complaints, that will pay off some debts in your DMP and it will all speed up.
Jen says
Thank you for your advice. This forum is great support to me and many others I’m sure.
Elle says
Could I have your thoughts on Freeman’s Catalogue wording in the letter I’ve just added please?
Where do I stand legally if I wish to pursue via FOS but bank the good will cheque?
Could I state I’d accept it but only as a partial re-payment?
My phone call to them didn’t really clear any of this up sadly, they just kept repeating themselves and had to speak to a supervisor 5 times!
Does the fact that they state ‘full and final settlement’ and ‘final response’ mean that if I cash the cheque I have no further complaint to make.
Can they take the ‘good will gesture’ money back if I cash it/pay it in the bank, and then escalate my case to the FOS and my complaint isn’t then upheld, for whatever reason?
I appreciate that you may not have all the answers,.. but I don’t really know who else to ask in regards to the legal jargon they use.
I’ve looked online at similar scenarios but most are with banks or credit card companies not catalogues,.. so I’m not sure how their wording of them offering the £723 cheque as a good will gesture (in full and final settlement) and yet not upholding my actual irresponsible and unaffordable lending complaint makes sense.
Thanks again ~
Thanks again ~
Sara (Debt Camel) says
the cheque is being offered “in full and final settlement” – if you bank it and then go to FOS, the risk is not that they can ask for the money back, they can’t do that, but that FOS will decide they won’t look at your complaint because you accpeted their offered settlement.
So you have three choices now.
1) you could bank the cheque and give up on the rest of your complaint.
2) you could keep the cheque uncashed and go to FOS. I have said before that i haven’t come across anyone getting LESS than the lender has offered, although I suppose it is possible in theory it doesn’t seem to happen.
3) you could phone FOS up and ask them what you should do, say you think you should be getting more than the amount they have given. This might just be another frustrating phone call.
Elle says
Thanks for the very helpful advice Sara,
I will endeavour to speak to the FOS this week and at least get their take on this too, if I can.
I will let you know how I get on.
Much obliged.
~