Have you had a credit card, store card or catalogue where your credit limit was too high? So high that the monthly repayments were hard to manage and you got into more debt?
For some people the limit was too high at the start. Others were originally given an OK limit, but the lender kept increasing it. or it was OK while the 0% offer lasted, then unmanageable.
You may have a good affordability complaint that the lender was irresponsible in allowing you to borrow so much.
This applies even if you made every payment on time, as you may have borrowed more elsewhere.
This article explains how to ask for a refund of the interest you have paid.
Contents
What is “affordable”?
The regulator’s rules
Even if you made every payment on time, the debt may still have been unaffordable.
The following is my summary of the regulator’s rules:
- a lender must check if credit is affordable when you apply for it. For a very low limit, not many checks are needed;
- a lender should make similar checks before increasing a credit limit;
- credit isn’t affordable if paying it leaves you short of money for your bills, normal expenses, and your other debts;
- if you have to borrow more most months, this would not be affordable;
- you must be able to repay the limit set within a reasonable period. Paying the minimum amount is OK for a while, but not for a long time.
Good reasons to complain
If the lender could see any of these on your credit record, they should probably have declined your original application:
- a level of borrowing that looks very high in relation to your income; or
- you had a different credit card with the same lender where you were only making minimum payments; or
- 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; or
- recent credit record problems: defaults, missed payments, or arrangements to pay, mortgage arrears; or
- recent payday loans or a lot of recent credit applications.
Your credit limit should not have been increased unless you could afford it. In addition to the points above, any of the following should have also warned the lender you were already in difficulty:
- making minimum payments for a long while;
- often taking cash out on the card;
- making a minimum repayment but then using the card to pay for food or petrol so the balance never drops;
- using most of your limit for a long period;
- significant gambling the lender was aware of;
- recent missed payments or an arrangement to pay on your credit record;
- your overall level of debt on your credit record had increased a lot.
NB many cases are won when someone has never missed a payment.
You don’t need to know the dates and amounts of any limit increases before you start your complaint – my template asks for these.
0% balance transfers
Here the lender should check that you would be able to repay the whole limit within a manageable length of time (say 5 or 6 years) taking into account that interest will be charged when the 0% term ends.
So if you were ok during the 0% term but then you couldn’t afford the payments when interest started being added, you can complain. Ask for any interest to be refunded and to be able to repay the rest with no interest. Don’t make a complaint about a BT that is still at 0%, it’s much easier to wait until the 0% has ended.
Do I need to know the limit and date details?
No. My template below asks for these. The lender already knows the details so it doesn’t help your complaint by listing them. Don’t delay making a complain trying to find these out.
Think about these points before complaining
You can complain about open or recently closed accounts
These complaints can be made if your account:
- is still open; OR
- it is closed and settled within the last 6 years; OR
- or if it is with a debt collector and you defaulted within the last 6 years (NB the complaint goes to the original lender, not the debt collector.)
If you have had a DRO, IVA or bankruptcy after these problems, ask in the comments below, as this can be complicated.
Old accounts
Many lenders reject complaints about a card opened more than six years ago and say the ombudsman won’t look at them.
FOS may look at these “old” accounts if they have still been open within the last six years. But you are much more likely to win if there have been limit increases in the last 6 years.
If your account was opened in 2017 say, but the lender increased your limit in 2021, that limit increase is within the last 6 years so it can definitely be looked at. You can always get bank statements going back six years, even from closed bank accounts.
A alternative for old defaulted accounts?
If your account was opened over 6 years ago, 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 asking for this rather than making an affordability complaint.
Is a refund what you really need?
Any refund sounds good, but is your problem much bigger than this?
Complaining only gets the interest refunded – you still have to repay what you borrowed. If the debt is newish, you may still be left with a large, unaffordable balance.
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.
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, this isn’t the lender’s fault. But you may still need help to get interest stopped on the cards – talk to StepChange or National Debtline about getting new interest stopped when you are in difficulty.
How to complain
The email address to use
The best way to complain is by email. Find the email address here:
Credit card and catalogue email addresses
Start with this template
I’ve invented an example so you can see how a complaint could read.
Change/delete the bits in italics to tell your story. Miss out any dates if you don’t know them, this isn’t a problem
I want to complain about irresponsible lending 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.
Put this in if you think the lender may have an old address for you
I have moved and my home address is now xxxxxxxxxxxxxxxxxxx. Please do not send any letters to any older addresses on your system.
Put this in if you don’t know some details
I do not know the exact months when the account was opened or any credit limit increases or decreases. In your reply to my complaint, please tell me the dates and amounts of all limit changes, even if these happened over 6 years ago.
Then say IF they should never have given you the account:
You should never have allowed me to open an account with such a large credit limit.
On my income with my regular household expenses and other debts I could not manage to repay that amount in a reasonable time.
[if you had already missed payments] When I applied, you should have checked my credit record and would have seen I had recent missed payments to a credit card and a default only five months before on a loan.
[If this started as a 0% transfer: You should have seen that I would not be able to clear the balance in a manageable length of time, and that after the 0% period ended, I would struggle to pay the higher minimums once interest was being added.]
AND / OR say that they should not have increased your credit limit:
You should never have increased my credit limit. 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 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.
If the lender should 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
I had missed payments to you in 2023
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 2021.
OR
I would like you to refund all the interest I have paid since the 0% period ended and allow me to clear the balance without adding interest.
I would also like any late payment and default markers to be removed from my credit record. (do not mention this if the credit record for this card doesn’t have problems)
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.
Here are some bad or irrelevant comments lenders sometimes make when rejecting a complaint:
- you made the payments to them on time – that doesn’t mean you could manage a higher limit;
- the account was opened over 6 years ago – if it was still open in the last 6 years the Ombudsman may look at it;
- you accepted the limit increase – that doesn’t make a difference! The increase should not have been offered if it was unaffordable.
You know if this card or catalogue has caused you difficulty – it’s easy to send a case to the independent ombudsman. Don’t delay doing this!
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 bother to send A copy of your credit or finance agreement – the lender will supply that if FOS asks for it.
Send FOS a copy of your credit report, they always want to see it. If you have any old credit reports, send the oldest one you have, otherwise send the current one. You can download a statutory TransUnion report for free.
Also get your bank statements if they will support your complaint and send those to FOS too. Do not wait to be asked by FOS for these.
Ideally you want them 3 months before and three months after the account was opened and before /after any limit increase
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?
Lynne says
Here’s the Update from Next Sara. What does she mean they’ve ‘added’ 8%?
Just to let you know, I’ve arranged for the £100.00 apology payment to be transferred into your bank account. Please allow 3-5 working days to receive this payment.
In the meantime, you mentioned the interest refund of £535.44. To help explain, I’ve added all the interest charged on the account since the increase in April 2017 and added 8% to the total.
The balance was £3508.84 when the account was sold on 11 July 2019, so the interest will be deducted from the remaining balance once the account is back with us.
Al says
Bit an update for anyone that’s interested, plus some questions if anyone has any ideas.
Complained to NewDay in 2019 (6k limit maxed out cards cancelled, but pay down plan set up) about lending without good enough checks. Went to ombudsman last year (they didn’t agree) and investigator upheld, but NewDay disagreed again. So vent to ombudsman who got back last week and sided with NewDay. Not fully decided yet, but says it’s unlikely too – even though I’ve given comments.
Obviously very disappointing – and I’ve given some comments. Don’t feel like decisions are consistent with each other. In a many other cases on the site say better checks should have been done, but my ombudsman says they didn’t need too although the circumstances are the same. Lots of other examples of varying viewpoints between ombudsman’s – and my letter doesn’t clearly state why they’ve come to a different view – just says their view differs. Also, NewDay added extra information that the ombudsman used despite not being relevant – details about payments holidays last year. But this has been used to cast NewDay in a more positive light which I don’t think is fair. Anyway, really upsetting turn of events in my case – but can’t see much I can do about it now,
Demi says
Hello Sara,
I am asking on behalf of my partner.
He took out a Vanquis credit card in July 2018 with a credit limit of £500.
It defaulted in June 2019 with a balance of £619.
£129 of this balance was made up of late fees and interest.
He didn’t make any payments towards the account.
At the time of taking out the credit card, he:
• was unemployed and remained so until December 2019
• was not and still isn’t a homeowner
• had and still has £797 credit card debt with another lender
• had and still has an outstanding CCJ of £5,532
• had and still has approx. £4,000 council tax arrears (although he was not asked about bills at the time of application)
The account is now with Lowell who wrote to him a couple of times to set up a payment plan.
He became self-employed in December 2019 but has had no income due to the pandemic.
So, he is still unable to make payments.
I would appreciate if you could clarify whether he has a case for unaffordability please?
Many thanks, Demi
Sara (Debt Camel) says
I think this doesn’t sound that strong a case for an affordability complaint as the credit limit was so low.
But I think he could do with some good debt advice on his whole position. I suggest he talks to National Debtline on 0808 808 4000 about his whole situation, not just this old Vanquis debt,
Lynne says
Can you believe this. I filed a complaint against JD Williams at the start of February and had no response. I asked them today if there was any update and they’ve said can I tell them again what the issue is so they can look into it!!! What? So they’ve seemingly deleted the emails then? So now even longer to wait!
Lynne says
I have an overdraft query Sara. For many years I had a £500 arranged o/d. Very occasionally I would slip over it by a few pounds but I always made sure to pay some money in quickly to get it back within the limit. Sometimes this would just be an oversite on my part, e.g using contactless payments take several days to deduct.
Out if the blue they decided to withdraw the o/d completely. I wasn’t happy about that but there was nothing I could do so they arranged that it would be reduced by £20 each month. When it got down to £200 they decided to just remove the rest in one go. I just wondered is there any complaint I can make about that? Ironically they took it off me just as I received my last wages before I lost my job so it was a double whammy.
Sara (Debt Camel) says
I doubt it. Certainly not an affordability complaint.
Martin says
Hi Sarah,
I had run up quite high unaffordable debts & have now agreed payment plans with the lenders. Could I claim on this unaffordable debt basis or would this cause problems with the payment plans I already have in place?
Sara (Debt Camel) says
No this won’t cause problems for the payment arrangements. The regulator would not think that was fair and people haven’t had this problem in practice.
Craig Wallace says
Finally….after adjudicator decision Barclaycard provided additional information which resulted in some negotiation between them. Interest up to their second credit increase has been disregarded but all interest since then has been taken into account. £6100 balance wiped and £612 received from Barclaycard.
Great result
Background: They initially didn’t uphold the complaint but gave £500 as a goodwill gesture. Sent to FOS in March 2020. Adjudicator took it up in August and after requests for further information sent Barclaycard there decision in December. Barclaycard disagreed and provided further information. After some negotiation a renewed decision was sent to them at beginning of March with balance being written off last week and remainder dropping into my bank account today
Lynne says
Well next told me last Thursday they’d sent £100 to my bank account as a goodwill gesture but it’s not there yet. I’m waiting on this money to get some grocery shopping! Sick of being fobbed off by people.
Sara (Debt Camel) says
Lynne I am sorry but this feels as though it is back to the situation with Wonga. I think you should talk to a debt advise – phone National Debtline on 0808 808 4000. At the moment you are making a lot of very weak affordability complaints that are unlikely to succeed and stressing about when you will get paid from administrations which can take many months.
You cannot organise your life around getting refunds paid promptly.
Fred says
a little off topic. But does Catalogue accounts effect the credit utilisation on a credit file?
I am clearing up my file and had some refunds so wanted to know if it’s better to close them completely or leave them with zero balance to help my utilisation whilst I work at clearing my cards.
Thank you :)
Sara (Debt Camel) says
I think it does.
Jack says
Hi,
What do you think will happen the current claims against provident for unaffordable leading already in process with FSA (and current complaints at company stage – for people reading) now they have started Provident SPV Limited Scheme of Arrangement process?
Thanks
amanda says
hi, sorry for the lomg rant.. can i ask anyone that claimed off very, how long did it take? did they respond via email or letter? what was there response? they where the reason all my problems started with a credit increase going from 750 till 7000 in 2 years i then crumbled. yes my fault but by now pay later was a good idea at the time.
plus i asked them several days ago could i change my payment date from 27th till 29th and they said no, ive already paid march so was wanting end of april to start as im paid end of month. makes sense to have payment date just after pay instead of just before as i could struggle.. there response was thats the way they work and i would need to declare financial difficulty to change the date, my response but im not in financial difficulty now i just think to reduce any risks date should suit the customer.. they said to phone again when my next statement is out and then say financial difficulty.. i hung up, so angry and put in a complaint to attach to my affordabilty complaint and no response.. disgusted to say the least.
Sara (Debt Camel) says
It is likely your complaint may have to go to the Ombudsman. 750 up to 7000 sounds like a strong complaint, so if Very reject or make a poor offer send it to FOS.
This may take some time. Are you really OK to keep making the payments?
In the complaint to the ombudsman, do say that Very refused to let you change the payment date. It’s minor compared to the credit limit hikes, but worth mentioning.
Mr F says
So finally had FOS uphold my complaint from Lloyds for raising my overdraft from 100 to 4750 in just 3 months, they have till March 30th to respond to Adjudicator. What are my chances they will respond / agree? The refund of all the interest and charges relating from should clear the outstanding balance,
Mike Chapman says
I have just lodged a complaint with new day over an Aqua and marbles card, I had a text from them to say they were looking into it. I messaged them today to find out they closed both my cards two weeks ago but the balances are still being charged interest and I still have to make payments.
Very weird behaviour as I had zero communication from them saying this? I will now pursue with the ombudsman
Mike Chapman says
I have other debts which I took out after these cards, I had a CCJ, when I was approved for them. My finances are back on track now, I’ve paid off most of it. I just felt it was odd behaviour from them?
Sara (Debt Camel) says
yes it sounds odd. I suppose you have said the limit is unaffordably high so by doing this are stopping you borrowing any more which would be unaffordable.
Better off without this card anyway!
Amanda McCullough says
hi sara, weird one very have lowered my available credit, says i owe them nothing. then i check transactions and they refunded me money, Payment received £2,418.20 – Thank you and also another add of 132- thank you..
but i didnt make payments and they have not acknowledged my complaint in writing or phone call.. but my account is paid off however my account was only 1200. is it normal for them to clear, make payments and not contact customer? delighted its cleared but wanted negative comments off.
Amanda says
omg i didnt read further into my transactions. they are refunding me 4383 and after the phone call they said they will be removing all negative comments.. actually crying! this was the start of my down fall.. thank you so much sara. what an amazing result
Colin Brown says
Hi Sarah,
I had loads of transactions on my bank account where I went £5 overdrawn and they charged me £60. Can you make a complaint based solely on the charges being far too expensive for the crime or does it have to be related to being in hardship?
Also how far back can you go with this complaint?
Kind regards
Colin Brown
Mr and mrs c says
Colin I tried this with RBS about 3 years ago. They told me they couldn’t look at anything over 6 years old. I also asked the Fos who told me the same. Annoying as I paid 1000s in bank charges to them.
Charlie says
Hi Sara,
A few years ago I had a Vanquis card (now sold on to DCA) close to a £500 limit.
This jumped to £800, then I was maxed to the limit, then £1800.
And for months I was almost at the Max. Eventually I missed a payment and had to enter a DMP.
At the time of account opening I was earning about £800-900 a month, already in a DMP for multiple defaulted debts of around £13k. 4-5 defaults in the 6-12 months just before opening the card.
I unfortunately had to take out a payday loan in the month of limit increase to help pay my credit card bill at one point and afford food.
I then got stuck in a PDL cycle for a few months and then defaulted those too.
Looking back I now think it seems mad to up my credit limit by an extra 1,000, a credit search would have identified all my defaults and that I was borrowing more than I could afford in my opinion.
Arguably I suppose opening a credit card with multiple defaults only a few months before was not wise either, but also I’m so surprised they accepted me.
Is a complaint worthwhile or is this unlikely? I can see examples unsuccessful with the lender in these comments and saying ‘you accepted the limit’ well I understand that but at the same time I don’t think its wise to offer it to many people I’ve read about.
Sara (Debt Camel) says
This sounds worth a complaint.
I can see examples unsuccessful with the lender in these comments and saying ‘you accepted the limit’
Lenders may say that but you should ignore it – they are just trying to put you off. This doesn’t mean you have a weak case, so then send the complaint to the Finacial Ombudsman.
frank mcdonnell says
Have been on benefits last few years as I’m a carer. Halifax kept offering me an overdraft increase without checking my income. Now the overdraft is £600 and I’m paying the higher interest rate. Am struggling to reduce this. Can I make a complaint that halifax never checked my income before offering increases, and I think me paying the higher interest rate is unfair as well.
Adam says
Hi Sara,
I had three credit cards which I had maxed out in the past when I had significant problems with debts, including payday loans and a default on one credit card. I’m pleased to say that I received healthy payouts from some of the payday loan companies thanks to your website a couple of years ago.
I have now received two letters, each with a cheque (one for £50 and one for £300) from HSBC, saying that they’ve reviewed the way my account was handled by their recovery department and decided I was due this compensation. This is without me having ever lodged a complaint about this with them and it’s now made me wonder whether in reality I have a case for a claim for a much larger payout, and maybe this offer is an attempt to stop me enquiring further. Do you or does anyone have any experience as to why I would have received this offer from nowhere and whether I should push them further?
One of my issues is that the accounts were created a long time ago and I don’t have any information about when any credit limits were increased etc. Thanks in advance.
Sara (Debt Camel) says
The banks seem to be doing a lot of this. Barclaycard contacted thousands of people last year.
So there are two things you can complain about here. First that they didn’t treat you sympathetically eg by freezing interest and charges, when they knew you were in difficulty.
Second that they had increased your limit too high.
You don’t need the details before you complain, you can ask the banks to tell you what you need to know.
Jay says
Hi, I’m not sure how this works – I have a Vanquis card which was given at £1000 a couple of years ago, also a Capital One at £200 & numerous catalogues. The catalogues increased limits but cards didn’t.
Vanquis were made fully aware I was on disability benefits & of my conditions but none of the others asked.
Most of my catalogues were also part of a previous IVA (which failed after 3.5 years until my ex sold house & IVA took £30k from him!!!)
I am juggling & struggling, even unable to keep up with agreed lower payments. Cards are still over limit too.
Any advice would be much appreciated x
Sara (Debt Camel) says
do you know how large your total debts are? And what is your housing situation?
Jay says
Inclusive of a utility bill debt, around £5000 xxx
I’m in council house xxx
Sara (Debt Camel) says
I ‘m not sure affordability complaints are the best option for you here. They take a long time. I suggest you talk to National Debtline on 0808 808 4000 about your debt options, including a Debt Relief Order. That could be a simple way of getting you a clean start after struggling so long.
Sianyy says
Has anyone had any replies regarding JD Williams complaints? My adjudicator advised they asked for an extension to complaints until 31/03/2021. Curious to know if anyone has had an outcome? Thanks
Gary says
Hiya
This morning JDW have come back and agreed with the adjudicator. The adjudicator had escalated to the Ombudsman 2 weeks ago and it’s been a long 2 and a bit years.
Now we shall see how long JDW take with the offer.
Stick in there things are moving but just slowly with I think just complaint levels and the obvious covid issues.
Bruno says
Hi Sara,
Thank you again for your tireless support to us all.
I come here again because I have two complaints running against Vanquis and NewDay. Both of these with the FOS.
I filed these complaints in November 2020 and now we’ve reached the stage that the FOS has requested the case files from both companies in January 2021 but both companies failed to provide the investigators with the information required.
I have checked with the FOS and it seems weird that they do not give a deadline for the companies to provide them with the case files. I called and email my investigators so they escalate this matter, but both said to me they can only send gentle reminders weekly.
This is pretty absurd. How is it that companies have no specific timeline to work on these cases? Complaints against payday loan companies do give the lenders 15 days to send the data, but this doesn’t seem to occur with credit card complaints.
Do I have options, either than sitting and waiting? Is there a way of escalating this? And is there a way of complaining against FOS’ processes?
I look forward to hearing from you.
all the best for you and stay safe.
Bruno
Sara (Debt Camel) says
I suggest you send two emails to the FCA at consumer.queries@fca.org.uk
The first with the Subject line Vanquis (221156) hasnt sent my case file to FOS
and copy this to customer.relations@vanquisbank.co.uk
Put in a few short details about your complaint – how loang you were borroiwng, how Vanquis raised your credit limit, the rejection from Vanquis and the date you sent the case to FOS.
Say FOS has been asking Vanquis for your case file since dd/mm/yy but Vanquis have still not sent it over. Say you know the FCA will not look at your individual case but say you think this unacceptably long and you thought the FCA should know about this. If there is a particular reason you need this resolved as soon as possible, mention that.
Then send a similar one about NewDay (690292). Copy this one to executiveandmediacomplaints@newday.co.uk
Isobel Izzy Kilgallon says
Jd williams have not responded to adjudicator in my case and is now with ombudsman
Chris says
Hi, I am looking in an affordability complaint, well 2, one old and one current, the old was Fashion World, the current one is Simply Be, both owned by JD Williams I believe, do I need to contact both Fashion World and Simply Be separate or send a joint claim to JD Williams?
The Fashion World ended up at over £3000 and also a CCJ which I am still paying off, but Simply Be still offered me an account (stupid to open this I know)
Thanks
Elizabeth says
Hi Sara,
From an adjudicator. From what they were saying the fact that it was 6 years old was the end of it, they didn’t even mention I could ask for the ombudsman to look into it, they just said they couldn’t take it any further because of DISP rule 2.8 and because of MBNA’s objections. Yes, I said that I only recently found out about these type of complaints when I saw it on the internet. Is it worth referring it to the ombudsman?
Thanks.
Sara (Debt Camel) says
yes this is worth taking to an Ombudsman.
Your point is that you had never heard that the lender should have checked you could aford the larger credit limit so you had no idea that you had a reason to complain.
Nico says
Hi is anyone get refund from Vanquis credit card for irresponsible lending?if yes how they calculate this?
Carl says
Hi Nico,
I am actually awaiting them calculating a refund. What are there time scales like? Ombudsman told them yesterday to contact me but I new it wouldn’t be today. Just wondered a time frame if you new please.
Bruno says
Thank you Sara! This worked. I’ve followed your advice and both lenders already replied stating they would get this rectified by Tuesday. Much appreciated, as always!
Sara (Debt Camel) says
gosh – that was speedy!
Bruno says
One month on and I am happy to confirm the FOS ruled in my favour on both cases and the defaults will now be removed. Thank you Sara and Debt Camel for your support over the years! I wish you well.
Michelle says
Morning ,
So sent a letter of complaint to littlewoods and very got a conformation letter this morning to say it’s been received and they will investigate, didn’t know any exact dates of upped limits but basically I opened the account about 8 years ago on a £400 limited I was earning around £1000 a month at the time , over the years they have increased my limit to £8000 I have always only ever paid minimum payments never a penny more and iv had to have at least 3 payment freezes as I just couldn’t keep up with payments ( before Covid ) they have never asked me since opening account my financial situation just every time I reached my limit they upped it again , after a year of opening I went part time at work after having kids and the last few years I haven’t worked at all , credit rating is shocking yet they still kept increasing, do you think I have a good case what’s my chances ? Are they good at handling compliants ?
Thanks
Sara (Debt Camel) says
Well you ought to have a good chance but they are pretty poor at handling complaints :(
What is your current balance?
Are the current repayments affordable?
Do you have other debts as well?
Michelle says
My current Littlewoods balance is £3000 and I’m on a payment plan of £82 for 36 months same with very ! They are now decreasing my limit each time I pay £82 . I don’t have a huge amount of debt left thanks to your help ! Iv won all my cases so far and not one had to go to the fos , just had a huge U.K. credit loan wiped :-)
Oh and as they will be able to tell I’m assuming from my payment history , I have never had the cash to pay my minimum payment I always used at least 2 different credit cards each month to pay my monthly payment which is like to think would show I couldn’t really afford it ??
A Harrison says
Hi all
How many times can I company look into the complaint for without an answer?
I have a complaint with Barclays, via the Ombudsman, which I made in December. Since then they write every month saying they are still looking into it and stating they will update me no later than….
The next date I now have is 29th April.
Paul says
It basically means its in a huge pile on someones desk and they havent got to it yet or are waiting on more information which is again waiting in a huge pile. They will get there but covid hasnt helped
Lynne says
JD Williams really are awful. I’ve just had yet another message via Resolver to say they’re ‘looking into it’ and ‘will be back in touch soon’. I’ve already gone to FOS and Resolver says the case can escalate in 4 days through them. It’s like these people wait until the full 8 weeks is up on purpose!
Lauren T says
Morning,
Just an update for everyone with long outstanding JD Williams complaints, I have been contacting them via Twitter and this has been my response yesterday , “The Ombudsman Decision has been accepted but at present, we are unable to provide you with a full calculation of what may be due based on their findings. Once the calculations have been done, you will be notified of the next steps for action which I will request for an update today. Our Senior Management are extremely busy at present but we will be doing our best to close this matter as soon as possible.”
Going to give it until Friday then chase again. Good luck everyone.
G
Sara (Debt Camel) says
gotta love the idea of senior management busy using a calculator…
Mr and Mrs C says
Im the same – final decision by FOS made 7 weeks ago, still waiting for them to do the calculations, and then it will be another 8 weeks before payent – shower of sh*t :)
JaneSG says
I have an account with JD Williams that’s just gone into a DMP. Over the years they’ve increased my credit limit several times and the current debt is around 50% of the limit. It was getting out of hand and so I asked them to ‘suspend’ the account and I offered a monthly payment slightly higher than what I was paying. They refused to do this. They also have a habit of asking for payment a couple of days before payday and then charging me for a late payment. Their replies to my emails and letters are repetitve and unhelpful and I’m afraid I’ve sent some very angry responses at times. For a few months before the DMP was in place I paid them the minimum amount (as I told them I would and also told them I had done with trying to negotiate with them). They continue to tell me the account is in arrears and to place a £12 charge every month. I’m still waiting for the DMP to kick in so hopefully StepChange have been able to stop the charges.
I’m wondering if I should make an affordability complaint, mainly over the extra charges. Also, I haven’t kept much in the way of paperwork – would they be obliged to send me a full account transcription on request?
Sara (Debt Camel) says
Then I think you should complain that they increased your limit too high, they carried on adding charges when they you had told them you were in difficulty and they refused to let you chnage your payments date in the month.
Send it to the Ombudsman if they don’t make you a reasonable offer.
Lynne says
Next just said once the debt is brought back to them from Debt Manager Services the default and relating arrears will be removed from my credit file. Apparently it takes a while longer to do this when the debt was sold on.
frogman says
I wonder what the success rate is with credit card complaints, I know it very much depend of personal circumstances.
I have a complaint currently being looked at by the Adjudicator so thought I should share what has been happening. This is regarding a £250 Marbles credit card I took out in 2018. I defaulted late 2018 but have now cleared the balance. I complained so I could get adverse entries in credit file removed (Reason because I was in financial difficulty at the time with various other loans, guarantor loan, credit card, overdraft etc so believe I shouldn’t have been offered). Today, I received an email from the adjudicator asking for further bank statements dating back to 2016, this is before I even got the Marbles card. I held an Aqua card (£1000 limit) before I got the Marbles. He said to reach a fair decision, he needs to look deeper, specifically relating to credit increases on the Aqua around 2016. I don’t know if I should take this as a positive sign because if I win, it might mean adverse entries on both Marbles and Aqua removed with a reduced balance on the Aqua (Still owe approx £800 on that). Thanks
Lynne says
Surprise surprise jd Williams are not upholding my complaint so I’ve said I’ve taken it up to FOS. I’ve also asked them to clarify what the credit limit was as they’re saying they never made any increases, but surely if it was opened with a large credit limit that would be bad enough in itself.
Mr and Mrs C says
Prepare for a long wait on this one, mine was with for FOS for nearly 3 years, I have had the final decision 7 weeks ago and still waiting for JDW to make payment.
Nick says
The thing I don’t like about many catalogue companies is their 28-day billing cycle. This means bills creep forward every month and you have to pay them 13 times a year – despite only being paid 12 times! I guess asking to change payment dates with this type of agreement is pointless since the date is different every month! It’s about time such agreements were banned in favour of calendar month billing cycles!
Sara (Debt Camel) says
I agree!
DM84 says
I have an upheld decision that JDWilliams said they would respond to by 31st and they were not prepared to give me any information till then.
The 31st has been and gone but still nothing, as expected.
I have made the FOS aware that after a phoning and emailing JDW that they aren’t doing anything to put things right.
It is frustrating but when it’s been 3 years it doesn’t even bother me anymore. It’s only costing then more in interest on the refunds.
Lauren T says
DM84, Use Twitter it works!
JD William’s actually responded to me again today. Twice in one week!
Ann says
Hi Sara, apologies for a long post. Next put a block on my account due to my credit report. They said it was due to 7 credit searches in six months so they were concerned about affordability issues. Fair enough, 1 hard search was for a loan but the others were current accounts with no overdrafts.
But up until March 2019 I was carrying a large balance, up to my credit limit,paying the minimum (by another credit card) and then struggling to make ends meet. I had 2 credit cards up to my limit and a loan payments. In 2019 I had my light bulb moment and started aggressively attacking my debt.
From 2015-2019 I was in a cycle of taking out payday loans to get me through the end of the month.
I feel that if Next had reviewed my Experian report during that time they would have seen I was struggling.
They have admitted to lowering my credit limit from
£3600 to £3000 in dec 2015 as I was only paying minimums but they also admit increasing it to £5000 in 2017. I do not recall being contacted about these changes.
I never missed a payment and never contacted them as I was in denial about my problem. Next have given me a final response and do not agree that they were irresponsible and have offered a £25 voucher. I’d like your opinion as to whether it is worth me taking this further?
Thank you, Ann
Sara (Debt Camel) says
From what you have said, it seems clear that they should not have increased your credit limit in 2017 – they had been concerned about you in 2015 and since then you had taken a lot of payday loans and only been paying the minimum.
I think that complaint is well worth sending to the Ombudsman.
Del says
Hi sara,
Not sure if you saw my earlier post.
Just wondering if anyone has had any joy with claims against PayPal credit?
My issue is that in 2019 I defaulted due to increasingly unaffordable debt.
Towards the middle of 2020 my credit account disappeared from my PayPal home page, meaning that I can no longer log in to make repayments.
I contacted PayPal last year to complain about this as it still shows as defaulted on my credit file, but I can’t physically make repayments due to them hindering my attempts. I have had no reply.
I’ve just sent another email to complain and also make an affordability complaint to request that interest and fees be reviewed and refunded/credit report altered if found in favour.
Just wondering if anyone else has had a similar issue.
Del says
I assume no one has had any joy from PayPal then.
Sara (Debt Camel) says
They have hardly ever been mentioned and then mainly in passing, as in a list of other debts people had. I don’t recall anyone winning or losing a complaint against them.
So it’s “no news” not “bad news”. If you have an affordability complaint don’t let this out you off – make the complaint and send it to the Financial Ombudsman if PayPal reject it, which they probably will.
Mary says
Hi, I have put in a complaint with JD Wiliams and after being with the FOS for about a year and a half, the adjudicator has decided in my favour. The adjudicators decision was sent to JD Williams last week and they have until the 15th April to reply. I was wondering what are they like with replying to the adjudicator and how long do they take to process any refunds.
Sara (Debt Camel) says
FOS seem to have got through a lot of JD Williams cases recently so they have got slow in accepting / calculating / paying out. This is just an admin problem for then so far as I know.
Xubo says
How long did you have to wait for the cheque please
Mr and Mrs C says
HI Mary, my JDW case was finalised by the FOS 7 weeks ago and i am still waiting for JDW to send me their calculations/refund. They are unbelievably slow and the FOS just keep telling me that they have reminded them and to give it another couple of weeks. IT will be 3 years in May since I started this complaint and I am fed up now :)
Delyth says
Sadly PayPal don’t use resolver.
I recieved an email from them this morning re my complaint
I would like to acknowledge the complaint you made on 14/04/2021 with our agent via email. As this complaint is related to PayPal Credit and the Credit Search, we unfortunately do not have any control over this and cannot change the process.
Regarding the credit search, the credit check is an automated process, and we would not have access to the credit search. You are made aware of the credit check under section 19 of the credit agreement.
We measure the affordability for you by asking you to fill in the application form and provide information such as living situation, monthly income, and monthly expenditure. We then complete a search to your credit file to review your credit score. Once this is completed the decision is made and if PayPal Credit can be granted to you.
The date for the Credit application was 10/04/2019 and I can confirm the Credit Reference agencies we use are Equifax and TransUnion (formally CallCredit)
So it basically doesn’t answer anything. I still have no access to my PayPal credit account and can’t pay it off.
It’s so difficult to get an email to them. They are possibly the worst company I have dealt with.
Mary says
Hi,
I have made a complaint against Next Retail Ltd and it has been with the FOS. I have just had a reply this morning to say that the adjudicator has agreed with my complaint and that Next Retail Ltd need to refund all interest and charges. I was just wondering if anyone has had a refund from Next Retail Ltd and how fast they are in getting back to the adjudicator and refunding the money.
Thank You.
turtle says
Hi Sara & everyone else.
I havent posted for a while as i’ve got back on top of my finances after claiming back over £20k in pay day loan refunds with Debt camels help.
Today i received a letter from Barclaycard informing me my credit limit is being reduced from £5k to £250 in 1 months time. My balance is zero fyi and has been for several months).
Not very happy about this as it’s there for emergencies etc and it’s quite odd and out of the blue but I am aware its not only me and they have been doing this to.
During the bad times I was often at or over my £5k limit on this card but I didnt raise an affordability complaint with them as I had a balance and i didnt want the credit to be taken away. Anyway, these guys have now p***ed me off so im now going to dive back into the game and make an affordability complaint.
Has anyone had any experience with Barclaycard and any tips? As I say, i was often at or over my limit, paying minimums, making late payments and painful interest.
Thanks all.
Mary says
Hi Mr and Mrs C,
I have just rang JD Williams about my complaint to see if they have replied to the adjudicator, their deadline is tomorrow. The lady I spoke to said that apparently there are only 2 people dealing with complaints from the FOS.
Victoria says
Has anybody had a financial ombudsman decision from Very? All the calculations have been completed and it’s been two weeks and no cheque yet?
Also thank you to this site one owed over £4K so thank you for all your hard work Sara!
Ali says
Does anyone have any comments regarding newday? I had a complaint turned down by marbles due to irresponsible lending, looks like FOS are going to uphold after a tel call yesterday, just waiting on offer and wondering if newday generally accept or decline?
Thanks
sharon carson says
Hi I’m new to the site so apologies if this is not where I post
I have an open account opened 20 years ago with marks and Spencer’s money or HSBC. I recently paid this in full but the account is still open with a nil balance. I have sent an irresponsible lending complaint as the balance was opened at £500 and increased to £2700
I wanted to understand the rigor, and checks carried out at the time when increasing the limits. Especially given I had 3 open loans with them and several other creditors. At the time I was financially supporting my mother with terminal cancer for at least the first 5 years of this agreement and during the time in which the loans were carried. I have received very patronising and condescending communications back from the exec complaints handler basically telling me as a result of the length of time with the loan accounts I have no chance due to retentions policies and ICO tc. As the charge card is still open my understanding is that they are obligated to retain all of the account information in its entirety for 7:years after closure. I am being told that they do not have information further back than 2015.
I am challenging the fact that they seem to have sporadic information though ie the initial application some statement on a hit or miss basis- it seems that they have bits and bobs of informationI would just really like a steer on if they are obligated to retain all of the I formation on an open account
Sara (Debt Camel) says
do you know when the credit limits were increased?
Sharon says
Hi Sarah
No they claim only that there has been no increase since 2010 when the balance was £2700. So over 500% in 10 years but maybe sooner with negative disposable income since 1999
I know I did not increase the balances at any time. They are saying basically you did not have to accept. We would have carried out check but have not got the evidence. I have asked for a DSAR to check.
The bit I just can’t believe is that it’s an open account I thought they were obliged to keep all information pertaining to this as this would be considered a light image reason for doing so.
Xubo says
Has anyone made an affordability claim against vanquis, I’ve had a credit card with them they increased my limit without I feel proper checks, it was a case of sending a text saying I accept the increase but who wouldn’t. I’m now in a DMP, has anyone won a case with Vanquis?
Sara (Debt Camel) says
The fact that you accepted the increase isn’t relevant – the lender should have checked that it was affordable for you.
People have won affordability complaints gainst Vanquis. Not usually for when the account was opened with a lowish limit, but when the limit has later been increased.
A couple of examples (most Ombudsman cases are not published as they are resolved at the first “adjudicator” stage, not many go to the second “Ombudsman” stage.)
1) Ombudsman decision https://www.financial-ombudsman.org.uk/files/292825/DRN-2328630.pdf, where the limit was originally £500 and then increased to £1250. Vanquis rejected the complaint. FOS decided the original limit was ok but not the increase.
2) Ombudsman decision https://www.financial-ombudsman.org.uk/files/291315/DRN-2315590.pdf, where limit was originally 25, increased to 1000 then to 1750. Vanquis rejected the complaint. FOS said the two credit increases were unaffordable and Vanquis should have known as the customer was often over his credit limit before the increase. Customer had accepted the limit increase but he still won affordabilty complaint and refund of the interest and charges – his request for additional compensation was rejected as he had accepted the limit increase and Vanquis were unaware he had a gambling problem.
Ali says
Xubo,
I’ve just had a similar claim against newday credit card upheld by FOS, I had a limit of £900, never increased but due to other high debts at the time, they shouldn’t of accepted my application and done further checks…just waiting for newdays response now, they originally refused me 6 months ago so have a feeling they may do again or offer less, hoping to get interest and charges back for 3 years so we’ll see..
Dave L says
Sara what are your thoughts on this , I have made a complaint of unaffordable lending to 118118 money regarding their credit card . The matter is within the eight weeks and still under investigation . In the meantime they have sold the debt to BW Legal , well to another firm represented by BW Legal. They were unaware that a complaint had even been made
Sara (Debt Camel) says
If you win the claim, 118 will have to sort out the balance owed to the debt collector who has bought it. Tell BW Legal the debt is being disputed.
Dave L says
Thank you Sara I take it in the meantime keep paying the payment arrangement through StepChange changing it to be paid to BW Legal
frank says
Have an overdraft which is £1000 now with halifax. Am on benefits so opened new account with danske bankers to have my benefits put into. Halifax charges are £1.11 a day. It’s a struggle to transfer from benefits a weekly amount to cover this. Shoukd I stop paying and then it goes to collections and will be no more interest?.
Sara (Debt Camel) says
Phone Halifax up and say you can’t afford the charges and can they freeze them
Frank says
Will Halifax agree to freeze them?
Sara (Debt Camel) says
they should do if you explain your situation. This will be marked as a payment arrangement on your credit record.
Kelly says
Hello, I have sent an affordability email to Barclaycard. I have sent two emails, however there has been no email back or any response from them. The email address that I used was odrsupport@barclaycard.co.uk . Am I using the correct email address? Shall I contact them another way or go through the Financial Ombudsman?
Sara (Debt Camel) says
That is the wrong email. It relates to an EU arbitration arrangement, the ODR. It is no longer available post Brexit. And even before Brexit you should have avoided it and gone to the Financial Ombudsman in this country instead!
Do you have an open account at the moment?
Kelly Reid says
Okay, thanks.
No I don’t have an open account. I cleared all the remaining funds about six months ago but my card/account was already closed due to the way I managed it and the amount that I owed.
Sara (Debt Camel) says
Then you have to choose between phoning them or writing to them https://www.barclaycard.co.uk/personal/help-and-support/complaints