The repayments on many loans from bad credit lenders are too high to be manageable so people get deeper into debt trying to repay them.
If you have an unaffordable loan, you can complain and ask for interest to be removed from your balance. If the loan has been settled, you can ask for a refund of the interest you paid.
This article describes how to complain, with templates. It is a variation on the standard approach for payday loan refunds – this works better where the loans are very large, longer term and you only had 1 or 2 loans, possibly with top ups.
NB the complaints here are for “normal” unsecured loans and HP/PCP car finance. You can also use this approach for logbook loans. If you have a guarantor loan, read Refunds from guarantor loans as it’s very different, and the guarantor may be able to complain as well.
Contents
Like payday loan refunds – but you can get a refund for just one loan
A lender should have checked when you applied that a loan is affordable for you. The regulator says “affordable” means:
you can make the repayments without hardship or having to borrow elsewhere.
This is the same test as for payday loan refunds. It applies to most forms of credit, including large, long term loans and logbook loans.
The payday loan refund template letter has got tens of thousands of people refunds. That letter emphasises the problems that repeat borrowing caused. Because payday loans are usually small, it’s hard to get a refund if you only had one or two payday loans.
That sounds like bad news for these complaints about large loans, where you normally only have one loan plus possibly a top up or two…
But the good news is that because these loans are larger and longer-term, the lender should have made better checks before giving you the first loan!
So the letter here is for large loans.
Making a complaint and asking for a refund
This is what you need to do:
- Get a copy of your personal information from the lender and a copy of your credit record.
- Put in a detailed complaint.
- Consider lender’s response.
- Send the complaint to the Financial Ombudsman.
Send your complaint by email – here are the addresses
It’s easiest if all communications are by email – free, instant and you have a copy with a date stamp to show the ombudsman. So here are the email addresses to use for the main bad credit, large loan and lenders:
Avant Credit emailcomplaints@avantcredit.co.uk
Bamboo Loans complaints@bambooloans.com
CarCashPoint complaints@carcashpoint.com
Everyday Loans complaints@everyday-loans.co.uk
Likely Loans loans@likelyloans.com
LoanOnYourCar customerservice@loanonyourcar.com
Loans 2 Go (and their logbookloans.co.uk brand) ps@loans2go.co.uk
Mobile Money complaints@mobilemoney.co.uk
Moneybarn complaints@moneybarn.com
Moolr admin@moolr.co.uk
Motor Kitty customercare@motorkitty.co.uk
MyJar (including Myjar Plus) generalcomplaints@myjar.com
On Stride support@onstride.co.uk
Progressive Money complaints@progressivemoney.co.uk
Quick Loans customerscare@quickloans.co.uk
Ramsdens (logbook loans) customerservices@ramsdensforcash.co.uk
Satsuma onlinecustomercare@satsuma-loans.co.uk
Savvy info@savvy.co.uk
Vanquis customer.relations@vanquisbank.co.uk
Varooma complaints@varooma.com
1st Stop customerservices@1ststop.co.uk
118 118 Money complaints@118118money.com
I have included a couple of payday lenders there – Myjar and Satsuma – because they often give very large loans. If you borrowed a lot from those lenders, use the main payday loan refund letter. But if you just had a few very big loans, use the letters on this page.
For guarantor loans, there is a different approach – see guarantor loan complaints by the borrower and guarantor loan complaints by the guarantor for details
Stage 1 – start the complaint – ask for personal information & get your credit record.
Get a copy of your current credit report saved immediately. You can get one from Credit Karma. Do this first thing as lenders may later change the information on there, so you want a full one saved to show the Ombudsman later if necessary.
Then email the lender and begin your complaint. The clock is then going and the lender has 8 weeks to respond to you. Put AFFORDABILITY COMPLAINT as the subject of your email.
You probably already know when you took out the loan and any top-ups. But it’s good to ask the lender to send you a copy of all the personal information they have about you. This will give you a lot of information that can be useful later if you have to send the complaint to the ombudsman, so ask for it right at the beginning.
Sample email:
I am asking you to refund the interest and any charges I paid, plus statutory interest, and to delete any negative information from my credit record.
[add extra information if you want from the stage 2 email – you don’t have to do this]
[delete if you have repaid the loan] I would also like an affordable repayment plan to be put in place if I still owe a balance after this refund.
I am also making a Subject Access Request (SAR) for all the personal information you hold about me including, but not limited to, my applications, all credit and other affordability checks, a statement of account for my borrowing, and a record of all phone calls. I understand you are not allowed to charge me for sending this information.
SARs are often sent out by post, make sure the lender has your new address if you have moved!
NB The template says you are asking for an affordable payment arrangement at the end of your complaint. If you want, you can ask for an affordable payment arrangement immediately unless you have a logbook loan, where you have to keep up the payments or you may lose your car.
While you are waiting for the lender’s reply, assemble some other information that may help your case:
- copies of your bank statements from 3 months before the first loan.
- your free Transunion Statutory Credit Report
Also read Payday lender says I lied. That looks at the various reasons why your application may not have been accurate. People have won complaints where they lied because they were desperate but there are other reasons too, so think what (if any) may have applied to you.
Stage 2 (OPTIONAL) – add more details
This step is optional because your complaint has already started. Many lenders don’t seem to think about what you write, they just do some internal check on your borrowing before sending you a response. So you may decide it’s not worth spending time to send them more detailed information which they will ignore…
But here is what to do if you want to write more. It helps you to understand how good your case is and this is the sort of information it is useful to send to the Ombudsman.
When you have the SAR back from the lender, you can look for things that the lender knew but chose to ignore or didn’t ask about. See How Subject Access Request information can help an affordability complaint which has details about what to look for.
Change the template below so it reflects what happened to you. Where I have given some options, you can delete them all and put in another one if that is more accurate.
No-one will include all these points!
It is better to write a short complaint summarising your problems than send pages telling the lender stuff they already know eg the lender doesn’t need a list of your loans.
You can see from my bank statements and credit record that I was unable to afford the loan repayments. [Delete if not relevant] [For example, I had to borrow from X payday lender and I defaulted on my Y debt.]
When I completed the loan application, I understated some of my expenses. This was because: [put what actually happened! this could be something like] I wasn’t very aware of the amounts I was spending and completed the application hastily. OR I wanted to hide the fact I was spending a lot of money on gambling/cigarettes/alcohol. OR I was desperate and wanted to make my expenses sound low so you would give me the loan.
The FCA says that you should not accept an application where you ought reasonably to know the figures are not truthful, you can’t rely solely on the information on an application, and that you should not accept information which is inconsistent with what you know.
This was a large loan, you knew I had poor credit and may have been in a difficult position so you should have tried to verify details. If you had done this, you would have rejected my application.
For example [delete or add to these as appropriate]:
- You should have noticed that some figures were too low, for example: x,y,z
- I didn’t include amounts such as [delete/add as appropriate]: car insurance, TV license, opticians and dental costs, presents]
- My bank statement would have shown that I was spending more than the application said. Either you saw my bank statement and ignored this or you never asked for my bank statement to verify this.
- During a telephone call, your agent talked me into agreeing that some figures should be lower in order to get my application accepted.
- Your application didn’t ask me for details of my other credit commitments and I didn’t realise I had to include them.
- I didn’t include payday loans as credit commitments on my application as I thought that was for long term credit, but you could see I had several from my credit record.
- You should have seen that the figures I put in for other credit commitments were inconsistent with my credit record.
When I applied for a second loan/a top-up [delete/add as appropriate]:
- you ignored the evidence on the credit check that my position had got more difficult OR you didn’t do a new credit check. If you had done this you would have seen the new credit I had taken out and the new problems showing on my credit record.
- you didn’t ask if my income or expenses had changed, and they had.
- you didn’t ask for bank statements so you could check if the new repayments were affordable.
- I had said the first loan was to consolidate debt, but you should have seen that this hadn’t happened.
- you increased my interest rate, showing you realised I was in a more difficult position but you did not check whether I could actually afford the new repayments.
Stage 3 – consider lender’s response
You should get a response from the lender within 8 weeks. If you don’t, phone them up and ask when you will get it – a couple of days is worth waiting for but many responses are rejections, so don’t wait weeks for one, go to the Ombudsman straight away.
Normally you can tell straight away if a response is acceptable or not good enough. If you aren’t sure, ask what other people think in the Comments below this article.
Don’t be put off by a rejection. Or if the lender saying it was your fault because your loan application wasn’t accurate.
Lenders are obliged to do checks. For one small payday loan, these checks could have been brief. But for your large loan, the lender should have made sure they knew enough to be confident you could afford it, even if was your first loan from them. If they didn’t, send your case to the Ombudsman.
It isn’t usually worth trying to negotiate with these lenders, you are just wasting your time.
Stage 4 – send to Financial Ombudsman Service (FOS)
I suggest you use the “do it online” option to send a complaint to the Ombudsman. It asks you for all the details they need.
The main part of your complaint can be a version of what you sent the lender in Stage two. Add any more details you want, including pointing out if you think there are errors in the lender’s reply. Also attach:
- the reply from the lender
- Credit Karma credit record
- bank statements starting 3 months before first loan.
Your complaint will first be looked at by an adjudicator. If either you or the lender rejects the adjudicator’s decision, it will then be looked at by an Ombudsman.
“Is this really going to work?”
Here are some recent comments from people who have had refunds for this sort of loan. They show how some people get a good result directly and others have to go to the Ombudsman. Don’t assume a rejection by the lender means you can’t win!
Andy: A flat out refusal from 118118 Money. One loan (£1,000) plus one top up (£2,500). Stating they had done nothing wrong, all payments made on time and paid top up loan off early. Saying I had a good income, verified by a bank statement and they had phone call recordings that I had made it clear the repayments were affordable.
Sent to FOS as I was in loads of debt at the time, loads of repeat pay day loans etc. Didn’t hold out much hope but thought I may get a positive decision on the top up loan. Adjudicator held in my favour on both loans. 118118 accepted decision and offered circa £800. I had my loan statements and the total interest (plus 8% interest) was nearer £1,300. Adjudicator queried this for me with 118118. They agreed with my calculations. Adjudicator gave them 28 days to pay. It was in my bank the very same day.
Dan: I had a complaint upheld by the adjudicator at the Ombudsman against Avant Credit: Refund of all interest and 8%, £75 compensation, removal of loan from my credit file. Avant Credit agreed with the adjudicator.
Louise: Have had my response from Everyday Loans and complaint upheld. All interest been removed and I only have to pay back what they lent. Excellent outcome. Lent 5000 and have paid 3k so just 2k left to go. On my DMPthe balance was showing at 6.5k still left. Took them 5 weeks to uphold my complaint a lot of emails going back and forth.
Soph: Had 2 loans from Avant Credit. Rejected within 2 days, sent to FOS Jan, upheld in March, Avant agreed with FOS and refund in the bank within 7 days.
Robert: I was successful in getting all interest wiped from my topped up loan with 118 118, didn’t go to the FOS or anything.
“What about a bank loan?”
The affordability test is the same – could you repay the loan without getting deeper into debt elsewhere. But there are two problems with normal bank loans:
- their interest rates are lower so it’s harder to show that the smaller repayments are unaffordable; and
- if your credit record was OK or even good, the bank wouldn’t have been alerted to the fact you may have difficulty.
So it can be hard to win a case involving a typical bank loan, especially if your credit record was OK. But if you want to try, use the template letters here.
Need some help?
If you need help to complain, go to your local Citizens Advice, they will help for free.
Don’t use a claims management company. They are expensive and often incompetent. And if you still owe money, then you may just get the interest removed so you owe less… which is great, but you don’t want to have to pay a claims company in cash when you never had a cash refund to pay it from.
Getting a payday loan refund if you owe money
What to put in an affordability complaint
Examples of gambling & payday loan refunds
A says
Hi Sara
I just want to say thank you for all of your advice and efforts. I was successful with 3/5 loan companies. I have just now received a refund from Everyday loans after submitting my complaint a year ago. I would never have known to submit complaints if it wasn’t for this website. Thanks again.
carole says
Hi Sara,
Got a final response from 118 loan after just 4 weeks not upholding my complaint. In fact was quite threatening email saying i could get into serious trouble for fraud if gave incorrect income/expenditure. 1st Loan was for £1000 and top up was £1000 and i went into a payment plan from December which they agreed, they then sold my loan on to debt collection agency without informing me on the 3rd month of the payment plan adding £2400 interest. The debt collection agency have sent a letter with £4680 as amount due.
Sara (Debt Camel) says
Send the complaint to the Financial Ombudsman. You have two problems – whether the loans were affordable and whether you have been treated fairly once you were in difficulty. I suggest you make it clear these are distinct issues. It is often easier to win the affordability side and if you succeed it doesn’t matter how much interest was added as it will all be removed.
Sam says
100% email FOS and CC in 118. I did this, then they decided to refund the top up loan interest paid plus 8% statutory interest.
Good luck
Carole says
Thanks Sara and Sam
Ben says
Just out of curiosity would you put one in for 118 if you taking this out as one of your last loans which you got and only were able to make a few payments before not being able to make any payment as i put one in as shouldnt have gotten another one when was already defaulted with a credit rating of 80!
Maria says
Hi Sara and all
I also had two loans with Avant credit the first I have no details and cannot find any on my account it was in 2015 the second was for £2000 I paid £147 a month x 5 but then l went into debt management and paid £27 x 8 a month but then they agreed to waive the remainder and close the account, I am not sure if I should send an affordability complaint as I do not have all the details I’m not sure
Sara (Debt Camel) says
Are you sure that is all you paid to the second loan? because 147*5=725 and 27*8=216, so you paid less than £1000 back to it.
If that’s right, then there is no point in making a complaint as you didn’t pay any interest on that. Unless you can find the details of your first loan, there is no point. Have you looked at your bank statements?
Maria says
Hi Sara thank you for prompt response I will try looking on my bank statements fir 2015/16 for the 1st loan but was wondering whether I should just leave this one alone and not complain if I don’t find any details of 1st loan.
Can you please read my come to on 118118 as I am having dilemmas as to send to ombudsman although I still think they shouldn’t have given me another loan and credit card but their working in response letter is frightening and scary as they mention fraud and incorrect information
Sara (Debt Camel) says
Other people have said their 118 response was threatening.
A few other lenders do this too. In practice no-one has had problems with this if they have then sent a complaint to the ombudsman.
So they have offered a refund on the second loan but not the first? And you paid over £600 interest on the first loan. It’s up to you if you think this is a good enough offer. If you went to FOS and won your complaint, your balance for the last loan would be reduced by another £600.
Maria says
Thank you so much for all your help
Hayley says
Hi, how does it work if the loans have been passed on to debt collectors?
Sara (Debt Camel) says
Your complaint goes to the original lender, not the debt collector.
K says
Hi – Just received a really great outcome with 118 and Wanted to share here as I am so thankful to this site for helping me get out of debt.
I had a large long-term loan with 118 spanning 4/5 years which I have just been chipping away at with monthly repayments. Due to the interest being so high the monthly repayments were barely making a dent. I set myself a goal to own a house by the end of this year and therefore have been doing everything I can to improve my financial situation. 118 quoted me almost £4000 to settle and close my account. I exported my bank statements and calculated I had repaid every penny I received from them, and then some. I submitted a formal affordability complaint to them and I offered them a final payment of £500 just to be done with them. Well, the 8 weeks passed with no response – I chased and they extended the response time by a few weeks as they were very busy. Last week out of the blue I received an email saying that they would look to accept my offer of £500, but since 3 direct debits had been taken from my account in the meantime as their response took so long, they would actually REFUND me the extra amount. It felt too good to be true. But this morning I woke up to a text from them saying you have now completed your loan.
I cannot explain the relief and weight off my shoulders that I feel. Anyone else in the same situation please persevere and exhaust all avenues – It really is worth it.
frogman says
Hi Sara,
I took out a £16,000k loan from Natwest in March 2014, it was over 20 months with a repayment of £924 (All paid off with no missed pay,meant). I don’t believe my credit score was that good at the time as the interest rate wasn’t that great. I am now in the process of digging out all the details to see if I can complain. My questions are
1 – Is it too late to complain as this loan was taken out 6yrs and 2 months ago?
2- My main account is still with them and I have an overdraft facility of £2k that I have been maxing every month for a few years now. Could this be affected?
3 – I had a £3k credit card with them that I defaulted in 2018 and have been paying reduced payment through DMP, can this be affected.
4- My income wasn’t great and regular at the time, maybe approx £2500/m. What are the chances of succeeding with this? I had very little gambling transactions too.
Sara (Debt Camel) says
did you say the loan was for consolidation?
frogman says
No, It wasn’t consolidation, I did not have any debts at the time. I think I said something like buying a car.
Sara (Debt Camel) says
You can complain about older loans. NatWest will probably object. It’s the Ombudsman’s decision whether they will look at it. If you didn’t have any other debts at the time it seems unlikely your credit record was that poor – do you have a any details about it as it will be too long ago for your current credit report to be much help. This doesn’t sound easy to win.
Your current account and DMP shouldn’t be affected if you complain. but why haven’t you included the current account in your DMP?
frogman says
Thanks very much Sara. I am just reviewing the account and I was earning £2766 monthly net, rent was £563, single at the time and no other massive outgoings so it’s going to be tough as you said. I was wrong not to include the overdraft in my DMP at the time. I was scared of losing the natwest account and I was worried I might not be able to get an account with a high street bank with a bad credit. I made some terrible decisions in the period I went into DMP. Once again, thanks very much for the advice and swift response. Much appreciated.
Sara (Debt Camel) says
The loan sounds likely to have been affordable to me.
frogman says
Please has anyone recently dealt with Likely Loans? Their 8 weeks ran out yesterday and I got the below at 11:51 pm. in spite of the reassurance last week that they were going to conclude the investigation in time. Can they be trusted? Is it worth waiting another 2 weeks before going to FOS?
In view of the current situation and combined with high complaint volumes, it has not been possible for us to provide you with a final response as of today’s date. I would like to take this opportunity to apologise for the delay and assure you that Likely Loans is committed to investigating your complaint and providing you with a response as soon as possible. Our aim is to do this within the next two weeks and I will let you know if this is not possible.
Sara (Debt Camel) says
They may get back to you by the end of 2 weeks, but it may just be a rejection. 2 weeks isn’t an unreasonable request – 8 weeks or no clear commitment at all is. It’s up to you.
frogman says
Thanks very much Sara,
I will wait another two weeks but get myself ready for a long battle.
mike says
Hi frogman my affordability complaint was at the 8 week mark on the 24/5/2020 got an email from them the next day saying they were upholding my complaint and refunding all intrest paid plus the 8%. So far there the only company that I have not had to sent to the financial ombudsman. I should note i had no emails from them at all till my final offer. They didn’t even email me to say they received my complaint.
frogman says
Thanks very much for the update Mike, They got back to me as well after a few days and upheld complaint. They paid me the next day and I have used the money for settle logbook loan from CCP. I am now making a complaint against CCP, the interest is ridiculous. Paid a total of £8105 to settle for a £4500 borrowed last year May.
Ruth says
So 118 118 are getting very funny with me. I originally complained irresponsible lending 13th May 2019, they didn’t give their final response until 22nd July 2019 (nearly 3 weeks past the 8 week deadline). They rejected it. It went to FOS. Adjudicator went in my favour, gave them until 11th May to respond…118 then ignored that. Left them a bad review on Trustpilot, they instantly replied to the review asking for more info…they have now had the audacity to claim they haven’t been ignoring us and intend to challenge… So I guess my question is, how long from adjudicator to ombudsman roughly at the moment? Also, anyone else I can complain to as they shouldn’t get away with this. Many thanks so far for all your help.
A100 says
This is very similar to myself. 118 failed to respond to my adjudicators request for information. They had until yesterday to respond and I left a trust pilot review. They asked me for some information and said the complaints a manger was reviewing the case prior to responding. My adjudicator emailed me this morning to say 118 have said they will respond today.
G says
I made a complaint against 118 118 Money June 2019, rejected and off to FOS September 2019. Picked up by adjudicator March 2020. Got an email from adjudicator today accepting my complaint and have given 118 2 weeks to respond.
frogman says
Sara, I know I have said ‘I can’t thank you enough’ so many times already but you can expect more of it. I have won 3 now, yet lose any complaint. 8 weeks and 2days it took Likely loan, no FOS required. They’ve just come back upholding my complaint. Just one loan of £5000k taken out in 2015. Now I am being refunded over £3000. I am yet to read the entire investigation and how they concluded…brb.
frogman says
Below is what Likely Loan said. In addition to my bank statement, I had submitted a spreadsheet showing extracts of income and expenditure and it clearly showed I would have been in negative with their £305 monthly repayment.
‘This is because I have reviewed the bank statements which you provided with your complaint and considered the transactions shown both before and after our loan application was approved. As a result of this review and after considering the status of your Credit Report, I believe that had further checks been conducted at the time of lending, it might have become apparent that our loan may not be affordable for you.’
Nigel says
I had a aa Loan and aa credit card did affordability complainet through a ex work colleagues company.
The complaint was not upheld (he’s not replying)should I take it to obdusman.
Sara (Debt Camel) says
you have used a claims company?
Nigel says
I did only for this one as it was not payday loan(will not use again)
Didn’t pay that company anything, he’s replied now and he’s not gona take it futhur do you think I should
Intrest was 500
Sara (Debt Camel) says
were the repayments unaffordable for you? what was your credit rating like at the start, how should the lender have known you would have difficulty?
Nigel says
Yes as I had missed payments for months however in the end paid it off early, credit rating was good when I applied.
They should have know because I was I. And out of work and not a lot of income
Sara (Debt Camel) says
How large was the loan? what were the monthly repayments?
Nigel says
5000 loan not including intrest monthly payments about 200
Sara (Debt Camel) says
it looks like a difficult one to win if your credit record was good and the interest rate wasn’t high. But I always suggest people follow their instinct here – you know best if the loan was actually unaffordable at the time you took it out – if you think it was, ask the ombudsman to look at it.
frogman says
Hi Sara,
Quick question for you please. You once mentioned claiming back taxes on refund. how does this work with the below?
Payments made: £7,529.33 – Loan amount £5,000 = Refund of £2,529.33
8% simple interest per year: £599.94 – Tax at 20% £119.99 = Interest of £479.95
frogman says
I was referring to the £119.99. The interest is basically earnings, isn’t it?
frogman says
Hi Sara,
Please I have some questions for you. I have two more complaints to make, Savvy and Car Cash Point.
With Savvy, I took out just one loan of £2500 in January 2018 and made 3 payments of £188 before I went on DMP. I have since paid an additional £343 through the arrangement making a total of £907. I was contracting at this point through my LTD company so there was no regular salary coming into my personal account. I must have put some rough figures on the application. They didn’t request for statement or payslip. I don’t expect them to know about the gambling without looking at statement but I believe the credit search would have revealed all that was happening, amigo loans, 3 maxed big credit cards, overdrawn current account, lots of payday loan, unsecured debt of £20k plus etc. How on earth can I defend the salary and info I declared at the time of applying? What is the likely implication of a complaint on my DMP if I don’t win? They are claiming I still owe about £4000. What’s you view on the chances of winning this complaint?
Sara (Debt Camel) says
How on earth can I defend the salary and info I declared at the time of applying?
Say you were contracting so there was no regular salary and you made some estimates but you were under a lot of stress and may not have been thinking clearly.
What is the likely implication of a complaint on my DMP if I don’t win?
nothing – 2hy should it affect it?
What’s you view on the chances of winning this complaint?
I don’t make that sort of guess. If you know the repayments were unaffordable and that no-one who had looked at your credit record should have lent you £2500 then make the compliant.
frogman says
Thanks very much, I’ll gather all the evidence.
frogman says
CCP is a different matter entirely, I was so engulfed in gambling that I lost my senses completely. I had £1500 left on my 4 yr HP with BMW paying £360/m but needed to pay HMRC some money. I couldn’t really afford to miss that payment so I took out £4500 from CCP in May 2019, paid off BMW and paid HMRC. I have since been struggling with CCP’s £395 monthly payment which is for 3 years. I was already on DMP at this point and in full time employment earning circa £2800 monthly (The HMRC debt was from the previous year when I was still contracting). All declared I&E to CCP was basically made up to show it was affordable. They only ask for a statement of account where they were paying to. After paying a total of £3565 to date, I requested for settlement figure on Monday and it cam back as £4385. Is it worth complaining and what are the chances with this? I can definitely prove it’s not affordable, I foot all the bills at home (two kids included). This repayment is killing me and I was going to pay off some with a refund I am expecting from Likely Loan. Should I pay them off before complaining? (They have my V5 and I don’t want interests growing) Can the complaint affect my DMP as I should not have been borrowing more whilst on the DMP. The HMRC debt was a business one so I really couldn’t add it to DMP. My finances were all over the place at the time. There are reasons why I did what I did when I wen on DMP but that’s a story for another day. Thanks very much
Sara (Debt Camel) says
Should I pay them off before complaining?
Again if you know the repayments were unaffordable, send in a complaint asap. There is no reason to delay. deciding to repay the loan is a seperate matter.
(They have my V5 and I don’t want interests growing)
That is a reason to clear the loan. It has nothing to do with whether or when you make a complaint.
Can the complaint affect my DMP as I should not have been borrowing more whilst on the DMP.
no. How will your DMP firm know you have complained?
Worst case – and I can’t remember this happening to anyone, if your DMP is cancelled, set up another one.
frogman says
Thanks very Sara, I will treat the complaint separately. the reason I asked about it affecting my DMP is that I remember somewhere on the application form where it ask if you are on DMP and I believe I said No to that.
Sara (Debt Camel) says
well that could potentially affect your complaint (but it probably won’t) but it can’t affect your DMP.
lisa says
Good news today, FOS have partially upheld my Mobile Money complaint loans 4-8 which is what i expected, slight complication on the fact that loan 8 i voluntary gave my car up and my adjudicator needs to ensure I am put back into a financial position should i not have had the loan, they sold the car at auction to clear the debt, but need to check this was a fair price, am curious what they advise mobile money to compensate me on this? Long road to go still as they may not agree but feel its all moving the right way.
Sara have you seen this before with regards to the compensation and putting me back into financial position after giving the car voluntary as i didnt feel there was any other way out?
Sara (Debt Camel) says
Car finance & logbook loan resolutions can be pretty complicated and down to the individual case I am afraid.
lisa says
ok, thanks i did think as much, the redress in itself is a large amount, so will see what my adjudicator says, he has promised a full written response to mobile money tomorrow and will send me a copy, I will update you with their response, my adjudicator advised he needs to take it to an Ombudsman due to its nature.
Bill says
Hi Lisa, that’s good and thanks for letting me know, mine hasn’t been picked up as yet, I didn’t realise your car went for auction it must have been awful for you! Mines not as drastic, had 8 loans in the space of 18 months ranging between £200 and £300 loans, I received the information on the interest they charged and couldn’t believe I was charged £1000 interest, keep us updated how you get on,
Bill
Lisa says
Hi Bill, yes it was very stressful times and the interest as you say is just shocking, my 7th loan was £1100 and payable was just under £3400. £2300 interest. My last loan was £700 and payable was £1800 I hade made a few payments and then I gave my car voluntary and they wrote the loan off. They made me feel it was the only way out. The adjudicator came back to me today to say due to the complexity they have written to mobile money for further information regarding the sale of my vehicle, I will keep you updated, hopefully yours gets picked up soon.
Nigel says
I’m thinking of complaining about my bank overdraft charges, which they increased over 6 times even though my account was a mess
What is putting me off, is;
They may demand to pay of the full overdraft and close my bank account, which they said they were close to doing because I kept going in my unrraged od,
I have a few complainant with the obdsuman and if they see my bank staments, they will see my outgoing don’t match with my other complainnet and could they report me putting on false info or different info ie there being lots of loans but on payday applications didn’t put any
Should I still complain?
Sara (Debt Camel) says
could you give an overview of your whole debt situation? You are the guarantor for an Amigo loan? But you said you could afford to pay it? That doesnt match with using an unarranged overdraft a lot? what other debts do you have?
Nigel says
All At the moment
1) AA credit card (on 3 month payment break)
2) 1678 owed, original amount 1600
3) date took out: 13 November 2017
4) interest rate 22.09% apr
5) one months in arrears
6)monthly payment 50
1) Nationwide loan (3 month payment break)
2) monthly payment 108.53
3) date took out: 23 November 2017
4) amount took out 5700
Amount now owed 3780.99
5) 5.5% interest
6) 4 months in arrears at the moment.
1)Nationwide loan 3 month payment break)
2) monthley payment 89.19
3) date took out: 29 January 2019
4)Amount took out 4000
Amount now owed 3730.20
5) 12.8% interetest
6) 4 months in arrears at the moment
1) likely loans (with fincial obdusman), 3 months payment break
2) taken on 15 January 2020
3) original 2000 (f £3646.08 repayable by 24 monthly instalments of £151.92)
4) paid 151 only so far
1) Halifax overdraft
2) amount borrowed total 2000, increased over 5 times.
3 Total charges since February 2018 (558.17)
4) have refunded about £100
5) on top of charges already paid paying 1.50 a day at the momment
6) took out November 2018
Amigo(I am grauntoor), awaiting complainet response (Applied for 3 months payment hoilday
1) balance to settle 2467.39
2) never made a payment to them
3) arrears 1482.16 last paymnet made February 2019 by the borrower.
4) account opend 14/05/2018
That’s all of them thank you for taking time too look.
All other debts cleard
Sara (Debt Camel) says
I suggest a debt management plan. Even if you win the Likely Loans case, there is a lot left to repay. put the overdraft into the DMP = no more charges. Get yourself another bank account with someone you don’t owe money too. Go for a basic bank account with no overdraft.
Nigel says
Likely loans was to help a friend out and myself (may post about this later)
He owes me 5000, once COVID over he going to increase bank loan and pay me at least 3000 he says, at the momment only doing emergency increase he pays every month and increases every year.
Should I still go to the obdsuman about all the other ones
Dmp with all creditors or just my od
Why a new bank as I will still have to pay this bank off so may is well stay with them
Won’t a dmp, affect my credit rating I work in a fincial instution?
Also won’t dmp stop me getting a moragte, in future
Sara (Debt Camel) says
You should take a complaint to the ombudsman if you consider they gave you unaffordable credit.
A DMP has to be for all your debts including the overdraft.
You have a pile of unaffordable debt a lot of it expensive. You are using an unarranged overdraft regularly. You may be ok at the moment because of payment breaks but it doesn’t look at all likely you can get through this without your credit record being affected. Your credit score can hardly be good or you would never have had to borrow from the likes of Likely Loans…
Affordability complaint can be a slow and uncertain route. A DMP will get you in a safe position where you can get through each month with an affordable payment. Then if you win affordability complaints and/or your friend pays you money you can clear off debt.
Why a new bank as I will still have to pay this bank off so may is well stay with them
because you want your overdraft in the DMP so charges stop and it starts getting cleared. that means you have to stop using an account. so you need a new bank account.
Your problem debts will stop you getting a mortgage in future if you don’t sort them… I suggest you talk to StepChange https://www.stepchange.org/ about your full situation and they can go through it in detail and explain how a DMP works. DMPs are informal debt solutions and work well for temporary periods – they aren’t a form of insolvency.
Nigel says
Thanks for all that
Just one question about dmp, I’ve had missed payments but however isn’t a dmp much worse
Once I’ve cleard all my debts should be within 2 years.
I can quickly get my credit record to good?, because I have no default or ccjs etc
Sara (Debt Camel) says
a DMP is a payment arrangement. If you can afford to make the normal payments then that is best – but being in an unarranged overdraft and having all that debt makes it look unlikely. If you can’t make the normal monthly payments, then a payment arrangement is better than missing payments. Missed payments will end up with defaults!
See the How do future lenders view DMPs? section in https://debtcamel.co.uk/dmp-credit-rating/
Simon says
Looking for some feedback re 118 money response times. I had 3 loans with 118 money and submitted a compliant April 2019. They rejected in June 2019 and I submitted to FoS. The adjudicator reviewer at the end of April 2020 and ruled in my favour for all 3 loans. 118 finally responded yesterday and offered to uphold loans 2 and 3. I don’t fully agree but accepted rather than waiting in a long ombudsman queue and potentially reaching the same conclusion. The redress will allow me to clear some interest bearing debts. The adjudicator confirmed my acceptance to them this morning.
Does anyone have any recent experience of how long I should expect to wait for them to calculate and the refund and then pay out? Thanks in advance
Marts says
Hello,
Before I go to 118 money, I have a quick question. I often look at my credit file and not once seen (just downloaded a copy as per instructed) and there is no mention of 118 on my credit file? what does this mean and why is it missing?. 118 have sold the loan to a collection company now and also no mention of that company either. I will be sending 118 an affordability complaint, and deal with the company after. Any help or advise is appreciated. Thank you .
Sara (Debt Camel) says
what credit report are you looking at?
Marts says
Thank you for your fast response. Credit Karma – and ClearScore
Sara (Debt Camel) says
I suggest you also look at an experian report.
Marts says
Hello, I have used CheckMyFile, which uses Equifax, Experian, TransUnion & Crediva. This loan is on none of them. Has anyone come across this?
Sara (Debt Camel) says
I don’t know but I am not sure it is very interesting for you. Just send 118 your complaint.
PS save yourself £15 a month by cancelling that Checkmyfile subscription! That’s £180 a year when you can get all the information for free: https://debtcamel.co.uk/best-way-to-check-credit-score/
Emily says
I’ve got the exact same thing!
I had two loans with 118 money, submitted my complaint in Dec 18, got my adjudicator decision March 20 ruling in my favour on loan 2. I’ve calculated that I should still have £950 left to pay but not heard a peep from 118 since the decision (I figured they’d all been furloughed)
They sold the second loan to moorcroft in Sept 19. Moorcroft performed a hard search on my credit file in Sept 19 but there is no other mention of the loan (or the previous one) on any of my files (clear score, credit karma, Experian, the lot!) I’ve called the Moorcroft about it once a month since the decision and they’ve said that my debts on hold and they haven’t been instructed by 118 to do anything yet. It’s like they’ve just forgotten about me!
Sara (Debt Camel) says
It sounds as though the debt hasn’t been sold to Moorcroft but 118 are using them as debt collectors.
Nesta says
A couple of updates from me on my complaints.
I finally had an adjudicator allocated to my Bamboo and Avant complaints.
I complained to Bamboo in the spring last year and they rejected my complaint telling me they did all the appropriate checks on all 4 of my loans. I referred this to the FOS and last week the adjudicator told me that in his response. Bamboo accept they did not do enough checks on loan 2,3 and 4. They have therefore offered to remove all interest from the loans and as a gesture of goodwill also wipe from loan 1.
The adjudicator has not had much to do as they have provided the desired outcome. Just waiting on Bamboo to send through the finalised total which should be a few hundred and is a big relief from the £1500 still due.
Avant complaint was rejected mid last year and referred to the FOS. The adjudicator has agreed they lent irresponsibly but much to my annoyance Avant have not agreed with the adjudicator and she has now referred it over to ombudsman. This was just for one loan but my credit file was showing a deep debt problem.
sarahS says
Some brilliant news from the ombudsmen today Likely loans have agreed with his findings and will refund me £5964. I am in shock. After nearly a year since I made my complaint this feels like a genuinely life changing amount of money and they will remove the default from my file. Sara I CAN NOT THANK YOU ENOUGH! Without this site there is no way I would have complained. Here is to a much brighter future.
Sara (Debt Camel) says
excellent!
Katy James says
Hi this is very positive. likely loans rejected my complaint and I sent it to the FOS in October last year. It’s still not been picked up by an adjudicator yet. I sent a bamboo one at the same time and it was dealt with and completed before Xmas. Just wondering how long your case took in total x
sarahS says
Hi Katy, I complained in late June 2019 to LL. They rejected on 30 July. I went straight to the ombudsman and its taken until about 3 weeks ago to get them to look at the case. I think these high cost loans take longer as the detail sent back from the ombudsman was more in depth than for payday loan. Its been a long road so dont think you will get a decision quickly but dont give up hope either!
Tom says
Hi Sara, just a quickie.
I am going to make a complaint to Everyday Loans today. They gave me a loan of £7,000 in Feb 16. I applied for a top up in Sep 18 and they closed the first loan and provided me with a further loan for £6,000. By the time of the second loan, I’d repaid £11,465 against the first and have now paid £5,643 against the second loan. In total I have repaid £17,108 against two loans totalling £13k. My financial situation was dire when taking out the loans (multiple delinquent loans) and having had applications turned down by them in between the first and second loans because of gambling, I would argue that given the size of the loans, it was not sufficient to just request 30 days worth of bank statements. Would you agree?
On another note, I am used to Everyday ringing incessantly when they want to get hold of me, including the landline, speaking to my Mother. I have seen you post somewhere else about the FOS saying they have to be reasonable in contact methods etc., so is there something I can say to them that will almost compel them to stick to post or email? I can’t find the thread anymore. Thanks!!
Sara (Debt Camel) says
I think those were very large loans and EL should have looked closely at the affordability. In particular if they have already rejected you for a loan because of gambling, they should have looked closely at subsequent applications.
Here is the blog about being pestered by phone: https://debtcamel.co.uk/debt-collector-lender-phone-at-work/.
Tom says
Thanks Sara. I can’t echo enough the comments from everybody else about what a Godsend you are!!
Another factor on these loans… the second loan was destined for debt consolidation but it won’t surprise you to know that’s not quite where it ended up. I itemised a number of loans that were open and delinquent and they insisted that they paid one of them directly (which they did, £900 to settle a Loans2Go) and gave me the balance in cash. Is there anything in this that I should raise with them? Why would they want to pay one specific one directly? It maybe nothing, just seems a bit odd.
Thanks
Sara (Debt Camel) says
I don’t know.
Nigel says
This is not about me but just what I read on fca website About customer complaining.
What’s your view on this.
I think it’s awful they close down his account just because he complains that can ruin someone’s life, a default, and suprised fca didn’t help him
How we helped
We looked at the available evidence. We thought the nature of the change wasn’t something Ben would have foreseen when he first agreed his overdraft. And as his situation meant he couldn’t have found a way to clear his overdraft before it took effect, we thought it fair and reasonable for his bank to refund the fees he’d been charged since the change took place, and to stop future changes.
After reviewing Ben’s situation, the bank gave notice under the terms and conditions of the account, closed his account and recorded a default. They said the overdraft was clearly unaffordable for Ben and it was unlikely he’d be able to pay back what he owed them over a reasonable period of time. Ben was unhappy with this. He didn’t want his credit file affected.
Our decision
We thought the bank’s actions were appropriate and proportionate. We didn’t think they should have to provide Ben with an overdraft facility free of charge. We agreed it was unlikely he could pay back what he’d borrowed even after his charges had been refunded. The account was always revocable and they could always have asked Ben to repay what he owed.
Sara (Debt Camel) says
It would have been interesting to know what the decision would have been if the customer had complained that he should never have been given such a large overdraft in the first place, rather than just about the new charges.
The customer was actually better off after complaining as the new fees were removed. If he hadn’t complained he would have been heading for a default and closed account anyway as the new charges were unaffordable.
Overdrafts are a uniquely hard debt to get out of. Often there is no good solution that avoids defaults. I think the real problem here is that the banks were allowed to make the overdraft changes by the FCA. The Ombudsman can only work within the rules which say overdrafts are repayable on demand.
Nigel says
In 90% of cases I would accpect the obdsuman descion, even though there working in rules I don’t feel it’s right, the default, is there anyeone higher then the obdusman?
My account has been advised they may close but never have cos I kept going over my od, I don’t go over anymore, if I complained they may have closed it hence I have not.
For my own situation, at the momment I can save about 500 a month and pay my od in 4 months, if I complain after that can my account still be defaulted?
Sara (Debt Camel) says
If you can clear your overdraft in a few months that sounds great.
You can never have a default added if you haven’t missed payments and don’t owe anything. I don’t think your situation sounds anything like that case study and I suggest you ignore it.
Matt S says
I had an issue a couple of years back with an overdraft from Nationwide. Originally applied not expecting to be approved as my credit score was so bad but was approvced £1200 and i kept applying for more consistnently and being approved over the following 2 months until it was up to £4000. I was never coming close to clearing it and eventually after a couple of years they called it in and i had to reach an agreement with them to reduce it by £50 a month.
I complained to them it was unaffordable and irresponsible to allow me to increase it so quickly (almost all of it went on gambling). They rejected so went to Ombudsman who found in my favour stating they shouldn’t have approved me for so much and should have noted what the money was being spent on.
Got a refund of interest and fees which reduced my overdraft to under £500 which i cleared off in a few months. Had a feeling they would close my account when i wasn’t due them any more mobey but have had the overdraft cleared for a couple of years now and still have the account.
I guess it depend on the bank and the situation.
Nick says
Hi,
Has anyone had any experience dealing with EverydayLoans? I borrwed £3,000 in September 2019 and have been paying £357 p/m since. (Totalling £3,200 so far). I’ve asked them for an early settlment figure, in which they’re quoting £2,800! This means i’m paying £3,000 interest for a 7 month loan…
I logged an irresponsible lending complaint back in December, which they rejected and then sent onto FOS (who are yet to look at this). I’ve offered EDL to pay back another £500 to settle early and cancel the FOS complaint but they rejected that also. Has anyone had any success with Every Day Loans? They seem extortionate and quite hard to deal with
Ruth says
118 money update – so they disagreed with the adjudicator and it’s now being sent to the ombudsman…just wondering if anyone has any recent experience how long this stage might take and if the ombudsman generally agrees with the adjudicator findings? Back story – I originally sent my complaint to 118 Money May 2019 to which they didn’t reply to until July 2019, sent to FOS August 2019 and it was picked up by an adjudicator end of April 2020. He agreed with my complaint which was a one loan of £1800 in 2015 that 118 money certainly didn’t do any adequate checks for (I was naive/desperate and had multiple pay day loans out with a huge student overdraft I was living in for years resulting in a large DMP). 118 initially didn’t respond to my complaint within the 8 weeks and then also was late replying to the ombudsman (a bad Trustpilot review got a bit of an funny response from them to me in private message). I go on maternity leave in July and only entitled to maternity allowance due to a job change so the money would certainly be helpful! Many thanks in advance and a big thankyou to Sara again for all the work she puts into this.
JA says
I had an ombudsman pick up two complaints that at the start of this month. They were sent for ombudsman queue in sept 2019 – 7/8 months roughly
G says
Our cases look similar time wise with dates. Adjudicator agreed with my complaint midweek and gave 118 2 weeks to respond, so I’m awaiting their answer now. I fully expect them to disagree with adjudicator decision and to delay another 6 months. Keep the head up Ruth you have got this far!
Will says
Hi Sara,
I borrowed an initial £2,000.00 pounds for 1 year term at 550% interest rate from Satsuma loans in 2019 and luckily, I paid back quickly in 3 months due to a gift i received from my uncle. 2 months after, I went borrowing another £2,000.00 for 1 year term with£332.00 monthly repayments. Now i have been paying this repayment for 6 months and i decided to check the settlement balance, shockingly, i was told i still owe£1,992.00 and this after having paid 6 monthly repayments of £332 totaling £1,992.00, so, it means only £8.00 has been deducted from my principal in 6 months. I think this way too much of a rip-off. I now intend to seek for interest refund on this loan by lodging a complaint against Satsuma Loans, is this advisable and what is my chances of being successful with my claim?
Sara (Debt Camel) says
You won’t win a complaint because the interest is exorbitant. Are the loan repayments to high for you manage without borrowing more or getting behind with bills?
Will says
Yes, they are too much for me to manage right now and affecting my other bills
Will
Sara (Debt Camel) says
but were they too much to afford when you took them out?
Getting behind with bills is a very bad idea. It may be a good idea to make affordability complaints and at the same time go onto a debt management plan so you are just paying one affordable amount each month to your debts so you can manage the bills. Talk to StepChange about how this could work for you https://www.stepchange.org/how-we-help/debt-management-plan.aspx
GH says
I’m looking for advice please. As the company I want to complain to I have onky had the 1 loan with. Do you think I have a case?
My complaint for irresponsible lending is to Likely Loans. In May 2018 I was accepted a loan for £2500. 24 repayments of £189.91. Interest was front loaded so total balance £4557.84. By Jan 19 I was struggling to pay and went on a payment plan, initially for £80pm, then £100pm and now £125pm. My balance is still over £1000.
Looking back through my bank statements I had payments going out that month to Wageday Advance, Satsuma, Sunny, MyJar, Wonga and Mr Lender.
Do i have a valid claim as surley this should have shown on my credit file and can i claim as am still paying?
I have successfully claimed in other named companies.
Sara (Debt Camel) says
Yes you can make a complaint if you are still repaying a loan.
It is possible to win one loan cases when the loans are large like yours.
If you think the loan repayments were too large and Likely loans should have realised if they had looked at your situation carefully, then send in an affordability complaint.
frogman says
Hi,
I won my single-loan unaffordability complaint with Likely Loans. It was a £5k loan paid over two years and I didn’t have to go to FOS. I think what won it for me was that my bank statement which I supplied with the complaint. It clearly showed the loan was unaffordable. I extracted my income and all monthly expenditure into a spreadsheet for six months prior to when I took out the loan. When I added the £305 monthly repayment of Likely Loan, I went into negative for nearly all the months.
Maria says
Hi Sara
I have a loan with everyday loans for £4100 over 36 months which I took in July 2019. I asked for a statement of payments and balance and it showed I have made 6 payments of £250 and 4 reduced payments of £125 – Total Interest Closing Balances £1914.57 – Main Loan £4008
After 9 months of payments I have only paid back £92 is this correct? I want to make an affordability complaint but am lost as to how to word it. When I applied for the loan they asked for 1 statement for June/July which I sent. I had stopped gambling in May 19 and registered with Gamstop. Please can you advise how I should approach this as I am worried they will ask for the whole loan to be repaid at once or say I should have know how high the interest was but I was desperate at the time and the statement showed the payday loans
Sara (Debt Camel) says
After 9 months of payments I have only paid back £92 is this correct?
This may be because of the reduced payments you have made.
Did you restart gambling or was the loan unaffordable anyway because of your other debts and bills?
Maria says
Hi Sara
The loan was unaffordable because of my other debts and bills so they agreed a reduced payment but they have now stopped this and I am back to contractual payments of £250
Sara (Debt Camel) says
Then I think you should send an affordability complaint.
If you have other debts as well, the best thing is probably to put them all – including things like your overdraft – into a debt management plan. See https://www.stepchange.org/how-we-help/debt-management-plan.aspx and talk to StepChange about this.
Affordability complaints can take a very long while to go through, you can’t rely on this solving your current difficulty – a DMP gets you into a safe situation. But if you win the complaint it will make your DMP end a lot sooner!
Maria says
Thank you so much Sara for all your help and for this website.
Ciara says
Hi Sara,
I have just recieved a reply from 118 – 2 weeks late of the 8 week time frame. They have not upheld – my complaint was that I should never have been accepted for such a big credit limit – I only had one loan with them and that was £1500 – I repaid first couple of payments (not easily) and then had to go into a plan – not long of being in the plan they sold to a debt collection agency which i still don’t know what the company is and when they are going to try and collect the remaining balance? Would FOS be likely to uphold if I show my bank statements at the time ? Also if I get my credit report for that time? (How do I request a copy of my credit report from last year?)
Thankyou
Ciara
Pn says
118 refused my complaint it got sold to lowell who agreed 75% discount on balance
KR says
So my husband’s adjudicator replied to say Varooma case is in a que for ombudsman bit cannot advise how long this will take, it’s already been 1 year. Adjudicator agreed 4 loans out of 5 bit Varooma have ignored all communication from them. Does anyone know how long the last bit usually takes and is it unusual for a business to ignore the adjudicator and not reply.
Fraggles23 says
The wait is normally around 6months, maybe longer due to the pandemic.
Ive been waiting since Feb for an ombudsman to pick mine up which is against EL.
Adjudicator ruled in my favour but they ignored it
Mel says
Hello, what if the initial credit amount was affordable, but only when the credit and interest was increased it became unmanageable? I had £250 with Vanquis to begin with, then they kept increasing credit and I kept spending and paying minimum. At one point interest rate increased and it became even more difficult to pay, until my financial situation changed and I couldn’t pay at all. I also had other credits that became unmanageable. Can I argue that credit shouldn’t have been increased or % rate as I clearly made min payments only and at times paid other credits with Vanquis credit? Also this credit was taken 10 y ago and the debt is with DCA now, who has issued CC claim against me. We are in the process of ‘negotiating’ if I could call it. Can I still dispute this debt with Vanquis to begin with? I want to reduce the debt and trying to figure out the best way. The debt is nearly £3k. The credit limit was £2500, I’ve paid nearly £2500 to Vanqs and £330 to DCA when they first came at me. DCA offered settlement of full amount at £20/m, but I’m really not willing to pay over £5k, when I’ve already paid nearly £3000 over the years. BTW, I have sent SAR to Vanquis before, but only asked for agreement and statements. Can I request additional info again?
Sorry for that much info, I hope it’s possible to understand.
Kind Regards
Mel
Sara (Debt Camel) says
Can I argue that credit shouldn’t have been increased
Yes you can. That is usually the best approach with credit cards, see https://debtcamel.co.uk/refunds-catalogue-credit-card/ which looks at this sort of complaint. They aren’t as simple to win as payday loan complaints and they tend to take much longer, having to go to the Finanical Ombudsman normally.
Can I request additional info again?
Yes you can.
the debt is with DCA now, who has issued CC claim against me. We are in the process of ‘negotiating’ if I could call it.
Have you actually had a Claim Form? if so you need to enter a defence, not just send letters or emails trying to negotiate. Talk to National Debtline urgently on 0808 808 4000 about your options, otherwise you will end up with a CCJ for the full amount by default as you have not filed a defence.
Mel says
Thank you for your reply. I have filled all the papers for the court, last being DQ. Then DCA contacted me with the settlement offer, but since there is no agreement and the docs DCA have sent me are questionable, I’m looking at the ways I could reduce the balance.
Sara (Debt Camel) says
An affordability complaint has to go to the original creditors. This is likely to take a long time to resolve. I haven’t heard of anyone being able to get a court claim bought by a debt purchaser “stayed” (legal jargon for put on hold) while a complaint goes through. I suggest you talk to National Debtline urgently about your options.
Craig says
Hi Sara,
I want to thank you for all the help available on this site. I have many successful claims for irresponsible lending and am currently awaiting an answer from the FOS on 2 logbook loan companies (mobile money and Loans2go) my complaint for mobile money goes back to 2009 to 2013 and the FOS have just told me that they will investigate it as under the rule that my complaint was made within 3years of realising I had cause for complaint. It’s been a long road (started march 2019) but I am finally seeing light at the end of the tunnel. Thank you again
MrN says
Afternoon….anyone had anything to do with TM Advances?
I’ve had my SAR…quite a lot of pages. Shown my application and stated income.
They have then added a ‘partner contribution’ which I have never said.
Then on the affordability pages it stated my income was £72,000…I have no idea how they have got to these figures. Especially, like I say, my application clearly stated my income.
What you think about the chances?
I had to take more credit out after too.
Dana says
Hi Sara, I’d like some advice, when we went into lockdown I froze my loans and 118 118 money were not contactable via phone, so I was advised to receive help through the live chat on their website, they told me they had frozen my account, however, after speaking to them on the phone today I have been told my account wasn’t frozen after all and that I’m actually in arrears, they have no records of their live chats it seems and I don’t have this information either. Is there anything I can do? It sounds like they’ve messed up here.
Sara (Debt Camel) says
The first thing is to ask for a payment break now if you still need it – have you done that?
It is a shame you did not put your request in writing or take a screen shot of the webchat. You can put in a complaint saying what happened and when and ask them to correct your credit record. But anyway you were in a payment plan, so this error will make little difference to your credit record.
Dana says
They said because I was in arrears they can’t freeze it, I’ve put in a complaint about the web chat situation, I’ve already got a complaint with 118 that has gone to the FOS and has finally been picked up, so I’ll be adding this onto the complaint. It really feels like 118 118 will do anything to screw people over. Likely Loans were really supportive when we went into lockdown.
Sara (Debt Camel) says
If you can’t afford to pay them, just stop paying!
Ciara says
Hi Sara,
I have just recieved a reply from 118 – 2 weeks late of the 8 week time frame. They have not upheld – my complaint was that I should never have been accepted for such a big credit limit – I only had one loan with them and that was £1500 – I repaid first couple of payments (not easily) and then had to go into a plan – not long of being in the plan they sold to a debt collection agency which i still don’t know what the company is and when they are going to try and collect the remaining balance? Would FOS be likely to uphold if I show my bank statements at the time ? Also if I get my credit report for that time? (How do I request a copy of my credit report from last year?)
Thankyou
Ciara
Sara (Debt Camel) says
Send your complaint to FOS, with your bank statements for the 3 months before the 118 loan and the three months afterwards. Include a copy of you current credit record – you can’t get an old one. That will give FOS the details they need.
Mister Anonymous says
Hi Sara,
This is probably the wrong place to ask this so I apologise. However, I recently received a letter from Lowell saying they undertook a review of my account and found BW Legal were overstating the alleged debt and included a cheque to compensate me for any inconvenience.
Is this an underhand way to get me to tacitly acknowledge the alleged debt? Thus far I have beat them twice at the Sheriff Court as they could not produce a valid credit agreement never mind show the alleged debt was assigned or that I was notified of such assignation.
I have dutifully never acknowledged the alleged debt and it is about six months away from being statute barred.
Should I just bin their letter and cheque?
Sara (Debt Camel) says
I will ask a Scottish debt adviser to reply to you.
Alan McIntosh says
Hi
The law in Scotland in relation to prescription is the running of it only stops on:
A relevant acknowledgement of the debt; or a
relevant claim being made.
A relevant acknowledgement is generally accepted as meaning a written acknowledgment by you of the debts existence; or a payment to the debt.
A relevant claim is when they take you to court or serve a charge for payment or arrest your wages etc.
The way I see they are sending you a cheque, not requiring you to make a payment or acknowledge the debt in writing to obtain the cheque. Could cashing the cheque be a relevant acknowledgement? I have certainly never heard of such a thing. That is not to say someone could not argue it, but then that doesn’t mean they would succeed in front of a judge. What I dont understand is why not just reduce the amount you owe by offsetting aginst the other.
It may be they are planning to bring the case back to Court before the prescription period runs out and are going through the case with a tooth comb and have found this and made you the refund.
You are not being asked to confirm in writing you owe the debt. If you do write to them, say you are not acknowledging the debt, but will accept the payment.
Mr Anonymous says
Thank you Alan,
While the sum proffered in the cheque is significant, it is insignificant in comparison to the quantum of the alleged debt.
The alleged debt will be statute barred in December 2020 so I think you’re right that they are going through it with a fine tooth comb. The Sheriff took a dim view last time in Court that they failed to comply with an Order of the Sheriff to supply documents to myself and the Court. While the case was dismissed pro loco et tempore at that time he did warn that next time I would be granted a Decree of Absolvitor in my favour.
I take it that because I refuted the debt previously in Court does not extend the length of time to barring? It would still be from the time of the default on the alleged debt?
frogman says
Out of the blue, Metro bank refunding me charges of £150 + 8% interest on my current account. Below is what they said for anyone banking with them.
We’re getting in touch about texts we sent between February 2018 and December 2019, asking customers to top up their balance if it couldn’t cover the payments due to leave their account.
What’s happened
These texts didn’t make it clear that, if the account wasn’t topped up, there would be a charge for each payment due. Also, they should have been sent by 10am, and we’ve realised that in a few cases this didn’t happen.
Each payment due was charged at £10, with a maximum of £60 being charged in any month. We’ve reviewed our accounts and can see you were affected by this – we’re now going to put it right.
Hel says
Hi Sara,
I have a loan with Everyday Loans, for the amount of £1500 at the time of taking it out. I took this out in 2017 and I am still paying it off now, I make reduced payments to the company, however my last updated sum from them states
“The outstanding balance for your loan still to be paid, which includes all remaining interest is £2061.43.”
I believe this is a case or irresponsible lending, and they are the worst company to try and tackle. I am wanting to complain to them but as I still havent paid the loan off in full, which template would you suggest using? I worked out from my bank statements that I have paid, up to date, £1836.76 without interest.
Any Advice would be a massive help!!
Sara (Debt Camel) says
Use the template in the article above. You need to argue that EL should have realised that you could not afford the lain repayments in 2017 if they had checked properly.
hel says
Thank you for the reply.
I have used the template and added a few more bits to emphasise the position I was in and the negligence of it all.
So thankful I found this page!
Thank you for all your work x
ilias says
Hello, Sara,
I had a 5000 loan with Amigo on September 2015 for 256GBP per month and I top up for 10000 on August 2018 in total so 6000 more for 395GBP .
I did a complain following your guidance to Amigo Loans for irresponsible lending. My guarantor also did a complain as well.
I was student and working as a taxi driver. So I told them my income and my expenses and they were ok even though my disposal income not including the new loan was 530 GBP. For the top up for 395GBP per month they didn’t ask me for any proof or anything. In that point I was contractor for an automotive company through ltd but even though they were passing more money through my account I had more expenses for my business and the related commitments.
Regarding the complain I gave them the 8 weeks they responded within the limit to tell me that they need more time and they rejected my complain 12 weeks after. They were saying they did a very good check and at the moment I could afford. I tried to explain them the points that they were wrong but they were answering me like robots with automated answers. So 2 weeks ago I sent a complain to FOB. I didn’t receive anything yet. I will keep you updated. Finger’s crossed
Sara (Debt Camel) says
Is your guarantor complaining the loan was unaffordable for them? Have they sent their complaint to FOS?
what is your current financial position – have you been affected by coronavirus?
PS The best page for this is the main guarantor loan page https://debtcamel.co.uk/how-to-complain-guarantor-loan/ as that is where all the other chat about Amigo complaints is. I will move this thread there in a day or so. Perhaps you could bookmark that?
frogman says
Hi Sara,
I once posted about my logbook loan with CCP. I borrowed £4500 in May 2019. £1803 of it was used to pay off HP on the car from BMW and CCP paid me the balance of £2697. I have now paid a total of £8085 to settle the loan. I am putting in an affordability complaint based on the below points and wanted your thoughts.
1 – BMW HP payment history that I submitted to CCP – Although showed timely repayment from when I bought the car in Aug 2015 to May 2018, I missed every single payment from then on, commencing with a rejected DD in June 2018. I was playing catch-up with irregular direct transfer of repayments to BMW up until the point I took out the CCP loan and was one month in arrears.
2 – They requested 3 months bank statement and payslips to be submitted to the inspecting agent but I doubt this was ever looked at because the application differed greatly from the statement and still got the loan the next afternoon. Eg, I had regular payment towards my DMP despite saying I wasn’t on DMP. I had Amigo loan coming out (had to be topping them up as guarantor (wife) wouldn’t let me have peace of mind at home) as well as monthly payment to HMRC for overdue returns. There was a huge % of my salary going to my wife to pay essential bills as I couldn’t trust myself not gambling it way.
3 – I already had 7 or more defaults on my credit file at the time, but as they do not credit check, this is impossible to argue.
Sara (Debt Camel) says
if they asked for bank statements they should have taken account of what was on them.
frogman says
Thanks very much. If there are not credit checking, the bank statement seems to me the only way to check I&E and affordability.
K says
Apologies Sara can you remove my previous comment as my complaint is still ongoing and I do not want to interfere with the outcome.
“
K says
May 11, 2020 at 5:10 pm”
Sara (Debt Camel) says
Your previous comment was about Sunny in February?