In November 2016. the FCA issued a very broad Call for Input on High Cost Credit. In November 2014 when the price cap and other payday lending rules were announced, it was stated that they would be reviewed after two years and this new Call for Input is part of that review. Andrew Bailey, Chief Executive of the FCA, said: We have come up to the point of reviewing the cap on payday lending, … [Read more...]
Payday loans - easy to take out - hard to escape from. This page has all Debt Camel's articles about them, the most recent first.
Also look at the Guide to Payday Loans which covers how to apply for compensation/refunds if you think you have been given a payday loan that was "unaffordable" and the better alternatives if you want a payday loan but are refused one.
I was thinking of doing an Award for Poor Complaints Handling by payday lenders in 2016. But it all felt too serious, so I thought I would go with something more light-hearted. After all, Christmas this year is going to be better for many, many people because of the payday loan interest refunds they have received so far! So I've picked out some bits that have made me smile and some categories … [Read more...]
If you have received a PPI or payday loan refund since April 2016 where tax has been deducted, you can probably get this back from the tax man! This post explains who can claim this tax back and how to do it. Why was this taxed? People often feel cross that they are charged tax on a refund. If you return something to a shop for a refund, you wouldn't expect that to be taxed, it's your own money … [Read more...]
A reader asked: I took out countless pay day loans for example with Lending Stream, Quick Quid, MyJar, and Wageday Advance a few years ago. Suddenly they have all come out of the woodwork. I now have a court claim arrive from MotorMile Finance – for a Lending Stream account. I have applied to extend the date for defence but am not sure what to put in my defence. There are three other accounts … [Read more...]
Many people are making affordability complaints about payday loans, asking the lender to refund interest. Until now, lenders have refused to look at any refunds for payday loans that were taken out more than six years ago, saying the Financial Ombudsman will not consider these cases. Earlier this year there seemed to be some inconsistent decisions from the Ombudsman as to whether their rules … [Read more...]
On 2nd November, the FCA announced that MotorMile Finance UK Ltd (MMF) had agreed to provide redress to more than 500,000 customers for "historic failings": The firm had inadequate systems and controls over due diligence. In particular, it failed to conduct sufficient due diligence upon the purchase of a debt portfolio to be satisfied that the sums due under customer loan agreements were correct. … [Read more...]
The Money Shop has refused to send some customers a list of the loans they have had. One Debt Camel reader complained to the Information Commissioners Office (ICO), who has agreed he should be sent these details. Why people want their loan history Many people are asking for details of the loans they were given as the first step in complaining that a payday lender did not make proper … [Read more...]
If you are asking for a payday loan refund, the question of your credit record will probably come up. You can get a payday loan refund whatever your credit record was like - but this doesn't mean that credit scores are irrelevant! This can be a complicated area - a lender may dismiss your complaint mentioning your credit score and you may be uncertain what to do next. This article looks at typical … [Read more...]
Some payday lenders are responding to some complaints asking for refunds of interest by saying you misrepresented or lied about your income or expenses when you took out the loans. Every case is different, but here are some things people say. "I didn't know what to put down" I often give Income & Expenditure (I&E) sheets to trainee CAB advisers and ask them to complete one in ten … [Read more...]
Manic spending, during a high or period of mania, is one of the six triggers for increased spending identified in the Money and Mental Health Policy Institute's latest report, In Control: A consultation on regulating spending during periods of poor mental health, published last week. I have been contacted by a reader who has suffered from bipolar disorder for many years - this is Miss D's … [Read more...]