On 8 September, the latest Claims Management Regulation Bulletin, CMR35, from the Ministry of Justice warned about many problems with payday loan refund claims. But according to many reports, Wonga went bust in August 2018 because of the number of affordability complaints they were getting from Claims Management Companies (CMCs). So does using a claims company make it easier to get a payday … [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.
Today's statistics from the Finanical Ombudsman show how the number of payday loan complaints has jumped in the last 6 months: complaint numbers for QuickQuid have tripled since the last half of 2017 Wonga's complaints nearly doubled, forcing it to go into administration at the end of August other payday lenders such as Lending Stream, Sunny and Payday UK have also seen numbers of … [Read more...]
Wonga's administrators have said it is highly unlikely customers will get the full amount of an agreed refund. Customers who have complained about unaffordable loans and had a refund agreed are now anxiously waiting to know how much they will get back. But people who owe Wonga money should be in a better position to get compensation than customers whose loans have been settled because of the … [Read more...]
With the news today that Wonga has stopped making new loans, customers are worried they won't get a refund if Wonga goes under. One optimistic question keeps being asked: isn't there some kind of guarantee system that would step in if Wonga fails? In the UK, the Financial Services Compensation Scheme (FSCS) provides a safety net, for example if your bank fails the money you have in a … [Read more...]
There are about 200,000 people with current loans from Wonga - many of them may have a good case for the interest to be removed from their balance so they only repay what they borrowed. Wonga announced on 30 August that went into administration. After three weeks, the public announcements from Wonga's administrators, the FCA and the Finanical Ombudsman Are still not very detailed about how … [Read more...]
Update - 30 August - Wonga has gone into administration. On 26 August Sky News reported that: Directors of the payday lender Wonga could appoint Grant Thornton as the company's administrator within days, Sky News learns. This comes three weeks after the story, also broken by Sky News, that Wonga has been forced to borrow an additional £10 million from its investors because of the rising cost … [Read more...]
On 1st August 2018, the Money Shop stopped giving loans to new or existing customers. Here is the announcement on its website: The Money Shop is part of the Dollar Financial group, who owned two other large payday lending brands, Payday UK and Payday Express. These both stopped lending in October 2017. The Money Shop is not going out of business, it is carrying on with its other travel … [Read more...]
QuickQuid (QQ) and its smaller sister brand Pounds To Pocket (PTP) have been getting increasing numbers of affordability complaints from customers asking for refunds of interest. This started in 2016 but has taken off in 2018. Until now many people thought they had just been foolish to borrow from a payday lender, they didn't realise the lender had broken the regulator's guidance on … [Read more...]
Have you been sent a Visa card loaded with money from QuickQuid, or its sister brand Pounds Till Payday? It's a nice surprise, but what is it for and how much tax was deducted? You need to know the amount of tax deducted because you may be able to claim this back from the tax man! The refund letters These cards have been sent out in August to some customers who previously had a refund from … [Read more...]
Update: 30 August - Wonga is now in administration. 26 August - new reports that Wonga is about to go into administration. Sky News reported on Saturday August 4th 2018 that Wonga has received an emergency £10million cash injection to save it from insolvency. The latest fundraising is said to value the company at only $30m. Sky reports that Wonga's CEO, Tara Kneafsey, told … [Read more...]