Most payday lenders aren't good at handling complaints, but Lending Stream, a mid-sized payday lender in Britain, is noticeably bad. And their habit of giving people loan after loan for prolonged periods means they are getting a lot of affordability complaints. I think their complaint handling is so bad that their regulator, the Financial Conduct Authority (FCA), should investigate it. A loan … [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.
Payday UK has stopped offering loans online or over the phone according to its website. They are one of the oldest and largest payday lenders in Britain. Payday UK is a brand name of Instant Cash Loans Ltd. The other online lending brands in the group, Payday Express and Ladder Loans, have also withdrawn from the market. The group's Money Shop business is unaffected, as are their smaller … [Read more...]
On September 13th, the FCA wrote a "Dear CEO" letter to all consumer credit firms that it authorises saying that they had reviewed complaints handling at a range of firms and found material non-compliance and other concerning practices. The letter details these problems and ends by saying that the FCA expects firms to: review how your firm identifies, records, and deals with complaints as … [Read more...]
When you get a payday loan, it arrives very quickly... so why does it take some payday lenders so long to pay out refunds for unaffordable lending? Especially as a few lenders are very fast? Hundreds of people have left comments on the How to get a payday loan refund page on the progress of their claims. This article summarises recent comments about the large and mid-sized lenders. It covers … [Read more...]
Many people are making affordability complaints about payday loans, asking the lender to refund interest. Most lenders are refusing to look at any refunds for payday loans that were taken out more than six years ago, saying the Financial Ombudsman Service (FOS) will not consider these cases. But this isn't correct! This article looks at the current situation and the implications for your … [Read more...]
You can get a "refund" for expensive payday loans if you still owe money on your the last loan. It can even be easier, as some lenders are quicker to reduce or write off debts than they are to hand over cash. The complaint process is explained, with template letters, here: How to get a payday loan refund. Use the same letters if you still have a loan outstanding, but here are some extra points … [Read more...]
Does gambling make it harder to get a refund from a payday lender? Many people who have made an affordability complaint and asked for a refund of the interest they paid are worried if there is gambling showing on their bank statements. Gambling is an issue for a significant number of payday loan complaints. The availability of easy credit from payday loans, even in the middle of the night, can … [Read more...]
In 2015 the Competition and Markets Authority said that payday lenders have to advertise on at least one payday loan comparison website and provide a "prominent link" to the comparison site from their own website. The FCA consulted about what a payday loan comparison website should be doing and these were its decisions. This has now gone live. On Thursday 25 May 2017, the BBC reported: New … [Read more...]
Financial Ombudsman decisions are legally binding on the firm. But if it's been a couple of weeks and you haven't been paid, you may be feeling worried... This article gives some information on how you can enforce a decision from the Financial Ombudsman Service (FOS) through the courts. I'm doing this to re-assure you that it can be done, not to encourage you to rush out and do it! It is … [Read more...]
Wonga has started contacting 245,000 customers on 8th April 2017 by email to warn them their personal and financial details may have stolen. Professor Alan Woodward, a cybersecurity expert, said it was "looking like one of the biggest" data breaches involving financial information in Britain. A few days later it also started sending out text messages. This problem isn't just affecting people … [Read more...]