Debt Camel

Answers to questions about debts and credit ratings - in plain English!

Wonga – administration ended, company dissolved

The administration of WDFC, the legal company who operated the Wonga brand, was completed in August 2020.

The company was finally dissolved in December 2020.

See Companies House records for details.

 

Background to the administration – rising complaint numbers

A payday loan is “unaffordable” if repaying meant you had to get into more debt, by borrowing again or getting behind on bills or other debts. So you may have repaid all your loans but still have a good claim for a refund of the interest you paid.

When Wonga went under there were over 200,000 people with current loans from Wonga – many of them had a good case for the interest to be removed from their balance so they only repay what they borrowed.

The Administrators proposals set out the reasons why Wonga went into administration. These were the increasing number of affordability complaints, especially from Claims Companies, and the decision by the Financial Ombudsman that FOS could look at loans over 6 years old, going back to 2007.

There were 24,000 affordability complaints awaiting a decision by Wonga and 9,500 complaints against Wonga with the Financial Ombudsman when Wonga ceased trading on 30 August 2018.

Details on the Administration

The Administrators have made various progress reports (available from Companies House)  and statements during 2018-20:

  • in October 2018, the Administrators published their Proposals, detailing how they planned to handle the administration. Creditors voted to approve these Proposals.
  • progress report to end February 2019;
  • Witness Statement in April 2019;
  • progress report to end August 2019.

An online claim page was set up in April 2019 for Wonga customers to submit claims for refunds. The deadline for sending in a claim was 30 September 2019.

The Administrators assessed all claims using an automated tool. This took account of:

  • all loans, including those over 6 years old
  • how large a loan was compared to a customer’s income;
  • how often someone borrowed without significant gaps;
  • whether there were indications of hardship such as missed payments;
  • if there is a balance outstanding for the right of set-off.

Where it decided one or more loans were unaffordable, it calculated how much interest should be refunded and added statutory interest at 8%.

In August 2019 the Administrators starting sending emails to people saying whether their claims have been successful or rejected.

In September, the Administrators sent an update on progress up to end August 2019. Key points include:

  • at end August, 389,621 claims for unaffordable payday lending have been accepted by the administrators;
  • the total value of these claims is c £460million – an average of c £1,200 a claim.
  • £23m of outstanding loans have been collected. The Administrators say that outstanding loans are being taken into account and given the right of set-off where the customer has a claim for unaffordable loans.
  • The remaining loan book will not be sold to a debt collector.

At this point the Administrators were saying that payments would be made by 30 January 2020.

29 January 2020 – administrators announce 4.3p in the pound

On 29 January 2020, the Wonga administrators announced that they will be paying 4.3p in the pound to unsecured creditors, including all the 400,000 people who are owed a refund for unaffordable lending.

The administrators have now given the final numbers:

  • they assessed 401,202 claims as being valid;
  • of these 358,129 are being paid 4.3% of their assessed compensation value;
  • the remaining 43,073 also owed a balance on a loan to wonga, so their compensation has been used to clear or reduce that balance.

What happens next:

  • the money should be paid within the next 4 weeks. This has come as a surprise as people had been told it would be paid by the end of January;
  • the loans that are being refunded should be removed from your credit record in the next 6 weeks.

My comment – ripped off by Wonga and now let down by the regulators

The administrators told people they would get “significantly less” than that amount as there would not be enough money to pay the claims in full.

But many people will have been hoping for more than 4.3% and are very upset.

It is not the administrators’ fault there is so little money to be divided between so many people. It is the fault of the regulators – first the OFT and then the FCA – that they allowed Wonga to break the rules saying that affordability should be checked

And now the regulators have failed to ensure that these Wonga victims get the compensation they should have. When a PPI firm went under, the Financial Services Compensation Scheme stepped in and people with PPI claims got paid in full. But the FCA has not extended the FSCS to cover payday lenders.

This isn’t just a problem for the hundreds of thousands of Wonga victims. Borrowers from many payday lenders have been unable to get proper compensation after the lender has had to close. This will apply to QuickQuid, the money shop, Payday UK and Payday Express borrowers as well.

The FCA needs to rethink this and provide a safety net for people who were mis-sold unaffordable loans.

Readers comments – Shock and disappointment

This a brief overview of the hundreds of comments below this article.

Some people are happy to be getting anything:

  • “I am only getting just shy of £25 but for the sake of completing a 30 second form it’s not too bad.”
  • “I will be getting £79.93 of the £1854.17 I was owed. Better than nothing!”
  • “£35 out of a possible £800. I wasn’t expecting much anyway. I’m more interested in having the 25 wonga loans removed from my credit file.”

The administrators had said people would get “significantly less” than the claim, but many people were hoping for at least 10%:

  • “I got mine £88.67 – claim was £2057.05 – I was expecting at least a couple hundred.”
  • “Claim was 3034, getting 130. By considerably less I didn’t think it would be over 95% of it. That is ridiculous.”
  • “To receive £44.10 from a claim of £1023.00 is insulting to be honest.”
  • “Owed £1499, getting £63…what an absolute joke!”
  • “4.3% is an absolute disgrace. Although people are trying to be positive they shouldn’t have to. The people who made all the profit here would spend the biggest payout anyone has received on an evening out and not think twice about it.”
  • “Gutted…. was hoping for at least the 10% speculated.”

This reader blamed not just Wonga but the regulators:

  • “Over £11k accepted reduced down to £480 – my job, my marriage and 4 years of desperation followed by years of rebuilding my life – that’s what the regulators consider that to be worth! Shame on everyone involved in Wonga and the lack of regulation of lenders like them !”

Some are just are delighted that Wonga has gone under:

  • “Heads up everyone…We have won in the end! They can no longer be a hindrance to any of us any more!”
  • “Mines going to charity. Best thing to have happened is for them to have gone bust”
  • ”Thank you Wonga you paid me to continue gambling, I lost everything. Good riddance.”

Many people are also disappointed and shocked that they aren’t being paid by the end of January. Some people getting these refunds are still in difficult financial circumstances and had planned to use the money to pay a bill or some debts.

February 2020 – some clarifications from the administrators

The remaining loans

The administrators have confirmed that no further payments are being accepted and the debts will not be sold to a debt collector. So you don’t have to worry about being taken to court or bailiffs.

But the debts are not technically being written off. They will remain on your credit record for 6 years from the default date on your credit record. If you don’t know what this date is, I suggest you check it now.

In practice, now the company in liquidation, if you contact a credit reference agency and say your Wonga debt is incorrect, you can ask the credit reference agency to “suppress” the record as Wonga can no longer say what the right entry should be. See How to correct credit records if the lender has gone under for details.

No deductions are being made for tax

The Administrators have said:

“the Joint Administrators have agreed with HMRC that the payment may be treated for tax purposes as set wholly against the interest and fees element first, and statutory interest second. As a result, where the distribution paid by the administrators to each customer does not exceed the interest and fees claimed by them, no withholding tax will be required to be deducted at source from payments made by the administrators in such cases.”

The simple version of this is:

  1. the administrators are not taking off any tax.
  2. there will, therefore, be no tax to have to reclaim.
  3. the vast majority of people will not have to pay any tax on any part of of the refund even if you are a higher rate taxpayer. The amounts don’t have to be declared if you complete an annual tax return eg if you are self-employed.

A small number of extra payments

A small number of customers were owed money by Wonga for a different reason, for example they may have overpaid on a loan.  These extra amounts are also being paid out and you will get 4.3% of them too.

If you were not using a claims company, you should have received a single email at the end of January which mentions both amounts.

If you were using a claims company you should have received two emails, each about one of the amounts. If you have only received one email and it mentions a claim which is smaller than the amount you expected, you can contact the administrators, it may be this is the “extra” payment.

Bank account issues

I asked the Administrators why some people are still getting emails asking them to update their bank details. They say:

These emails will be in response to customers’ requests received by the Customer Care team prior to 29 January 2020 providing a secure method by which customers can update their bank account details. Customers should respond to these emails.

I asked the Administrators what will happen if they make a payment and it bounces back to them because the account is no longer open. They say:

Where updated information is available from customers we will attempt to reprocess bounced dividend payments via electronic transfer. Alternatively, we will issue a cheque to the address held on file.

A blogger contacted the Administrators on the 14th February to ask why she hadn’t been paid and was told:

 “I can confirm that the joint administrators have commenced distribution of dividend payments to unsecured creditors, including those with redress claims. Given the volume of transactions that need to now take place, the administrators cannot guarantee an exact date when individuals will receive payment but are aiming to complete transactions within the next two weeks.”

February and March – payments started but with problems

I was told by the Administrators on Friday 28th February that 90%+ of payments have been made and they expect to make the rest of payments over the next two weeks by BACS. About 22,000 the following week, about 13,000 the week after. It looks as though the 22,000 group got their money. It’s not clear to me how many of the 13,000 group have.

Many people in the comments below this article were reporting probems. These included people whose bank accounts had never changes. Problems included:

  1. confusion over whether a claims company has been paid or they will be;
  2. Wongasaid payment was sent to a claims firm that hadn’t been used;
  3. Wonga said a cheque was sent to a house you no longer live it;
  4. Wonga said a payment has been made to your bank account but it hasn’t arrived ;
  5. Wonga has said a payment was sent to an old bank account despite new bank account details having been given and co0nfirmed as having been received.

On 2 March the Administrators said the payment process was taking longer than expected and payments would continue to about 40,000 people over the next 2 weeks:

The Joint Administrators have now attempted to make dividend payments to over 410,000 creditors… In addition to the payments that were not made we have had approximately 40,000 payments returned to us due to incorrect customer bank details recorded on file with Wonga. We will now begin contacting these customers whose payments were returned, by email, to obtain correct and up-to-date bank account details.

The dividend payment process is taking longer than anticipated and payments will continue to be paid during the next two weeks.

On 19 March the Admistrator’s announced:

The Joint Administrators have now attempted to make dividend payments to over 443,000 creditors representing 98% of the creditor population. This includes payments to creditors whose payments were briefly held back from the initial payment phase whilst additional validation checks were completed to new bank account and/or address details that were provided. The Joint Administrators now continue to focus on the remaining small population of unpaid dividends in order to complete the payment process.

From here on progress was very slow, impeded by lockdown.

End August 2020 – administration ends – do you still have a problem?

Have you not been paid?

The Administrators final report blames the payment problems of Wonga’s poor systems and on creditors who did not update their bank details when requested to. But as many comments below detail, people who had never changed their bank account or who had updated their bank details several times and had each confirmed also experienced prolonged delays.

At 28 Auguest when the administration ended, there were still c 49,000 payments with a total value of £632,000 that had not been made – an average about of £13 per payment. About 70% of these were for amounts owed before the administration, so not affordability complaints.

The Administrators have passed the £632,000 to the Insolvency Service. If any creditors want to claim an unpaid amount, they should email CustomerServicesEAS@Insolvency.gov.uk.

A problem with your credit record

If there is a problem with your credit record then you now need to contact the Credit Reference Agency where the problem is showing – Experian, Equifax or TransUnion. Say you can no longer get an answer from the administrators as the firm has been dissolved so you would like the CRA to “suppress” the credit records (list them) as they are inaccurate.

This problem could have been an error by the administrators, who failed to delete the record. It could be an error by Wonga before the administration: the loan date or balance or default date is wrong – you want the default date to be as early as possible so it drops off sooner – or Wonga may have failed to add a default date.

If the CRA refuses, send the CRA a formal complaint and this can be sent to the Financial Ombudsman. In practice people are getting these sorted with the CRAs without having to go to the ombudsman.

More Debt Camel articles:

Refunds from large loans & car finance

Payday Loan Refunds

Refunds from other payday lenders

part of a credit card

Is your credit card limit too high?

Comments

    • Natalie says

      Thank you..must have missed this comment as I’ve just posted a comment asking if people who had recievd their payments updated bank details.

      Reply

  3. Philip Bradley says

    Mine not there, could it be the bank you are with taking different times?

    Anyone bank with Natwest get theirs?

    Reply

  4. Klara says

    My 12. 85p has landed in my account. Can’t wait to splash out at the weekend. Seriously though I feel fine. Glad it’s over. Brighter days ahead 🙌

    Reply

  5. Johnny y says

    Hey..I’ve been reading comments on here and decided to enquire to safety net credit about a refund as I believed I was mis sold by them..I got my reply today and they’ve said they’ll redress all the interest I paid them along with 8% of this as ombudsman rules or something..anyway I’ve been quoted 1237 pounds and I’m delighted they actually got back to me..worth looking into guys

    Reply

  6. Chris says

    From my MP:

    Thank you for your email and bringing your concerns to my attention.

     

    I will be happy to look into this matter for you in more detail. I will write to the Financial Conduct Authority for clarity on their policy when it comes to compensation for those impacted by a lender such as Wonga going into administration. Subject to their response, I will consider writing to the Chancellor to bring this to the attention of the UK Government on any support they can offer to those who have been affected.

     

    If you require any further assistance in the meantime then please do not hesitate to get in touch.

    Reply

    • Andy says

      Thanks for posting their reply and thank you for emailing them initially too.

      This is why it is very much worthwhile the few minutes taken to contact your own MP to express your concerns.

      Reply

    • jamie Donnelly says

      I haven’t even received the dividend email but the admin team said be assured I will get the money this month..Its a joke how people havent got the dividend email..Welk done tk those who have finally got their cash

      Reply

    • Stephen says

      I haven’t receieved my amount yet, i’ve been checking my bank all the time, waiting for £366.48, i am pleased that people have started to receieve their money

      Reply

  8. Jonathan Adam says

    THIS IS DIRECTLY FROM THE EMAIL I RECEIVED ON 29/1/20

    WDFC UK Limited – In Administration (the Company)

    The Joint Administrators are now in a position to declare a first and final dividend of 4.3p in the £.

    You will receive a payment of £178.88. Your payment represents 4.3p in the £ on your agreed claim value of £4149.49.

    As of 13/2/20 at 9pm I haven’t received my redress while others apparently have, there’s nothing within the email to suggest I am due nothing, so does anyone have a clue why I have not received my redress?

    Reply

    • Anders says

      As posted by others earlier, it’s WFFC-Redress

      I set my expectation that it’s going to be there by 28th February and just spend my time doing other things. I’d rather not get myself worked up and I’m not going to go out my way to waste my next few days refreshing my bank account.

      I advise that others do the same. They could be doing them in batches of 10-20,000 a day, between now and the 28th, or they could have them all done tomorrow. We don’t know, so best not to stress ourselves out.

      Reply

  11. Paul McGhee says

    I think it’s time they taught financial acumen as part of school curriculum. Embed just how destructive short term lending/borrowing is. Who actually read any of small print when they signed the credit agreement. How many people started on this endless debt path by taking out a “bridging” loan of couple hundred quid. It was so easy to take loan after loan after loan so you became so constrictive. They need to outlawed; there is no benefit to taking them, if you are suffering financially; all a pdl does is keep you in that position whilst gradually grinding you down And you don’t even know it’s happening. I’m not aware of anyone who took out s payday loan and treated it as a one off. The culture of payday loans created a level of hardship that simply didn’t exist for many. A loan shark straight to your phone in minutes.

    Reply

    • Andy says

      My first one was 50 and the primary reason for that was due to a DWP error on Friday meaning I had nothing otherwise over a weekend.

      Culture is an interesting term to use Paul, although something is amiss in society in general in that we were (not far off really) “driven” into using a PDL to survive.

      As distasteful as they were/are, the bigger picture needs much addressing to stop the vulnerable falling so far they need a PDL for any number of reasons.

      Reply

  12. Timbouk says

    Hi I received 30p about 6:30pm which I think is a separate redress amount to the main £135 I am due to receive. ‘WDFC-REDRESS’ is the named displayed. What surprised me is that it appeared early in the evening as BACS Payment’s normally appear in my account after midnight. So I wonder if it’s more of a bank transfer they are doing ? Wonder when my main amount will turn up ?

    Reply

  15. Matt says

    Sara, just wanted to say you have reduced my stress levels exponentially. Hugely grateful for all the information you have compiled.

    Reply

  17. Claire says

    I checked my bank this morning and my redress was there, now I can start forgetting about bloody wonga hope everyone gets their money soon

    Reply

  18. Kat says

    Nothing in mine this morning. I’m with Lloyds, surname beings with D. Have had no changes to anything since I took the loan out and my complaint was initially with the FOS for 10 months before Wonga went bust so I suppose there is absolutely no order to how they’re sending out payment. I am disappointed but not much I can do – I’ll probably get it next week when I get paid…money to money lol

    Reply

  19. Mark says

    Hi,

    I received £69.03 which is different from my advised amount. Are they paying out based on individual loans? Don’t understand why I have more then half of what the advised amount was?

    Reply

      • Anders says

        We can’t answer that, call them and ask. Did you get 2 emails with redress amounts, like mentioned in the article, as a small of people would have, and it could be they’re being paid separately, if so.

        Reply

      • James says

        Hi,

        To the people who like me received a very low amount yesterday v’s the total they were expecting.
        Not to worry Wonga told me as stated by Sara some
        people are getting two payments. To expect the next one within 3 days.

        Reply

  21. Dawn says

    Hello. I originally made my complaint through a third party company. I was sent an email from wonga saying that the money would be paid into my bank account. The claim manangent company has now dissolved but the most recent email says that if you made your claim through a cmc payment will be made to them. As they no longer exist and wonga had emailed me in the redress email stating my account number for it to be paid into. Do you think I will get the money and it won’t get lost in cyber space to a company that no longer exists?

    Reply

    • Sara (Debt Camel) says

      if you don’t get paid in a few days, contact the administrators. No hurry – lots of people without this query haven’t been paid yet, not all the payments have been sent.

      Reply

  22. Craig says

    Yesterday was a good day then! Got my £212 from Wonga paid into the bank and came home to an unexpected, and totally unsolicited, letter from the Halifax. They were refunding me £178 for unfair charges applied to a loan I had between 2012 and 2015 and attached a cheque! Anyone else had something like that from Halifax?

    Reply

    • Sara (Debt Camel) says

      It sounds a bit like they didn’t send you the correct NOSIA (Notice of Sums In Arrears) letters at the time. This is an admin error which they have corrected.

      Reply

    • Steve says

      Yes I had the same from Halifax a year ago, I received three cheques for accounts I used hold. It was. It was a nice surprise at the the time.

      Reply

  24. Bob Wilson says

    Sara There seem to be a large even if relatively small number of people who have had sums over and above their redress amounts . Could this be indicative of a prior policy of wonga to consciously withhold money due to customers. It seems a large number for simple mistakes

    Reply

    • Sara (Debt Camel) says

      My guess is that quite a few of these relate to previous automatic compensation amounts. Wonga would have sent people emails but they may well have gone into spam. People weren’t expecting them so they never knew to look.

      Reply

  25. Jami says

    Ladies and Gents,

    Without the risk of trying to repeat what others are saying I just got off the phone to Wonga. Very short wait about 5 minutes or just a bit less. The person confirmed that the first payments were made yesterday. He also stated that they are also making further payments today and will continue to do so on a daily basis. As for a timeframe in his words “I’m sorry I can’t give you one but from today until the end of the month. Hopefully it’s soon for you”. I asked how they were making the payments ie alphabetic order etc and he stated he did not know. So to summarise payments have started. Expect the 29th and any day before then is a bonus. Enjoy you weekend. I’m pretty much repeating what Sara has stated but thought i’d give you an update.

    Reply

  26. rachael says

    Nothing as of yet- bank with Halifax. My account details are the same but my surname has changed. I did read on here a while ago that as long as bank details are the same doesn’t matter about name change….fingers crossed

    Reply

    • Tom says

      Any B surnames with Halifax been paid yet? Amazing news that the moneys finally coming through, happy for all involved here. My stories like many others here…. Money for gambling. Ruined my life, lost my fiancee who moved away with my unborn son. The gambling is my fault, I’m to blame for that… But these vultures preyed on far too many of us. Viva la revolution!!!!

      Reply

  27. Vinh says

    I have received payment from Wonga! Hopefully you guys have as well. Good Luck!

    Sara, many thanks for the great work you and your team does. Please keep poking the MPs to highlight the poor judgement call from our financial regulation system. Fingers crossed sometime in the future we will all be compensated fully.

    Good luck people. Remember you are not alone!

    Reply

    • Andy says

      It may well vary bank to bank and method of transfer used but if as some have said it’s an FP it’s usually available more or less the time it shows up.

      Just in my own experience of electronic transfers I would not expect to wait more than 15-60 min for a FP to become useable and no more than 24hrs for anything else electronic trans that was showing pending.

      Unfortunately to coin a phrase “your mileage might vary” Hope all goes well and it arrives soon.

      Reply

  29. Ed says

    Add me to the list of people still waiting, and congratulations to those who no longer have to.
    I just phoned them, hold time was around 10 minutes. I just wanted to confirm they had my bank details and I never had confirmation from the January update (although I updated them in September with confirmation so it seemed odd for them to email in Jan saying they had none on file).
    My surname’s towards the end of the alphabet and I bank with Halifax for anyone trying to crack the enigma, heh.
    Really hoping this payment comes in soon as my diet has been a little shocking this month. Almost there folks.

    Reply

    • Devon1986 says

      Dominic, I’ve been in this position and it’s terrible. Please can I suggest you seek help from CAB or someone like stepchange. They can really help.

      Reply

  33. Patrick says

    Been lurking here for ages. Got an email to say my bank details had been updated, which was very strange because I have never been sent the link to update them!! One 19 minute phone call later and I was surprised to learn that they do somehow have my correct bank details.

    Reply

    • Bob says

      This is hopeless. The request for a change in bank details which they never replied to better not slow the payment down. Ineptness at its greatest. Grant Thornton couldn’t run a bath let alone an administration. And to think I’m paying for their ineptitude.

      Reply

  34. Sara (Debt Camel) says

    So good news payments are going out. So far as I can see, people with all sorts of banks have had payments and it’s not alphabetical.

    While you are waiting for your payments to arrive, have a think about whether you can make an affordability complaint about other expensive sorts of lending:

    The following posts all have template letters to ask for a refund:

    PAYDAY LOANS https://debtcamel.co.uk/payday-loan-refunds/
    DOORSTEP LOANS eg Provident https://debtcamel.co.uk/refund-doorstep-loans/
    GUARANTOR LOANS eg Amigo https://debtcamel.co.uk/how-to-complain-guarantor-loan/
    LARGE HIGH COST LOANS including logbook loans https://debtcamel.co.uk/refunds-large-high-cost-loans/
    RENT TO OWN eg BrightHouse https://debtcamel.co.uk/brighthouse-refund-complain/

    Any questions, please ask below the relevant page, not here.

    Reply

  35. Joanne says

    Afternoon. Been checking my bank every hour and my redress has just gone in at 12.30. Looks like the next batch has gone out .

    Reply

  36. Maz says

    Hi All
    Just rang the help line advised by Sarah.
    Spoke to a nice lady, who says payments only started yesterday & would consider over the nxt two wks it will not be in any sort of order ie bank, surname, etc.
    But assured me the Administratiors are paying out over the nxt two wks.
    I did not get my Redness email but my bank details have never changed & she confirmed the last 4 digits of my account. I got through in 10mins
    Hope this helps!

    Reply

  37. Tracie says

    Hi all.
    Well I’ve received by redress today. I can confirm then that even though I did not get confirmation email that they had changed my bank details I would appear they did.
    Good luck to everyone else as I’m now waiting to hear about what we’ll be getting from WDA end of May 2020.

    Sara. I’d like to also say thank you for all your support and advise there were some accounts like catalogues and old credit cards and loans that I had which I’d paid off and that I’ve now received payments for.
    Cheers you website is great and I catch up every week on what’s happening.

    Reply

    • Neil says

      Are they just paying all of the larger redress sums or can anybody figure out what sort of order they are making the payments?

      Reply

        • Alison says

          Mine came in this evening thankfully the same day my bank refunded this month’s charges (I don’t know why they have done that as I haven’t contacted them) so my payment wasn’t eaten up by a minus balance when I had expected it to be. Makes a nice change. Happy Valentines day to me.
          Thank you Sara for keeping us all updated, for the guidance and support and likewise thank you to everyone here for the same. Hopefully everyone will recieve the transfers quickly!

          Reply

    • Sara (Debt Camel) says

      They have hundreds of thousands of payments to make. There is absolutely no need to worry if you had the 4.3% email in January saying what you will be paid.

      Reply

  39. Ross says

    Well, it’s not as long as I thought which I’m really grateful for. Still disappointed, definitely with the amount, but it’s £493 I wouldn’t have had I guess!

    Just thought I’d share to let you guys know that it seems they’ve started the payments

    Reply

  41. chris c says

    This is quite a long winded post but I just got a letter from my Mp Conor Burns in response to me contacting him about Wonga and the lack of protection their customers had when they went into administration I have omitted the initial how much we got etc but shall leave his final paragraph as it is what you expect from a conservative MP
    “The decision to pay 4.3% of claims was made by Grant Thornton, an independent company, based on the fact that the total value of accepted claims significantly exceeded the money available to be shared out. The protection offered by the FSCS which you mention, would not relevant as it covers investments and is designed to give savers the confidence to save.”

    So its our fault for being on the breadline and we should not be afforded the same rights as the good little savers wow this guy has given the best MP response yet dont you think.

    Reply

      • Heppo says

        Hi Sara
        That’s a very different situation. People who received money back for mis-sold PPI did not make use of the product that was mis-sold to them and were in some cases unknowingly paying for a product they would not or could not ever use. People who were “mis-sold” loans accepted terms and conditions and received the product they paid for. Not really sure how these 2 equate.
        I’m not sure the tax payer should pay for our mistakes.

        Reply

        • Sara (Debt Camel) says

          Technically the FSCS is not taxpayer-funded.

          People were trapped by these loans for years, when the regulatory system said they were only suitable for short term borrowing and that the lender should check affordability. This is a major failure of the regulatory system which has let down probably more than a million people across all payday loans.

          Reply

          • Joanna says

            It’s very interesting where regulators can and will step in. I work in pharmaceuticals and we are audited and inspected by regulators extremely often and if there are findings we address them within a 15-30 day timeframe (depending on seriousness) as we should, of course. Does the same not apply with financial regulators?

  42. Nicola says

    I’ve had a random amount today paid to me not the amount quoted in the email. I was expecting £105 from a 2442 claims but I’ve been paid 9p? Has this happened to anyone else?

    Reply

    • Andy says

      It has , see last page. Answer seems to vary on what emails you had and if you had money due to Wonga and/or if you had a claim in with them before they went under in Administration.

      I would if it was me I would just give them a call to check your expected monies, only they can lookup your account and tell you what and why. Hope all goes well and you get some more monies :)

      Reply

    • Kam says

      Ive had the exact same, 9 pence paid whats that about? Has anyone contacted them? Strange amount. My redress should have been 49 gbp

      Reply

  43. Wendy says

    Hi all

    Who ever had not had their dividend email, I just phoned after 15 min wait and she sent email straight away which I have now received.

    Reply

    • Maria says

      I received my dividend email but no one emailed me yet about checking the bank details. Some of you seem to have received an email to check they have the right bank details but I still didn’t get that.

      Reply

        • Maria says

          Yes they have. I’ve uploaded my current bank details back in October or November but when I checked, my old bank account was still on their system after I’ve put the current bank details. I’ve rang them straight afterwards and they said it’s fine as it takes some time to upload. I’ve emailed them numerous times but no reply

          Reply

          • Skells says

            Hi there,

            I have had an absolute nightmare trying to change my bank account and email address I am expecting around £256 from three £6,140 dividend notified. Gotten over that shock; however, now just annoyed at the incompetence of the rude staff and long, long waits to get through to speakwith someone to check they actually do have the correct bank details I guess I will just have to brace myself and telephone them, again. Oh, well; guess it’s slightly better than a kick in the teeth! Hope we all get our compensation soon.

    • Will says

      Mine got paid in today. £145.67 of £2,666 worth of redress. It’s a joke. I have a redress claim with WDA for over £3,000, so not getting excited about any payment in May.

      If this had been miss-selling of insurance or pensions or savings products to people with money, the government would have stepped in. Just like they did with the banks.

      These tiny redress payments are effectively a tax on the vulnerable and the poor.

      Reply

      • Andy says

        Will, unfortunately comparing it to the bank debacle is like apples vs oranges although I do -fully- understand and was outraged with some banker bonuses for failure. :( imo bonuses in some cases should of been replaced with a nice “long stay” at a suitable HMP

        The “fault” here lies with the industry regulators and ultimately the Government who oversee them, and lack of action previously. Much more to it than that as you’d expect but it almost boils down to that sentence.

        Info at top of page about this in detail if you wanted to see. Only change and with some goodwill possible further redress/justice for us can come from Government now.

        The best quick way of doing that is a polite (won’t be read if it’s a rant) letter to your local MP. Info page top helpful or templates a few pages back.

        Reply

      • Nik says

        Hi
        Just wondering, is that the right amount of redress they’d paid you from £2,666? Cos mine is £3346.60 and only getting £145.

        Thanks

        Reply

  45. Nikki says

    My payment £244 came in by bacs about 11.30am , out of £5,600. ! Oh well
    Thank you Sara for this site and the people on it, at least I know I’m not the only one in the country , 1st off I nearly lost my life through illness lost my job then my partner did so we had no work ! Then now I have my grandchildren whom I’m raising so no job again at the moment , life is hard ! But even this amount has helped.

    Reply

    • Sandra says

      Well, I also received my 11 pounds redress which I am grateful for. However I have to agree with a previous comment which stated that we all signed for these loans. I myself think back to when I got the loans and I honestly don’t know what I would have done if I had been declined. I would have kept on surfing the web until I got accepted somewhere.

      Reply

    • Sacha says

      Just to say my money they said Im owed just came into my NatWest bank account about an hour ago.
      Also nice one Sara for making this website and being so calm and collected, it’s really helped.
      Onwards and upwardsowards now 😛

      Reply

    • Matt says

      Payment received today. £140 from a £3,200ish accepted claim, which is a digusting insult IMHO.
      Borrowing so much from these companies is just as disgusting, so i should expected no less.

      I updated by bank details with them as instructed a few months ago.

      Im glad to finally see the back of my pay day lending – what a mess these last 4 years have been. Good riddence.

      I would NEVER advise anyone to start a lending cycle like this, even for £50. its just not worth it.

      Thanks to this site for all the info – its been a great help.

      Reply

  46. Sarah says

    People in here seem to think it’s done in alphabetical order. I don’t think that’s the case as my surname is W and I’ve got paid my redress today

    Reply

    • Philip says

      It’s not been done alphabetical because I am surname A and still nothing in bank I am waiting for £412 redress going into Halifax bank

      Reply

  47. Steve J says

    Looks like I’m going to be in the last group of people paid since I haven’t seen anything yet. Guessing it’ll arrive on the same day I get paid, because that would be my typical luck!

    Reply

    • SS says

      I’m so pleased payments are starting but it’s really painful waiting for it to come through. I really hope my £380 arrives before the weekend

      Reply

      • Drew says

        Still nothing for me. I’ve been told £303, I was one of the first to receive a confirming email, bank details are correct, yet sadly nothing! :-(

        Reply

        • Mikey H says

          I only received a (confirmed updated bank details email) on Monday. and i updated them on 21st Jan. I too haven’t received payment so there really doesn’t seem to be any method to their workings

          Reply

      • AR says

        Not really great that a lot of people have been paid while others are left wondering when they will get theirs, especially as it seems there won’t be any payments issued over the weekend. Would it not have been better to start making payments at the start of the week rather than the end of it. Can’t really understand why it is seemingly going to take weeks to pay everyone when surely all the information has already been collated and should just be a case of ‘hit send’. I wouldn’t think that employees of large organisations are paid their wages in stages!

        Reply

      • Matt says

        Hey, has anyone received payment from HSBC account! Still nothing for me :-(

        I should have been simple, no bank changes and all the right emails and still nothing.

        Thanks

        Reply

      • Barret says

        You will receive a payment of £35.27. Your payment represents 4.3p in the £ on your agreed claim value of £818.17.

        Fed up of refreshing my bank account now. R with Lloyds and no dice yet!

        Guessing thats it (as of 5/6PM) for payments this week until Monday?

        Reply

  48. chris says

    I have received the redress. Wonga had my closed bank account details (closed TSB account 18 months ago) but because I used the Switch service, the money was simply bounced forward to my new account. I tried to change the details with Wonga but never got the link. So, if you have switched accounts in the last 3 years, the credit should automatically come to your new account. My surname begins with W so I don’t think payments are being made in alphabetical order.

    Reply

  50. Lou says

    So I’m slightly worried, I recieved 4p today, I had this confirmed in an email previously when all the emails went out I questioned this and sent numerous emails to customer care, after a telephone call I was told that my accepted claim value was 2300 and that I would be receiving in total £99 odd…. so after the shock of 4p this afternoon I called wonga yet again who confirmed that the money I recieved today 4p, is in fact the over payment I’m due the other amount will be due shortly…. surely they would have paid it all together?!? Anyone in a similar situation?

    Reply

    • Peter says

      Read the earlier messages, some people are getting two payments, one linked to overpayments and other Wonga-related payments, and the other their redress via GT.

      Reply

    • Andy says

      Hi Lou,

      Yes, several have said similar. There is some info at the top of the page about this to help decide what if anything you need to do.

      Have a quick of the bit right near the top under “Special Cases” to see if any of the three scenarios apply as it varies on what emails you did or did not get and if anything else was due back.

      I would say if you’re in any doubt about what to do to just give them a call so they can tell you your account specifics etc. At least that way you’ll know for sure.

      Hope all goes well and more is due for you.

      Reply

  51. Sarah says

    I received £212 about 4.15pm today. This went into a Metro account and surname starts with W. They are not doing these in any order so please don’t think otherwise.

    Reply

    • Rk says

      Like a lot of others I got my redress now do this is finally over. Thanks Sara for all the top advice, I will continue to use your site for my other financial woes.

      Reply

    • Sheryl says

      I have received my payment within the last half an hour. I was beginning to give up when I saw all the comments that everyone else had received their redress but it’s finally gone in.

      I bank with Halifax for those asking about accounts 😊. Hopefully it won’t be long now for those still waiting x

      Reply

    • Andrew says

      Hi all,

      Just another update to confirm payment today. I was a couple of days behind people receiving the initial “…4.3p in the £” e-mail, so they are obviously making payments at a similar rate. Whilst £209 is welcomed (it’s my daughter’s birthday on Monday!) the £4500 would’ve been a life changer at this point. Hopefully we will be the last generation to fall foul of the ‘legal’ loan sharks.

      To end, just a huge thank you to Sara and all of her work. She has helped so many people, as well as taking the brunt of some thoroughly undeserved comments on this page over the last few weeks. We’re all frustrated, people, but don’t bite the hand that feeds you.

      Good luck everyone, may St Valentine bring you all you ever wished for x

      Reply

      • Kat says

        I’ve just received my payment of £64. Still can’t help feeling gutted that it’s not £1499, especially since I complained months before they went bust and the FOS dragged it out, but what can we do eh? Thanks for everything, Sara x

        Reply

      • Carly says

        Hi, I’m with Santander and my refund went through this afternoon just wanted to let people know that the refunds are being paid so hang in there

        Reply

      • Richard says

        I’m with Santander and just been paid! Thanks to Sara and everyone on this forum for the support and commmunity as we all went through this!

        Reply

      • Barret says

        Well, I’ll be a monkeys uncle – got my redress paid in full (at 4.3% lets not get excited)

        WDFC-REDRESS FPI A Faster Payment of £35.27 was paid into your acccount.

        Bank: Lloyds
        Surname: R
        Doesn’t seem like there is any pattern to this at all.

        At least I can treat myself tonight, hope everyone else gets good news as soon as possible too!

        Its over. Thanks out to this site, its owner and its community. Peace.

        Reply

      • S.K says

        Hi all, just recieved my payment in the last hour around 6pm. £81.97. Natwest.

        i wasn’t expecting it as they said wait up till 4 weeks.

        For those still waiting, it looks like payments are going through alsorts of times and no set days.

        Reply

      • Iain123 says

        Got my £344 yesterday. Not the £8k they owed but better than nothing.

        Glad it’s over and don’t intend to get into debt ever again!

        Reply

      • Steve says

        Just an update folks..
        My redress from Wonga has just gone into my account 7.05pm Friday 14th feb.
        Bank with nationwide and my surname starts with P
        Hope this keeps your minds sane as there is light at the end of the dark tunnel.

        Reply

  52. Anon says

    Is it just me, or that although our credit files will be cleaned up, it shows WDFC-redress on the payment and therefore if a bank manager notices it, they will then have some knowledge of previous payday borrowing? And possibly refuse mortgages?

    Reply

        • Sara (Debt Camel) says

          ok, well I suggest you go through a mortgage broker, not direct to a lender and tell him about this. I would be surprised if it is a problem but better safe than sorry.

          Reply

    • Ricardo says

      Obviously, being Valentines day…most would love the extra little money. I Would imagine they must have called the day.
      When we read updates… By the time we read the comments about payments were probably done by 6 or so.
      Monday a few days away. Keep hope.
      Happy Valentines all.
      Thank you Sarah for so much hard and commitment

      Reply

    • Sharna Richards says

      I had no bank changes, emails were correct but nothing yet. Santander Account. just wondering if it is people who had changes that are getting funds first. I got my 4.3 email in the first batch

      Reply

    • Deb says

      Looks like I will be waiting till next week for my payment, checked bank account now past 7pm so can’t see the payment being made this time of evening!

      Reply

    • Rachel says

      I know the payments are coming and we have to be patient but is anyone else constantly checking their online bank account or is it just me? 🙈

      Reply

      • Karen H says

        no its not just you – i am as well lol! its annoying that we didn’t all get our redress money on the same day – now people like you and me just have to sit around and wait and see. it seems the money is being transferred at random times as well,..

        Has anyone who banks with Nationwide got their redress yet?

        Reply

        • Sara (Debt Camel) says

          lots of people who bank with Nationwide have been paid. I don’t think who you bank with matters, for some reason you just one of the first people being paid.

          Reply

    • Pc says

      Was hoping to see something today after seeing most folk had finally received their redress. Bank with nationwide and nothing has come across unfortunately = not sure whether Nationwide are just slow to clear or perhaps nothing has been sent. Monday it is I suppose, least hopefully!

      Anyway, pleased folk are getting their money at last and a big thank you to Sara for her guidance on this and other DC pages.

      Reply

    • Dd says

      Bear in mind, most people who haven’t received their money yet probably wont post. Theres over 350000 claims to be paid, although we are seeing a lot of posts say they have been paid, there will be 1000s lime me which haven’t yet. We should only start to worry in 2 weeks time if we haven’t been paid the. But yes its damn frustrating!

      Reply

    • D S says

      I m only getting 288 from a six thousand lend. Still not been paid….Barclays. What really upsets me is everyone having to wait so long for a such a little payment which is basically an insult. Anyone that has suffered the perpetual cycle of pay day loans will understand the dreaded feeling of the phone ringing, post arriving…my mental health has suffered so much at the hands of these money lending thugs and bullies.

      Reply

  54. Paul says

    Yes and once again we are all being taken for mugs… I had a claim for just over 4000, after the 4.3% pathetic offer it was a grand total of 175, and today I get a payment of 58.57, Sumone sumwhere is making a killing out of all of us and nobody is doing a single thing…. fraud on a major scale, and I guess this message will get deleted!!!

    Reply

    • Sara (Debt Camel) says

      Several people have received less than they expected and found out this is because what they have been sent is an extra payment and the mail redress payments hasn’t yet been paid. You need to phone and find out if this is the case with you.

      Reply

    • Paul says

      Yes I appreciate that you have got back to me sara but in all honesty the way this has been dealt with over the past few months is nothing short of a shambles and I still believe Sumone sumwhere is making big money out of all this!!!

      Reply

      • Sara (Debt Camel) says

        I am not going to say the administrators are badly paid… but you have a straightforward way to sort out your current problem so I suggest you deal with it next week.

        Reply

  55. Steve M says

    I am due to receive a refund of £279 although I went via payday refund claims company. Will I have to wait for them to receive it and then pay me what is due?

    Reply

    • Steve T says

      I used PDRF as well and I believe they stopped trading sometime late last year as their website no longer works neither does the email address. I contacted Wonga and informed them so they will be paying me directly instead.

      Reply

    • Rosie says

      Hi i went through payday refunds to, but i still had the email with my bank details on. Does that mean they are paying the redress to me? Thanks

      Reply

    • Kieran says

      Yes mine was with payday refund too even if they sold it on to someone else and they chase you, dont pay them, as no notice was given and the contract was between pdrf and yourself only.

      Reply

  57. Don says

    Have you all contacted your local MP about this? I urge you ALL to contact your local MP’s to complain of the Pay Day loan scandal and low payout. I heard a representative from the Financial Times saying she hoped there would be something in the March Budget for people who had suffered as a result of Wonga and other payday lenders. If everybody contacts their local MP this will be more likely to happen.

    Reply

    • Laura says

      I have Don. But you will notice that a a lot of people want to just complain about the administrators for some mad reason. My MP was very supportive what about yourself?

      Reply

    • Andy says

      That is very positive about the FT Rep although anything could happen I guess.

      Despite a cursory search out of interest for more details I was not able to find any more on this “thought”.

      We’ll no doubt hear soon enough as Budget Day is not that far away and noted only the other day a new Chancellor too, the latter change is unlikely to make any difference though. There is scope for it but…

      Reply

  59. Sue S says

    Well got mine, out today to buy a new car, 😀 a toy one by the way!!!
    Where does all the interest go from.all the years the money has been in the bank?
    Not happy about the pittance they have given me, compared with what they took off of me when I was desperate!!!!!

    Reply

    • AR says

      Received mine either today or yesterday, didn’t check. What a really upsetting thing to recieive £430 from a redress of £9500 odd. Just wish I’d knew to complain way before the company was so far gone. Life changing amount spent but not returned. A very harsh lesson to try and learn. Let’s hope more of these companies complained to don’t go down the pan before they refund their customers. Fingers crossed.

      Reply

    • Cliff P says

      Just checked my bank, all paid! 234 English pounds as promised. 5000 plus would have been better.

      Thank you Sarah for all your advice.

      Reply

    • Pablo says

      Haven’t followed this thread for a few days as wasn’t expecting anything for a week or two, but checked my account this morning and it’s gone in overnight. Only £62 something for me, but better than nothing, and will pay for a meal out tonight and a few drinks later me thinks (weather permitting!). I don’t quite get the BACS payments system but my bank generally updates over night, so not sure about weekend refunds etc…..Good luck to everyone still waiting, you should get something soon me thinks :-)

      Reply

    • Laura says

      Actually furious…..out of a £513 Claim
      I got £22.11!!!!!!!!! When it said a small amount
      Seriously it’s took pretty much the whole lot! Why accept the claim refund and wait months and give people false hope :((((

      Reply

      • Sara (Debt Camel) says

        Don’t get mad at the administrators, it’s not their fault there was so little money left. This shambles is the fault of the regulators that
        a) allowed Wonga to carry on giving all these loans that broke the regulators rules and
        b) have not provided a proper compensation scheme for when a lender goes bust.
        Why not email your MP (easy if you use https://www.writetothem.com/) and say the government to provide proper compensation because this was a regulatory failure.

        Reply

      • Deb says

        My claim was for £922 & I’m still waiting for my £39 payout, we al in the same boat, pathetic amounts paid to everyone!

        Reply

    • Nick says

      Got mine!! Must of received it late lastnight as I was checking all day untill gone 6pm checked this morning and it’s there dated 14th

      Reply

    • Sara (Debt Camel) says

      Several people have received less than they expected (look back through the comments above: Nicola, Lou, Kam, Paul, James etc).

      This is probably because you have been sent an extra payment and your main redress payment hasn’t yet been paid. You need to phone and find out if this is the case with you.

      Reply

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