The Wonga administrators sent a letter, with voting forms, last week to Wonga creditors. These creditors include some people who have made payday loan affordability complaints as they are owed money by Wonga.
Customers who have commented on my Wonga Refunds – Latest news page have said things like It’s very confusing or I can’t make head or tail of it. And above all Do we need to do anything?
This article looks at why you have been sent the letter and what you need to think about.
The letter also contains details about how the administrators are planning to handle the administration, including how they intend to assess affordability complaints. These are interesting! I will discuss them in another article.
Who has received this letter?
Everyone that the administrators have currently identified as a creditor should be sent this letter. (Actually, it is an email with a link to the letter.)
The first few people that commented about getting this letter had all had an offer agreed with Wonga, either directly or through the Ombudsman.
But some other people with complaints currently with the Ombudsman now say they have received the email. I am guessing these are people where Wonga made an offer directly, so the Administrators agree they are an unsecured creditor.
If you haven’t received this letter, it just means that you can’t vote at the moment. It won’t affect your complaint.
What to do with this letter
Legally administrators have to ask for creditor approval for some things.
In the letter, the Administrators are asking you to vote on four resolutions:
- do you want a creditors’ committee to be formed, and would you like to nominate a creditor to be on it;
- to approve the Proposals from the Administrators for how they intend to proceed;
- to agree that the Administration fees will be determined by the amount of time properly spent on it;
- to agree that the Administrators’ expenses will be reimbursed.
Enclosed with the letter are a Voting Form, a Proof of Debt form and the Proposals. If you want to vote, the Voting Form and the Proof of Debt form need to be returned by 9th November 2018. You can also ask for a physical meeting to be held of creditors, rather than this postal ballot.
You don’t have to vote on the resolutions – you can ignore them if you want to.
I can’t advise you on how to vote. For what it’s worth, here are my thoughts:
- I don’t see any downside to a creditors’ committee being set up;
- if you are thinking of nominating yourself to be on the committee, read this R3 Guide;
- I can’t think of a practical alternative to the general way the administrators are proposing to decide affordability complaints;
- the proposed administrator fees and expenses are, so far as I am aware, standard.
Completing the Proof of Debt form
You only need to send the Proof of Debt form if you want to vote on the proposals. So you can ignore it if you don’t want to vote.
If you have already completed a Proof of Debt form you don’t need to complete another one.
What to put on the form:
- name, address, email, phone – use the same details as for your complaint.
- (5) total amount of claim – this is the amount Wonga has agreed to pay you. If this wasn’t settled (for example if Wonga had agreed with the adjudicator to refund loans 3-8 but no calculations have been done) then talk to Wonga about what the figure is.
- (6) uncapitalised interest – if you know how much of the refund is 8% statutory interest, put that amount here. If you are unsure just put “included in the above”.
- (7) particulars of the debt – I suggest “redress for unaffordable lending agreed with Wonga [through FOS] on dd/mm/yyyy.”
- leave (8) and (9) blank
- (10) documents – put “email correspondence with Wonga/FOS”. There is no need to attach this.
Your name and address will not be published
The schedule of creditors in Appendix H has their names and addresses.
I have been told by the administrators that their future reports will not have the names and addresses of individuals who are creditors, so you do not need to worry that your personal details will be published.
If you didn’t get this email/letter…
If you had an agreed award with Wonga, either directly of via FOS, but you haven’t received a letter, email Wonga customer services at customercomplaints@wonga.com and put “Administrators Proposals” in the subject line. Explain why you think you should have had this letter and attach any information such as an email confirming your award. Wonga Customer Services have been told to look out for these emails.
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john leadbeater says
October 29, 2018 at 11:45 ami used a company to try and get a refund of my ppi from wonga, i had approx 60 to 70 loans over 5 years but wonga refused to agree that i was misold ppi so it was taken no further.
Sara (Debt Camel) says
October 29, 2018 at 12:04 pmSo far as I know Wonga never charged PPI. Are you sure the claims company put in a PPI complaint? or was it an affordability complaint? When did you get the rejection from Wonga?
john leadbeater says
October 29, 2018 at 3:37 pmsorry it may have been a affordability issue, it was rejected around a year ago.
Sara (Debt Camel) says
October 29, 2018 at 3:52 pmwhy wasn’t the case taken to the Ombudsman? what did the claims company tell you?
Charlie H says
October 29, 2018 at 12:40 pmHi Sara,
I spoke with Wonga today as i havent received a letter and this is what they said which is interesting –
Alizwa P
Thank you. Claims for which a customer has not received payment but has been notified that they are entitled by a Final Response Letter and have accepted the offer within it will now be assessed relative to the value of assets which are realised. At this time we do not have a date for payment of any redress claims. It is highly unlikely that you will receive the full value of your claim. Further updates on redress claims will be posted12:26:59 PM
Me
I understand that, however my question was in relation to the letter that the administrators are sending to creditor of which i am now one12:27:50 PM
Alizwa P
Just a moment please. I’m just getting more information regarding the letter that you’ve mentioned.12:29:03 PM
Sorry for the silence.12:29:48 PM
I’ve just been informed that the letters are an alternative for customers creditors who’ve chosen to deal with the administrators directly12:30:57 PM
On our end we’ve not been informed of any letters. Should you have access to one, your welcome to forward it to us
What does that actually mean? I wasn’t aware there was an option to specifically deal with the administrators as i thought thats what we would be doing now anyway?
Sara (Debt Camel) says
October 29, 2018 at 12:45 pmoh! Bit odd they haven’t even heard of it.
Have you actually had an agreed award that just wasn’t paid prior to administration?
Charlie H says
October 29, 2018 at 12:47 pmYes that’s correct. It was agreed with both FOS and Wonga about 5 days prior to them going into Admin.
Sara (Debt Camel) says
October 29, 2018 at 12:48 pmOK, I will ask the Administrators who you should contact
Charlie H says
October 31, 2018 at 11:33 amHi Sara,
Thank you for all of your support of all of us on this site. Did you manage to get an update as to whom i should be contacting to get a copy of the letter so i can vote?
Many thanks
Sara (Debt Camel) says
November 2, 2018 at 3:24 pmI have an update – see my reply below to Matthew and Q.
Matthew says
October 29, 2018 at 1:00 pmI had a fee agreed with Wonga and the FOS and sent off my bank details on the day they went into administration. What does the news mean for me? Do I need to do anything? Thanks
Matthew says
October 29, 2018 at 1:33 pmJust to say, I didn’t receive a letter
Sara (Debt Camel) says
October 29, 2018 at 1:47 pmI have asked the administrators if all the emails have gone out yet.
You absolutely don’t have to do anything, as the article above says, if you don’t vote it won’t affect your complaint. But you should have been sent this letter.
Q says
October 30, 2018 at 10:24 amHi
I also had a refund agreed through an adjudicator. I received a confirmation email from wonga on 28/08 stating the funds would be in my account within 14 working days. However I have not received this letter/email from Grant Thornton. Is there any news on if they have all been sent?
Thanks
Sara (Debt Camel) says
October 30, 2018 at 10:33 amno news as yet.
Sara (Debt Camel) says
November 2, 2018 at 3:22 pmMatthew & Q
please email Wonga customer services at customercomplaints@wonga.com and put “Administrators Proposals” in the subject line. Say why you think you have an agreed award with wonga (you could attach an email that confirms that?).
Wonga customer services are now briefed to look out for these emails.
Mark says
October 30, 2018 at 12:13 amIt wasn’t an email I got it was an actual letter, I rang fos on fri and I rang them again today about the letter and they said ring back on Wednesday or Thursday they should know more, so I don’t have to do anything do I or send anything back? Thanks
Sara (Debt Camel) says
October 30, 2018 at 7:29 amI wonder why you had a letter… was it about your FOS complaint?
The one I am discussing in this article was about 55 pages long, a cover letter, then a Voting Form , then a Proof of Debt forms, then The Proosals with Appendices at the end. If that was what you received then you don’t have to do anything.
Philip collard says
November 14, 2018 at 5:28 pmI have had loads of wonga and never received a letter
Mark says
October 30, 2018 at 10:05 amI got the letter from grant Thornton saying to login and it showed exactly as you described with all the voting stuff and so on , thanks Sara
Mark says
October 30, 2018 at 5:50 pmAlso when I login to grant Thornton there’s a bit that says add bank details then a bit that says vote and another bit that says make a complaint, but I don’t know if I have to make a complaint again through that or what’s happening
Laura says
November 1, 2018 at 11:08 pmI recieved a physical letter too. I’ve logged on and read through the documents but I would like to know if I have to resubmit a complaint too.
My complaint has been with the FOS since November 2017. Literally the week before the company went into administration, Wonga were being awkward about paying loans 1-7 which I agreed to let slide. I just wanted to reach a settlement faster and I was willing to sacrifice £44 to hurry the process up. I have no idea how much my claim is for, I would ideally like loans 8 -52 to be considered. Do I just ring Wonga up and ask or should I email them?
I was originally offered £650 by Wonga for 8 loans.
Mark says
November 1, 2018 at 5:32 pmhere is what its showing me sara, https://imgur.com/a/046nxiJ
Sara (Debt Camel) says
November 1, 2018 at 6:16 pmok so the file called Joint Administrators Proposals will probably have this very long letter and the Voting Form and the proof of Debt form.
What do you get if you click on the bit which says Submit a Vote?
Laura says
November 1, 2018 at 11:14 pmIt says you have to lodge a claim prior to voting on a decision.