advice needed please reg; loan dispute with provident

rainbowdash83

Hi there,
I'm new here so apologies if I'm posting this in the wrong place, if so I'd grateful if someone could point me in the right direction!

Basically looking for some advice for my brother in law- to cut a long story short he had several small loans ongoing with Provident Personal Credit. Over a year ago he lost his job and paid reduced weekly payments for a short while. Found a new job and the manager came out to sort out all the repayments back to normal.
Whilst doing so it was alleged that BIL had a separate loan amounting to £5000. He of course disputed that straight away and refused to pay it as he is adamant all loans he ever took out were all roughly £300-£500 each. The manager wasn't happy but agreed to provide proof that he signed for the loan and said it would take a few weeks.
A few months went by without the loan agreement ever being shown, they have told my BIL on several occasions that it must have gotten lost.

It is now showing on his credit report that he owes this money. He spoke to Provident about getting it removed and they said they cant as he hasn't paid it and they suggested that it might help his credit rating if he paid reduced payments to it while they got to the bottom of it and if indeed it was their error, any money paid would be returned to him full. My BIL stupidly agreed to this and has been making small payments weekly for several months now. Provident have yet to provide the credit agreement, they are now saying its on microfilm and they cant access it but are phoning him regularly requesting he begins paying the full weekly payments to the loan ASAP.

I found a sample CCA letter online and posted it off last week for him, today he received a letter back from them with no mention of the original credit agreement but instead enclosed a copy of the payment plan he signed when he agreed to make the reduced payments.

Is there anything he can do about this or has he gotten himself saddled with the debt when he began making the reduced payments??

Sorry about the long post and thanks in advance

dealer_wins

Did the BIL take out a £5K loan or not?

rainbowdash83

No he didn't.

longtermplanner

Tell him to stop making the small payments and send a written complaint (with COMPLAINT in bold at the top!) to
Customer Relations
Provident Personal Credit
1Godwin Street
Bradford
BD1 2SU

This should set out:
- he has never borrowed the money
- they can see from his history that he has a record of borrowing small amounts
- he disputed it in [Jan 2014] with [Fred Bloggs] and was told to make token payments whilst the records were found
- these payments do not mean that he agrees he took out the loan because he didn't
- he isn't going to make any more payments until the original record is found
- if this isn't resolved he will go to the Financial Ombudsman Service.

rainbowdash83

Thank you for your advice it's much appreciated.

michelleturner_2

All Loan companies need to be regulated, it is a joke how they con people

BillJones

michelleturner wrote: »

All Loan companies need to be regulated, it is a joke how they con people

You seem to be posting inane single-line comments in a fair few threads. Are you working on your post count to allow you to start posting spam?

27col

michelleturner wrote: »

All Loan companies need to be regulated, it is a joke how they con people

I thought that loan companies were already regulated.

DCFC79

michelleturner wrote: »

All Loan companies need to be regulated, it is a joke how they con people

Can also be turned onto the consumer/borrower to read things correctly