MSE News: Wonga busted by the FCA: 330,000 to have their loan wiped

bob_the_builder_3

enfield_freddy wrote: »

Tim Weller
Interim CEO, Wonga Group


heads will roll ,,,

Hope so. Their interest was just stupid.

enfield_freddy

but alas legal until 2014

bob_the_builder_3

With regards to my earlier post, any ideas?

GrinC

bob_the_builder wrote: »

Don't know if this was aimed at my post, but if I've already paid the loan back, does it mean a total refund of everything?

No - this wasn't aimed at you. Your loan hasn't been written off but interest and charges will be refunded. Your email says:


If you have already paid back your loan: The interest and fees of your loan will be automatically refunded by the end of October 2014. If you are experiencing financial difficulty, please call us and we will aim to have this refunded within 48 hours.

We are working with the relevant credit reference agencies to remove records relating to this loan from your credit report. We will make best endeavours to complete this in three to four weeks. This will be done automatically and there is no further action required from you.


Everything you need to know was in the email.

KennyCrypto

I have an old debt from 2012 is for around £1300, which magically jumped to around £2200 when it appeared on my credit file!

So what happens with old debts that were "legally assigned" to another party like Gothia? If I am right, Wonga are saying that it has nothing to do with them and people need to contact Gothia direct?

How can something that should never have existed be sold on? Should the DCA now be responsible for re-imbursing customers? Should Wonga buy the debt back and resolve?

I've got to admit, i'm completely confused, but it seems that this could open a right can of worms!

Monkeyballs

Hang on... So some people who have already repaid their loan will be getting their interest and charges refunded?

That sounds like a daft thing for Wonga to say since it could potentially apply to everyone who ever took out a loan prior to the FCA kicking their buttski?

Also, if anyone is making a repayment via a DMP who exactly will they repay the money since their customers will likely have changed banks and Wonga won't have their new details? I can't see them agreeing to take new bank details just over the phone or by email due to the potential security risks (not to mention the logistics of hundreds of thousands of people calling/emailing in a short space of time).

I'm assuming that anyone repaying via DMP would have the money repaid to their DMP so it can go to their other creditors or they would need to send cheques but would again take an age to reconfirm everyone's mailing address?

MB

mollymegan

Well its the morning after the night before and I do have mixed feelings about the whole thing.

I took out 3 loans with wonga last year the last and largest was £520 which I rolled over and that's where my problem began but I realised quite early on that I would be unable to pay so tried to come to an agreement with them to start a repayment agreement however as I couldn't make an initial payment of this plan for a further 3 weeks I was told that they couldn't set it up until I'd made that payment and they couldn't freeze interest so of course the loan grew. At the time I was annoyed at this but didn't think to make a fuss so grateful was I that they'd agreed to set up a plan so easily - seems pathetic now but at the time worry had me bogged down.

Anyway i should have made my last payment this month however as I had been finding it increasingly difficult to make the payments and had to rearrange dates etc (which they were very gd about tbh) the day before the big announcement i set up a new payment plan to pay for a further 4 months. That was due to start the 21st but I got a reminder via email that my payment was due on the 1st I then contacted them again as I thought it was an error on their part, for the first time the guy at the other end was quite harsh with me yet I was adamant it was an input error but he said they would send round a doorstep agent if I needed to rearrange the plan again.

The very next day the announcement was made and finally yesterday I received the email saying they were clearing my debt by now down to £220, the original loan long since paid back .

My mixed feelings- part of me wishes I could had finished paying it back fully, part wishes they'd done this earlier thus saving me money and lots of worry and sleepless nights. All this for a relatively piddling amount. For those of you who have had 1000's wiped clear the relief must be immense and I hope you had a good nights sleep and that one debt cleared helps make it easier to pay any other debts you may have.

ViolaLass

melhuish77 wrote: »

These people are evil blood sucking animals who prey on the weak.
4 years ago I was in a dark place and took one payday loan, then all off a sudden they were ringing offering me double what I borrowed because I had paid back on time. What sort of credit scoring is that.
This is wongas way of keeping there business alive when the new rules kick in and 95% of these horrible company's close down.
As I said I was in a horrible place when I went down the paydayloan road but its not one ill ever choose again.
Mark my words this is a tip of the iceberg this will become the new ppi scandal

It's good credit scoring - you had shown yourself to be trustworthy.

ViolaLass

throwoff wrote: »

I made a silly decision when I went there but times were hard and I had no other choice, thanks to the authorities for stepping in and people on this forum and elsewhere for making it such a public issue they had to act.

Out of interest, what would you have done if they had refused you?

mollymegan

The Guardian has an article about wonga this morning but am unable to post the link here