Irresponsible lending? If so, what do I do?

sacha28

Monkeyballs wrote: »

Possibly with the payday loans if you were borrowing the same or more each month continually for more than 12 months in a row, you'll need to make a complaint to the lender first explaining why you believe they were irresponsible and will likely have to take it further after their final reply - remember though that if you lied on your application then it's likely to be a lost cause.

As for the car, I doubt it. If they never gave you the finance deal then you'd have been without the car and as you've had use of it (and presumably still have it?) the FOS would likely not even consider your complaint.

My best advice personally is to chalk it up to experience, you'll not make your credit file any better anyway...

MB

Monkeyballs I'm interested in the quote in bold.......we've exchanged posts before and I found you speak sense....don't know if you remember but I ended up in huge trouble with wonga a while back and ended up getting a loan (plus top ups) every month for 18 months. I ended up taking a DRO as I just got in so deep. I know it was mainly my fault but do you think there is a case for irresponsible lending by wonga, given that quote?

Not after anything, haven't got time to pursue, just interested that's all

Thrugelmir

jdevaney89 wrote: »

my credit file has been destroyed by all this and will take years to get it back.

That's life. Get what back? The ability to obtain credit. Try living without it. Your money will go far further.

[Deleted User]

jdevaney89 wrote: »

Im wondering how they got it through even though they declined it at the start..

Move onto the next thread if youre not going to help.

there is no help...no doubt they eventually lent you the money at a very high APR?

dealer_wins

OP dont worry about your destroyed credit file, its the best thing that has happened to you financially.

As you have already realised loans are not so much fun when they have to be repaid, so why would you want to ever borrow again!!

And as for irresponsible lending, pull the other one lol

Monkeyballs

sacha28 wrote: »

Monkeyballs I'm interested in the quote in bold.......we've exchanged posts before and I found you speak sense....don't know if you remember but I ended up in huge trouble with wonga a while back and ended up getting a loan (plus top ups) every month for 18 months. I ended up taking a DRO as I just got in so deep. I know it was mainly my fault but do you think there is a case for irresponsible lending by wonga, given that quote?

Not after anything, haven't got time to pursue, just interested that's all

Hi Sacha,

Honestly, the name rings a bell but I've been on strong pain pills for the last 10 months and everything is a blur LOL

Putting the DRO to one side, I'd say potentially especially considering Wonga's media "presence" of late... You could argue that as a payday lender they should have been more instructive in their managing of your account and identified that while you could and did pay what you owed each month you had to borrow the same or more on or around the day it was paid back. You'd need to make an official complaint to Wonga and include as much specific information as possible and ultimately expect to have to go to the FOS who may just reject the complaint anyway... It seem to depend on the advisor as to how cooperative they are it's not an unreasonable complaint to make IMO due to the period of time and the charges incurred which can be argued as excessive; it's not a guaranteed refund though.

That said, you've gone for a DRO and I suspect a successful complaint would either A) require any refund to be made to the official receiver (potentially up to 6 years after the 12 months is up) or put your DRO at risk (if it is still in place) which you obviously don't want to have happen...

Personally, if I had a DRO then I'd let it go and write it up to experience never to be repeated again, the alternative is to run it past Step Change explaining what you are thinking and how it wil effect your DRO.

Good luck either way!

MB

foxgloves

I don't think this was irresponsible lending. I think much as it may stick in your craw, you need to chalk this one up to experience & really, REALLY make sure you've learned from it. The money you have coming in every month....that's your money, there isn't any more. It's a hard lesson & certainly one I've had to learn myself. The last 2 decades pre-crash have been an orgy of lending/borrowing/spending. The way for financial companies to increase the profits for their shareholders is to lend money to people who traditionally wouldn't have been able to afford it. If they'd forced loans/credit cards/huge overdrafts on customers, we'd have a leg to stand on with the miss-selling, but the reality of it was that we were all queueing up for it then rushing off to buy new cars, holidays, home improvements, etc. Payback time feels like rubbish.....but it comes to us all. I too was only wise after the event, so I say this not in judgement, but I am now a very VERY reformed girl!

meer53

The time to cry "irresponsible lending" was when they miraculously found you a loan after the first one was declined. Were you not suspicious ? Or were you just interested in the shiny new car they were going to give you after finding the loan ?

Definitely irresponsible borrowing.

sourcrates

Well I`m going to "swim against the tide here".
Until recently, lenders have been lending money to people, without doing affordability checks, it has not only been Wonga, many lenders are guilty of this.
We were granted a secured loan in the early 2000`s, I put down our combined income, we got the loan, it was only when I looked at my copy of the paperwork, after the loan had been finalised, that I noticed they had tripled my income, I am assuming in order to get it past the underwriters.
They did not require me to prove my income, at all.


Yes you should be responsible when borrowing, but also, lenders had a responsibility to conduct more affordability checks prior to lending, as is the case nowadays.

StrugglingYouth

The way I read it:

The lender did the affordability checks, they were not passed.

The borrower will have been told this, they managed to make the deal possible their end. Ethical or not, Il assume it was legal. (But I have no knowledge of the topic)

The borrower then took the deal despite knowing it wasn't affordable.

I dont believe they should have offered it to you, but you were more foolish to accept it.

Thats what it took for the lesson, for some its less, for some its more. The world will still spin and life goes on.

Jdevaney89_2

I don't understand people, if you were in this positon, would you not try get the debt wiped? I don't think anyone here would just roll over.

Not once have I said this isn't my fault. It is, fully.

The reason I want help is because my girlfriend and I want to move in together. She wants me debt free for this to happen, which I'm working on, one debt will be paid in full on Wednesday as I've saved up, the next will be done by Xmas. Which is her ultimatum to me. I want it paid faster. Or the debt quashing, so that's the reason for help, believe me. I'll never take any kind of finance again, not now I've grown up and realised how easy it is to save and how hard it is to get out of this sticky situation. I'm going to complain to the ombudsmen once carcraft have replied. But because it's worth a shot. Not because I believe I have a chance. All I wanted to know is if I had a chance so thank you to everyone who genuinely tried to understand my mess and tried to provide me with decent advice.

I'll be debt free soon. Finally. Maybe something good will come of my complaint which will help me move forward faster! But if not then fair doos, at least I've tried!