Wageday advance help.

pvt

They are VERY devious. By charging interest daily they are essentially charging interest on more than £500 most of the time.

My, admittedly rough, calculation is you have paid off less than £20 of the original loan at this point in time.

Robbing Hoods!

Good luck with the CAB

shortbread8

Thanks for your help guys. I can only hope they'll just drop some of the cost on a good will gesture as I am taking this to the ombudsman.

macman

The ombudsman cannot consider it until you have exhausted the lender's own complaint procedure. That requires a formal written complaint (forget phone or email), so you haven't even begun that process yet.

[Deleted User]

In regards to the FOS different rules now apply, on attending an open day in March 2015 I distinctly remember hearing people can now go straight to the Ombudsman Service, Why? because eg. payday loan borrowers shouldn't have to wait 8 weeks for a resolve with payments due out a lot quicker to the lender in most cases? somewhat odd granted but this was the reason/justification explained so perhaps it only applies to those that still owe lender money

Afraid I and nobody else asked about the now short term loans aspect, if viewed the same which I'd hope it is, in the q&a session about the FOS I attended, which I found rather interesting

Becka38940

To those referencing the 0.8 per day, this was only bought in on 2nd Jan this year so would not apply to OP's loan if they are 6 months in

Ecopac

Wageday Advance used to have a product called FlexAdvance which was an 18 month loan option, they've never offered loans over 6 months. They stopped it before the rate cap came into force.

This does sound like an horrific amount to pay back on a £500 loan though, even at the previous, higher interest rates. However, looking at the below it may sadly be accurate.

Here is the Representative Example they had on their website for FlexAdvance on the 18th December:

FlexAdvance Representative Example
Amount of credit: £150.00. Interest: £633.06
Express payment option: £15. Interest rate: 354% pa (fixed)
Total repayment: £783.06. 18 monthly payments of £43.51
Representative APR 2872.0%

[Deleted User]

How did this pan out OP?