Pay day loan company refusing refund

System

Thank you "sourcrates" for your detailed and supportive reply. In answer to a question. The majority of the loans were paid off early by way of a loan from family. This was to prevent bankruptcy and protect the mental health of the person.
I still feel its worth pursuing some kind of refund as this could potentially remove bad credit reports from missed payments during the midst of it and let them rebuild their life

Bermonia

If they were settled early then this will regrettably not support your friends complaint... whilst some people may not sympathise with the way some payday lenders work, the fact is that people applied for often small amount over small terms and were required in a hurry - as such lenders were required to do ‘proportionate checks’ in relation to the lending - if there was no obvious indication to the lender then they cannot be held liable - this will be even more likely if loans were taken after 2015 when payday lenders became regulated by FCA and there was a shake up in the industry (older loans were not so well managed)

sourcrates

Bermonia wrote: »

If they were settled early then this will regrettably not support your friends complaint... (older loans were not so well managed)

Well it will when they know the sourse of the settlement funds, if they are having to rob peter to pay paul, then it was clearly unafordable for them, the FOS will look into this, but OP you, or your freind, must make them aware of all the facts, make sure you include all relevant details in the complaint form.

System

Yes it was stated in the email that money was borrowed from family to repay the loans and as a result the person has years of debt ahead of them and its affecting their mental health. Lending stream are the company I feel kept allowing loan after loan which should have been a red flag of a desperate situation. I guess we just have to wait and see, about 14 companies have been contacted. From what I hear I'm not very hopeful but certainly worth a try.

[Deleted User]

nailgirl wrote: »

I still feel its worth pursuing some kind of refund as this could potentially remove bad credit reports from missed payments during b midst of it and let them rebuild their life

How does a fudged and cooked credit file help anyone? This is the part I never particularly understand from these complaints.

I went through a DRO after paying 90% back so can't buy the avoidance of bankruptcy - as the 6 years approached and as the firm who arranged my DRO said at the time the loan company alone who lent 34 times in the space of 3 years would go down were proved correct. I think it's the people now suffering as regulation has gone to far across many services you pay for.

Even being payday loan/short term free 2 years tomorrow and nearly 7 years on from a debt relief order/nearly 1 year since it dropped from my report, I couldn't imagine getting a new file and could agree with the solicitor in 2012 who defended one of the PDL's (also now gone) that taking more then one of these types of loan's was always never the good idea. In 2012 I was awarded £100 and it's always what has kept me grounded. I certainly wish I had now not used up my energy in 2011/2012 being cross with these types of lenders, it truly was a waste of energy as there is always going to be something else round the corner.

Maybe one day the law will be that the likes of DVLA will be able to fine past drivers who got away with speeding etc! :eek:

System

nailgirl wrote: »

I still feel its worth pursuing some kind of refund as this could potentially remove bad credit reports from missed payments during the midst of it and let them rebuild their life

Refunds won't remove credit report entries.

Ben8282

nailgirl wrote: »

The company said that they checked their credit score at the time of taking loan and it was OK so they don't owe anything.

I doubt it. Now what did they actually say?
I am curious about 3 things.
1. What would have happened to your friend if a loan had been refused?
2. Why did they not approach the family member for help earlier?
3. Why did the payday loans stop and how did the family member become involved?

System

OK I feel I'm being attacked here so I'll won't ask for anymore advice. The person I am helping is having serious mental health issues due to various personal matters I'm not prepared to share the details on that.
I made a mistake joining this forum, never experienced so many unsupportive people in a forum before. Thanks very much to the kind folk that have gave constructive advice unfortunately those people seem to be in the minority.

-taff

the debt free wannabe board would be more sympathetic to your friend. There's no requirement to hand hold on this board.

eschaton

nailgirl wrote: »

OK I feel I'm being attacked here so I'll won't ask for anymore advice. The person I am helping is having serious mental health issues due to various personal matters I'm not prepared to share the details on that.
I made a mistake joining this forum, never experienced so many unsupportive people in a forum before. Thanks very much to the kind folk that have gave constructive advice unfortunately those people seem to be in the minority.

You can’t expect other members just to post the answers that you want to hear.