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Amigo Loans Refund ?

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Amigo Loans Refund ?

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KingBCKingBC Forumite
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MoneySaving Newbie

The FOS had dealt with my complaint and agreed it was irresponsible lending so they agreed with the outcome being fair on the facts of that the loan amount borrowed was £7500 and the 25 payments I had made towards it was £7411 so they let me off kind of with £89 of the loan amount I had borrowed 

But my issue is my guarantor made a further 12 payments in the year running up to the complaint of £296.44 as it was agreed between myself and my guarantor for me to pay them as my work had changed and I was unable to change payment date on loan 

I have read elsewhere that where a loan complaint is upheld they should refund the guarantor payments back to them plus business interest 
In total 37 payments were made to the loan 25 being the borrower (myself) and then 12 by the guarantor all at £296.44 

Now my guarantor has had to complain to be refunded I was just asking if this is correct as it should of been offered the day my complaint (the borrower ) was upheld 

Replies

  • edited 12 February at 8:20PM
    sourcratessourcrates Forumite, Board Guide
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    edited 12 February at 8:20PM
    Hi,

    Your information is incorrect.
    You do not get a refund of capital, just the interest and any charges you may have paid, plus interest at 8%.
    You may in some circumstances have any remaining balance written off, but not always.
    You have had the benefit of the loan, so it’s only right you should repay it, however if once all interest and charges are deducted,  you have paid more than was initially borrowed, you should get a refund of the difference.
    That is the starting point the FOS take, it’s on their website, have a look.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    [email protected].
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
  • KingBCKingBC Forumite
    4 posts
    Name Dropper First Post
    MoneySaving Newbie
    But the interest would of been the over payment from the guarantor would it not ?the loan amount borrowed was £7500  As in total the amount paid was £10, 968 
    37 payments of £296.44 in total 
    25 x £296.44 made by myself which is £7411 
    12 x 296.44 made by guarantor which is £3557 
  • KingBCKingBC Forumite
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    Hi @jack71 , on debt camel it gives you a template how to complain including what you need to complain 
  • edited 17 February at 3:12PM
    sourcratessourcrates Forumite, Board Guide
    19.9K posts
    Tenth Anniversary 10,000 Posts Name Dropper Photogenic
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    edited 17 February at 3:12PM
    KingBC said:
    Hi @jack71 , on debt camel it gives you a template how to complain including what you need to complain 
    Best not to quote spam posts.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    [email protected].
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
  • PaulineBPaulineB Forumite
    11 posts
    Tenth Anniversary First Post
    MoneySaving Newbie
    My Grandson took out a loan I was guarantor, stupidly I didn’t read ALL of the Ts n Cs he has made 2x payments and now lost his job Amigo are pestering me now 
    what are my options I am prepared to pay off the loan out of my pension pot but not the interest any advice most welcome 
  • Willing2LearnWilling2Learn Forumite
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    Hi Pauline,

    Have a read of the following article from DebtCamel:
    https://debtcamel.co.uk/amigo-complaints-by-guarantor/


    Read in full as there may be a solution.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    :smiley:
  • KingBCKingBC Forumite
    4 posts
    Name Dropper First Post
    MoneySaving Newbie
    Have a look on debt camel @paulineB they have advice about how to complain and templates to forward onto the complaints team at amigo 
  • zx81zx81 Forumite
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    If you don't pay the interest, then you'll default on the loan the same as he has.

    You may as well default on the full sum if you're not prepared to pay the full amount and try to negotiate a settlement after a few months once your credit file is trashed.  However, be aware they will not give up on the money easily, as they're used to high risk borrowers.
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