Amigo Loan - death of Guarantor

Exodi

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

tonyenglish

Thrugelmir said:

What does the wording of the guarantee say? 

Apologies for the delay in responding - no idea what it says as we never saw the paperwork

tonyenglish

Exodi said:

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

Surely a responsible lender should credit check the people concerned.  That would have shown the extent of her other financial commitments.  Ultimately, a pensioner relying on the state pension is going to find a repayment of around £240 a month as unaffordable. 

[Deleted User]

tonyenglish said:

Exodi said:

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

Surely a responsible lender should credit check the people concerned.  That would have shown the extent of her other financial commitments.  Ultimately, a pensioner relying on the state pension is going to find a repayment of around £240 a month as unaffordable. 

People who have retired can have considerable income other than a state pension. Anyway, surely a responsible borrower would list all their commitments when applying for a loan? A credit check will only show what's recorded with a credit reference agency. Not all commitments will be recorded by the agency a loan company uses. How does a loan company check other bills, like rent? 

tonyenglish

camelot1971 said:

tonyenglish said:

Exodi said:

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

Surely a responsible lender should credit check the people concerned.  That would have shown the extent of her other financial commitments.  Ultimately, a pensioner relying on the state pension is going to find a repayment of around £240 a month as unaffordable. 

People who have retired can have considerable income other than a state pension. Anyway, surely a responsible borrower would list all their commitments when applying for a loan? A credit check will only show what's recorded with a credit reference agency. Not all commitments will be recorded by the agency a loan company uses. How does a loan company check other bills, like rent? 

Agreed, but her commitments were on credit cards and would have shown up on her credit file had they bothered to check.

John_

tonyenglish said:

camelot1971 said:

tonyenglish said:

Exodi said:

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

Surely a responsible lender should credit check the people concerned.  That would have shown the extent of her other financial commitments.  Ultimately, a pensioner relying on the state pension is going to find a repayment of around £240 a month as unaffordable. 

People who have retired can have considerable income other than a state pension. Anyway, surely a responsible borrower would list all their commitments when applying for a loan? A credit check will only show what's recorded with a credit reference agency. Not all commitments will be recorded by the agency a loan company uses. How does a loan company check other bills, like rent? 

Agreed, but her commitments were on credit cards and would have shown up on her credit file had they bothered to check.

But why do you feel that they had more responsibility than the borrower? 

Yahoo_Mail

tonyenglish said:

camelot1971 said:

tonyenglish said:

Exodi said:

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

Surely a responsible lender should credit check the people concerned.  That would have shown the extent of her other financial commitments.  Ultimately, a pensioner relying on the state pension is going to find a repayment of around £240 a month as unaffordable. 

People who have retired can have considerable income other than a state pension. Anyway, surely a responsible borrower would list all their commitments when applying for a loan? A credit check will only show what's recorded with a credit reference agency. Not all commitments will be recorded by the agency a loan company uses. How does a loan company check other bills, like rent? 

Agreed, but her commitments were on credit cards and would have shown up on her credit file had they bothered to check.

You've said nothing to indicate she wasn't meeting those commitments AND servicing the Amigo loan. In fact, it appears she was paying both.  Perhaps leaving her little left over for non-essential spending but still being serviced.  I appreciate you would rather she used her money to pay down her own debt, rather than someone else's, but it was ultimately her choice, as an adult, to take on the burden of being a guarantor.

Bear in mind that her income wouldn't show up on a credit check, so it's entirely possible that Amigo will come back with a form showing she (and possibly the person she was being a guarantor for) told some porkies about their income (and possibly expenditure) on the form.  Obviously, nothing can happen to your mother-in-law now, but my suspicion is there's going to be some, let's say "creative writing" on those application forms.

sourcrates

John_ said:

tonyenglish said:

camelot1971 said:

tonyenglish said:

Exodi said:

tonyenglish said:

Thrugelmir said:

What does the wording of the guarantee say? 

No idea. The complaint she raised was about it being missold. They obviously didn't do the affordability checks as her income was small and the other debts would have come to light. 

I would tread carefully with this one. Amigo not asking about her financial circumstances is one thing but it's extremely common on these forums that people get a bit... creative let's say... with their answers.

If it comes to light that your mother 'forgot' her other outgoings when asked about them then it immediately puts you on the back foot. I'm pretty sure I've heard that Amigo conducts phone interrogations with prospective guarantors (their whole business model is based on making sure the loan is affordable to the guarantor).

I personally think it'll end up that you have to settle this Amigo loan from the estate.

Surely a responsible lender should credit check the people concerned.  That would have shown the extent of her other financial commitments.  Ultimately, a pensioner relying on the state pension is going to find a repayment of around £240 a month as unaffordable. 

People who have retired can have considerable income other than a state pension. Anyway, surely a responsible borrower would list all their commitments when applying for a loan? A credit check will only show what's recorded with a credit reference agency. Not all commitments will be recorded by the agency a loan company uses. How does a loan company check other bills, like rent? 

Agreed, but her commitments were on credit cards and would have shown up on her credit file had they bothered to check.

But why do you feel that they had more responsibility than the borrower? 

Why do you feel they didn`t ?

Amigo have openly admitted in hundreds of cases, they did not do proper checks on guarentors, but allowed them to be one anyway.

They are the provider of these types of borrowing, therefore the onus is on them to follow due dilligence.

fatbelly

Debt camel explains it here

https://debtcamel.co.uk/amigo-complaints-by-guarantor/