Irresponsible lending complaint

rachelheels

Hi, back in 2012 I got car finance from money barn, a subprime lender.

they repossessed the car in 2013 when I ran into financial difficulty, I should never have taken out the finance, and made a complaint last month about irresponsible lending to get the interest back.

i carried on paying the arrears until approx 2016, it’s been paid in full since then.

tjey have rejected my complaint as it’s over 6 years.

the account was opened over 6 years ago but the final payment was within the last 6 years, so would that make a difference?

any help greatly appreciated, thanks

tacpot12

I don't think it should make a difference. A complaint about irresponsible lending is looking at the lender actions when they agreed the loan; did they ask the right questions and did they consider whether you had the resources to cope if you ran into financial difficulty.  

Karonher

they repossessed the car in 2013 when I ran into financial difficulty - it may be the way I am reading it but this sounds as if you were not in financial difficulty until the following year. Is that the case?

rachelheels

When I took out the finance I had just had a baby. I was on maternity leave, but my last payslip which I showed didn’t show this as I’d worked that month. The dealer knew I had just given birth and I am sure I’d told the finance company too. The difficulties were due to issues I had while on maternity pay, which technically I was already on when I took out the loan

Mickey666

rachelheels said:
. . . I should never have taken out the finance . . . 

Isn't this more a case a irresponsible borrowing?

rachelheels

Possibly but if you could get thousands of pounds back for writing some letters I’m pretty sure you would

madaboutspots

 

Possibly but if you could get thousands of pounds back for writing some letters I’m pretty sure you would

Wow. That's quite some response! ... Not all of us would, no. 

Subprime lender in 2012 and you think you were only in financial difficulty in 2013? 🤔

How about trying some personal responsibility for a change! 

Mind you - I bought a bunch of bananas in 1997 and one of them was bruised ... I knew it at the time but maybe I should claim. 🤣

rachelheels

I was already in difficulty, exacerbated by going onto maternity pay

[Deleted User]

rachelheels said:

Hi, back in 2012 I got car finance from money barn, a subprime lender.

they repossessed the car in 2013 when I ran into financial difficulty, I should never have taken out the finance, and made a complaint last month about irresponsible lending to get the interest back.

i carried on paying the arrears until approx 2016, it’s been paid in full since then.

tjey have rejected my complaint as it’s over 6 years.

the account was opened over 6 years ago but the final payment was within the last 6 years, so would that make a difference?

any help greatly appreciated, thanks

If Money Barn has rejected your complaint then the next step would be the ombudsman.  I'm not saying you'd get anywhere but it can't hurt to send a letter.

sharpe106

You showed them a payslip did you tell them that going on maternity would make any difference to it?

What do you think they did not do that they should have done?

Vikipollard

rachelheels said:

When I took out the finance I had just had a baby. I was on maternity leave, but my last payslip which I showed didn’t show this as I’d worked that month. The dealer knew I had just given birth and I am sure I’d told the finance company too. The difficulties were due to issues I had while on maternity pay, which technically I was already on when I took out the loan

Sorry, but this reads that you took out the loan knowing your pay was about to drop.  The evidence you provided to them for them to decide whether to lend the money did not reflect the lower salary, so you borrowed money knowing your salary would drop.  This is irresponsible borrowing.

Had you have remained on the same salary as your payslip/pre-maternity, was the loan affordable in today's parlance?  The dealer "knowing" you had just had a baby in no way guarantees you taking maternity leave.  Not everyone does.  Your post reads like jumping on the bandwagon of reclaiming following the decisions you freely made ("Possibly but if you could get thousands of pounds back for writing some letters I’m pretty sure you would").

You've paid it off.  Learn the lessons from irresponsible borrowing and move on.