Sk:n Liquidation Omni Capital Finance

NunHgN216

Hi

I signed up to a 6 month interest free agreement with Omni Capital Retail Finance for a block of 6 laser hair removal treatments through Sk:n Clinic Cambridge.

I have just found out that Sk:n have gone into liquidation and ceased trading. 

I have only had one treatment and still owe £500+ on the loan.  

I called Omni who advised me that as they have paid Sk:n in full, I need to continue paying my direct debit until the full payment is paid off otherwise they will pursue me for the money and cancelling any direct debits will severely affect my credit score. They also explained that as my loan is less than 12 months it is 'unregulated' so I don’t have any protection.  They sent me a link to the GOV website to apply as a 'creditor' to the Official Receiver to try and re-coup the money and that’s all they could tell
me.

I signed the finance agreement on 16th July and Sk:n went into liquidation on 17th July.  Had I have been informed of this sooner I could have been within my statutory 14 day cooling off period to cancel the agreement but I only found out yesterday that Sk:n went into Liquidation when I called Sk:n to confirm my next treatment!  A payment has already been taken in Aug when I wasn’t aware there was any issues.

Surely Sk:n/Omni have a duty of care to inform their customers that service has ceased and Sk:n shouldn't have let a customer sign up to a course of treatment the day before they go under knowing full well they weren't going to be able to provide the services.

Part of my contract says “the loan will only be advanced to the credit intermediary once the services described in the agreement have been supplied to you within 6 months of signing the agreement”. This is obviously not going to be the case and kind of sounds like they don't actually pay Sk:n in full until the treatment is complete i.e the last course of treatment.. despite telling me they have paid in full, and how does that wording stand when 6 months' have passed and I have still not received the treatment in full?

The next direct debit instalment is due tomorrow and I really don't know whether to cancel it or not.

So upset by the whole thing and don't know where to turn.  Any advice/help much appreciated.

Nasqueron

NunHgN216 said:

Hi

I signed up to a 6 month interest free agreement with Omni Capital Retail Finance for a block of 6 laser hair removal treatments through Sk:n Clinic Cambridge.

I have just found out that Sk:n have gone into liquidation and ceased trading. 

I have only had one treatment and still owe £500+ on the loan.  

I called Omni who advised me that as they have paid Sk:n in full, I need to continue paying my direct debit until the full payment is paid off otherwise they will pursue me for the money and cancelling any direct debits will severely affect my credit score. They also explained that as my loan is less than 12 months it is 'unregulated' so I don’t have any protection.  They sent me a link to the GOV website to apply as a 'creditor' to the Official Receiver to try and re-coup the money and that’s all they could tell
me.

I signed the finance agreement on 16th July and Sk:n went into liquidation on 17th July.  Had I have been informed of this sooner I could have been within my statutory 14 day cooling off period to cancel the agreement but I only found out yesterday that Sk:n went into Liquidation when I called Sk:n to confirm my next treatment!  A payment has already been taken in Aug when I wasn’t aware there was any issues.

Surely Sk:n/Omni have a duty of care to inform their customers that service has ceased and Sk:n shouldn't have let a customer sign up to a course of treatment the day before they go under knowing full well they weren't going to be able to provide the services.

Part of my contract says “the loan will only be advanced to the credit intermediary once the services described in the agreement have been supplied to you within 6 months of signing the agreement”. This is obviously not going to be the case and kind of sounds like they don't actually pay Sk:n in full until the treatment is complete i.e the last course of treatment.. despite telling me they have paid in full, and how does that wording stand when 6 months' have passed and I have still not received the treatment in full?

The next direct debit instalment is due tomorrow and I really don't know whether to cancel it or not.

So upset by the whole thing and don't know where to turn.  Any advice/help much appreciated.

Without giving away too much information to identify me (I don't work for SKN to be clear, just in the industry) - the cease trading was a shock to the staff as much as anyone - some people I know who work there were literally called in the morning and told to take their things and go home as the job no longer existed. While horrible timing for you, the staff at Cambridge almost certainly had no idea either.

I don't know what they did with clients but given the staff were all basically locked out and the company shut down, I don't know how much they could have done given the timing. Have you contacted the new owners to see if they could honour the deal given they have the money?

https://www.opticianonline.net/content/news/harley-medical-and-skn-group-acquired/

Also, the collapse was all over the news and socials on the 17th and on e.g.

https://www.bbc.co.uk/news/articles/c51yj723r3zo

https://x.com/BBCScotlandNews/status/1813864308419215860?mx=2

https://www.birminghammail.co.uk/news/midlands-news/birmingham-based-plastic-surgery-firm-29563982

ManyWays

They also explained that as my loan is less than 12 months it is 'unregulated' so I don’t have any protection.
That is correct, these 0% BNPL agreements are not FCA regulated and you cant take a complaint about them to the Financial Ombudsman.

Part of my contract says “the loan will only be advanced to the credit intermediary once the services described in the agreement have been supplied to you within 6 months of signing the agreement” 
It is possible the "services" may be defined as starting a course of treatment not completing the course. You could ask Omni to highlight the term in your contract that explains this. Im not hopeful you will succeed here but it isnt clear what else you can do.