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  • FIRST POST
    • MSE Megan F
    • By MSE Megan F 27th Feb 18, 2:40 PM
    • 286Posts
    • 152Thanks
    MSE Megan F
    MSE News: Vanquis Bank to pay customers £169m
    • #1
    • 27th Feb 18, 2:40 PM
    MSE News: Vanquis Bank to pay customers £169m 27th Feb 18 at 2:40 PM
    Vanquis Bank is to pay 1.2 million customers about £169 million in compensation and a further fine of £1.9 million following an investigation into its credit card repayment add-on by the Financial Conduct Authority...
    Read the full story:
    'Vanquis Bank to pay customers almost £169 million in compensation'


    Click reply below to discuss. If you haven!!!8217;t already, join the forum to reply.
    Last edited by MSE Luke; 28-02-2018 at 11:44 AM.
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Page 1
    • Rachaelg88xx
    • By Rachaelg88xx 27th Feb 18, 3:04 PM
    • 4 Posts
    • 2 Thanks
    Rachaelg88xx
    • #2
    • 27th Feb 18, 3:04 PM
    • #2
    • 27th Feb 18, 3:04 PM
    I recently cancelled my repayment add on because i realised it was charging interest! really glad this has been investigated...after 4 years I am hoping to receive compensation!
    • Gary_Dexter
    • By Gary_Dexter 27th Feb 18, 4:00 PM
    • 1,156 Posts
    • 649 Thanks
    Gary_Dexter
    • #3
    • 27th Feb 18, 4:00 PM
    • #3
    • 27th Feb 18, 4:00 PM
    If used sensibly and your balance paid in full each month, then this wouldn't have happened
    • Rachaelg88xx
    • By Rachaelg88xx 27th Feb 18, 6:47 PM
    • 4 Posts
    • 2 Thanks
    Rachaelg88xx
    • #4
    • 27th Feb 18, 6:47 PM
    • #4
    • 27th Feb 18, 6:47 PM
    How rude!?
    I am responsible with my card and I do not have a large balance. I always pay more than the minimim but cant always afford to pay the balance off
    • John-K
    • By John-K 27th Feb 18, 9:14 PM
    • 654 Posts
    • 1,011 Thanks
    John-K
    • #5
    • 27th Feb 18, 9:14 PM
    • #5
    • 27th Feb 18, 9:14 PM
    I can see banks just withdrawing from large sections of the market soon. Offer a service at a level that makes a profit and you end up being fined. Offer something at !!!8220;normal!!!8221;rates and go bust as people default.

    So many sectors turn out to have never actually made mi eh. It looked rosy, but the risks were not being properly accounted for.

    It would not be a surprise if we see banks doing what landlords now do, and turning away benefit claiminats, anyone with even a late payment, and simply not offering mortgages to anyone who is not squeaky clean.
    • boo_star
    • By boo_star 27th Feb 18, 11:48 PM
    • 1,491 Posts
    • 838 Thanks
    boo_star
    • #6
    • 27th Feb 18, 11:48 PM
    • #6
    • 27th Feb 18, 11:48 PM
    I can see banks just withdrawing from large sections of the market soon. Offer a service at a level that makes a profit and you end up being fined. Offer something at !!!8220;normal!!!8221;rates and go bust as people default.

    So many sectors turn out to have never actually made mi eh. It looked rosy, but the risks were not being properly accounted for.

    It would not be a surprise if we see banks doing what landlords now do, and turning away benefit claiminats, anyone with even a late payment, and simply not offering mortgages to anyone who is not squeaky clean.
    Originally posted by John-K
    A tad overdramatic don't you think?

    There was nothing wrong with the service that Vanquis were providing, it was simply that they should have explained to customers that interest would be applied to the monthly fee. Based on the article it would appear that they're in the process of reintroducing it now that the investigation is over and the only thing they did wrong was failing to disclose the interest.

    As far as banks turning away people who are on benefits or who have late payments go, they can't do this for current accounts. They would at least have to offer these people a basic account (which aren't a whole lot different to normal current accounts.

    For mortgages and other lending? If it isn't profitable to lend to certain customers they won't, which is no different to the way it is today and has basically been forever.
    • poshlady40
    • By poshlady40 28th Feb 18, 10:38 AM
    • 1 Posts
    • 0 Thanks
    poshlady40
    • #7
    • 28th Feb 18, 10:38 AM
    How do you apply for refund
    • #7
    • 28th Feb 18, 10:38 AM
    Please could you let me know how you apply for refund i have had a card for a long time with this company
    • zx81
    • By zx81 28th Feb 18, 11:06 AM
    • 16,856 Posts
    • 17,875 Thanks
    zx81
    • #8
    • 28th Feb 18, 11:06 AM
    • #8
    • 28th Feb 18, 11:06 AM
    Vanquis will be in touch with you if you're impacted.
    • samcov72
    • By samcov72 28th Feb 18, 12:49 PM
    • 4 Posts
    • 0 Thanks
    samcov72
    • #9
    • 28th Feb 18, 12:49 PM
    Cancelled Policy
    • #9
    • 28th Feb 18, 12:49 PM
    I have had this cover on my card since I had it, I had no idea I was being charged interest until a few months ago when I cancelled the cover. I had a couple of payment holidays over the years so hope this doesn't stop me getting any compensation, I am sure they earned more from me in interest than my payment holidays cost!!
    • dazzaofdagenham
    • By dazzaofdagenham 28th Feb 18, 1:27 PM
    • 1,151 Posts
    • 386 Thanks
    dazzaofdagenham
    Iíve had a Vanquis card for about 6 years....I think in the first year I had this but as Iíve always kept a fairly low outstanding balance from month to month Iíve paid minimal interest.

    Would be interested in any refund....current balance is 25 pounds, s9 I hope this refund doesnít put me in credit.
    • Amy368
    • By Amy368 2nd Mar 18, 8:42 PM
    • 2 Posts
    • 0 Thanks
    Amy368
    Hi, I has a Vanquis card and definitely paid ROP. I ended up defaulting and the card is now paid off via a debt agency. Am I entitled to anything or should I just leave it? Thanks
    • nic_c
    • By nic_c 3rd Mar 18, 10:06 AM
    • 1,459 Posts
    • 799 Thanks
    nic_c
    Hi, I has a Vanquis card and definitely paid ROP. I ended up defaulting and the card is now paid off via a debt agency. Am I entitled to anything or should I just leave it? Thanks
    Originally posted by Amy368
    Probably, but you don't have to do anything initially. Vanquis are supposed to be writing to all concerned. I suppose it depends on if Vanquis have your current address though.If you changed address and then were tracked down by the DCA, maybe you could update your current address to vanquis as not sure the DCA will do that.
    • Amy368
    • By Amy368 3rd Mar 18, 7:05 PM
    • 2 Posts
    • 0 Thanks
    Amy368
    Hi, yes, I!!!8217;m living at another address now. I!!!8217;ve only recently moved, so neither Vanquis or the DCA have my current address. I!!!8217;ll drop the, a quick email/call. Thanks
    • Anthorn
    • By Anthorn 3rd Mar 18, 7:25 PM
    • 3,593 Posts
    • 926 Thanks
    Anthorn
    I won't get a refund because I never took up the insurance because I had the choice. It's for that reason that I wonder just how valid the ruling is and also why Provident / Vanquis has not appealed against it. I'm not in any way defending Vanquis. I just think it's a valid point.
    • SnowTiger
    • By SnowTiger 3rd Mar 18, 7:56 PM
    • 3,272 Posts
    • 2,239 Thanks
    SnowTiger
    I won't get a refund because I never took up the insurance because I had the choice. It's for that reason that I wonder just how valid the ruling is and also why Provident / Vanquis has not appealed against it. I'm not in any way defending Vanquis. I just think it's a valid point.
    Originally posted by Anthorn
    https://www.moneysavingexpert.com/news/cards/2018/02/vanquis-bank-to-pay-customers-more-than-168-million-in-compensation:

    Vanquis stopped selling the ROP in April 2016, but says it is now working with the FCA to begin selling it again.
    Vanquis wants to put the past behind it and begin signing customers up to ROP again.

    It was a huge money spinner for them.

    https://www.vanquis.co.uk/existing-customers/repayment-option-plan-refund:

    ...Vanquis has agreed to refund any interest relating to ROP together with 8% statutory interest to cover any period your account would otherwise have been in credit.
    That probably amounts to a small portion of the income Vanquis received from ROP. 1.2 million customers paying up to an extra £1.29 a month for every £100 they borrowed.

    From Vanquis' website:

    Full Plan Cost

    The cost is £1.29 plus interest per £100 (or 1.29% per month) of your monthly outstanding balance on your statement each month. So, as your balance changes the monthly cost will also change.
    Presumably punters pay 1.29% per month on their statement balance even if they pay it in full. 15% a year.

    It's not difficult to see why Vanquis is keen to sell ROP again.
    • charne
    • By charne 7th Mar 18, 11:26 AM
    • 1 Posts
    • 0 Thanks
    charne
    Deseased refund?
    Hi My dad was paying a massive amount of so called insurance every month and still they pilled it on when he died, How do I get this money back as his next of kin?
    Many thanks
    • zx81
    • By zx81 7th Mar 18, 11:45 AM
    • 16,856 Posts
    • 17,875 Thanks
    zx81
    The executor should contact them, to see if payment is owing.
    • SnowTiger
    • By SnowTiger 7th Mar 18, 1:10 PM
    • 3,272 Posts
    • 2,239 Thanks
    SnowTiger
    ROP wasn't insurance and refunds might not be as much as punters expect.

    Vanquis is not refunding ROP payments. It's refunding the interested it charged on them.

    £169m split between 1.2 customers is an average of £140 each. Obviously more for some; less for others.

    Few customers are likely to see thousands of pounds returned to them.
    • Wizardy18
    • By Wizardy18 24th Mar 18, 2:33 AM
    • 54 Posts
    • 20 Thanks
    Wizardy18
    No idea what Robby is going on about with his mum, given no one has exploited her or anyone else.

    Your mum had a choice Robby to use them or not, no one else's including Provident.

    *rolls eyes*
    • tillboy
    • By tillboy 29th Mar 18, 11:36 AM
    • 256 Posts
    • 127 Thanks
    tillboy
    Has anybody actually had any contact from Vanquis yet?

    I donít have a card anymore but did have ROP and a sizeable balance in my past darker days
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