Mis-sold customers of payday loans won’t receive full compensation

Mis-sold customers of payday loans won’t receive full compensation

After the collapse of payday loan lenders Juo Loan and Wage Day Advance, as we have previously written earlier this year, it has now been revealed that customers who were mis-sold loans will now only be partly compensated. The company that owns the two businesses, CURO Transatlantic Limited (CTL) went into administration on 25th February and appointed KPMG as its administrator. How much compensation is owed? In terms of the amount that is owed to customers who were sold a payday loan which did not meet lending standards set out by the FCA, it is estimated to be around £223 […]

Read more »
Mortgage rates fall for those with bad credit

Mortgage rates fall for those with bad credit

Are you struggling with a bad credit score, and either have a mortgage or looking at getting one? We have some good news for you! It appears in new research that the average rate for credit-impaired borrowers with a mortgage has fallen. Mortgages for those with bad credit Those who damaged their credit score – for example, getting into a cycle of debt with not being able to keep up with repayments for things such as payday loans or guarantor loans – have been well-known to typically receive much higher interest rates – and as a result, higher overall repayments, […]

Read more »
Payday loan advert banned for encouraging Brexit fears

Payday loan advert banned for encouraging Brexit fears

This month, the payday loan short-term credit provider Peachy.co.uk most recent advertisement campaign has been banned by the Advertising Standards Authority (ASA). The reason behind this was that its advert was seemingly capitalising on consumers fears about the outcome of the Brexit referendum. What was in the advert? The email advertisement by Peachy.co.uk (which is part of Cash on Go Ltd) promoted short-term loans to people with the specific aim of those hoping to purchase stockpiling goods should the outcome of Brexit be a no-deal scenario. It featured in bold text 'IN CASE OF EMERGENCY PRESS HERE' whereby if you [...] Read more »
Wage Day Advance and Juo Loans collapse into administration

Wage Day Advance and Juo Loans collapse into administration

It has been recently revealed that at the end of February the company that owns payday lenders Wage Day Advance and Juo Loans, CURO Transatlantic Limited, has now gone into administration. This follows on from the huge collapse of UK payday lender Wonga, in August of last year. What has led to their collapse? The collapse of these payday lenders is similar to the reasons why Wonga ended up going bust in August 2018. Wage Day Advance had been processing thousands of compensation complaints, after being accused of having irresponsibly lent a staggering £18 million. This has been argued to have [...] Read more »
Wonga still damaging borrowers finances

Wonga still damaging borrowers finances

Despite Wonga going into administration in August last year, it is still gravely affecting the finances of 10,500 borrowers as a result of its collapse, according to  MPs in a recent Treasury Committee meeting. Thousands of customers who were the victim of mis-sold, eye-wateringly expensive payday loans could end up losing thousands of pounds in compensation as a consequence. But why is Wonga struggling to readdress the issues that have resulted due to its closure? We take a further look, and how this will affect its payday loan borrowers.   A surge in compensation claims One of the main factors […]

Read more »
Sharp increase in UK borrowers taking out payday loans

Sharp increase in UK borrowers taking out payday loans

In latest data provided by the Financial Conduct Authority, it has been revealed that there has been a sharp increase in the number of borrowers in the UK taking out payday and other kinds of short-term loans in the last year. It is estimated a staggering 5.4 million loans for people with bad credit were taken out in the year up to June 2018. Comparatively, this is a huge jump when taking account of the statistics for the year previously. The huge increase in payday loan borrowing In 2017, it was estimated that just 4.6 million was taken out for […]

Read more »
UK consumer borrowing at four-year low

UK consumer borrowing at four-year low

It has been revealed that the annual consumer borrowing growth rate has ground to a four-year halt, with annual consumer credit growth ending up slowing to 6.6% in December. The statistics, officially revealed by the Bank of England in late January, are in line with other forms of consumer credit growth that has been falling, as more and more households across the country reduce their levels of borrowing for things such as car finance, payday loans for bad credit, personal loans and credit cards. A reduction in Christmas spending. It also reflects a reduction in consumer spending during the festive period, […]

Read more »
What is personal finance paralysis?

What is personal finance paralysis?

Find it difficult to make a decision about whether to apply or cancel a credit card or personal loan, or perhaps hesitate on going ahead with that mortgage application or a payday loan for bad credit , or which lender to go with in the first place? Sound all too familiar to you? Well, you may well be experiencing the common phenomena of personal finance paralysis. What is personal finance paralysis? Personal finance paralysis is pretty much self-explanatory, but to be clear, it explicitly refers to a fear of making a wrong personal finance decision. Being scared of making a bad choice […]

Read more »

Why January is the worst month for people in debt

It is fair to say that most of us are aware that the last month of the year, December, ends up costing many of us a considerable amount of money. With so many costs to consider in the run-up to Christmas (as well as preparing for New Year’s too…): buying presents for loved ones, food for the multiple dinners and parties during the festive season, transport costs to see friends and family near and far, many of us end up struggling finance wise.  Taking this into account, why do experts still consider January to be the month that people struggle […]

Read more »
No-deal Brexit: what would happen to your savings?

No-deal Brexit: what would happen to your savings?

It has only been a few days since Theresa May received the biggest veto in democratic history regarding her withdrawal agreement for the UK to exit the European Union, meaning the UK government and opposition are going back to the drawing table for further discussions regarding Britain’s future, and whether or not Article 50 should be extended or not. At this moment in time, there are a number of potential outcomes, and this includes a no-deal Brexit, especially after the Brexit package was voted down. If this ends up taking place, what could that potentially mean for your savings? We […]

Read more »