Who Can Claim A Payday Loan Refund

Who Can Claim Loan Compensation?

If you can demonstrate that a high-cost loan was “unaffordable”, and that the lender did not conduct appropriate checks, then you can complain as you are likely to be eligible for a refund.

START A CLAIM

General signs that you may be entitled to loan compensation

Fees or charges not clear?

When you took out your loans were the charges and associated fees made absolutely clear to you?

Unable to pay bills?

Your payments for the loan were so large that you struggled to pay for your monthly essentials like bills or mortgage payments.

Rolling over loans?

You had to take out a further loan to pay the initial one back, supporting unaffordability.

Lenders taking automatic payments?

Automatic payments being taken from your account put you in difficulty to pay other essentials.

Encouraged to borrow further?

Lender's offers promoted regular use and the ability to get better deals the more you borrow.

Unfair lending

Despite clearly not being able to pay the first loan back, your lender continued to offer more through consolidation.

If any of the above statements apply to your experience, you could be eligible to complain and claim compensation. Millions of pounds have already been refunded to people just like you. Start your claim and get in touch with the experienced team who will guide you through the process.

You do not need to use a claims management company to make your complaint to your lender. If your complaint is not successful you can refer it to the Financial Ombudsman Service yourself for free.

Unaffordable Lending

The main reason for redress in the UK is unaffordable lending. Unaffordable lending means lending that the borrower could not reasonably afford at the time it was taken out. Lending money without checking affordability is known as irresponsible lending. If you were only able to repay your high-cost loans by juggling other loans or credit cards to get through the month, then your lender may not have made appropriate checks.

According to Chapter 5 of The Financial Conduct Authority Sourcebook:

“The firm must consider the customer’s ability to make repayments under the agreements without failing to make any other payment the customer has a contractual or statutory obligation to make, and​ without the repayments having a significant adverse impact on the customer’s financial situation."

If you are struggling with living costs then Citizens Advice give guidance on how you can manage your situation here.

Signs that your loan(s) may have been unaffordable include:

You frequently consolidated loans or borrowed shortly after repaying a loan

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Your loans from a single lender were regularly increasing in size

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You missed some repayments

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You made some repayments late

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The loan repayment was a substantial part of your disposable income

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You were using one form of debt to fund another.

FAQs

 

What Information Do I Need to Provide?
We just need is the name of your lender and your personal details including the address that you lived at when registering with them. Once we have these we can obtain details of any loans where a refund may be due.

How much do you charge?

We work on a no win no fee basis. We charge 36% (30% + VAT) on any successful claims of the total refund received from your lender. If you cancel our service without our agreement after 14 days and after we submit your claim you will be liable to pay our full success fee should your claim be successful.

How Do I Submit My Claim?

Simply complete our online application form by clicking on the "Start A Claim" button. This is the first stage of your complaint to the payday lender where you could receive compensation.