Citizen's Advice believe that the majority of payday loans could be complained about; their in depth analysis of 665 payday loan cases, reported to its consumer service between 1 January and 30 June 2013, finds that at least 76% could have grounds for an official complaint to the Financial Ombudsman including:

 

1 in 5 were possible cases of fraud – where a person was chased for a loan they hadn’t taken out.

More than a third involved issues with continuous payment authorities including money that was not authorised to be taken.

12% involved harassment whereby lenders pester people with phone calls and text messages rather than accept affordable repayment offers.

1 in 10 were about lenders’ unfair treatment of people in financial difficulties.

 

Why you should complain to the FOS

 

Every creditor is allowed 25 free investigations by the FOS, all subsequent investigations will be charged at £550 each to the lender. You can read more about the way the FOS charges here: http://www.financial-ombudsman.org.uk/publications/technical_notes/QG1.pdf

 

Given that payday loans are generally given for small amounts, the charge made by the FOS is often very high by comparison - usually more than the actual loan amount. As such complaining could put a massive dent in a payday loan lender's profits. In addition, you may find that a lender agrees to write-off a loan as it could be financially cheaper than allowing a FOS investigation.

 

Get complaining, it makes a LOT of sense.

Complaints just been emailed off for 9 different PDL companies!

Didn't take long! Everyone should do it!

Did you list all nine in one complaint or separately ?

Year 2012-2013

Payday loans

Natalie Ceeney, chief financial ombudsman,

However, there was an 83pc increase in the number of complaints about payday lenders – from 296 cases to 542. Many complaints about payday firms involved them unexpectedly draining struggling borrowers’ accounts of cash. There were also complaints from customers who had never taken out a payday loan but were being chased for money. Some lenders made repeated attempts to withdraw money from their customer’s accounts and charged fees and interest every time.

I feel the F.O.S had better brace themselves.

Quote-Lottielox85

Complaints just been emailed off for 9 different PDL companies!

Didn't take long! Everyone should do it !

Remember what some have put you through.

It is the right thing to do.

And letting them know about the turmoil you have been through may change things.

And help others.

You could find you get a refund for an unauthorised payment or compensation for unfair treatment. "By making your voice heard you will expose the bad behaviour of lenders and put pressure on them to clean up their act which could help stop similar problems happening to other people."

The chances are also high that the ombudsman will uphold a payday loan complaint in the consumer's favour.

Of 160 complaints made to the ombudsman between April and June this year about payday loans, 72% were upheld.

Did you list all nine in one complaint or separately ?

Separately as I had different issues with each company. In fact only one of the ten companies we stupidly borrowed from have escaped complaint. They were piggy bank. Borrowed £400 from them, defaultd, they gave us their bank details next day and agreed immediately to our repayment plan. As they played ball, didnt add any fees or charges and were decent we have actually cleared that debt. All the others have had complaints made and I hope we cost them money cos none of our loans, plus interest have been worth £550 so would be judgement in them.

Lottie, would you please keep us updated with the way in which the FOS deals with these

The FOS are a bunch of jokers and wont do anything about PDL's -

The FOS are a bunch of jokers and wont do anything about PDL's -

Which is why they've upheld 4/5 of PDL complaints over the last year.

HI there,

I'm seriously thinking about doing this - is it best to use the template on the CAB website?

Also, it said about 5 days for them to acknowledge your complaint. Does this mean that if the companies don't write back in that time you have a case?

Sorry if I'm been a little stupid, I just need to get everything straight before I go up against these lot.

Thanks

Which is why they've upheld 4/5 of PDL complaints over the last year.

Then I guess I fall into the 1/5 that they couldn't be bothered with

Then I guess I fall into the 1/5 that they couldn't be bothered with

What was the outcome?

Was it a complaint that fell within the jurisdiction of the FOS?

Did you appeal the final decision?

The FOS are a bunch of jokers and wont do anything about PDL's -

Maybe this is the reason why they are doing something about it?

Then I guess I fall into the 1/5 that they couldn't be bothered with

Do you have a thread that will help us understand why your complaint was not upheld ?

Sadly some consumers simply give up at the first rejection - there is the right to escalate a complaint to the Ombudsman.

In some cases, consumers have been unable to articulate their problem sufficiently for the adjudicator to understand it.