I need some advice about provident.

I discovered a family member with mental health problems, who is under a psychiatrist and on anti psychotic medication has been having loans with this company.

Basically he had a few small loans. When a loan came close to being paid off he was given another, with the balance of the previous loan deducted from the cash he was given.

Two weeks after he was the victim of an armed robbery, and could not even be interviewed by the police without an appropriate adult being present, Prov gave him a £1000 loan. He asked them for it after he got a letter from them telling him he was eligible for a larger loan.

He gets £230 a fortnight and is paying them £70 a fortnight. he cannot afford these payments and is missing payments on his priority bills.

You can clearly see he has problems, so can I write to Prov and tell them that their actions in giving this loan were unacceptable, and that it is irresponsible lending on their part? Should he continue to pay this loan? Should I inform his psychiatrist because the worry is affecting him? they are due to call tomorrow for payment and he is stressed and worried sick about what will happen if he does not pay.

Does he have a community psychiatric nurse ?

No, he used to have one but refused to let her in (part of his illness and psychosis) he is under the hospital's mental health team.

Did provident know about his mental health issues when they gave him the loan(s) at all?

I do not know if he told them. But, it is impossible to sit with him and talk to him and not be aware there is a problem. Even the police saw this when they picked him up, and they classed him as a vulnerable adult. hence, he had to have me present before they could interview him about the attack on him.

Hi Gia,

Self employed agents have a mandate to lend up to a certain amount and, unfortunately, there is not a lot the company can do to stop them issuing so long as the loan is within the agents mandate. The company can do plenty about it AFTER the loan has been issued but this is a bad flaw in the way the agency agreement is worded. I'd be willing to bet that the agent hasn't even made the company aware of the situation!

Whilst the normal way to do things would be to get in touch with the HO you'll get a faster resolution talking directly to the branch for reasons I'd rather not explain here. Write to his local office, addressing the letter to the area manager; the complaint will still reach the right people but going through the branch will expediate the process. State that you will take the matter to the FOS should you not receive a satisfactory resolution. From personal experience I think the debt will be written off fairly rapidly after that.

Best

SP

Well I wrote to his local office told them of his problems and that the agent could not possibly have been unaware of this. I informed them I was reporting the matter to the OFT and the FOS if not resolved to my satisfaction, and that the account is in dispute and no payments will be made. They replied with a slip for him to sign that allows them to address all communication about the account to me; which has been signed and returned.

In the meantime a manager visited his home (my letter stated no home visits allowed, but at this point they had not received my letter. Cough.. Cough...) The manager appeared very nervous and said he does not have to pay if he does not want to, but if he wanted to pay something now or in the future they would not refuse. I told him its in dispute, subject to complaint and no payments will ever be made, and showed him the door. He receives the odd arrears letter which gets ignored. However, I am still awaiting a response to the complaint from them, if not received within 8 weeks its off to the authorities above.

Well I wrote to his local office told them of his problems and that the agent could not possibly have been unaware of this. I informed them I was reporting the matter to the OFT and the FOS if not resolved to my satisfaction, and that the account is in dispute and no payments will be made. They replied with a slip for him to sign that allows them to address all communication about the account to me; which has been signed and returned.

 

In the meantime a manager visited his home (my letter stated no home visits allowed, but at this point they had not received my letter. Cough.. Cough...) The manager appeared very nervous and said he does not have to pay if he does not want to, but if he wanted to pay something now or in the future they would not refuse. I told him its in dispute, subject to complaint and no payments will ever be made, and showed him the door. He receives the odd arrears letter which gets ignored. However, I am still awaiting a response to the complaint from them, if not received within 8 weeks its off to the authorities above.

Hello Gia,

I would suggest that you write to this nervous manager and insist that all that he said is put in writing, it has already been seen how provident conveniently forget, lose, and deny conversations and correspondence. (Don't ask Demand).

Gia, just to let you know - the OFT are no longer in existence. You would make your Complaints to - Financial Ombudsman and the Financial Conduct Authority.

Hello Gia,

 

 

I would suggest that you write to this nervous manager and insist that all that he said is put in writing, it has already been seen how provident conveniently forget, lose, and deny conversations and correspondence. (Don't ask Demand).

Excellent idea, I will do this today

Gia, just to let you know - the OFT are no longer in existence. You would make your Complaints to - Financial Ombudsman and the Financial Conduct Authority.

Yes, I keep forgetting I have the OFT firmly stuck in my mind lol.

he does not have to pay if he does not want to, but if he wanted to pay something now or in the future they would not refuse.

Perfect. Just sit on it now, this is a standard last-ditch line that is taught in the training when they're up the proverbial creek without a paddle.

SP