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    • the Town and Country [advertisments ] Regulations 2007 are not easy to understand. Most Council planing officials don't so it's good that you found one who knows. Although he may not have been right if the rogues have not been "controlling" in the car park for that long. The time only starts when the ANPR signs go up, not how long the area has been used as a car park.   Sadly I have checked Highview out and they have been there since at least 2014 . I have looked at the BPA Code of Practice version 8 which covers 2023 and that states Re Consideration and Grace Periods 13.3 Where a parking location is one where a limited period of parking is permitted, or where drivers contract to park for a defined period and pay for that service in advance (Pay & Display), this would be considered as a parking event and a Grace Period of at least 10 minutes must be added to the end of a parking event before you issue a PCN. It then goes on to explain a bit more further down 13.5 You must tell us the specific consideration/grace period at a site if our compliance team or our agents ask what it is. 13.6 Neither a consideration period or a grace period are periods of free parking and there is no requirement for you to offer an additional allowance on top of a consideration or grace period. _________________________________________________________________________________________________________________So you have  now only overstayed 5 minutes maximum since BPA quote a minimum of 10 minutes. And it may be that the Riverside does have a longer period perhaps because of the size of the car park? So it becomes even more incumbent on you to remember where the extra 5 minutes could be.  Were you travelling as a family with children or a disabled person where getting them in and out of the car would take longer. Was there difficulty finding a space, or having to queue to get out of the car park . Or anything else that could account for another 5 minutes  without having to claim the difference between the ANPR times and the actual times.
    • Regarding a driver, that HAS paid for parking but input an incorrect Vehicle Registration Number.   This is an easy mistake to make, especially if a driver has access to more than one vehicle. First of all, upon receiving an NTK/PCN it is important to check that the Notice fully complies with PoFA 2012 Schedule 4 before deciding how to respond of course. The general advice is NOT to appeal to the Private Parking Company as, for example, you may identify yourself as driver and in certain circumstances that could harm your defence at a later stage. However, after following a recent thread on this subject, I have come to the conclusion that, in the case of inputting an incorrect Vehicle Registration Number, which is covered by “de minimis” it may actually HARM your defence at a later stage if you have not appealed to the PPC at the first appeal stage and explained that you DID pay for parking and CAN provide proof of parking, it was just that an incorrect VRN was input in error. Now, we all know that the BPA Code of Practice are guidelines from one bunch of charlatans for another bunch of charlatans to follow, but my thoughts are that there could be problems in court if a judge decides that a motorist has not followed these guidelines and has not made an appeal at the first appeal stage, therefore attempting to resolve the situation before it reaches court. From BPA Code of Practice: Section 17:  Keying Errors B) Major Keying Errors Examples of a major keying error could include: • Motorist entered their spouse’s car registration • Motorist entered something completely unrelated to their registration • Motorist made multiple keying errors (beyond one character being entered incorrectly) • Motorist has only entered a small part of their VRM, for example the first three digits In these instances we would expect that such errors are dealt with appropriately at the first appeal stage, especially if it can be proven that the motorist has paid for the parking event or that the motorist attempted to enter their VRM or were a legitimate user of the car park (eg a hospital patient or a patron of a restaurant). It is appreciated that in issuing a PCN in these instances, the operator will have incurred charges including but not limited to the DVLA fee and other processing costs therefore we believe that it is reasonable to seek to recover some of these costs by making a modest charge to the motorist of no more than £20 for a 14-day period from when the keying error was identified before reverting to the charge amount at the point of appeal. Now, we know that the "modest charge" is unenforceable in law, however, it would be up to the individual if they wanted to pay and make the problem go away or in fact if they wanted to contest the issue in court. If the motorist DOES appeal to the PPC explaining the error and the PPC rejects the appeal and the appeal fails, the motorist can use that in his favour at court.   Defence: "I entered the wrong VRN by mistake Judge, I explained this and I also submitted proof of payment for the relevant parking period in my appeal but the PPC wouldn't accept that"   If the motorist DOES NOT appeal to the PPC in the first instance the judge may well use that as a reason to dismiss the case in the claimant's favour because they may decide that they had the opportunity to resolve the matter at a much earlier stage in the proceedings. It is my humble opinion that a motorist, having paid and having proof of payment but entering the wrong VRN, should make an appeal at the first appeal stage in order to prevent problems at a later stage. In this instance, I think there is nothing to be gained by concealing the identity of the driver, especially if at a later stage, perhaps in court, it is said: “I (the driver) entered the wrong VRN.” Whether you agree or not, it is up to the individual to decide …. but worth thinking about. Any feedback, especially if you can prove to the contrary, gratefully received.
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Guarantor loans-be very careful


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Every now and again after spending a good few years reading many peoples stories on the consumer forums something about some peoples experiences give you a uneasy feeling in your stomach.

After the subprime chaos came the payday loan crisis that is still raging in many countries causing misery for millions of people.

 

These kinds of companies change and find new ways to extract money from their targets which is usually the hard working low paid in poor areas worldwide.

 

Call them Legal Loan Sharks,Lepers of Lending many of us have names for them.

 

Changing like Chameleons their products come and go hurting people, ripping extortionate rates of interest and charges which must mean money not being spent in local communities.Businesses must suffer in their target areas because the interest and charges paid to them is usually collected and shipped off to far flung destinations. Not spent locally.

 

Then seemingly after a few years the targets are forgotten the products and people who thought of them slip off elsewhere in the world or think of a new product their targets forgotten in the mist

 

Reading that Fathers,Sisters,Grandparents,Pensioners any relative you can think of has not spoken or fallen out with a family member for years due to these loans makes me sad as I suppose many of you feel the same.

 

Some will say that is business, the way the world works.

 

Some will feel stop the world I want to get off had enough of it all.

 

I have just been reading a article abroad trying to link increases in deaths in areas targeted by the predators and their products. and it seems to stack up.

 

If any of you have any stories or need help with these guarantor loans please write and tell us what has happened to you and how it has affected your family.

When you start reading about proper checks not being carried out it usually means a bubble is bulding and ready to explode usually in this direction.

Some guarantors and people who took them out must be in crisis or heading that way with implications for both.

I hope that many of us on here the wise ones that I call the site team and of course myself somehow can help you in some way,just love a challenge when the odds seem stacked against you give us a shout.

 

I feel these kind of loans have already been written about just thought I would try to get that feeling out of my head and put it down here.

 

Here is a small article that I have just read,there are many more

.

 

 

Guarantor lending 'as damaging' as payday loans, warns charity

 

http://www.bbc.co.uk/news/business-33555764

 

 

Just gathering some knowledge about these loans in 2013 50000 people took one out.Estimated.

How many now.

No cap in place but I believe the FCA is looking into this. Report due soon

 

Following the Bank of England announcement that an interest rate rise is due before the end of this year and government welfare and tax credit cuts due to start, concern is being raised over guarantor loans, which are not covered by the cap. More than 50,000 people a year now take out guarantor loans, which range between £1,000 to £7,500 and are repayable over periods between 12 months and as long as five years.

 

Pursued by debt collectors

However, there is evidence that proper checks are not always carried out over who is taking out guarantor loans and more than four in ten are unaware of the liabilities they take on. Family members or friends who guarantee the loans can suddenly find themselves legally pursued by debt collectors, even in cases where the borrower has died.

One of the biggest problems facing guarantors is that they are not regarded as ‘customers’ by regulators. This inevitably means that a guarantor will not be provided with the information a traditional borrower would receive and are not protected by normal rules governing the fair enforcement of debts. Citizens Advice is urgently calling on the FCA to take action to now reform how the guarantor loan system works.

 

So fair I would say to believe due to many people now having poor if not shattered credit ratings and other pressures that possibly family members or friends are coming under increasing pressure to be a guarantor.

Recipe for trouble for many. Everyone has a view what is yours.

And perhaps you have felt the pressure tell us your experience perhaps it worked out for you.

But with loans spread out and 1000- 7500 available plenty of time for things to go wrong.

Which personally I find they usually manage to.

 

Just read a report by Stella Creasy MP for Walthamstow.

Shocked to read this. Predators must be licking their lips you feel.

Unsecured personal debt has gone up by £48bn alone since March this year and that’s not by accident. George Osborne is balancing the books out of the pockets of ordinary people, expecting them to borrow to make up the difference between what they need to live and what they earn.

I am not making a political point but this MP does fight for people as many on here know.

Here is the article.

http://www.stellacreasy.org.uk/stella-sounds-alarm-for-generation-debt/

Edited by citizenB
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I have been warning about these guarantee loans for ages. We have already seen some issues where parents have stood guarantee for family and friendships have been destroyed.

 

These are NOT a good idea at all.

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Advice & opinions given by citizenb are personal, are not endorsed by Consumer Action Group or Bank Action Group, and are offered informally, without prejudice & without liability. Your decisions and actions are your own, and should you be in any doubt, you are advised to seek the opinion of a qualified professional.

PLEASE DO NOT ASK ME TO GIVE ADVICE BY PM - IF YOU PROVIDE A LINK TO YOUR THREAD THEN I WILL BE HAPPY TO OFFER ADVICE THERE:D

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tawny

how goes it?

i posted that info on yr sticky thread 'end legalised loan sharks'. it misses you, post up. :)

Hi Ford

I am still very interested in the payday loan problems around the world and reading many articles.

I will post on the thread when time allows.I should think when I do it will be rather large,ha.Something to relax people in the evening.Just had a little time away give people a break from my ramblings and thoughts.

Still reading the posts you and others are putting on.Glad things are ticking over.Keep it up.

For now I am going to get stuck into these guarantor loans and the companies that operate them.

Something of the night about it all.

Going to empty my head and see what is happening.Got that feeling you sometimes get when something is not quite right.

Quite a while since that happened.

I will put things down and hopefully perhaps challenge a few lenders which I have tried before but things usually go quiet perhaps not this time.We will see as time goes on.

I understand as citizenB has said that people have been worried and warning about these loans for some time.

When I see families many that have such close bonds which I suppose many of you understand torn apart it creates a feeling inside me I can not fully understand.

So I have to let these feelings out and try to understand things.

A outlet on here on the consumer forums.

So hopefully as time goes on things will become clear, let us get to grip with these companies and their targets

Just wrote this straight off so maybe many will class it as old Tawnyowl on his Saturday morning ramblings.

Maybe you are right but gives you something to read on this warm and dull day up North anyway.No doubt the sun is cracking the flags down South.

I wish you a pleasant weekend wherever you are.

This thread has only just begun and let's

get stuck in.

Cup of tea due I feel.

And please feel free to have a go,sorry re phrase that.Please feel free to agree or disagree it is a free country.And i am never offended having had many a friendly debate nationally and internationally.

Any lenders about feel free to have your say.Love to hear from you.

Something else I had to say now what was it let me think for a moment.

I remember now think being a guarantor will make your credit score when applying for a future mortgage or remortgage down the line shine, oops maybe not.

You as well as the person you guarantee could be up the creek without a paddle just as in the payday loan fiasco.

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Just letting anyone who reads this thread what I am doing.And a rough plan.

Been reading a lot of info on these guarantor loans and I do not like what I am reading.

It is becoming quite clear although they have been round for a while problems are escalating.

Maybe in one debt advice agency in the last 3 years perhaps 500 cases expecting 800 this year.That is only one agency.Maybe you think that is not many but when you take into consideration the possible size of the market which also is difficult to find out but will is substantial.

Tried to find default figures percentage wise but struggling.

Guarantor problems like pressure,speed of loans.Cooling off periods do they exist for guarantors.Some must be vulnerable.Many problems for guarantors seem to need addressing.

Just rooting around like a pig after a truffle that is all will be back later in the week when I will update.

Please feel free to have your say early days.Any experiences as a guarantor or borrower good or bad let us know.

Now where was I at, mmm interest rate upto 50% for a guaranteed loan,ok Dick Turpin wore a mask comes to mind.Friends family falling out over them.Possible shattered credit files a possible dca chasing,charging orders CCJs.Elderly guarantors, people sitting at home quaking possibly

Sorry thinking aloud.

Going to tend my 200 Christmas Cactus and 200 money trees I have grown why I do not know and make something out of a ton of driftwood I have collected.Or maybe some seaglass jewelry, or maybe go looking for ambergris on the beach.Decisons decisions. To my shed i will go and think about things.If you know a pensioner or anyone who is having a bad time and who would like a plant and can afford postage let me know I would be delighted to send them one.

Yes I suppose I am slightly eccentric in how I write but this is how I deal with things.

Please wherever you are enjoy the rest of the weekend and try not to worry to much about things someone will help you.

Bye for now Tawnyowl. I will be back.

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I am back a bit earlier than I thought I would be but not as early as I should be.

Was just in full flow writing away when computer closed down and decided to update itself.

And wiped away my words so will start again.

I have been using a mobile to write but the letters are so small but today I have a computer to use so intend to make the most of it.

I will now start.

Checklist-Electronic Cigarette. Coffee. Done.

A lot to put down but feel it is better to break it down over a few days.

Now where am I up to.Wrote a lot down but once on computer that went out of window.

Talking about the FCA first. Not everyone who comes on here knows who they are.

Many of us in these rooms on the Consumer Action Group have been around that long we watched them form.

Similar I feel to the CFPB in America. Anyway they are the Financial Conduct Authority who have plenty of clout when dodgy dealings are afoot. Or might be.

And have the power to act. Perhaps to some a little slow but like a wheel that slowly turns when it stops on your business practices time to listen carefully.

Here is their website if you want to root about a touch. See what they can do for you perhaps.

http://www.fca.org.uk/

 

 

For those that are really interested in facts and figures and are concerned about Guarantor Loans have a read of this.

I will over time be quoting of this and elsewhere as time goes on.

Do you think a problem is building or already out there.

 

https://www.citizensadvice.org.uk/Global/CitizensAdvice/Debt%20and%20Money%20Publications/AProblemShared.pdf

 

It would be interesting to see how many defaults there have been.

How do you find out such things.

 

Also a breakdown of age groups who guarantor these loans.

As some say a guarantor can be up to 75years old. Is this true.

Do you know anyone of this age who has guaranteed a loan.

 

How many guarantors have had to cough up year by year over the last say 5 years.

Silently I should imagine.

 

How many borrowers have defaulted. As it seems these loans are aimed at people with poor credit histories which there are millions.

 

More companies coming into the market. Does that tell us anything.

Usually means I would think target market is out there and growing fast. We have seen it before.

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How very odd - I have googled "guarantee loans" and am being provided with links mostly for Australian and New Zealand CABs and Money Advice centres !

 

I suspect that most of the information/ advice provided is pretty similar to that being handed out in the UK.

 

What I wasn't aware of, was that if the borrower has other loans/credit with the same bank - then the guarantor could be liable for those as well should the borrower default.

 

The following from the New Zealand Banking Ombudsman

 

https://www.bankomb.org.nz/news-and-publications/quick-guides/item/guaranteeing-somebody-else-s-lending

 

 

 

What is the extent of lending I am agreeing to guarantee?

 

Most guarantees are unlimited in amount and guarantee ‘all obligations’ of the borrower. This means the debt you guarantee may include lending that exists at the time the guarantee is provided, plus all of the borrower’s obligations to the bank on an on-going basis. This could include further lending, credit card debts and overdrafts. You can ask for your guarantee to be limited to a specified amount, but the bank does not have to agree to the guarantee being limited.

 

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5: Fair Treatment for Credit Card Holders and Borrowers - COBS

Advice & opinions given by citizenb are personal, are not endorsed by Consumer Action Group or Bank Action Group, and are offered informally, without prejudice & without liability. Your decisions and actions are your own, and should you be in any doubt, you are advised to seek the opinion of a qualified professional.

PLEASE DO NOT ASK ME TO GIVE ADVICE BY PM - IF YOU PROVIDE A LINK TO YOUR THREAD THEN I WILL BE HAPPY TO OFFER ADVICE THERE:D

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Hi Tawnyowl - nice to see you back again :) it's good that you have your teeth into something like this, I don't think any of us really know the extent of these loans.

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My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Hi Ford

I am still very interested in the payday loan problems around the world and reading many articles.

I will post on the thread when time allows.I should think when I do it will be rather large,ha.Something to relax people in the evening.Just had a little time away give people a break from my ramblings and thoughts.

Still reading the posts you and others are putting on.Glad things are ticking over.Keep it up.

For now I am going to get stuck into these guarantor loans and the companies that operate them.

..........

hi

slightly different also, i read an article recently re Guarantors re mortgages possibly damaging their own credit file re any poss remortgage/or loan for themselves as the guaranteed persons record may be taken into account inassessment.

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Well so nice to hear from people I class as online friends

Old Tawny has not learned to multi quote so will reply this way.

citizenB

I often end up in far flung places when looking or researching for facts,figures and ideas.Also how their Debt Help agency's deal with things.Find it interesting.

Also like to track Lepers Of Lending bosses who target these islands of ours Great Britain.Many from abroad who slipped in walked our streets,towns and cities looking for communities to target.When things tighten up they slip off and set up elsewhere.I have seen them set up and slip off within a year.Hard to keep up with and time consuming.

 

Ford.

Yes many peoples credit files must be suffering as a result of these guarantor loans.How many hard to find out but will.

 

 

Ell-enn

I will never forget the help and advice you gave me many years ago.What a mess I was in.To late for me perhaps I was so far down the debt slide into hell but gave me time, released some stress and was able to plan things before the end game.

My own fault completely.Having a company no matter how small or large you live by your decisions.Hard for anyone.

Anyway ended up Bankrupt,Repossessed, Company dissolved and walking down the road at 12pm one clear calm night with my dog and cockatiel in cage family already safe.

 

Attracted a journalist from the Daily Telegraph who took the train from Euston and we chatted for 4 hours.The story appeared to my surprise.May get in touch with him again about this or one of his colleagues, we shall see.A nice chap and friendly.

 

I now live a simple life and make a living out of articles I find on the beach and sell a few plants.Costs time that is all and see many things.Seals,Jellyfish, Porpoise,Dolphins sometimes, even found a message in a bottle.Horizon and environment changing all the time especially during stormy weather.And hear such strange and wonderful stories from people i meet.Peace after 40 odd years of graft and turmoil.

 

Back to business.

Head is full of facts,figures and articles hard to put them down without boring you but will try.

I feel this needs talking about and writing about and will.There may be a lot of misery,turmoil, worry,stress and anxiety out there.People suffering silently who knows.But we will find out.

No problem out there with possible problem areas such as

Responsibilities of Guarantors

Misconduct when selling

Affordability

Data Protection issues.

Enforcement, Debt Collection,Forbearance and negotiation all well and good.

If there is we will bite back and have our say.

Take care see you soon

Tawnyowl

Edited by citizenB
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Well so nice to hear from people I class as online friends

 

 

Thank you :) ^^^^^

 

Indeed, it is a terrible toll that debt takes on individuals and families it is a real shame that we cant reach more of them.

 

I would love to find a message in a bottle :) I sent one on it's way when I was in Akaroa, New Zealand. Am assuming it hasn't yet fetched up anywhere :)

Have we helped you ...?         Please Donate button to the Consumer Action Group

Uploading documents to CAG ** Instructions **

Looking for a draft letter? Use the CAG Library

Dealing with Customer Service Departments? - read the CAG Guide first

1: Making a PPI claim ? - Q & A's and spreadsheets for single premium policy - HERE

2: Take back control of your finances - Debt Diaries

3: Feel Bullied by Creditors or Debt Collectors? Read Here

4: Staying Calm About Debt  Read Here

5: Forum rules - These have been updated - Please Read

BCOBS

1: How can BCOBS protect you from your Banks unfair treatment

2: Does your Bank play fair - You can force your Bank to play Fair with you

3: Banking Conduct of Business Regulations - The Hidden Rules

4: BCOBS and Unfair Treatment - Common Examples of Banks Behaving Badly

5: Fair Treatment for Credit Card Holders and Borrowers - COBS

Advice & opinions given by citizenb are personal, are not endorsed by Consumer Action Group or Bank Action Group, and are offered informally, without prejudice & without liability. Your decisions and actions are your own, and should you be in any doubt, you are advised to seek the opinion of a qualified professional.

PLEASE DO NOT ASK ME TO GIVE ADVICE BY PM - IF YOU PROVIDE A LINK TO YOUR THREAD THEN I WILL BE HAPPY TO OFFER ADVICE THERE:D

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You never know citizenB

The one I found would not have lasted another tide.And the message inside well put it this way was not a treasure map but one of the saddest stories I have read.Strange how things surprise you and turn out to be Tales Of The Unexpected.I still have it,I do not know what to do with it.Such sadness I have seldom read.Not the romantic happy thing I was expecting as in novels or films.

Now what did I come back for.Yes I remember now.

Just been checking out Credit Unions and guarantor loans.Seems some do them.Let us compare for a moment.

One of the top guarantor lenders.

4000 pound for 36 months.

195 a month total repayable 7025.00

Interest rate variable 49% APR

So rough cost 3025

Brings tears to my eyes.

 

Credit Union Guarantor Loan

4000 over 36 months

134.00 month total repayable 4851.00

Rough cost 850.00

Rest my case for now.

And even they report that although hundreds of cases go without a hitch there are many cases where the good samaritan acting as guarantor has been left to pay off the loan taken on by someone else.

So if Credit Union guarantors have suffered what do you think guarantors maybe going through in the main market.

Worth thinking about that is all I am saying.We will find out as time goes on.

And while we are on about Credit Unions I have been rambling on for years now ever since reading a article somewhere, let us link them with the post office network, increasing footfall,members, and reach people who are within close proximity to one.

Why has this not happened.I cannot imagine who or what it could harm.Not half did the banks not try to destroy Credit Unions in America or was I dreaming.

Why is it things that would seemingly benefit so many people take so long.Am I wrong if so put me right.

Back soon with another instalment

Tawnyowl

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...

Ford.

Yes many peoples credit files must be suffering as a result of these guarantor loans.How many hard to find out but will.

 

l

 

one article re

http://www.mortgagestrategy.co.uk/news-and-features/sectors/regulation/regulation-news/borrowers-could-ruin-mortgage-chances-by-acting-as-guarantors/2022630.article

 

 

 

Borrowers could ruin mortgage chances by acting as guarantors

 

Borrowers risk damaging their chances of getting a mortgage by offering to act as a guarantor on small loans for friends or relatives.

 

Brokers are being urged to raise the issue with clients, as existing borrowers could even make themselves mortgage prisoners if they agree to guarantee a relative’s loan without understanding the impact on their own affordability.

 

Edited by citizenB
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Our local credit union has posted a warning about guarantor loans.

Help us to keep on helping

Please consider making a donation, however small, if you have benefited from advice on the forums

 

 

This site is run solely on donations

 

My advice is based on my opinion and experience only. It is not to be taken as legal advice - if you are unsure you should seek professional help.

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Nice that people are posting on this thread.So much money spent on advertising these guarantor loans.Millions.

So the market is there for sure and increasing.

They say that no publicity is bad publicity

but we can have our say.Warning about these loans.

 

Article I am going to post this weekend will mention the CFA, Citizens Advice,Credit Brokers,Loan Sharks,the FCA, Loan Guarantors, Data Protection,Borrowers and hopeful early pre emptive strikes against these companies before possible carnage builds for many.

 

Good grief someone may be saying you have lost the plot there is a demand that has to be met.Business old owl that is all

Fair enough we will never I suppose take that away.Ideal world we would.

But why as you look around are companies coming into this market, expanding spending millions to target people with poor credit.

 

One little fact I discovered today from one company is that 80% of guarantors are family members.It seems so hard at the moment to find out how big the market is how many defaults there are that guarantors are forking out for.Many other facts and figures also seem hard to find out.At the moment that is.We will.

 

I have a saying.

I dislike predators targeting people and communities of Great Britain,had enough of it.

We may not beat them but make things fair.I will not be taken in by massive budgets and slick advertising. I went the other day to town to the biggest shopping centre we have.At the entrance this chap smartly dressed after a bit of banter thrust a envelope in my hand.Took a look at the front of it.It was from a company who has just spent a lot of money setting up a guarantor loan company.He received it back quicker than he gave it me.Hard for me not to go into full lecture mode.I would probably still be there. Suppose he is just doing his job.

 

Next time I go in town I will wear my chain of garlic not worn since my last payday loan protest days to ward of these creatures of darkness.Can you believe it the busiest time of year the busiest precinct in town

 

I know I go on a bit and do not mean to offend or distress anyone at any time.Have your say,feel free.If you are reading this somewhere in the country or elsewhere I will put a link on soon so to can become a member of the Consumer Action Group and look around in the different rooms where many problems come in and many solutions are found.Friendly people may be able to help you, many having perhaps similar problems in the present or past themselves.

 

 

There you are, got any problems or want to have your say come on in and have a look around.

Orderly queue please plenty of room.Stop pushing i can see you at the back.

http://www.consumeractiongroup.co.uk/forum/register.php

See you soon Tawnyowl.

Edited by citizenB
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I do not know if anyone is following this thread but when I posted above I said,

Quote.

Article I am going to post this weekend will mention the CFA, Citizens Advice, Credit Brokers, Loan Sharks, the FCA, Loan Guarantors, Data Protection, Borrowers and hopeful early pre emptive strikes against these companies before possible carnage builds for many.

 

 

Unfortunately time has run out it is going to take longer perhaps mid week. Just thought I would mention this.

Like to plan things. Not rush and Bank holiday etc etc etc.

Excuses Excuses Excuses. Have I got away with it. Hope so there seems to be nobody around. Perhaps you are all chilling out.

Enjoy the rest, you deserve it.

Back soon.

 

 

Feel guilty not posting something so maybe this may interest someone.

Someone who because of circumstances changing decided to take the lending company on.

Back in 2012-Went to the Ombudsman and won. And was a Guarantor.

I feel better now

 

Consumer acting as guarantor for a loan complains of unfair treatment by loan provider

A self-employed landscape gardener, Mr M, complained to a loan provider that its persistent letters and phone calls were causing him 'considerable distress'.

 

The loan provider got in touch with him several years after he had agreed to act as guarantor for a loan taken out by his daughter. She had fallen seriously behind with her repayments after losing her job and the loan provider wrote to Mr M, telling him he was responsible for ensuring all future repayments were made in full.

 

Mr M wrote back to say that he would do what he could. However, as his own financial position had 'worsened very considerably' over the past year, he could not afford to pay as large an amount as the loan provider was demanding.

The loan provider never responded to this letter. But just over a week after Mr M had sent it, he began receiving standard letters from the loan provider - demanding payment. He ignored the first of these, assuming it was computer-generated and had been sent in error.

 

When he received another demand for payment a few weeks later he wrote to the loan provider again. This time he enclosed detailed statements of his income and expenditure. He asked if he could make payments at a reduced rate and explained that his business had been badly affected by the downturn in the economy, as well as by his inability to work at all for several months because of ill-health.

 

The loan provider failed to reply to this letter so Mr M made a number of attempts to make contact by phone in order to discuss his situation. He said that each time he rang he was simply told that someone would call him back the same day. However, this never happened.

 

Soon after this he began getting several phone calls a day from the loan provider, sometimes late at night. The staff who called him appeared to have no knowledge of his earlier correspondence - and no interest in discussing his circumstances. They simply demanded payment, in a way he said he found 'intimidating and upsetting'.

He then sent a letter of complaint to the loan provider's head office. The reply, sent some weeks later, failed to address any of the points he had made but asserted that the loan provider acted 'at all times in accordance with the law'.

Mr M then referred his complaint to us.

complaint upheld

 

We were satisfied from the evidence that Mr M was experiencing genuine financial difficulties and could not afford the full amount that the loan provider was seeking each month. He had, however, agreed to make regular payments and had asked the loan provider to discuss with him the minimum amount it would accept.

 

The loan provider could not give us any explanation when we asked it why it had never responded to this request. After looking at the loan provider's letters to Mr M, and at its own internal notes on the case, we concluded that it had deliberately ignored his letters and phone calls and had pursued him for payment in an unreasonable manner.

We upheld the complaint. We reminded the loan provider that it was required to treat consumers positively and sympathetically if they were in genuine financial difficulties. We said it could not ignore this obligation simply because Mr M was a guarantor for the loan, rather than the person who had originally taken it out.

 

We told the loan provider to reach agreement with Mr M on an affordable repayment plan that took proper account of his financial circumstances. We said the loan provider should also remove all the 'late payment' and other administration charges that it had applied to the account since it had first contacted Mr M about the debt. And we said it should also pay him £300 to reflect the distress and inconvenience it had caused him

 

 

Now I appreciate possible implications for Credit Files,but what choice did he have.

And maybe says to people if they treat you badly let them know and if they do not deal with you with Forbearance, so like that new word I use, let them have both barrels and escalate things, carefully of course.And if you can keep a paper trail and record telephone calls even better.For future reference that is all.

 

 

Well I guess that is it for me today folks. And thank you for your posts keep them coming.

See you soon . Autumn is coming one of my favourite times of year. Crispy leaves to run through. Storms, Mists rising above lakes, floating over fields and swirling down country lanes. Plenty of Driftwood about on the beaches . Forests and woods filled with amazing colours, Swallows ,Swifts going back to Africa for the Winter. Cuckoos back to the Congo, Senegal and other exotic locations. You can even track them by Satellite. Go on have a break from the seriousness watch them migrate and return.They even have names.

Life is not serious all the time, we have to have fun as well.

Whatever interests hobbies you have enjoy take a little time for yourself.

It is Bank Holiday after all.

Mmm better go or some may feel I am losing the plot. And tell me so

Be back soon

Tawnyowl.

 

 

 

 

 

 

 

 

 

 

.

Edited by tawnyowl
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We have had one cagger just recently post about amigo loans, TO, apparently the borrower was unable to make the full payment, so the Lender not only took money from the guarantor's bank account to make up the shortfall. But was also telephoning him at his work place.

 

I suspect over the next few months and into next year, we will hear many more such stories :(

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Hi to anyone reading this.

 

Old Tawnyowl here with a small Saturday morning post.

 

Now I said at the beginning of this thread that I would be quoting every now and again off the Citizens Advice work and research into Guarantor Loans.

 

I was thinking to myself wow that is so interesting, to us on here perhaps who like that kind of thing.

But many people just like a small read not some long PDF to look at.

 

 

After reading PDF and other material round and about I thought to myself do you know old owl your hairs are standing up, kind of feeling you get when something is not quite right.

 

So started this thread.

 

Another thought was how you tell this story without boring people to much and making them spend hours reading massive amounts of paste.

Which I wanted to avoid if possible.

 

I said a couple of posts back that I would be writing about this that and the other in my next post.

But realise now this would be too long winded. I will as time goes on mention those things such as Loan Sharks, CFA. just in case anyone wants to know who they are they are the Consumer Finance Association. Link here if you want to know more.

http://www.cfa-uk.co.uk/about/cfa-members.html

 

 

Then there is Data Protection and the rest. And there are other things to mention. things to say. But can wait for the moment.

 

Perhaps some of you now think this is to long winded now old owl get on with it. Saturday morning things to do.

 

 

As this is so we could keep going back to it in the future i wanted it on Page one. This could be a long thread so needed from the beginning to get info out that was really relevant as soon as possible.

 

Thank goodness I found a blog from a Citizens Advice policy researcher called Joe Lane who says what I was going to say so much better.

I will have to paste it there is no choice and mix it a bit with other facts and figures.

 

Guarantor loans are causing growing numbers of problems. Regulators need to step in to stop them becoming the next payday loans.

In 2014 Citizens Advice helped people with 29,000 problems caused by payday loans. That number is now starting to fall; the cap on lending and tighter regulation of payday lenders by the Financial Conduct Authority (FCA) looks like it is working.

 

The regulation of payday lending has been effective. It is now crucial that regulators do not allow new problems to replace ones they have controlled. Through early intervention, the FCA can avoid a game of regulatory whack-a-mole which simply moves harm from one market to another.

 

The whole blog with graphs etc.

 

Guarantor loans – the next payday lending?

https://blogs.citizensadvice.org.uk/blog/guarantor-loans-the-next-payday-lending/

 

Mixing it up a touch now but important ideas.

First of all the FCA recommendations for the Guarantor Market.

 

FCA proposed changes to the rules and guidance for providers of guarantor

loans

 

FCA Recommendations- Back in January I feel this was completed. But will check.

 

CONC 4.2.22R – to require the firm to provide an adequate pre-contractual

explanation to the guarantor, covering the circumstances in which the

guarantee or indemnity may be called on and the implications for the

guarantor if it is.

 

CONC 4.6.5R – to require the firm to provide an adequate pre-contractual

explanation to the guarantor before a continuous payment authority (CPA) is

granted. The terms of the CPA must be in plain and intelligible language.

 

CONC 5.2.5R – to require the firm to assess the potential for the guarantor’s

commitments in relation to the credit agreement to adversely affect the

guarantor’s financial situation. The firm must consider sufficient information to

enable it to make a reasonable assessment.

 

CONC 6.2.1AR – to require the firm to make a similar assessment before any

significant increase in the amount of credit under the credit agreement.

 

CONC 6.7.25AR – to extend to guarantors the requirements relating to

amendments to the terms of a CPA.

 

CONC 7.1.4R – to provide that a guarantor is to be treated as a customer for

the purposes of

 

CONC 7.3.4R (treating customers in default or arrears

difficulties with forbearance and due consideration), and other CONC 7 rules

on arrears, default and recovery, with the exception of provisions solely

applicable to a borrower.

 

CONC 7.6.15AG – to clarify that, where a guarantor has given a CPA in relation

to a HCSTC agreement, the limit of two unsuccessful attempts on use of the

CPA applies separately to the borrower and the guarantor.

 

23 FCA, (2015) ‘ Consumer credit - proposed changes to our rules and guidance’

 

However since then it seems the Citizens Advice has seen many more clients coming to them with problems with Guarantor Loans and feels like even more regulation is needed.To protect Guarantors and Borrowers.

And is suggesting their own additional rules guidance could help.

A kind of pre-emptive strike before perhaps things get out of hand.

 

Here they are.

Have to paste. The only way I feel.

 

However, there is a case for the FCA going further in order to reduce the detriment

caused by guarantor loans. In particular, we believe there is potential for stronger

protections in the following areas.

 

1. Ensure guarantors are aware of their responsibilities

 

Guarantor loans are a complex product and we have identified many instances in

which loan providers are failing to provide adequate information to guarantors.

The FCA are currently proposing to require that guarantor lenders ‘provide an

adequate pre-contractual explanation to the guarantor, covering the circumstances

in which the guarantee or indemnity may be called on and the implications for the

guarantor if it is’.

 

There is a case for strengthening this approach by requiring

lenders to provide guarantors and borrowers with a physical notice of agreement.

 

Recommendation 1:

 

The FCA should require lenders to provide guarantors and

borrowers with a physical notice of agreement within a cooling off period in

which they can withdraw from the agreement.

 

Consumer protection could also do more to ensure borrowers are aware at the

outset that their risk will be shared equally with a friend or a relative.

 

Recommendation 2:

 

All guarantor lenders should be required to include a

warning on their promotional material along the following lines: ‘Your guarantor

will be liable to pay the full cost of the loan if you are unable to meet your loan

repayments’

 

18 FCA, (2015) ‘Consumer credit - proposed changes to our rules and guidance’

 

19 CONC 4.6.5R (proposed)

 

20 A number of lenders currently offer a 14 day cooling off period with no requirement to send a notice

of agreement.

 

2. Financial abuse

 

To combat cases of duress, undue influence or the exploitation of vulnerable

individuals, lenders should be required to advise guarantors to seek independent

legal advice.

 

Recommendation 3:

 

Where there is a concern, or a presumption, of undue

influence, it should be a requirement that firms advise guarantors to seek

independent legal advice in line with requirements for mortgage securities.

 

3. Signposting to free debt advice

 

As with other consumer credit products aimed at high-risk consumers, guarantor

lenders should signpost free debt advice.

 

Recommendation 4 :

 

Providers of guarantor loans should be required to

signpost free independent debt advice to borrowers.

 

4. Enforcement

 

The FCA’s proposal that guarantors should be given the same protection as

borrowers in relation to default or arrears is sensible. But there is a case for

further protections to ensure that guarantors are treated as standalone individuals

and not simply as an extension of the borrower’s repayment process.

 

For example, when a guarantor is required to pay an instalment, they should not

be treated as a borrower already in arrears but as as a backstop, limiting the risk

taken on by the lender in unforeseen circumstances.

 

Recommendation 5:

 

When a guarantor is required to make a repayment for a

loan, firms should be required to provide guarantors with adequate notice of the

default and sufficient time to meet their liability.

 

Further issues are caused by borrowers not being treated in accordance with the

rules on default and recovery which a re currently required from lenders.22 This

includes actions such as allowing token payments while the consumer recovers

from an unexpected income shock.

 

 

21 CONC 7.1.4R (proposed)

22 CONC 7

 

Recommendation 6:

 

Guarantor firms should treat borrowers with forbearance

 

in cases where a borrower wants to avoid their guarantor becoming liable and

where their personal circumstances fit the relevant solution.

 

These steps would encourage lenders to see guarantors as a backstop rather than

a direct source of repayment, encouraging adequate affordability checks on

borrowers, reasonable efforts to secure repayment from the original borrower, and

fair treatment of guarantors in the enforcement process.

 

Bye for now,back soon, and thanks for the help citizenB. Much appreciated.

Tawnyowl

Edited by tawnyowl
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Tidied it up a bit for you TO..

 

I think it was inevitable that the Lenders would find some other way of bridging the gap when the FCA decided to look further into the PDL market. These guarantor loans appear to be it.

 

Unfortunately it will entrap a wider audience and in this instance cause a lot more grief.

Have we helped you ...?         Please Donate button to the Consumer Action Group

Uploading documents to CAG ** Instructions **

Looking for a draft letter? Use the CAG Library

Dealing with Customer Service Departments? - read the CAG Guide first

1: Making a PPI claim ? - Q & A's and spreadsheets for single premium policy - HERE

2: Take back control of your finances - Debt Diaries

3: Feel Bullied by Creditors or Debt Collectors? Read Here

4: Staying Calm About Debt  Read Here

5: Forum rules - These have been updated - Please Read

BCOBS

1: How can BCOBS protect you from your Banks unfair treatment

2: Does your Bank play fair - You can force your Bank to play Fair with you

3: Banking Conduct of Business Regulations - The Hidden Rules

4: BCOBS and Unfair Treatment - Common Examples of Banks Behaving Badly

5: Fair Treatment for Credit Card Holders and Borrowers - COBS

Advice & opinions given by citizenb are personal, are not endorsed by Consumer Action Group or Bank Action Group, and are offered informally, without prejudice & without liability. Your decisions and actions are your own, and should you be in any doubt, you are advised to seek the opinion of a qualified professional.

PLEASE DO NOT ASK ME TO GIVE ADVICE BY PM - IF YOU PROVIDE A LINK TO YOUR THREAD THEN I WILL BE HAPPY TO OFFER ADVICE THERE:D

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