Update - following complaint to FOS have received the following letter from DHR Capital : "I am writing to respond to your complaint. As you will have seen from correspondence sent to your Freddy Khalastchi & Martin John Atkins of Harris Lipman were appointed joint administrators of Web Loans Processing on 28/11/13. Web Loans Processing were the owners of the loan you took out with Toothfairy Finance. Web Loans Processing (in administration) has assigned absolutely to DHR Capital Limited (Consumer Credit Licence No. 0653537), all its rights, title, interest and benefits in certain debts owed to Web Loans Processing Limited (in adminitsration). On 13th January 2014 you were sent correspondence explaining that DHR Capital had written off all charges and reduced interest on all loans such that the outstanding balance on loans would be no more than 2.5 times the amount borrowed. I apologise if you have not received our correspondence. I can confirm that you took out a £400 loan with Toothfairy Finance. We have reduced the amount you owe from £2700 to £1000 Taking into account payments made you now owe £846.14. Please get in touch with our collection agents DMR Connect on 02034764029 to discuss payment options. Depending on the speed with which you can repay the loan, we may be able to consider your loan settled for as little as £446.14.

They haven't offered a settlement in email they just sent a text

Update - spoke with FOS last week who are going to write to DHR Capital (originally Loads of Dosh). Had an email from Blackwater (collection agents for DHR Capital) yesterday who say they have now changed their name to DMR Connect. Had text today from DMR Connect saying they will close my toothfairy file if I pay the original amount borrowed (£400) by end February. Can do this by logging into toothfairy account and giving my bank details (not on your life!). Have logged in and says I owe £846? I do have bank account details for Blackwater but these are the same as the old Toothfairy bank details . They refuse to put anything in letter form will only text or email. I think I will wait to see if they respond to the FOS first.

Update - At the time Toothfairy went "bump" the last email from them stated that I now owed £2874 for an original loan of £400, despite making regular payments to them via Stepchange. I have today spoken with Blackwater (collection agents for DHR) who have emailed me stating that the loan had now been assigned to them. I asked for an up to date balance and they say that the outstanding debt is now £846???? However if I paid in full or set up a payment plan to clear within 6 months they could reduce this figure further.They gave me their bank details and yep they are the same as Toothfairy/Marshall Hoares. They also gave me my account reference no. which is also the same as the old Toothfairy reference. I asked if they could send a letter with all the details on so I could pass onto Stepchange but they said this is not normally their practice if Stepchange wanted to speak to their DMP Department they could. I have spoken to FOS today who are going write to DHR to find out what is going on and why the outstanding balance is so high. Incidentally Stepchange do not appear to have a problem paying Blackwater as they say they already deal with them.

Still not had anything in writing but have started to receive texts from Blackwater at 10.35pm tonight saying " please contact us urgently to discuss the outstanding loan you took out with Toothfairy we are able to offer a number of options to close this file". Any advice would be welcome.

Thanks for that have written to them today for a balance as they still have not provided me with any figures. Thought it might have been same people as before as you cant reach them by email (again) and they dont divulge any address. I did ring the number out of interest today and it has the same creepy music tone before they answer the phone as Marshall Hoares. They answer as Blackwell who claim to be DCA for DHR and they gave me an address which is a PO Box in Rotherham. On calculation based on 7.5% they have bought my debt for around £215. I have written to them today asking for an uptodate balance but Im not holding my breath for a written reply so we will see.

Thank you guys I have managed to find a postal address for both DHR and Blackwater UK (DC for DHR) and written to them asking them to send me details of the debt in writing. I will not be making any F&F until I have something legit on paper. I will post again if/when I receive a reply.

Thank you I think you are right I will hold off until they send something in writing

Thanks guys for your advice. Had no address details so done a bit of digging around. Apparently the phone number is for Blackwater UK (DC for DHR) have rung them for their address so I can write asking for proof that debt has been assigned to thema and details of the loan. Low and behold their address is a PO Box in Rotherham. Cant email them back as the email is a "no reply" email. Somethings is not quite right again here alarm bells are ringing! I willl write to them and keep you updated.

I received email last week as follows: Dear xxxxxx As you would have seen from our recent contact, the loan book containing the loan you took out with ToothFairy Finance was assigned to DHR Capital Limited. We have reviewed your account and have substantially reduced your outstanding balance by removing all collection fees and lowering your interest charges. You will not be asked to pay more than 2.5 times what you originally borrowed (this is equal to no more than 20 weeks interest). Any payments already made will count towards this maximum repayment amount. We are able to offer further reductions on the amount you owe if you are able to fully settle your outstanding balance within 6 months. If you have any questions, please contact our collection agents at 0203 476 4029. Yours sincerely, DHR Capital Limited Blackwater UK Limited (Consumer Credit Licence Number 633023) have been instructed as collection agents by DHR Capital Limited.

Yeh have already paid £160 to them through my DMP and it does say they will deduct any payments already made so was thinking of a silly offer any suggestions where to start? A bit curious why they are saying they will deduct any payments already made if they are a different company?

I originally took out a £400 loan with Toothfairy (silly me) found myself in financial difficulty and couldnt pay and went into DMP. Contacted them they refused to deal with Stepchange although regular payments have been made to them and accepted they continued to bombard me daily with the usual dribble from NDR and Marshall Hoares etc. and they say I now owe £2874. Then received email saying Marshall Hoares no longer accepting payments followed by an email from DHR Capital (see below). Im a bit dubious about this correspondence and really do not wish to speak to them on the phone. Cannot reply tos email as it doesnt allow you to. Im worried its the same idiots just a different name. Any suggestions would be appreciated. Email Received Dear xxxxxx As you would have seen from our recent contact, the loan book containing the loan you took out with ToothFairy Finance was assigned to DHR Capital Limited. We have reviewed your account and have substantially reduced your outstanding balance by removing all collection fees and lowering your interest charges. You will not be asked to pay more than 2.5 times what you originally borrowed (this is equal to no more than 20 weeks interest). Any payments already made will count towards this maximum repayment amount. We are able to offer further reductions on the amount you owe if you are able to fully settle your outstanding balance within 6 months. If you have any questions, please contact our collection agents at 0203 476 4029. Yours sincerely, DHR Capital Limited Blackwater UK Limited (Consumer Credit Licence Number 633023) have been instructed as collection agents by DHR Capital Limited.