Txtloans

[mightyroyals]

Thanks for the address is this also the address to send legal papers to, also may i take you name ?????

[adamski]

TXTLOAN CR

You cannot agree with someones personal experience????? so am I a liar then?? what a typical response from a short term lender.

 

Yet another patronising reply if you bothered to read all of what I wrote I did not mean TXT Loan in particular but all short term payday loan companies.

 

You sound like someone who you would phone up an say im having trouble can I pay you in installments please?

 

Your reply

 

" Short-term loans of this description are convenient for covering short-term cashflow problems and should not be seen as a solution to deeper financial issues".

 

The standard payday loan script response.

 

very helpful indeed short term cash flow problems = long term debt if you use these companies.

 

You do appear to reading from a script as you seem unable or unwilling to give us a meaningful response.

 

I really cannot see why you are here.

 

When I get back on my feet and are rid of pay day loans and the like I am going top start a campaign to make them much harder to obtain as they are far to easy for someone to get when they are desperate.

[d716ag]

Both you and the OFT are incorrect on this matter (and I suspect that the OFT did not check your calculations/guesstimate), the APR is ATLEAST 14000%, but if you would kindly show me how you reached the figure of 994% APR at least I can show you where you are going wrong. Instead of telling me **that** I am wrong, tell me **why** I am wrong? (I have already read the OFT document and it's method produces the same answer, because it is essentially the same.)

 

APR stands for 'Annual Percentage Rate' (see the OFT document), it is the interest that you would pay if you borrowed money from you at your weekly rate of interest with compounded interest for a whole year (as my calculations and the OFT document shows) - hence it is called '**Annual** Percentage Rate' [of interest].

 

I stand by my assertion that the ***APR is over 14000%*** and am waiting for you to provide real mathematical answers as to how you reached the APR of 994% or where my calculations are wrong or an apology and a promise to put up the correct APR on your advertising literature.

 

Can you explain how, for example, www. 1monthloan .co.uk charges 30% a month (i.e. £30 for a £100 loan) and has a (correct) APR of 2900%, yet you charge atleast £40 to borrow £100 for 4 weeks (1 month) yet your advertised APR is 994%? (PS - I am in no way affiliated to 1 month loan .co.uk)

 

Dear d716ag,

 

Unfortunately, calculating APR is a little less straightforward than the method you provided above. Our APR of 994% has been checked and approved by the Office of Fair Trading, which is obviously significantly less than the 14,100% you have suggested. If you want to gain a more accurate understanding of APR and how it is calculated, please refer to the Office of Fair Trading's guide on the subject, which can you find here:

 

http://www.oft.gov.uk/shared_oft/business_leaflets/consumer_credit/oft144.pdf

(Part II, page 9)

 

With regard to our repayment structure, it is true that interest continues to apply throughout, but that does not mean the outstanding balance will snowball until it reaches ridiculous levels (e.g. £14,100). Our repayment structure, less interest, is outlined below:

 

Day 8- we collect £110, however, if funds are not available;

Day 9- we send first overdue reminder including a £25 administrative and transaction fee, the loan totals £135;

Day 11- if the loan is not paid back in full, we send a second overdue reminder including a £25 administration and transaction fee, loan totals £160;

Day 16- if the loan is not paid back in full, we send a third reminder including a £20 administration and transaction fee, loan totals £180;

Day 23- if the loan is not paid back in full, we send a forth reminder including a £20 administration and transaction fee, loan totals £200;

Day 46- if the loan is not paid back in full, we refer the loan to our Collection Partner which incurs an additional £47 administrative charge and transaction fee.

 

The majority of our customers repay their loans on or before the 8th day.

 

Many regards,

 

TXTLoan Customer Relations

Edited February 3, 2010 by d716ag

[TXTLoan CR]

Thanks for the address is this also the address to send legal papers to, also may i take you name ?????

 

Dear mightyroyals,

 

My role is to address general customer concerns regarding TXTLoan and to provide help if possible, which is why I have put your complaint to management. Where specific issues relating to customer accounts are concerned, however, you ought to contact the Customer Services Team as a public forum is no place to exchange personal details.

 

You can send most forms of correspondence to the aforementioned address in the first instance.

 

Many regards,

 

TXTLoan Customer Relations

[mightyroyals]

Dear mightyroyals,

 

My role is to address general customer concerns regarding TXTLoan and to provide help if possible, which is why I have put your complaint to management. Where specific issues relating to customer accounts are concerned, however, you ought to contact the Customer Services Team as a public forum is no place to exchange personal details.

 

You can send most forms of correspondence to the aforementioned address in the first instance.

 

Many regards,

 

TXTLoan Customer Relations

 

But you told me to take names of people i spoke to from your company and i am talking to you so i am asking your name you can private message me this then it will be off the public forum, Or is it you are not permitted by txtloans to be here???

 

The plot thickens

[TXTLoan CR]

You cannot agree with someones personal experience????? so am I a liar then?? what a typical response from a short term lender.

 

Dear adamski,

 

I have no reason to agree or disagree with your personal experience as this is entirely subjective to you. My comment stated that I cannot agree with your definition of facts as you refer to them because you draw inferences from past experiences and label these as factual. For example, you wrote:

 

more toxic than cigarette smoke, people only turn to you because money is tight at the moment and they are desperate this is a fact as I have had personal experience of pay day / short term loans

 

Disregarding the comment regarding cigarette smoke, many of our customers use TXTLoan because we offer a convenient service - not necessarily because they are desperate. Whether desperation was the reason you used so-called payday loans in the past does not make it a fact that can be applied to all of our customers.

 

if you bothered to read all of what I wrote I did not mean TXT Loan in particular but all short term payday loan companies

 

It would be unnecessary and inappropriate for me to comment on any other lender besides TXTLoan, so I could not be drawn on the subject.

 

Many regards,

 

TXTLoan Customer Relations

[TXTLoan CR]

But you told me to take names of people i spoke to from your company and i am talking to you so i am asking your name you can private message me this then it will be off the public forum, Or is it you are not permitted by txtloans to be here???

 

The plot thickens

 

Dear mightyroyals,

 

No thickening of the plot, I'm afraid. As mentioned above, my role is to help and advise in regard to general TXTLoan issues. Specific enquiries relating to a customer account should be addressed to the Customer Services Team. Whenever you call the Customer Services Team, you should note down the name of any person you speak to for your own reference and benefit; however, this excludes my name as it is of no relevance to your complaint.

 

Many regards,

 

TXTLoan Customer Relations

[mightyroyals]

Dear mightyroyals,

 

No thickening of the plot, I'm afraid. As mentioned above, my role is to help and advise in regard to general TXTLoan issues. Specific enquiries relating to a customer account should be addressed to the Customer Services Team. Whenever you call the Customer Services Team, you should note down the name of any person you speak to for your own reference and benefit; however, this excludes my name as it is of no relevance to your complaint.

 

Many regards,

 

TXTLoan Customer Relations

 

It would help if your customer service team could understand us and we could understand them my Estonian lingo is not great at all

[adamski]

Disregarding the comment regarding cigarette smoke, many of our customers use TXTLoan because we offer a convenient service - not necessarily because they are desperate. Whether desperation was the reason you used so-called payday loans in the past does not make it a fact that can be applied to all of our customers.

 

That makes no sense at all sorry, but if you need to use your service you have no money zero. zilch nothing, so to describe your service as convienence is total nonsense and you know it

[kiptower]

oh dear yet another TROLL

[adamski]

Dark Lord

SIGH..................................

Now I know why I don't use this forum much anymore

[TXTLoan CR]

Dear mightyroyals,

 

Having forwarded your comments on to TXTLoan management, I have received a couple of responses that may be of interest to you.

 

First, TXTLoan would like to make it clear that notice by e-mail is always provided to customers before details of an unpaid balance is passed to a debt collection partner, at which point the £47 charge is added to the outstanding sum. If notice by e-mail has not been sent to a customer, the most obvious reason would be technical error. In order to establish whether any such error occurred in your case, it is necessary for you to contact TXTLoan with your relevant account details. You can do this by sending us an e-mail to [email protected].

 

In regard to the original issue concerning lost or stolen debit cards, I have been advised that, as a relatively young company, TXTLoan has been evaluating its processes in order to identify potential areas of improvement. One such area is that of payment methods, which are obviously limited at the moment. Although TXTLoan has softened its position on customers whose debit cards have been lost or stolen, it is important that credit agreements are honoured. Nevertheless, alternative payment methods and solutions are currently under consideration in order to provide a more effective service to customers. As with all customer enquiries that deal with private account information, it is advisable that you discuss this complaint in more detail by sending us an e-mail to [email protected].

 

Finally, I would suggest that you include the url of this forum discussion (or any individual post therein) in any e-mail you send to us in relation to the aforementioned issues.

 

Many regards,

 

TXTLoan Customer Relations

[ric_pendle]

Dear txtloan,

 

I am in favour of banning payday loans, and agree with the general notion that you are tempting people who can't get an overdraft with there bank with expensive credit that you havn't really means tested their ability to repay.

 

Would you be will to prove that your buisness model isn't this by providing a rough % of how many loans default, out of the loans that default how many get to day 46? It would also be interesting to know how many % wise of customers borrow week after week?

 

I know that this could be sensative information but I'm asking for % not how much capital you lend.

 

Thank you

[antony20smith]

this is some F**king great ****!! payday loan company dealing with customers on a public forum F**king greatttt theyll do anyhting these types of people - txtloan get a grip of yaself, do you really love your job this much? are you happy in your job, being used as a robot , keep repeating s**t and not saying anything outside of the box.....stick to your f**king phone, these forums arnt for creditors to feed customers a pile of s**t wouldnt mind if you were here to help but ur just being a tw@t feeding s**t all your doing is typing some s**t you reading off your little script next to your keyboard ! i dont have a debt with yourselves, never dealt with yas, so this isnt because of personal experience, i just fink you need to go away remove yaself from the forum, because you cant do anything to help anyone here, your as bout as helpful as my dead nan!

[antony20smith]

definatley in favour of banning payday loans, they just get you into bother, i had £3400 in paydays now i owe it all to the bank plus charges, dont go there people,. i started with £100

[TXTLoan CR]

Dear txtloan,

 

I am in favour of banning payday loans, and agree with the general notion that you are tempting people who can't get an overdraft with there bank with expensive credit that you havn't really means tested their ability to repay.

 

Would you be will to prove that your buisness model isn't this by providing a rough % of how many loans default, out of the loans that default how many get to day 46? It would also be interesting to know how many % wise of customers borrow week after week?

 

I know that this could be sensative information but I'm asking for % not how much capital you lend.

 

Thank you

 

Dear ric_pendle,

 

The argument that so-called payday loan providers ought to be banned because they offer credit to those who need it but cannot obtain it elsewhere is somewhat self-defeating. What would such customers do without any available credit? If desperation is the driving incentive to take out a high interest short-term loan, then zero availability of credit is unlikely to remedy the situation.

 

Also, you mention that you agree with the general notion that payday loan providers do not adequately means test their customers' ability to repay. In this respect, I can only comment on TXTLoan's application procedures and not those of any other credit provider, so whether the point is true in a general sense is not something that I can shed light on. Nevertheless, in regard to TXTLoan, we reject approximately 85 per cent of all applicants after credit scoring, which demonstrates our commitment to responsible lending.

 

On the second issue, I do not have the information to hand but can make a request for it. However, due to the sensitive nature of the data, I cannot guarantee that it would be made available on a public forum.

 

Many regards,

 

TXTLoan Customer Relations

[adamski]

Dear ric_pendle,

 

The argument that so-called payday loan providers ought to be banned because they offer credit to those who need it but cannot obtain it elsewhere is somewhat self-defeating. What would such customers do without any available credit? If desperation is the driving incentive to take out a high interest short-term loan, then zero availability of credit is unlikely to remedy the situation.

 

Also, you mention that you agree with the general notion that payday loan providers do not adequately means test their customers' ability to repay. In this respect, I can only comment on TXTLoan's application procedures and not those of any other credit provider, so whether the point is true in a general sense is not something that I can shed light on. Nevertheless, in regard to TXTLoan, we reject approximately 85 per cent of all applicants after credit scoring, which demonstrates our commitment to responsible lending.

 

On the second issue, I do not have the information to hand but can make a request for it. However, due to the sensitive nature of the data, I cannot guarantee that it would be made available on a public forum.

 

Many regards,

 

TXTLoan Customer Relations

 

How low does your credit score have to be to be rejected?

most people who use your "service" would have a very very low score if not as low as low can be in these matters, im not convinced by what you say in fact I know its simply not true.

[adamski]

from your website

As a part of our decision making process, TxtLoan uses comprehensive credit checking systems to make a decision. If you have been declared bankrupt or have been subject of debt collection within the last 18 months your application will be denied. Other than that we will most likely approve your application.

 

I know someone who applied for a loan with yoursleves and had been the subject of intensive debt collection in the last 18 months and was still approved

[TXTLoan CR]

Dear adamski,

 

Once again we appear to be in disagreement over what constitutes a fact. If you are convinced that most of our customers have a credit score that is "as low as low can be" - and you know for a fact that my previous comment on the subject was somehow false - why do you need to ask how low a credit score must be for it to be rejected by us? Surely this is information you already possess in order to construct what you believe to be a fact?

 

In response to your second comment regarding the unnamed person who took out a loan with ourselves, I should note that a history of negative credit activity does not necessarily result in a credit score that is "as low as low can be". In fact, it is often the case that a person who has a chequered but active credit history is scored higher than somebody who has no history at all, so your example does not really satisfy the point you have attempted to make.

 

We are a relatively young company, so our systems and procedures are constantly under review. In regard to our application process, the fact remains that around 85 per cent of applicants are rejected. Although this figure will no doubt change (for better or worse) as our company grows older, it is one that supports our commitment to responsible lending.

 

Many regards,

 

TXTLoan Customer Relations

[adamski]

what a joke your response is nothing short of yet again being patronising, you have not anwsered the question yet again, you should take up a career in politics.

 

The FACT is that you leant money to someone who had intensive debt collection activity within 18 months yet you still accepted them even though your web site states otherwise, how is that responsible lending?.

 

Anwsers on a postcard!

[TXTLoan CR]

what a joke your response is nothing short of yet again being patronising, you have not anwsered the question yet again, you should take up a career in politics.

 

The FACT is that you leant money to someone who had intensive debt collection activity within 18 months yet you still accepted them even though your web site states otherwise, how is that responsible lending?.

 

Anwsers on a postcard!

 

Dear adamski,

 

You will find that I answered your question. In post #44 you stated that you knew of a person who claimed to have been accepted by us despite being the subject of intensive debt collection activity within the past 18 months. This is not a question. In post #43 you asked how low a credit score had to be for us to reject it, which I answered by reiterating the overriding point that we credit score all applicants, the majority of whom are declined.

 

In respect to your latest question, which asks how accepting an applicant who had been the subject of intensive debt collection activity within the past 18 months could be considered responsible lending, I must point out that I have no details of the unnamed applicant as to be able to make an informed reply. Presumably you have all the necessary information relating to the applicant's credit score, debt history and TXTLoan application in order to support your 'fact'?

 

Many regards,

 

TXTLoan Customer Relations

[adamski]

In respect to your latest question, which asks how accepting an applicant who had been the subject of intensive debt collection activity within the past 18 months could be considered responsible lending, I must point out that I have no details of the unnamed applicant as to be able to make an informed reply. Presumably you have all the necessary information relating to the applicant's credit score, debt history and TXTLoan application in order to support your 'fact'?

Yes I do and its a fact you leant money to someone who was at the lowest end of the credit rating scale you will deny it of course but I know it to be 100% true and I have all the facts and figures you will still call me a liar because that the kind of people you are always right never wrong, you and people and companies like yours are so self righteous just because you follow the rule of law you think you are morally right and just in all your actions when you are not..

 

Of course this is an opinion but in my heart I know it to be right, payday loan companies lend irresponsibly the only way to assertain this is for the OFT to investigate you, but of course this will not happen, the only advise that can be given is stay away from short term loans full stop.

[TXTLoan CR]

Yes I do and its a fact you leant money to someone who was at the lowest end of the credit rating scale you will deny it of course but I know it to be 100% true and I have all the facts and figures you will still call me a liar because that the kind of people you are always right never wrong, you and people and companies like yours are so self righteous just because you follow the rule of law you think you are morally right and just in all your actions when you are not...

 

Dear adamski,

 

I have not and will not call you a liar, so there is certainly no need to make any comment to the contrary. If you are somehow in possession of another person's credit profile, debt collection history and TXTLoan application (which is a private document), may I suggest that you encourage the customer in question to send us an e-mail to [email protected] so that the matter can be investigated?

 

As mentioned earlier, TXTLoan is a young company that is constantly reviewing its systems and procedures. If there has been any kind of discrepancy in the application process, we would no doubt want to learn of it.

 

Many regards,

 

TXTLoan Customer Relations

[ric_pendle]

Dear ric_pendle,

 

The argument that so-called payday loan providers ought to be banned because they offer credit to those who need it but cannot obtain it elsewhere is somewhat self-defeating. What would such customers do without any available credit? If desperation is the driving incentive to take out a high interest short-term loan, then zero availability of credit is unlikely to remedy the situation.

 

Also, you mention that you agree with the general notion that payday loan providers do not adequately means test their customers' ability to repay. In this respect, I can only comment on TXTLoan's application procedures and not those of any other credit provider, so whether the point is true in a general sense is not something that I can shed light on. Nevertheless, in regard to TXTLoan, we reject approximately 85 per cent of all applicants after credit scoring, which demonstrates our commitment to responsible lending.

 

On the second issue, I do not have the information to hand but can make a request for it. However, due to the sensitive nature of the data, I cannot guarantee that it would be made available on a public forum.

 

Many regards,

 

TXTLoan Customer Relations

 

Dear TXTLoan,

 

I'm impressed with your rejection rate of 85%, and did a stint in financial underwriting for credit cards so I agree with you that your lending criteria will evolve and change over time. I'd be interested to know out of the 85% rejection rate, how many were fraudulent transactions, and how many were genuine.

 

The reason I feel payday loans should be banned is like many people on here I've just defaulted on 1 payday loan tomorrow. I've managed to clear the other 2 that I had. I realised very quickly that my wage was being comitted to payday loans. As I am a very good customer, with a strong credit rating as in the past I wasn't so good with credit but I've managed to build a good credit rating back up. I have 1 credit card that I always pay on time so this has helped my credit score. Due to the devil worshiping credit refrence agency holding records for 6 years I have a default that is about to drop off the file so to speak in 2 months. I'm planning to get a current account and a small overdraft so will not be reliant on payday loans when I end up with a hugh bill. The point I'm trying to make about payday loans is, you may have a strict lending criteria but you'll probably be very willing to lend to me, but here is where the system of payday loans falls down. I could then go to 3 other payday lenders who would be very willing to lend me £700 a go. I get £1000 after tax so that's when I'm probably not going to payback these loans, even with just defering.

 

That is a good example of why payday loans should be banned, high street banks would not be allowed to operate in this way, and wouldn't. There are no controls to stop those who you can lend to but don't have self control when applying for credit, and living beyond there means. The other reason is that the people who may, not necesserly use your buisness model but other payday lenders, maybe in a desperate situation or simply don't have self control when it comes to credit and don't take responsibility or control when trying to live within their means. I learnt the hard way but thankfully I'm nearly out of debt.

 

One last thing I would like to add is I think it's brilliant that you are willing to engage on this forum. You should be commended. Other payday lenders like 'wonga' or 'cash till payday' should follow this brilliant example in good customer relations. I also like how you demonstrate the charges and how they mount up over time, but you will not sway me from my stance that payday loans must be banned, it's worrying how the people that are slaves to debt, are those at the bottom.

 

Ric.