Irresponsible Lending PDE/Money Shop

[kkatiew]

I recently emailed Lending Stream to reclaim payday loan interest on unaffordable loans.

I received my reply with 28 minutes to go of the 8 week deadline as follows :

 

This is in reference to your correspondence dated 30th August 2018 about a complaint questioning the affordability of certain loans taken out with Lending Stream. We have reviewed your accounts and would like to share our findings.

 

Before doing so, we would like to highlight that Lending Stream conducts rigorous affordability assessments for all its customers on each and every loan application. Furthermore, we would like to clarify that Lending Stream does not offer payday loans where the full amount is due within a thirty-day period, nor do we allow for rollovers. The Lending Stream product is a monthly installment loan, with a typical tenure of 6 months, designed specifically to lower the monthly repayments and allow the customer to repay the loan over a longer period of time.

 

Our Findings

 

Between 16th April 2017 and 9th May 2018, you borrowed sixteen loans from Lending Stream with Loan IDs ...). Thirteen loans were successfully closed

 

.Below, we highlight the affordability checks conducted on each loan which was offered to you.

 

Loan ... was approved for 80 GBP on 16th April 2017 based on the following affordability information and checks:

· Your stated monthly income was 1650 GBP and you confirmed that you were in full-time employment. We also independently verified this income with third party sources

· Your stated monthly expenditure was 1125 GBP, leaving you a monthly disposable income of 525 GBP. Furthermore, we asked you to subdivide those expenses into specific categories, where you provided the following breakdown:

o 325 GBP for Mortgage / Rent

o 25 GBP for Utilities

o 325 GBP for Food

o 75 GBP for Transport

o 375 GBP for Other Payments

· Using national averages for expense categories where data is available as a third party verification of your submission, we revised upwards your total stated expenses and this still resulted in a viable disposable income

· The loan amount approved was 80 GBP which resulted in an average monthly payment to Lending Stream of 26.67 GBP, well within the overall disposable income

· A credit worthiness check was completed and the third party credit reference agency confirmed a rating which was satisfactory for the loan obligation.

 

For loans ….. an affordable payment arrangement is already set up for 99.99 GBP on 27th of every month.Based on the above information we conclude that proper and proportionate affordability checks were conducted on Loan …....

 

And the email goes on in this manner for each of the sixteen Loans.....very lengthy read

 

 

If you have any additional information that would be helpful in investigating this complaint, please send that to us. Otherwise, please consider this as our final response on the matter.

 

You have the right to refer your complaint to the Financial Ombudsman Service, free of charge – but you must do so within six months of the date of this email

 

My question is, is my next stop the FOS ?

 

Thanks in advance.

Edited October 31, 2018 by dx100uk
edited

[dx100uk]

please don't post details that can ID you

several ac..no's removed from above post

[dx100uk]

not sure where our IRL reclaim guide states to give them bank statements??

how did they get such detailed info about your spending?

[kkatiew]

When you apply, you have to fill out your outgoings online. Tbh, because I needed the money I always put what I thought would make it look more attractive.

 

Also received this today as I asked for original email as I couldn't locate it...

 

This is in response to your recent correspondence.

 

We acknowledge that you want a copy of your original complaint.

 

We understand that you want Financial Ombudsman Services to intervene in this matter. However, we would like to mention that we never intend to miss or follow misleading practices towards our customers whenever they require our assistance.

 

We would like to highlight that Lending Stream conducts rigorous affordability assessments for all its customers on each and every loan application. Also we would like to conclude that proper and proportionate affordability checks were conducted at the time each loan was approved.

 

Please be noted that we have attached a copy of your original complaint and income and expenditure details to us with this email as per your request.

 

We consider this as a closure towards the matter and hope the above information helps .

[renegadeimp]

We understand that you want Financial Ombudsmanicon Services to intervene in this matter. However, we would like to mention that we never intend to miss or follow misleading practices towards our customers whenever they require our assistance.

 

That sounds like they could be running scared. "please dont go to the FOS about us"

[dx100uk]

TBH it matters NOT that you told a white lie ...they should have checked too!

if they had they would or should NOT have loaned you the monies..

 

off to the FOS, don't think we've seen one case lost whereby some had 16! loans!!

 

that's says it all.

 

might pay you to get relevant credit file information from the time

as if that was shot too with defaults etc etc

that will further add weight to a case I can see you will win hands down here.

 

dx

 

PS don't forget to read our PDL reclaiming guide in the stickies here.

 

dx

[kkatiew]

Is there a template claim for the FOS or shall I just use plain English ?

 

Thanks in advance

[kkatiew]

Thanks dx

[kkatiew]

Hi all,

I sent a claim to the FOS and a couple of weeks ago

I received a letter to say they required more information such as bank statements and credit reports etc by 28 November which I emailed over.

Does anyone know current timescales on what happens next ?

 

Also in addition to the above,

I contacted Lending Stream back In July to ask if I could pay my debts off in smaller payments of £100 per month which they agreed to.

 

Should I still be making these payments?

 

Thanks

Edited November 29, 2018 by dx100uk
merge

[dx100uk]

p'haps not as much.

depends on what you REALLY owe.

 

dx

[kkatiew]

Well I've just paid £126 which now leaves me with a final repayment of £90 odd. Then I'm free

[kkatiew]

Update...I've had an email back from FOS today to say

Thank you for your providing your correspondence.

 

 

 

We will be in touch with you once your case has been allocated to an adjudicator for an assessment.

 

I'm assuming this may take some time to get assessed ?

 

Thanks

 

Katie

[kkatiew]

Still awaiting an adjudicator to be assigned to my case....

[kkatiew]

Still awaiting an adjudicator to be assigned to my case....

 

Update...received a letter from the FOS today to say that my case is still awaiting to be assigned to an adjudicator and it's likely to be a few more months before I hear from them again.

 

[kkatiew]

Update email today, can someone let me know if you think I need to respond....

 

My understanding is that this complaint is about the mis-sale of Short Term Lending . Please tell me if I’ve missed something, or if you have anything to add at this point.   My role as an adjudicator is to give an independent opinion on the complaint. This means I’ll talk to you and the business, weigh up the facts of what’s happened, and then suggest a fair way to resolve the situation.   In most cases, we find a solution at this stage. This might be agreeing how the business should put things right – or sometimes that the business has already acted in a reasonable way. But if either you or the business disagree with what I say, we can review the complaint and tell you our final decision.

 

Thanks .

[kkatiew]

Received an email from FOS today basically stating to Lending Stream that 12 out of the 16 loans should not have been lent to me and that they are required to respond by 12 June with either an offer or to disagree.

[dx100uk]

great news!!

 

dx

 

[kkatiew]

[fkofilee]

Well done!! It shows you how out of touch these PDL complaints are handled by the actual lenders... 

How much of a payout are you looking at? 

 

Please consider making a donation at a later time if you already havent

[kkatiew]

Thanks, I dont know but these are the loan amounts....

[Rodo]

Did lending stream agree and get back to you by the 12th of June ? I’ve got a case with the fos and was told they had until 16th June to agree or disagree with the adjudicator decision that 14 out of 17 loans shouldn’t have been issued to me .

[fkofilee]

Hiya Rodo

 

Would you mind starting your own thread to explain how you go to where you were today?

I would like know

[dx100uk]

click create in the top red banner

[kkatiew]

Yes, FOS agreed that 12 out of the 16 loans were due to irresponsibly lending and Lending Stream agreed the redress of above.  LS have emailed today to confirm refund will be received within 28 days and credit file updates within 28 days

[Rodo]

Brilliant thank you and well done