Ombudsman says it is currently getting about 200 such complaints per week, but PPI continues to be the worst offender
The Financial Conduct Authority started policing lenders that are payday April 2014, but complaints will always be increasing. Photograph: John Giles/PA
The Financial Conduct Authority started policing payday loan providers in April 2014, but complaints will always be increasing. Photograph: John Giles/PA
Complaints to your ombudsman that is financial pay day loans have actually increased to nearly 200 a week вЂ“ and never all those experiencing dilemmas fundamentally fit the image of low-income borrowers depending on short-term loans to have by.
Throughout the last half of 2016 the Financial Ombudsman Service received 5,095 brand new payday lending complaints, up 22% in the very very first half a year of the season. This enhance arrived despite tougher legislation associated with the controversial sector.
The figures mean complaints in regards to the loans are now actually operating at around 850 each month. Each month in early 2013 the ombudsman was receiving around 30-40 cases. A lot of the complaints relate solely to affordability вЂ“ as an example, a debtor claiming that the checks the company needs to have completed weren’t performed correcly.
The ombudsman additionally unveiled that people whining about payday lenders included teachers, nurses, students and вЂњeven a handful of vetsвЂќ, showing that it was problem that affected folks from вЂњall walks of lifeвЂќ. Continue reading →