This is according to studies by Citizens Advice, who realized that 76 percent of the cases reported ended up taking their complaints to the Financial Ombudsman Service (the go betweener regarding financial complaints).
With the many foul cries, how do you know if you have an issue with a lender? Well, let’s walkthrough some of the reasons on how to go about this.
1. In case the lender takes money from your account without prior acknowledgement from you, then it’s advisable to seek assistance from the lenders, and inform about this so that it’s not repeated.
Better yet, you can have the transaction cancelled!
From a legal point of view, this kind of payment is referred as CPA (continuous payment authority). Therefore, a great and honest lender is one that’s gonna explain to you how the CPA works, and in the process clearly elaborate how deductions will be made.
Remember that this info ought to be explained in advanced.
2. For anyone whose debit or credit account(s) is experiencing loan charges yet you are 100 percent sure you’ve never taken a payday loan, then it’s about time you sort it out before further charges are placed on your account.
These are possible cases of identity theft. But the blame can be placed on the lenders, who perhaps failed to do a comprehensive background check.
It’s because of such incidences that prompts you (and I) to always go with a payday loans agency that always goes beyond than meets the eye.
This is only possible if the payday loans firm has some of the latest security system to help in identifying fraudsters. And how are you gonna know a firm that’s got the latest security measures to curb fraudsters?
Well, it’s simple; check out reviews and forums to find out any cases of such complaints.
If you are a victim already, you gotta launch a complaint to the lender first. And if you aren’t satisfied, you can take it to the Ombudsman.
3. You can make complaints to the Ombudsman if you feel pestered by the lender’s texts and calls, especially if this happens at odd hours. It’s a thumps up rule that businesses shouldn’t be contacting their customers and clients past 8 pm.
And so this can be perceived as a malpractice by the lender (at least some of them). That’s why it’s important you pick a lender who is never gonna pester you with calls.
Only cry foul when you’ve been “pestered” which can be defined as “recurrent” incidences.
4. As a borrower, if you’ve been overcharged in paying back the loan, perhaps because the lender wasn’t clear enough regarding how much the loan was gonna cost, then you ought to complain.
In simpler terms, it’s imperative for the lender to clarify the exact amount of money you’ll be paying back. All fees and charges need to be explained, and as a borrower, you should fully understand what’s at stake.
The terms and conditions need to be clear, and shouldn’t be burried within the small prints.
5. Complaints are also viable if the lender failed to check and examine your personal financial circumstances in finding out if you were capable or incapable of paying back the loan.
Such cases arise because most borrowers opt for a payday loan simply because they believe they’ve got enough “capability” to pay the lenders back, particularly despite the “no credit, bad credit” lure that comes with such loans.
Therefore, if you feel you were misled, then you can take your case to the Ombudsman.
Again, try shying off from payday loans agents who aren’t great when it comes to background checks.
Warning: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk