If you have taken out a loan against one of the lenders we deal with and one or several of the following statements below applies to you, you may be entitled to compensation.
If you believe that you were mis-sold a loan, you now have the opportunity to request a refund.
While you may have really needed the loan at the time, you may have found yourself in a worse financial position as a result and the loan should not have been granted in the first place.
If you already had a loan with one of the lenders we deal with and needed to borrow extra money, you may have been given extension or top-ups without adequate checks, only to be put under more financial pressure.
You can start your claim with us by clicking on the button below.
Why Could I Be Given a Refund for an Unaffordable Loan?
During your application process, you may not have mentioned all of your debts and if this didn’t match with your credit record, the lender should have ensured to reaffirm this.
It is possible that you underestimated your monthly expenditure due to guesswork or eagerness to be eligible for your loan and in such circumstances, if your figures appeared too low, your lender should have explored their reliability further.
At the time of your application did you have a regular income? If you were self-employed during this period or even had overtime that fluctuated, the lender should have looked at this.
Did you have evidence of recent applications for credit or previous problems on your credit record? While Guarantor loans are specifically targeted at those with bad credit scores, the lender should have been conscious of whether your situation appeared to be worsening.
Whenever you topped up an existing loan, your lender should have ensured to run another set of checks concerning whether this was affordable. Had you missed any previous loan repayments? Had your finances deteriorated since your first loan? If so, the lender should have addressed the fact that their current loan could be unaffordable and as a result, capped any more lending.
The firm may only have carried out a brief affordability check on you because of your guarantor’s circumstances. Regardless of your guarantor’s financial status, the loan needed to reflect your personal repayment potential.
Has Anyone Got a Refund For Unaffordable Loan Complaints?
Yes, so far lenders have already refunded millions of pounds in unaffordable loan complaints to former customers.
An individual is likely to have a strong case against a lender if their loan was approved without robust affordability checks, they had multiple top-ups loans or they struggled to pay back their loan.
Lenders are required to respond to claims within 8 weeks and the average customer has received around £3,553** in compensation, which usually includes a refund of interest and charges paid on mis-sold loans and 8% compensatory interest on top.
This year alone, clients who have applied through the Forces Compare website have received refund offers in excess of £1.8 million*** from various lenders.
To start your claim and check your eligibility, simply click on the button below and you will be able to complete a few details about your loan(s) and submit your claim to our partners at Clear Legal Marketing Limited.
You should receive confirmation of your enquiry very quickly. If successful, you should receive a decision within 8 weeks.
If your affordability complaint is successful there are three potential outcomes. Should you still owe money, your interest is removed and you simply repay back what you borrowed. If your loan has now been repaid you will receive a refund of the interest in addition to 8% of the amount of your statutory interest. If you still owe money but the compensation is more than the amount owed, your balance will be reduced to zero and you will receive the surplus as a cash payment.
