Wonga debt collection methods criticised by OFT

[AAD News Feed]

Wonga debt collection methods criticised by OFT

This is a duplicate of the Blog Entry made on 22nd May 2012 13:27.

High-profile money lending firm Wonga has been criticised by the Office of Fair Trading for using aggressive and misleading debt collection methods....

Click to Read More...

[IF]

Re: Wonga debt collection methods criticised by OFT

Also see Rizzle's thread ---- > OFT imposes requirements on Wonga - allaboutFORUMS

[SaltnVinegar]

Re: Wonga debt collection methods criticised by OFT

I'll make the same post here too!



“In particular, current fraud processes ensure cases of suspected fraud are always referred to an in-house team of experienced professionals and suspicions that a customer may have acted fraudulently are not communicated to the customer. Regarding the collections script in question, Wonga has confirmed to the OFT it has not been in use since January 2010 and that Wonga no longer uses scripts for collections activity.”

What absolute bovine excrement.

Wonga 'used' this on me in July/August 2010 and also sent me an email highlighting their 'close links to the Metropolitan Police'.

I have also seen MANY of these emails sent to other debtors, and the evidence of this tactic is plentiful on consumer forums.

'Isolated' incidents my behind.

Fair play on the OFT for imposing requirements on Wonga, and shame on Wonga for even considering appealing them.

If they had any sense of 'fairness' they should hold their hands up, admit that this has been going on and is NOT 'isolated' at all, but a premeditated approach to handling debtors.

[IF]

Re: Wonga debt collection methods criticised by OFT

I'll make the same post here too!

Ah go on then SnV

[SaltnVinegar]

Re: Wonga debt collection methods criticised by OFT

Ah go on then SnV

LOL you couldn't have stopped me

Trouble is Wonga were one of my 'better' creditors to deal with. Once I got the OFT involved and started to quote OFT guidelines they soon behaved themselves (I wonder if they were under investigation even back then).

I hope the OFT slaps more requirements on a lot more of the PDL lenders.

I helped one poor woman last year who was being harassed at work who was told that they were going to call the police and have her arrested at her desk in front of all her colleagues unless she paid the loan in full right then over the phone.

They were calling her on her mobile and sending her texts approx every 10 minutes from 7am until 11pm. Soon had them packing, but its those that don't know that these companies pick on.

What will Wongas approach be to the small businesses they are hoping to lend to if/when they default on their loans with interest rates of 4,000%? Are they going to threaten to take their assets? Find out who their customers and ring them up to tell them that the company they are dealing with is in debt?

SnV

[5corpio]

Re: Wonga debt collection methods criticised by OFT

Wonga intends to appeal against OFT adjudication on customer communications

The Office of Fair Trading (OFT) today made public a decision by an Adjudicator to impose a requirement under Section 33A of the Consumer Credit Act 1974 on Wonga.com, the online loans provider.
The dissatisfaction which the OFT seeks to address relates to:

1) Two letters sent by Wonga to a limited number of customers, more than 18 months ago, in which it implied the customer had engaged in fraudulent conduct

2) A statement in a Wonga collections script from January 2010

Read more here on Blog Page update

[5corpio]

Re: Wonga debt collection methods criticised by OFT

More help for payday loan debtors



Payday lenders have agreed to new commitments designed to prevent a build-up of unmanageable debts by struggling customers. Lenders will freeze charges and interest for borrowers in difficulty, no later than 60 days after they stop making payments. Borrowers would also have the...Read more from AAD Blog pages: EU investigates banks over credit default swaps - allaboutFORUMS6

[pompeyfaith]

Re: Wonga debt collection methods criticised by OFT

This MP is fighting payday lenders in the commons.

Twitter

[Handyman]

Re: Wonga debt collection methods criticised by OFT

I didn't realise until I saw this on my FB feed that man behind the Tories 'Beecroft Report' that wants to make it easy for companies to sack employees, opt out of forced pension schemes, get rid of unfair dismissal laws and reintroduce child labour is none other than venture capitalist Adrian Beercroft, the man behind WONGA. Yes the loan company who charge societies poorest an desperate 2795% APR.

Now their getting into bed with the CAB. I hope someone with a voice and a social conscience gets the chance to ask Cameron and his cronies some awkward questions. A Big Society my ass, only for those who can afford it.

Regards, Handy

[IF]

Re: Wonga debt collection methods criticised by OFT

I know Handy isn't outrageous isn't it!! More on the link below:-

Citizens Advice Bureau to work with loan provider Wonga - allaboutFORUMS

[Riz]

Re: Wonga debt collection methods criticised by OFT

This MP is fighting payday lenders in the commons.

Twitter

Yes. And the commons voted down her amendment to the Financial Services bill the other day.

Think it can be put back in during the Lords stage though?

[5corpio]

Re: Wonga debt collection methods criticised by OFT

Ant & Dec face Wonga Twitter backlash

MP Stella Creasy creates Twitter storm over lender's sponsorship of Ant & Dec show Red & Black...........Read more at AAD Blog: READ HERE

[5corpio]

Re: Wonga debt collection methods criticised by OFT

Wonga on BBC Watchdog 12th September 2012 @ 8pm

Linky: allaboutFORUMS - View Single Post - Consumer TV Series on television