Lending stream and sunny

[Carigmac]

Hi, i have 6 loans with lending stream and 3 with sunny all due out on the 27th November and I just can't keep up with the repayments without having to borrow again. If I default will they just keep adding interest?? How can I set up an affordable repayment plan with both and can I get them to freeze interest. I know I've been very stupid to get myself into this situation. I'm not trying to avoid paying them I just want it to be more affordable. I have also had some hours cut (zero hour contract ) since I took out the loans so my finance has changed, I was earning £1200 month, now just over £900. Any help would be greatly appreciated.

[SaltnVinegar]

Re: Lending stream and sunny

Hi, i have 6 loans with lending stream and 3 with sunny all due out on the 27th November and I just can't keep up with the repayments without having to borrow again. If I default will they just keep adding interest?? How can I set up an affordable repayment plan with both and can I get them to freeze interest. I know I've been very stupid to get myself into this situation. I'm not trying to avoid paying them I just want it to be more affordable. I have also had some hours cut (zero hour contract ) since I took out the loans so my finance has changed, I was earning £1200 month, now just over £900. Any help would be greatly appreciated.

Hi Carigmac

Welcome to AAD!

Could you provide the following for each of the loans please. I'm making the assumption that you've not missed any payments yet. If you have let me know as I'll need to ask a few more details

• Date loan taken out
• Amount of loan
• Amount paid to date
• Date a payment was last made
• Status (i.e. have you discussed a payment arrangement)?
• Did you have to fill out an application form and do you have a copy?
• Were you given any pre-contact information or fact sheet so you could assess the affordability of the loan that was being offered to you?
• Were you given a Risk Warning at any point during the application process (ie. told something along the lines of 'make sure this product is right for you')?
• Were you given a credit agreement and if so do you have a copy?
• Did you at any time 'roll over' (or did you 'reloan') and if so how many times?
• When was the last time you sent any correspondence to them (either by email or post) and have you kept copies of any of the correspondence that you have with them?

I know its a lot of information I'm asking for - please don't be put off by that, take a couple of days if you need to. What we're looking to do is establish if they have followed the Lending Code, and also have provided the information to you they are required under the consumer credit act.

Once we've got an understanding of the circumstances of each loan, then we can offer help on how to approach this.

Best
SnV

[cymruambyth]

Re: Lending stream and sunny

Hi carigmac and welcome to AAD. Saltnvinegar is our payday loans specialist, so follow his guidance and supply all the information requested. We are not judgemental or nosy, just need to have a clear picture of your situation so that you can receive the best possible help.

[Carigmac]

Re: Lending stream and sunny

Loan 1 (lending stream)
Date loan taken out -22 August 2015
Amount of loan - £200
Amount paid to date - £96
Date payment was last made - 02 October
Status (I.e have you discussed a payment arrangement) - open, not discussed a payment arrangement
Did you have to fill out an application form and do you have a copy? - yes
Were you given any pre-contact information or fact sheet so you could assess the affordability of the loan that was being offered to you? I remember signing a pre contract agreement if that's what you mean?
Were you given a Risk Warning at any point during the application process (ie. told something along the lines of 'make sure this product is right for you')? Don't think so
Were you given a credit agreement and if so do you have a copy?Yes
Did you at any time 'roll over' (or did you 'reloan') and if so how many times? No

Now for the other 5 loans I will just answer the first 4 questions as I believe the rest are the same answers as loan 1.

Loan 2 (lending stream)
Date loan taken out - 25th August
Amount of loan - £200
Amount paid to date - £107.20
Date last payment was made - 06 October
Loan 3 (lending stream)
Date loan taken out - 06 September
Amount of loan - £100
Amount paid to date - £64
Date last payment was made - 25th September
Loan 4 (lending stream)
Date loan taken out -14th oct
Amount of loan - £120
Amount paid to date - £16
Date last payment was made - 30 October
Loan 5 (lending stream)
Date loan was taken out -1st November
Amount of loan - £100
Amount paid to date - not made first payment yet

I've realised its only 5 loans with lending stream not 6

Now the sunny loans

Loan 1
Date loan was taken out -
15th September
Loan amount - £100
Amount paid to date -£48
Date last payment was made - 30th october
Loan 2
Date loan was taken out - 15th August
Loan amount £150
Amount paid to date - £50
Date last payment was made - 30th October
Loan 3
Date loan was taken out - 14th August
Loan amount - £150
Amount paid to date - £50
Date last payment was made - 30th October

If you need more info I'll do it when I get home later. Just trying to do it off my iPhone is not the easiest.
The whole situation is making me very nervous and anxious

[SaltnVinegar]

Re: Lending stream and sunny

The whole situation is making me very nervous and anxious

Hi Carigmac

Don't worry - we'll help you get this sorted one way or another.

When you get home later, could you send me a copy of one of the LS and one of the Sunny credit agreements please (blank out your personal information if you like). Email it to the address in my signature below. What I'm looking for is whether they have adhered to the new rules laid down by the FCA. If they have not then they are only entitled to collect the principal sum lent.

With regard to your earlier question, now, by law, the maximum the debt can increase by is double the principal sum so this cannot escalate completely out of control, however I'd like to see if legally they cannot even do that (I suspect that the LS agreements will be compliant, the Sunny one however lets see).

Best
SnV

[Carigmac]

Re: Lending stream and sunny

just sent to your email.

[SaltnVinegar]

Re: Lending stream and sunny

just sent to your email.

Hi Carigmac

Got it and had a look through, and unfortunately they're both compliant with the FCA legislation brought in at the beginning of this year.

First things first though - we need to prevent payments being taken at the end of the month. Send the following email to both of them, make sure you include all loan account numbers (not just one):

<Start Template Letter>

Dear Sir/Madam

Account No:xxxxxxxxxxxxx

I am writing to advise that with immediate effect, I withdraw my authority for all future payments to be debited from card number in respect of the above loan. This is in accordance with my rights under the Payment Services Regulations 2009, which state:

“The payer may withdraw its consent to a payment transaction at any time before the point at which the payment order can no longer be revoked under regulation 67.”

Please confirm in writing that this instruction has been received and actioned.

I look forward to hearing from you.

Yours faithfully

[Carigmac]

Re: Lending stream and sunny

Thank you,
emails sent, got an automatic email back from both saying they will reply within 24 hours.I Also reported my card as stolen in case they try and take the money anyway. I will wait for their response and keep you updated.

[Carigmac]

Re: Lending stream and sunny

LS emailed back -
.
"Thank you for your email.
We have discontinued the "Continuous Payment Authority" on your accounts and will ensure that no further payments will be processed from your registered debit card until instructed otherwise, effective from 20th November 2015.

While we have turned off our payment withdrawal system as per your request, please note that revoking such payment authority does not relieve from your obligations with respect to your accounts"

still not heard back from sunny, guess ill just wait to hear back from them.

[Carigmac]

Re: Lending stream and sunny

so i have defaulted on all loans on friday and have had texts and emails since, notifying me of the fact. I would love some help on how to get them to agree to a repaayment plan and possibly freeze the interest. Also would like to know what kind of response you guys think i shoud expect. thanks again.

[SaltnVinegar]

Re: Lending stream and sunny

Hiya - really sorry, I totally forgot to update this thread so my bad - I'll put up a few options for you tomorrow to ping off.

Best
SnV

[SaltnVinegar]

Re: Lending stream and sunny

Hi Carigmac

Ok so this is the situation now you've defaulted - with the new legislation that the FCA brought in earlier this year the balances cannot increase by more than double the capital borrowed.

What are your options? Well you've got a few which include but not limited too:

1) Take a personal view that they should not have lent you the money, that you have bigger things in your life right now to sort out, and ignore them and not pay them a further penny

Risk to the above approach, is that they will report defaults to the credit reference agencies, which may prevent you getting credit for a while, and they may (although tiny chance), issue a court claim against you (though they may not like a Judge taking a view of whether allowing someone to take 3 loans is responsible as this could be VERY bad for their business model). You will also get bombarded initially with phone calls and letters from their collections departments, and possibly collection agencies if they sell the accounts on.

Benefit to this is you know the balances at worst can only double. It can give you some breathing space when you get back on your feet, both personally and financially. You can then either continue to ignore them until the debts become statute barred (if they don't issue a court claim), or you can then offer a F&F payment to write off the debt, or still offer a payment proposal if you wish

2) Write to them arguing irresponsible lending and asking for the loans to be written off

Risks are the same as option 1), however you are establishing a cause of complaint, and offering a reason for non payment. Benefits are also the same as 1) with the added benefit that if they do not respond in the prescribed timeframes for a complaint you can drag things out even further. It may also give them pause from issuing a speculative court claim. You may also get one or two of the loans written off as a goodwill gesture

3) Write to them offering a payment arrangement

Believe it or not the risks are still the same as option 1). You can be in a payment arrangement, and still have a court claim issued against you! Its less likely, but it still may happen.

Benefits are, you are paying off the balances, and you are in control. It also gives you more leverage, as if they refuse your offer unreasonably, they are in breach of FCA guidelines.

However I would NOT respond to anything asking for proof of income, when you were made redundant, starting jobseekers allowance etc. This would open up a can of worms for you, and a creditor has no legal right to ask for this information anyway.

Ultimately its your choice what you would like to do, but hopefully the above helps you make that choice a little better informed. Whatever you choose we'll be able to give you guidance on how to approach them.

Best
SnV

[Carigmac]

Re: Lending stream and sunny

I think with LS I will go with the second option as I believe they have been more irresponsible. With sunny I will offer a repayment plan. Some help with how to get the ball rolling with these would be great.
Thank you

[Carigmac]

Re: Lending stream and sunny

so, sunny have actually been quite helpful via email and am on a very affordable repayment plan which is great so thanks.
LS simply will not reply to my emails asking for a repayment plan and just keep adding on interest and charges
is there anyone who can help me draft an email/complaint arguing that some of the interest is unfair. should i be complaining to anyone else (FOS etc.). Also possibly arguing for some of the loans to be written off under irresponsible lending.
thanks again

[Pixie]

Re: Lending stream and sunny

SnV is our payday loan expert but he's very busy at work. No doubt he'll be along as soon as he can.