Consumers encouraged to submit payday complaints - Loans - News - Moneyfacts

News News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

Consumers encouraged to submit payday complaints

Consumers encouraged to submit payday complaints

Category: Loans

Updated: 05/08/2013
First Published: 05/08/2013

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

The row over payday lending intensified this week, as the Citizens Advice called for customers to stand up to lenders who are found to act unfairly.

Coinciding with the launch of its campaign throughout the month of August, designed to help consumers take action and complain about unscrupulous payday loan companies, the results of an investigation conducted by the bureau revealed scandalous practices towards their customers.

At least 76% of 665 payday loan cases reported between 1 January and 30 June this year were found to warrant an official complaint being made to the Financial Ombudsman Service (FOS), while a suspected one in five cases were earmarked as possible instances of fraud, with customers chased for payments, despite them not actually taking out a loan.

A further 12% of cases involved lenders contacting people via phone calls or text messages, constituting harassment.

Overall, one in ten reported cases were linked to a payday lender's unfair conduct and treatment of customers experiencing financial problems.

Recent figures released by the Office of Fair Trading and the FOS have revealed the level of complaints regarding the practices of payday lenders has grown significantly over the past couple of years, as more people turn to such loans amid the current economic climate.

To directly submit a complaint about a payday loan, contact the Financial Ombudsman Service consumer helpline on 0300 123 9 123 or 0800 023 4567, or email

What next?

Guide to Payday Loans
Loan terminology – glossary and jargon buster
How do I get out of credit card debt?

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Blue Monday hits nation’s finances

Today has been dubbed Blue Monday – the most depressing day of the year – and considering how many people could be battling with their finances this month, it’s little wonder.

Calls to make the loans market clearer

At first glance the personal loans market may seem simple enough, but get into the nitty gritty and it can be anything but. As a result, some are calling for action to make the market clearer and fairer for all.

Get the cheapest ever personal loan!

Have you woken up with a financial hangover after the festivities? Perhaps you’ve got big plans for the year ahead, or maybe you need a new car? Well, whatever your reasons for needing a loan, you can now snap one up for the cheapest ever rate!