Did you know you could get a refund from Bamboo Loans?
If you have a Bamboo loan then you will be super interested in this article. If you’re in debt or up-to-date with your payments you may be able to cancel your loan, write off your debt or significantly reduce your repayments.
It’s not your fault. Complaints to the Financial Ombudsman have risen this year from 830 to 2,006, so it’s safe to say that you’re not alone.
Deal with your debt today and feel better tomorrow.
Who are Bamboo Loans?
Bamboo Loans is a registered Direct lender in the UK who provides around 20,000 people with short-term loans every year. The company offers unsecured loans of up to £8,000 with a total repayment period of up to five years.
New Lending Laws for Bamboo Loans
It’s not surprising that so many people are in debt these days.
The lending industry makes money off people through stupidly high-interest rates. Unfair practices have finally been cracked down on by the Financial Conduct Authority.
Wonga for example was fined £220 million, which ultimately put them out of business!
Customers that were not properly assessed during their loan application received a refund.
If Provident Loans did not follow any of the laws below, then you could claim for a refund!
1) Affordability regulation
One of the most disruptive regulations launched by the FCA is that the lender must ensure that the loan is affordable. This is the regulation that put Wonga out of business and also the one that has allowed thousands of borrowers like you put in a claim for a refund.
The regulation states that you should be able to make the loan repayments as well as pay for other aspects of your life such as rent, bills, cards and food. If you feel like Bamboo Loans didn’t do a sufficient affordability assessment on you when you took out the loan then you may be able to claim for a refund.
Find your best debt solution (in 1 minute!)
Is all this information starting to feel overwhelming? Don’t panic! I’ve put together a 4 question debt calculator so you can quickly and easily find the best solution for you. If you’re eligible for the new government scheme, you could write off up to 85% of your debt! Answer the four questions now.
2) Interests and fees regulation
Another thing that the FCA noticed was that lenders would often charge borrowers excessive interest and fees. They remedied this by putting a cap on fees and interest. The limits were, (a) a 0.8% cost cap – this includes all interest and fees. (b) a £15 cap on default fees. (c) 100% complete cost cap, which means you should never have to pay more than double what you borrowed.
Have you taken out a loan with Bamboo Loans? If you did and you feel that they have breached any of these regulations, then you should consider requesting a refund.
3) Continue Payment Authority regulation
You’ll find with most lenders that they make you agree to them using Continuous Payment Authority (CPA). This gives them permission to go into your bank to take money any time they want.
This was fine, however companies started abusing it, trying to take money multiple times a day. Imagine being paid at 9am and then at 10am it all being withdrawn from your account, leaving you no money for rent, bill etc.
The new regulation around CPA come in two parts. (a) if Bamboo Loans try to take money via CPA twice and fail, then they cannot try again. (b) the amount taken must be the full amount of the payment due. They are only allowed to take a partial payment if you have agreed it with them by agreeing on a temporary payment plan for example.
If Bamboo Loans have attempted more than twice to take a payment or they have taken a partial payment without your permission to do so, then you should consider claiming for a refund.
Can’t make your next payment?
If you don’t think Bamboo Loans has breached any of the regulations then there is still steps you can take to protect yourself and your money. As a reminder, Satsumer Loans are obligated to treat you fairly, which means that they will work with you to get you back on track. Don’t bury your head in the sand! Follow my guide here on what to do if you can’t pay back your loan.
How to write off your debt
It is possible to write off your debt entirely through an Individual Voluntary Arrangement (IVA). This is a formal agreement to pay the debt collectors an amount you can afford as a one-off sum or as monthly payment.
You only qualify for the government IVA scheme if your debts are over £1,700 and you have more than one debt. Fill out a 30 second form to see if you qualify with my 4 question debt write off calculator.
Thinking about making a claim?
There is a good chance after reading this that you may feel tempted to make a claim for yourself and believe me you are not alone. In fact, during 2017 alone the Financial Ombudsman Service received 10,529 complaints that related to these type of loans.
If Bamboo Loans have treated you unfairly then you may find that you are entitled to a refund. At the very least you can expect to get a refund interest that was paid during the term of the loan, as well as any additional charges. For some people this could be a rather impressive amount of money to receive back.