Are CashASAP Loans UK hounding you for payment of a loan? Are you unable to make payment? Are they threatening to take you to court? If CashASAP Loans UK are causing you stress you can get help . You might be able to cancel your loan and even obtain a refund.
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 CashASAP Loans?
CashASAP Loans is a direct lender that offers short-term loans of up to £750 with a repayment period of up to three months. The company is registered in the UK and operated by APFIN. CashASAP prides itself on being a lender without any hidden costs and offers first-time customer a credit limit of £300 which can be increased with regular payments.
Read what to do if you can’t pay back your debt.
Is it too easy to borrow money?
Many lenders allow people to borrow money who can’t afford it. This is why there are so many loan companies on the market, offering ‘money in minutes’, ‘no credit checks’, and so on. There are thousands of borrowers out there who have difficulty repaying loans – and should never have had them in the first place.
Are the government doing anything to help?
There are far too many people in debt these days, and usually, through no fault of their own. This is why new regulations were brought in, there were too many lenders, and too many people receiving loans who simply couldn’t afford them. There was a time when the loan market topped £2 billion, due to a combination of irresponsible lending, and excessive rates of interest.
Many loan companies were preying on the most vulnerable people in society. Offering them quick access to cash, but making them pay over 1000% interest in some case! It is no wonder that the Financial Conduct Authority eventually stepped in and issues fines to some of the most well-know loan companies, including Wonga and The Money Shop. Many of them went bust as a result of the fines!
Are you due a refund? Read through the next section in which we look at these new rules in some detail. If CashASAP Loans UK is in breach YOU MAY BE DUE A REFUND EVEN IF YOU HAVE PAID OFF THE LOAN.
Why loan interest and other charges were capped
There is now a price cap, which was introduced by the Financial Conduct Authority to protect borrowers. The regulations state that:
- There is a cost cap of 0.8% per day on the value of the loan borrowed, including interest and all fees charged.
- Default fees capped at £15 – a default interest may be charged, but it should not be more than 0.8% per day.
- Cost cap of 100% – borrowers should not be asked to pay back more than 100% of the money borrowed.
These limits apply to all credit agreements that have an interest rate of 100% or more a year and that are due to be fully or substantially repaid within a year.
Additional regulations came into force in May 2017. They now must provide details of their products on a price comparison website authorised by the FCA and borrowers must be provided with a summary of the cost of borrowing.
If CashASAP Loans UK is in breach of these regulations and is attempting to charge you more than they should, your credit agreement with them is unenforceable and they will not be able to make you repay the loan.
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.
Although some loan companies are genuine, there are many who are not actually authorised to try and recover the debt.
If you want to find out if CashASAP Loans UK is authorised, you can enter the company name on this Interim Permission Consumer Credit Register search page. Alternatively, have a look on the financial services register here. If there is no valid, up-to-date entry, they may not be legitimate.
If the website has a lack of company information or detail, this is another indicator that they may not be authorised.
Want to make a complain about CashASAP Loans UK?
If you think that CashASAP Loans UK are breaching regulations, and treating you unfairly, you can make a complaint to the Financial Ombudsman.
It is important that you have as much information as possible relevant to the complaint, including the nature of it, and any evidence to back it up.
If you do not reach a conclusion with CashASAP Loans UK, you can make your complaint to the financial ombudsman. You can do this by contacting them by phone on 0800 023 4567 or 0300 123 9123
If CashASAP Loans UK are deemed to have treated you unfairly, you might be eligible for a refund even if the loan is completely paid off.
If the loan is considered to have been unaffordable, you may also be entitled to get itremoved from your credit record and the outstanding balance cancelled.
Write to your lender with information about your case, and compensation request.
If there is no satisfactory response within 8 weeks, you can speak to the Financial Ombudsman by phone on 0800 023 4567 or 0300 123 9123.
Continuous Payment Authority and what you should know
You may not have heard of this before, but chances are your loan is part of the Continuous Payment Authority (CPA). This means that companies can try and take the money you owe from your account, whenever they want. Of course, they should inform you first, but mainly fail to do this.
What ends up happening here is that the debt collection company takes the payment at a random time, which often leaves borrowers with no money to pay for essentials.
You should be aware of the new regulations in place regarding CPA. These state that if the payment fails on two occasions, they cannot try to take any more money from your account.
They are also not allowed to take partial payments, if they do this, they could be breaking the regulations.
In this case, you can report them to the financial ombudsman on 0800 023 4567 or 0300 123 9123.
What to do if you simply can’t afford to repay the loan?
If CashASAP Loans UK has operated legitimately but you simply can’t afford to repay the loan, there are some steps you can take to protect yourself.
If you are paying them by CPA, standing order or direct debit, you should contact your bank and cancel these. CashASAP Loans UK will no longer be able to collect payments automatically and you will retain control of your bank account. Your bank may advise you to inform CashASAP Loans UK that you have done this, but you are under no legal obligation to do so; they will be unable to collect any money from you until you give them explicit permission to do so.
Of course, you will still owe them money so you must deal with that directly; while you might be tempted to do so, don’t hide your head in the sand. Your first approach should be to contact CashASAP Loans UK and talk to them about your problems. They are obliged to treat you fairly, so you should be able to come to an agreement to reschedule your repayments.
By law, lenders must:
- Indicate where you can obtain free independent debt advice
- Hold off debt recovery for a reasonable period while you develop a repayment plan possibly using a debt advisor
- Giving you reasonable time to repay possibly freezing interest and additional charges.
What if they ask you to roll over the loan?
A rollover might be good for the lottery, it’s not so good for loans! If CashASAP Loans UK suggest that you roll over the loan, you should not do this. It is good for them, as you end up paying more – but it’s not good for you, especially if you are already facing financial difficulties.
Getting debt help for free
If you need help with your debt, but you don’t want to use a commercial company, you can try a free service such as:
- Citizens Advice – advice and support on dealing with debt
- StepChange Debt Charity – deal with debt head on through this support charity
- National Debtline – advice and support to get your finances in order
Are loan companies all bad?
Not all loan companies are out to take advantage of vulnerable people, some offer a really useful service, especially for those people who can’t get credit from banks etc. So, not all loan companies are bad, even though they receive a bad rep most of the time!
If you find that CashASAP Loans UK are not following the regulations, you do not need to pay them. You can get some advice and support in dealing with your debt.
If you can’t pay back your loan do check out my other article here.