Good News for Morses Club Loan Holders

Some Morses Club loans have been written off! Check your email and your junk to see if your balance is now zero.

Morses Club entered administration back in November 2023. At that time, approximately 68,000 loans were still outstanding, with nearly a third of them in default. Amidst the turmoil, borrowers awaited clarity on their financial obligations.

If you had a Morses loan keep a close eye on your email. It will inform you if your balance has been written off, effectively freeing you from your debt. This news brings a sense of relief to many who have been grappling with financial uncertainty.

Some of the debt has been sold

However, it’s essential to note that not all debts have been discharged. Some loans have been sold to Lantern, a debt collection company. For affected borrowers, there’s little recourse as ownership of their debt has changed hands. Notifications of the transfer will be sent via email. If you had existing payment arrangements with Morses, they must be redirected to Lantern.

If you find that you’re struggling to pay, seeking advice from a debt adviser is advisable.

How it affects your credit score

Concerns regarding the impact on credit scores have also been addressed. Morses will mark debts as ‘partially satisfied,’ effectively indicating a zero balance. However, any defaults associated with these loans will linger on credit reports for six years, starting from the date they were recorded. 

Make sure you review your credit report diligently for inaccuracies. Should any discrepancies be identified, prompt reporting to the relevant credit agencies is necessary to rectify errors.

News on ‘unaffordable claims’

Despite this positive development, the outlook remains bleak for those who have lodged unaffordable lending claims. There aren’t many payments expected and payouts are anticipated to be minimal.