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Motormile Finance UK Limited Debt? – Should You Pay?

Scott Nelson Profile Picture Janine Marsh Profile Picture
By
Scott
Scott Nelson Profile Picture

Scott Nelson

Managing Director

MoneyNerd’s founder, Scott Nelson, has a decade of financial industry experience, including 6 years in FCA regulated loan and credit card companies. Troubled by a lack of conscience in the industry, he founded MoneyNerd to give genuine advice to those in debt and struggling financially.

Learn more about Scott
&
Janine
Janine Marsh Profile Picture

Janine Marsh

Financial Expert

Janine Marsh is an award-winning presenter and a valuable member of the MoneyNerd team. With a wealth of experience as a financial expert, she's been featured on BBC Radio 4, BBC Local Radio, and BBC Five Live, and is a regular on Co-op Radio.

Learn more about Janine
· Jan 19th, 2024
Could you legally write off some debt? Answer below to get started.

Total amount of debt?

This isn’t a full fact find, MoneyNerd doesn’t give advice. We work with The Debt Advice Service who provide information about your options.

For free & impartial money advice you can visit MoneyHelper. We work with The Debt Advice Service who provide information about your options. This isn’t a full fact-find, some debt solutions may not be suitable in all circumstances, ongoing fees might apply & your credit rating may be affected.

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Lantern Debt Collectors

For free & impartial money advice you can visit MoneyHelper. We work with The Debt Advice Service who provide information about your options. This isn’t a full fact-find, some debt solutions may not be suitable in all circumstances, ongoing fees might apply & your credit rating may be affected.

Got a surprise letter from Motormile Finance UK Limited about a debt? Take a deep breath you’re in the right place for answers.

Every month, over 170,000 people come to our website looking for information about their debt problems, so you’re not alone.

In this article, we’ll help you understand:

  • Should you pay Motormile Finance UK Limited?
  • How to check if the debt is yours.
  • What to do if you can’t afford to pay.
  • How to handle other debt collectors.
  • How to possibly write off some of your debt.

Our team knows about dealing with debt, as we’ve seen many similar cases. We understand how you feel right now and want to help you figure things out.

Let’s help you work out your next steps with Motormile Finance UK Limited.

Could you legally write off some debt?

There are several debt solutions in the UK, choosing the right one for you could write off some of your unaffordable debt, but the wrong one may be expensive and drawn out.

Answer below to get started.

How much debt do you have?

This isn’t a full fact find. MoneyNerd doesn’t give advice. We work with The Debt Advice Service who provide information about your options.

Motormile Finance now Operate as Lantern

After their negative publicity, it was not a shock when Motormile Finance decided to rebrand. They did exactly that in 2018 and are now known as Lantern. The branding of Lantern focus around a human and empathetic approach, but even if they have become more considerate about the way they collect debts, your rights remain the same.

Remember to read our guide on dealing with Lantern debt letters to find out how to reply to their requests for payment.

Motormile Finance Take the High Road

The Financial Conduct Authority (FCA) became aware of malpractices within Motormile Finance in the way they collected debt. After an investigation in 2015, Motormile Finance was found to be guilty of a series of legislation breaches.

This may not be too surprising considering the number of forum users complaining about Motormile Finance doorstep visits and aggressive debt collection attempts. As a result of the findings, Motormile Finance then agreed with the FCA to offer redress to almost half a million debtors, ridding their debt due to its own debt collection negligence.

» TAKE ACTION NOW: Fill out the short debt form

The bottom line was that over £400 million worth of debt was written off, and some previous debtors received a payment back. The total amount paid made back to customers was over £150,000, which averaged at £72 for each debtor (although it was not split equally).

For more details, you can read the full story via the FCA website, or read The Guardian’s take on events.

Motormile Finance UK Contact Details

Address: Lantern Debt Recovery Services Ltd, Protection House, 83 Bradford Road, Leeds, LS28 6AT
Phone: 0113 887 6876
Email: [email protected]
Website: https://lanternuk.com/

How a debt solution could help

Some debt solutions can:

  1. Stop nasty calls from creditors
  2. Freeze interest and charges
  3. Reduce your monthly payments

A few debt solutions can even result in writing off some of your debt.

Here’s an example:


Situation

Monthly income £2,504
Monthly expenses £2,345
Total debt £32,049

Monthly debt repayments

Before £587
After £158

£429 reduction in monthly payments

If you want to learn what debt solutions are available to you, click the button below to get started.

Get Started

Other Debt Collectors to look for on your Credit Report

There are hundreds of debt collectors in the UK and they each collect for different companies.

It’s surprisingly easy to not notice that you’re in a debt collector’s crosshairs.


I’d suggest you spend time checking your credit report. If a debt collector purchases any of your debt, it will appear on your credit report.

Some of the biggest to look out for include Cabot, PRA Group, and Lowell.

So if you see anything relating to their names, then you’ll need to investigate further.

Could you legally write off some debt?

Answer below to get started.

How much debt do you have?

This isn’t a full fact find, MoneyNerd doesn’t give advice. We work with The Debt Advice Service who provide information about your options.

The authors
Scott Nelson Profile Picture
Author
MoneyNerd’s founder, Scott Nelson, has a decade of financial industry experience, including 6 years in FCA regulated loan and credit card companies. Troubled by a lack of conscience in the industry, he founded MoneyNerd to give genuine advice to those in debt and struggling financially.
Janine Marsh Profile Picture
Debt Expert
Janine Marsh is an award-winning presenter and a valuable member of the MoneyNerd team. With a wealth of experience as a financial expert, she's been featured on BBC Radio 4, BBC Local Radio, and BBC Five Live, and is a regular on Co-op Radio.