Are you not familiar with Pogo Loans UK but they are contacting you about a loan you have taken out? Can you not afford to make payments on the loan? If you are having problems with Pogo Loans UK and you’re not sure what to do next, read this article for more information. 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 Pogo Loans?
Pogo Loans offers short-term loans to consumers in the UK and is one of the few lenders that offers applicants a ‘no fee’ option. The company offers loans between £200 and £600 with a repayment period of up to three months. Loans are paid out every week day, with weekend applications being processed the next working day.
Read what to do if you can’t pay back your debt.
Is it easy to get a loan?
There are many loan companies out there who are all too happy to offer loans, even to those who can’t afford to pay them back. Some will even give you a loan of up to £1,500 in minutes, and lend you money without undertaking a credit check. If you have bad credit, there are still plenty of lenders out there will to give you money.
Is the government doing anything about loan companies?
Debt problems are extremely common and it’s not difficult to see why, when lenders are frequently offering money to those who can’t afford to pay it back. Although it is still problematic, the situation with lenders is not as bad as it was before regulations came into place. It got to a point that there was too much irresponsible lending and companies were getting away with charging unaffordable interest rates.
Many of the most well known companies with the lending sector were eventually penalised for the part they played in irresponsible lending, including The Money Shop, Quickquid and Wonga. These companies were changed for giving money to those who could not afford it, and many customers even received a refund. With the regulations in place, there has been a vast drop in lenders, from 240 to 60, in just three years. This shows just how many were lending irresponsibly in the first place!
Are you due a refund? Read through the next section in which we look at these new rules in some detail. If Pogo Loans UK is in breach YOU MAY BE DUE A REFUND EVEN IF YOU HAVE PAID OFF THE LOAN.
Loan interest and other charges
There is now a price cap which has been introduced by the Financial Conduct Authority, which is there to protect borrowers. This is what you need to know.
- There is a cost cap of 0.8% per day on the amount you have borrowed – including interest and all fees charged.
- A cap of £15 on default fees – interest may still be charged after default, but it cannot exceed rate of 0.8% per day.
- A cost cap of 100% – you must not be asked to repay more than 100% of the money you have borrowed.
The limits are for credit agreements with an interest rate of 100% or more a year and that are due to be fully or substantially repaid within a year.
There were other regulations which applied from May 2017. Lenders are required to state information on their products on a price comparison website, which must be authorised by the FCA and borrowers must be provided with a summary of the cost of borrowing.
If Pogo Loans UK are in breach of these regulations and are trying to charge you more than they should, your credit agreement is not enforceable, and they cannot make you pay the money back.
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.
Is Pogo Loans UK a legitimate company?
There are loan companies out there who are not legitimate, and it is important to be aware that they cannot make any credit agreements or enforce any payments. If you stop paying them and they are not legitimate, there is nothing they can do.
As with any debt collection company, if you can’t find much information about them on their website or elsewhere, they may not be a legitimate company after all. Always find out if they are, before you start making payments.
Do you want to make a complaint about Pogo Loans UK?
You are entitled to make a complaint against Pogo Loans UK, if you feel that they are being unfair in their treatment towards you or they are breaching regulations. You should initially write to them with your complaint, but if you don’t get a response within eight week, you should send the details to the Financial Ombudsman.
It is important to have details to back up your claim. For example, a record of calls, letters, texts or emails. You should also go into the conversation with an idea of how you want it to be resolved.
You have the right to a response and if Pogo Loans UK fail on this, you may make a complaint to the financial ombudsman. The best way of doing to is to contact them by phone on 0800 023 4567 or 0300 123 9123
If Pogo Loans UK are found to have been treated you unfairly, you could be entitled to a refund even if the loan has been paid off. This includes any interest you have paid.
If it is established that the loan they gave you was unaffordable to you, it could be removed from your credit report. Write to your lender to let them know the action you’d like to be taken.
You can speak to the Financial Ombudsman by phone on 0800 023 4567 or 0300 123 9123.
What you need to know about Continuous Payment Authority
You may not have heard of it but Continuous Payment Authority (CPA) is a common part of an agreement with loan companies.
This means that the company can attempt to take debt from your bank account whenever they want – and without permission. As you would expect, this has ended up leaving borrowers in devastating situations, where they can’t pay their essential bills, like rent and energy. Many lenders don’t even give notice about taking this money.
The regulations have changed though, and are more in favour of the borrower. The new legislation states that the loan company may only attempt to take the payment twice. If it fails after this, they can’t keep trying. They are also not permitted to take partial payments, only full payments, unless prior permission is given.
If they do this, or attempt to, they are in breach of the regulations and you can report them to the financial ombudsman on 0800 023 4567 or 0300 123 9123.
It’s impossible to pay it back – what can I do?
If Pogo Loans UK have been contacting you about your outstanding debt, and you have no means of paying it, don’t worry – as there are other options.
It is advisable to speak to them about your problems, and if you can’t get anywhere, you can cut them off at the bank. This means cancelling your direct debit or standing order, and you can usually do this easily online.
This won’t make the debt go away though, so it is always worth trying to come to an arrangement about your debt – and one that suits your own circumstances. Talk to Pogo Loans UK about the issues you face and try to reschedule the payments. It is important that lenders treat you with respect, and give you plenty of time to pay back the loan. They should also refrain from contacting you about the debt, if you have arranged to pay it off, or you have rescheduled your repayments.
What about a rollover?
It is not unusual for debt collectors like Pogo Loans UK to suggest that you roll the debt over. However, all this done is cause you to have to pay more interest. It is not worth doing this if you don’t want to end up in even more debt.
Is there any help available?
Some organisations will be able to provide you with free advice and it is worth contacting them if you want to talk about your debt issues and get some help. These are just a small selection of some options.
- Contact Citizens Advice – the experts here will give you advice and support.
- Contact StepChange Debt Charity – a charity who are on hand to help.
- Contact National Debtline – free support and help with debt issues.
Are debt companies to be trusted?
Loan companies have a bad name, but it is important not to tar them all with the same brush. Loan companies can actually act as a lifeline to many people, so it’s important to talk about the good they do, not just the bad,
The problem is that many do not act with their customers in mind, and may even exploit their customers. They put profits before everything else. The new regulations keep customers safer, but you should be aware of the tactics many use, and ensure you stay alert to these.
If Pogo Loans UK are not following the regulations, and are causing you stress, you can seek advice, and even compensation.
If you can’t pay back your loan do check out my other article here.