Update: In 2017, Vivus sold its debt portfolio and withdrew from the FCA register. Vivus no longer accept loan requests, and all existing customers are now being managed by either Merligen Investments Limited or Motormile Finance UK Ltd.
*Information correct as of 20/04/2021 (Vivus)
Are you considering a loan with Vivus Loans? Or perhaps you already have one, and you’re looking for further information about the company. Either way, we’ve compiled the most important, in-depth information about Vivus’s loan for you in this loan guide.
About – Who are Vivus Loans?
Vivus Loans was a direct lender registered in the UK. The company has however sold its debt portfolio to Merligen Investments Limited and Motormile Finance UK Limited in 2017. The company is no longer registered with the FCA and no longer trading.
The cap on loan interest and other charges
The Financial Conduct Authority recently put in some caps on the amount of interest and charges which they could charge, These caps included:
- 0.8% daily cost cap on the amount of money borrowed – which included both the interest, and other fees.
- Default fees cap of £15. The lenders will be able to charge interest following a default, but it cannot be more the original daily rate of 0.8%
- Complete cost cap totalling 100%. Borrowers must not be asked to repay over the 100% of the money they have borrowed.
The limits are relevant to credit agreements with an interest rate of 100% or more, and which will either be fully or mostly repaid within the year.
There were also other regulations which were applied in May 2017. According to these, lenders have a responsibility to ensure that the details of their products can be found on a price comparison website, and this must be authorised by the FCA. Borrowers should also be given a total summary of the cost of their borrowing.
If you wish to check if Vivus Loans UK were an authorised company, you can look them up via the Interim Permission Consumer Credit Register search page. You could also search the financial services register.
Continuous Payment Authority – what you need to know
You may be repaying your debt via a Continuous Payment Authority, as this is fairly common. When a CPA is set up, it means that the company will be able to take money from your bank, whenever they want to pay off the debt.
There are now new regulations in place relating to lenders, and what they can and can’t do. One of the new rules is that they cannot attempt to take payment more than twice. If it fails, they can’t make any more requests.
There are also other rules in place relating to the amount of money they are permitted to take via a CPA. They cannot take partial payments, it must be full payment – or nothing. This means that if you don’t have enough money to cover the entire payment, they wouldn’t be permitted to take anything, according to this new legislation. You can allow them to take a partial payment, but you would need to give them permission first.
If they try on more than two occasions to take the funds, or they take a partial payment when you have not given them permission to do so, they would be breaching the regulations.
I can’t afford to pay the money back – what do I do?
If Vivus Loans UK have acted in the right way, but you do not have the funds to pay them back, they must offer you the following options.
These are some of the points that lenders must abide by:
- Providing you with information on where to obtain free independent debt advice
- Allow a period of time while you work out a more suitable repayment plan
- Treat you fairly, and without being abusive or bullying.
How to get debt help
If you are looking for free debt advice and support, these are some of the most popular organisations who can help.