When we processed your application for credit, we made some mistakes during our affordability checking process, and regrettably, this meant that your application was incorrectly accepted.
We are committed to ensuring that our conduct is fair and appropriate. Therefore, if a mistake is identified, we will look to put it right and ensure that it doesn't happen again.
Following a review of an account previously held with us, we have identified that we made a mistake.
A letter/email will be issued in due course which will explain in more detail.
We need to make sure we have the most up-to-date information for you so that we can make sure any refund cheque is correctly addressed to you. This avoids unnecessary delays in getting a refund cheque out to you if any of your information has changed.
We need to fully understand the impact of the mistakes we made and accurately calculate your refund of interest and fees. We want to make sure our assessment is thorough and accurate, and this can therefore take some time. We will complete this process as soon as we can and will contact you as soon as we have some further information for you. As a reminder, you do not need to make any further payments to your account.
No, you dont need to make any payments towards the outstanding balance, this also includes any payments being made on your behalf, by a third party. we will be in contact in due course with further information.
Any payment made to the debt purchaser since your account was placed on hold and transferred back to us will be refunded back to you by the debt purchaser.
Whilst the account holder has passed away, a refund may still be owed. If you are the personal representative of the late account holder please contact us If you are not the personal representative, but you do know who they are, please could you direct the email/letter to them.
We need to make sure we are sending out a cheque to the correct individual which would be the personal representative of the late account holder.
We can confirm this through the personal indemnity form supplied and a copy of the death certificate. You can send this to us via email or by post. Our contact details are at the bottom of this article.
Yes. Once you contact us with your updated details, we will attempt to verify them. If we are unable to do this using the information you have provided, we will aim to contact you to obtain further details.
For further clarity, we have added some additional explanations below for you, if you need any further help, please contact us using the details at the bottom of this FAQ.
Compound Interest is a phrase that is used regularly by banks, especially with regards to savings and debts. It means interest charged on top of interest.
Your usual monthly interest charges when shopping with us are calculated using your agreed interest rate as part of the compound interest calculation.
In the case of this refund, we have made sure to fairly recalculate your compound interest within the affected period and factored this into the amount of your refund where it was necessary.
As part of the calculations for your refund, we made sure to identify if your account balance would have been in credit (Notional Credit Position), had this mistake not happened.
If your balance would have been in credit, we have made sure to add further compensatory interest onto the refund amount to compensate you for any lost interest.
Compensatory Interest is the standard rate of interest that can be applied by businesses in the UK in relation to money being owed. This interest is applied at an annual rate of 8%.
Where any refunds of historic interest and fees would mean your balance would have been in credit at the time we applied the charges, we have also added compensatory interest on that credit balance (this is an additional 8% interest).
We are obliged to deduct 20% tax from any compensatory interest applied. If you pay tax at a different rate to the basic rate or if you are a non-UK taxpayer and wish to request a refund from HMRC, please contact us and we will provide you with the exact deducted value.
Please note, the tax deduction is not 20% of your total refund value, compensatory interest will only make up part of your full refund value.
Sorry about this, our records may need updating. Please return the envelope marked not at this address, ensuring the envelope is re-sealed.
Alternatively, please get in touch using the contact details at the bottom of this FAQ and we will update our records and do what we can to get this notification to the right customer.
