Horrendous Practice

[FearfulFuture]

I have a loan with CFO. I made the interest payment this month of £58.50.

 

I had my wages paid into a different account this month due to other problems with creditors of my own doing but had ensured that £59.00 was in my old account for them to deduct their interest from. Anyway, SOMEHOW CFO got these new bank details and have taken the payment of 58.50. I thought nothing of it as I am trying to pay them off, but I am ok to pay the interest this month and make a bigger payment at the end of the month. HOWEVER, they have also taken £24 from my old account which are the details that they held... (making the total up to 82.50).

 

Stupidly I panicked (after thinking i didn't have enough money for rent!) and applied for a top up loan of £170 (my own fault I know) but I still haven't received that top up amount within my account. I am prepared that next month for the combined interest would be £124.80. They have also taken this out of my account (£124.80) and are attempting to take out a further £320 (the cost of the original loan plus top up amount) SO not only have they obtained my new bank account details to take payment. They have also taken out almost £148.80 for a loan I have never had!

 

Absolutely incredulous!! Beware!! Needless to say I am cancelling the top up amount and requesting that the full amount be refunded as a matter of urgency. I am absolutely gobsmacked at their practices and will be reporting them to the OFT. Interestingly, my bank have confirmed this morning that they have never received a payment of £170 from them for my top -up loan.

 

FFx

[LaughingGirl]

You're definitely not the first person this has happened to.

 

Firstly, how did they take the money - was it by Direct Debit, or via a debit card? If it was Direct Debit, go into your bank and demand they refund the money under the direct debit guarantee - you are entitled to a full and immediate refund. If it was via a debit card, insist on a charge back. You may have to be persistent, but stand your ground.

 

The fact that they have obtained your new bank details is obviously worrying - have you applied for any other payday loans using the new bank details? PDL Companies insist that they do not share this kind of data among themselves, but I can't think of any other way that something like this could happen.

 

Please do let us know how you get on with the report to the OFT. I'm sure CFO have quite a few racked up against them by now, but the more the better IMO>

[FearfulFuture]

No, I've never used these details for another payday loan. I don't see how they can withdraw nearly £148.00 from an account when the loan was only for £170.00 and I have not even received it!

 

How they have obtained my bank details is worrying but I'm hoping that the OFT and Financial Ombudsman will have something to say about that!

[renegadeimp]

Just a question. Is the bank you are with now, in the same group of companies as your previous bank? RBS for example?

[snowdragon]

CFO =