Mini Credit Faster Payment fee & £5.50 debit card charge

[t1ger10]

Hi All,

 

As most are aware, Mini Credit charge £19.50 faster payment fee every time they issue the loan - 1) there is no option when you apply for the loan for this not to be added 2) Faster payment is free 3) the faster payment charge of £19.50 is excessive and misleading as it is being advertised as a "faster payment charge", rather than actually being profit for Mini Credit.

 

Additionally, Mini Credit also charge £5.50 for using debit card for repaying the loan early - I believe this is excessive and misleading, and charged as a profit. I am not 100% sure but I thought debit card transactions for businesses are charged at 50p??

 

Now, I have had several loans in the past with Mini Credit and all paid on time.

 

I currently have no loan with Mini Credit and my account is closed (I would strongly advise anyone not to apply with them either).

 

What I wanted to do was submit a complaint to Mini Credit requesting my money back due to the above arguments. Most likely, they will refuse and I will take the complaint to FOS.

 

Has anyone every submitted a complaint to Mini Credit or FOS regarding this?

 

Also does anyone have any views on this or my chances?

 

I was thinking its worth a try to fight for, I wont end up loosing anything and I dont owe them any money anyway!

[Bombaymix]

It's worth a try!

 

I do think though that the main stumbling block could be that you knew about these charges when taking out the loan.

 

Yes, £19.50... Pure profit, it costs nothing to do a fast transfer. There's another lender, think either mr lender or 247 moneybox that also promise to send funds instantly for about the same price, OR you can opt out and have your funds the SLOW way.... The funds arrive instantly also... Unfortunately tried and tested lol.

 

£5.50 for a debit card early payment? Haha! That's laughable.

 

I do think that you will possibly be fighting a losing battle. If fees like this were added without knowledge then you'd have a good unenforceable argument. Because these stupid fees are explained upfront, it's those of us that have willingly paid these fees that have a screw loose...

 

Good luck regardless! Any investigation carried out on these PDL company's can only be a good thing!

[renegadeimp]

Contact the OFT and ask them if its a breach of Guidance. Especially since they arent giving you the full loan, but are attempting to collect the full loan PLUS interest on the entire amount.

 

While you can ask the FOS, they wont do anything until 8 weeks are up and even then its debatable.

[t1ger10]

Thank you both for the above replies, I will ask OFT its in breach of any of their guidance before submitting a complaint.

 

Even then, whether I win or loose, Mini Credit will still have a £500 bill to pay if sent to the FOS!

 

If I get any further info or I submit the complaint, I will keep it posted here

[renegadeimp]

True, unfortunately the FOS wont even consider looking into a complaint until you have exhausted Minicredits complaints procedure, and MC are very well known for making you wait the full 8 weeks, hoping you will back down and give in to their silly demands. And sadly a lot of people do just that.

[t1ger10]

I agree with you. But I always make a note in my calender when the 8 weeks end, and have the complaint form ready to post the day before the 8 weeks end.

 

I know what you mean though, but I actually love sending in complaints, arguing back and forwards, and then sending it on to Ombudsman, trade associations, OFT etc etc lol......and it is worth it, I have so far had a total of £195 from Goodwill gesture for distress caused in 4 of my complaints. So when a company does do wrong it is worth to follow their complaints procedure, and be persistent in following it up all the way (and asking for compensation if distress is actually caused).

[Bombaymix]

Fair play to you

 

The more people who complain to the regulators the better!

 

BM

[t1ger10]

Right I would just like to update everyone regarding the above case...please read on if you have been a customer with mini credit....

 

After a lot of arguing back and forwards with mini credit, they finally agreed to refund the early repayment fee of £5.50 for every loan that I had. After remaining dissatisfied with their response, I had to persistently beg for mini credits to give me their final response - and they confirmed that this was their final response. I then took the complaint to FOS who have wrote to me today advising that mini credit don't agree with their decision and it has now gone to the ombudsman to review. The decision was was that the fee £19.50 fee should not be funded, however they should pay me 8% interest FOR THIS AMOUNT ON EVERY LOAN since I TOOK OUT because mini credit were deducting the £19.50 fee and charging interest on money that they did not give me!!!! This was the same with the £5.50 fee.

 

I feel like a bit of success against mini credit and I urge everyone to put in a complaint regarding the fees! I know I'm still waiting for the ombudsman to make the final decision but it sounds sweet against a coMpany that has taken advantage from many of us!

 

If anyone wants to know the letter I used please get in touch... The more the merrier

[sillygirl1]

Well done, if more people challenged these sharks they would soon find their source of income dry up.