Wonga offers short term high cost credit (STHCC) loans at interest rates starting at over 1,200% per annum, became aware of a problem last week but did not realise until Friday that data could be accessed externally. It alerted the authorities and started to contact borrowers offering a dedicated customer services phone line for those affected.
Wonga said it was “urgently investigating illegal and unauthorised access” to the personal data of some of its customers in the UK and Poland; It is understood that the breach could affect up to 270,000 current and former customers.
The company would not disclose where the breach had taken place.
Should you be worried? As a current account holder, or if you have a mortgage or loan with Co-Op bank, then you don’t need to worry as customers will be protected whatever the outcome. As a saver, you might want to take advice as the government backed ‘Financial Services Compensation Scheme’ only protects you up to 85,000.
With TSB and Secure Trust putting themselves out of the running to take over the whole bank, the options are running out and the loss making, ethical bank, may have to be rescued by the Bank of England or by a break up and partial sale. The professional investors have already seen 75% of their bond values wiped out and many expect the bank to fail. The markets are suggesting only a 25% chance of survival.
A loan with no fees, no charges and where you tailor the amount borrowed to the nearest £100 and with a term to suit you, so that you borrow exactly what you need and with a repayment you can afford. How fair is that?
But it gets fairer; if you repay larger amounts as you can afford them, or if you settle your loan early, there are absolutely no fees or interest penalties. You only pay interest for the days you borrow, which also means a rebate of contractual interest………….. now that is fair!
Oh, did we mention; no fees or charges – ever, not for missed payments, not for changing a DD, not for talking to us; NO fees ever! And the interest rate is fixed, so even if interest rates go up, your loan repayments won’t. We will also consider any Guarantor; tenant or home-owner.
The place of fair loans www.lendfair.co.uk Guarantor loans APR 29.9% (advantage) APR 47.9% (standard)
Terms & Conditions apply.
Let’s be fair, APR is probably the only way to make a sensible comparison between different loans, but it may not show the complete picture or true cost of borrowing especially if your chosen loan comes with hidden costs or fees, eg a change of DD fee or a change of payment date or bank fee; missing a payment charge; the list with some loans is endless and these costs, because they are not predictable are not part of the APR.
So, look only to compare loans with no fees or charges, or if you pick a loan with fees and charges because of a stated low APR, make sure you stick to the loan agreement, especially the specified repayments and avoid “chargeable” changes. In any event, it is always best to maintain regular payments and stick to the terms of any loan; but we know there may be a wobble along the way and some lenders cash in on this; Lendfair won’t.
You should also be aware that if an APR is quoted as variable, if interest rates go up, so may your loan repayments and the APR. So, look for loans that show fixed rates of interest where you are protected from interest rate rises.
www.lendfair.co.uk No fees, no charges – ever! Fixed interest rates – always!