Scots Swindled by payday loan middlemen complaints rise

LONDON - Sept. 12, 2014 - PRLog -- Citizens Advice Scotland has joined the UK's Financial Ombudsman Service in emphasizing how individuals are are being "ripped off" by payday credit broking sites, made to match clients using the very best available loans and rates of interest - to get a fee.

According to Cas, the group has obtained up to 40% more complaints over "rogue" agents, which tend not to allow it to be clear to clients they are getting a loan by means of a middle man to get a charge, rather than from the payday business itself.

Cas stated while plenty of credit agents supplied "a legitimate service," some billed concealed fees and refused to provide refunds when challenged.

"It's bad enough that so many people are falling into debt through the actions of some payday lenders - which of course remains a big issue," stated Susan McPhee, head of coverage at Cas.

"Nevertheless, it is obvious from our evidence that lots of agents are in fact using consumers, getting money-off them without their information. Our guidance to anybody who's seeking on the internet to get a payday loan will be somewhat careful and see the fine print of any web site you offer with."

FoS stated it acquired double the quantity of criticisms during the past year about credit broking sites before this month.

FoS, which helps work out problems between clients and fiscal companies when other communications and discussions have broken-down, stated buyers noted their bank accounts being "drained" after choosing a loan through the payday lending brokerage.

Approximately 10,000 customers maintain that they were misled into believing that these were were signing up for a loan, when entering their banking details, as these were were unaware that these were were were utilizing a broker, rather than a loan business itself.

Nevertheless, FoS disclosed that clients have been since refunded by all the credit broking sites the cash when it discovered the Ombudsman was concerned.

Dave from http://www.paydayloansexpress.co.uk offers a payday loan broker website but is following responsible lending and has made it transparent what they are offering. He is upset that these bad brokers are creating a bad name for other reputable brokers!