Customer Information

Using short term borrowing
CFA members offer customers short term loans, usually small sums that are due to be repaid in one or two instalments within two months. These loans are sometimes known as 'pay day loans' because the customer usually repays the loan once they have received their salary.

Loans range from £50 to £800, with an average value of around £230. The larger loans are usually only available to customers with an established payment record who are considered able to afford the repayments.

Repayment problems
Borrowers do sometimes find their circumstances change and so they cannot meet their commitments. CFA members try hard to maintain a helpful and constructive dialogue with customers who have repayment difficulties, and use a range of options to help them. Some of these options may involve additional costs.

If you tell your lender that you are having repayment difficulties (you may also owe money to other lenders), they can advise you about getting in touch with support organisations such as the Consumer Credit Counselling Service, National Debtline and Money Advice agencies.

Customer complaint procedure
If you are not satisfied with the service provide by a CFA member, please contact the lender initially to see if it can work with you to resolve the problem. You can complain to your lender by phone, email and in person, as well as by letter. You will be told about the company’s complaints handling procedure at the time, or immediately after, you take out a loan. You can request a copy of the company’s complaints handling procedure. One will be sent to you automatically if you make a complaint. This is also the case for any third party who is properly authorised by you in writing to act on your behalf.

Where complaints cannot be resolved on the spot (or by close of business the next working day), you will receive:

• a prompt written acknowledgment of your complaint;
• a final response (or an explanation of why the company is unable to provide this) no more than eight weeks after receiving the complaint.

The final response will set out the company’s final view on your complaint, dealing directly with the issues you have raised. It will explain whether the business accepts the complaint, and may offer redress where appropriate. Redress might not be financial compensation as sometimes a genuine apology may be all that is needed.

If you are dissatisfied with the final response, you may refer the complaint to the Financial Ombudsman Service after the eight weeks allowed for the company to resolve your complaint and within six months of the date of the final response letter. You will be sent the Financial Ombudsman Service leaflet: Your complaint and the Ombudsman.

The Financial Ombudsman Service
South Quay Plaza
183 Marsh Wall
London E14 9SR

Tel: 020 7964 1000
Fax: 020 7964 1001

www.financial-ombudsman.org.uk

If a complaint case goes to the Financial Ombudsman Service the company will cooperate with the Financial Ombudsman Service investigation. The Ombudsman will tell you the result of its inquiry and what action, if any, that will be taken.