Do Wonga Dirty Tricks Make Them Unfit To Sponsor Newcastle United?
Newcastle United sponsor and legal loan shark Wonga, have been ordered to pay over £2.6m in compensation after a series of, “unfair and misleading debt collection practices”, the company pretending to write from fake law firms to threaten vulnerable people who were in arrears with legal action.
Wonga even had the audacity to add extra charges to some customer accounts to cover these letter to be sent out, that they pretended came from these fake law firms.
The Financial Conduct Authority (FCA) accused Wonga of, “Exacerbating an already difficult situation”, for those who were already struggling with debts. The threats from these fake law firms used to put customers under, “great pressure”, to make payments that they often couldn’t afford.
Wonga have now ‘apologised’ for this disgraceful conduct which carried on for over two years (Oct 2008 to Nov 2010) and involved at least 45,000 customers.
The interim CEO of Wonga, Tim Weller, said;
“We’d like to apologise unreservedly to anyone affected….the practice was unacceptable and we voluntarily ceased it nearly four years ago.”
That’s really big of them, eventually stopping this distasteful bullying practice after doing it for two years, having dreamt it up to push those already in deep right to the edge.
As part of their preparations for dealing with the fake law firm usage, it was also revealed that Wonga had discovered ‘technical’ errors which led to around 200,000 customers overpaying Wonga.
The entire legal loan shark/payday loan industry has been referred by the Office of Fair Trading for a full scale probe of its , “deep rooted problems”, with the full findings of that investigation to be published later in the year.
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