Personal Loan Customer Redress.

Personal Loan Customer Redress.

Following our announcement on the 4th of April, the redress programme only impacts a small number of customers who took out a personal loan between April 2014 and October 2019. We'll be contacting the affected customers in the coming weeks.

At H&T, we understand that our customer's circumstances can change, and life is sometimes straightforward. We’re always on hand to help you when you need us. To learn more about how we support our customers, visit our help and support page.

4th April 2022 Customer Redress - update in respect of regulatory review into high-cost short term lending

H&T Group plc announced on 18th November 2019 that it was working closely with the Financial Conduct Authority (FCA) to undertake a review of the lending processes, creditworthiness and affordability assessments within its unsecured high-cost short-term (HCST) loans business for loans granted between April 2014 and October 2019.

As has been announced in the press, we now have permission from the FCA to carry out a redress programme.  Redress will only apply to a small proportion of our HCSTC Personal Loan customers whose loans were taken out from April 2014 – October 2019.

Redress will be paid in respect of these loans in accordance with the methodology agreed with the regulator and will include statutory interest up to 31st March 2022 (subject to tax). 

Redress will include payments to customers and adjustments to balances of current outstanding loans. On average, eligible customers will receive redress amounting to £264.  Please note, the redress does not apply to pawnbroking.

Customer Redress Form

Please find some helpful FAQs below:

  • Q: How will I find out if I’m eligible for redress?

    You will be contacted if you are owed redress. We began contacting customers in April 2022 via email and letter; there’s no need to contact us unless you have a specific query.

  • Q:  If I’m entitled to redress, how will I receive the money?

    If you’re entitled to redress and have an existing loan with H&T, we’ll adjust the balance of your outstanding loan. In this instance, we’ll write to you to confirm the details. If you no longer have an H&T loan, we’ll contact you and either pay directly to your nominated bank account or send you a cheque.

  • Q: How long will it take to receive my refund?
  • Q: What methodology have you used to calculate the redress and which loans were reviewed?

    We reviewed all High-Cost Short Term Credit Loan (HCSTC) Personal loans with our overriding principle being to treat all customers fairly, and where potentially unaffordable lending is identified that those customers are returned to the position they would have been in had the loan not been granted.

  • Q: How have you calculated my redress?

    The calculation may include repaying any interest over the loan principal, writing off balances and removing information from credit files.

  • Q: What is an HCSTC Loan?

    HCSTC loans are unsecured loans with an annual percentage interest rate (APR) of 100% or more and where the credit is due to be repaid, or substantially repaid, within 12 months.

  • Q: Why haven’t you redressed ALL of my loans?

    We looked at each loan on an individual basis redressing only those loans that were found to be unaffordable after application of the methodology detailed above.

  • Q: Why have I been left with an outstanding balance?

    This will be because you have repaid less than the principal balance on at least one of the loans covered by this review.

  • Q: Is the Principal amount (the original sum borrowed) included in the adjustment?

    No - the Principal sum should be repaid even if the loan did not meet the standard for assessing affordability.

  • Q: Why have I received a letter advising me that I will receive no redress and/or no adjustment?

    This will be because you received a ‘top up’ (additional sum) to your loan at some point, and the top up exceeds any redress or adjustment amount. If you have concerns about your personal loan, please contact our Customer Relations Team on 0161 505 0369.

Customer Redress Form