Unregulated Loans Campaign

[vicky160985]

Re: Unregulated Loans Campaign

An annotation left on my FOI request this morning with regards to Lancashire and Cheshire Mortgage Corporation.


"Hi
Afaik (My interpretation)
A company (the 'Principal') can cover another company (Authorised Representative), but must have a written agreement under which the Principal is responsible for the actions of the AR.
Both should be shown on the FCA Register."

[vicky160985]

Re: Lenders are abusing exemption clauses to make loan agreements fit into unregulat

https://www.whatdotheyknow.com/reque...utgoing-537697


Here's the link for my FOI request.

[vicky160985]

Re: Unregulated Loans Campaign

I wrote back with all info requested about the agreement. And said I look forward to hearing back from you with regards to the regulatory status of my fathers agreement.

They replied and thanked me for the info. Then advised that it was being looked at by the people monitoring Blrmain / Together.

I left it a few days but still no word so emailed a short email which simply asked .... is the agreement sent to you regulated or is it not?

Reply advised that they could not answer that question as they do not deal with individuals complaints and that the FOS would be the one to answer.

This seems pathetic to me. They are the FCA and they can't tell me how they regulate or if an agreement is regulated.

I said in the email that I did understand they didn't deal with individuals and that I would go to the FOS once I knew what argument I'll be putting to him. Afterall the difference between being regulated and unregulated is masive!

Annoyed I wasn't buying it at all.

Instead I've made a freedom of info request asking if the FCA have to tell me the status of my loan and explsin meanings of terms they used when asked by a consumer.

[vicky160985]

Re: Unregulated Loans Campaign

Thank you Fred! I was a bit confused about this and the FCA do not want to tell me if the agreement is regulated or not but now I know which I have you to thank for. :-D

[Fred]

Re: Unregulated Loans Campaign

Ask the FCA what the fine was for, as in what did they find wrong & why did they act.

The license whether through an association or direct means that the licensee is regulated by the CCA. This means that the holder of the license can be fined over breaches of the act (CCA) even involving unregulated loans.

It is the loan & not the provider that is not regulated by the "act" (CCA 1974) thus meaning that a reprimand could be issued on matters of a breach of the act under said license.

[vicky160985]

Re: Unregulated Loans Campaign

I'm back haha

Right before I go to bed I thought I'd give a quick update about the reply to that letter. I only sent this last week. Reply came within two days. All done by email.

Same woman from my earlier Dec 2015 email from the FCA replied.
Only she wasn't so quick to dismiss me this time I felt.

She thought I should know that LMC are appointed representatives to cheshire mortgage corp therefore lancashire are regulated by them through cmc.
She went on to say she required more info about the agreement with lancashire to establish if it fell within their remit.
She provided a contact number .
I replied by email ....

They talk about lenders using legible english only to do things like this which lets face it, if you're not in the buisness how the hell would you know this is what is ment !!!

I'm part way through my letter to my MP too. I have questions about both lancashire and the FCA now.

Its a disgrace!

Night all x

[vicky160985]

Re: Unregulated Loans Campaign

So here's the last part to my letter. First part was about my fathers agreements and why they were unfair etc.


Does anybody agree with what I'm asking them here? Does it not seem so very obvious!?
* Too often compliance with proper standards of conduct is interpreted in practice as requiring only compliance with the lowest acceptable standard of behaviour.
Regulation provides comprehensive protection, it is compliance that proves to be weak.
Trust in these giant financial corporations rests not just on compliance, the law and regulation, but the implicit assurance that institutions apply proper standards to their business.
The validity of that assurance must depend in significant part on the guidance and rules on unfair terms given by regulatory authorities.
For it is failure to act in accordance with certain principles set that is then regarded as unfair or improper business practice.
The flawed underwriting process and failures by LMC to conduct adequate due diligence on our income & expenditure, is I believe a contributory reason to the struggles my father suffered as a direct result.

This group have failed to apply anything learnt or understood as a consequence of the enforcement action taken by the FCA
Continuation to conduct buisness outside of set regulation remains! Still!

I do realise that LMC are not regulated as was CMC but I still feel that the FCA could have acted more responsibly themselves here.* By providing information to other authorities who do have the power to investigate unregulated lenders.

Many groups are set up in a similar way as The Together Group.* Your investigations will go on within a number of them I'm certain.

Is this not a real opportunity to detect unfair lending practices?*
An opportunity to advise the appropriate authority's and associations responsible for them to any suspicions brought to light through your own investigation?*
An opportunity to reduce the number of cases brought before the FOS?
An opportunity to assist the law to the best of your ability?

The duty of a professional is to act with the care and skills of a reasonably competent member of their profession. Failure to do so is consisered to be profesional negligence.

You already know this group operates a number of sister companies in a way considered to be unfair by your own admission.* Yet your hands remain tied because you can not insist they agree to your regulations.
Consequently, it seems as though you remain quiet, withholding all knowledge of the truth.*
Failing to provide advice that is in a consumers best interest?!

You are failing to protect those you seek to protect.

Advertising their "Together Group" as a regulated company when in reality the greater part of that group is made up of unregulated companies is questionable by anyone's standards.*

In effect you are acting as an introducer.

You introduce innocent victims seeking out a regulated lender which offers protection from rogue traders to a lender who conceals what is behind the trusting mask that you are providing.

You sell your service as being something you do not stand for.
If you stood by your own regulations you would refuse to ignore this kind of fraudulant manipulation and unfair lending that continues.

My father was destroyed by this group and the evidence is readily available to prove that.
Their unlawful trading strategy resulted in such negative effects to his mental and physical health that he lost his life.
Situations were individuals suffering from stress and anxiety regarding a seemingly never-ending cycle of debt leap at the first offer of help or guidance.* It is quite heartbreaking when you realise that your own unregulated agreement does not warrant the same level of protection as would a regulated one.

Section 397 of the Financial Services and Markets Act 2000* provides for two criminal offences concerning misleading statements and practices.
* General Principle:* If a body stands by a decision they know to be wrong or untrue then they should be held accountable.*
Lenders are exploiting the FCA and it is going unaddressed but not necessarily unnoticed.

Regulations are there to secure an appropriate degree of protection for consumers aswell as to protect and enhance the integrity of the UK financial system and to promote effective competition in the interestof consumers.
Once again, I do appreciate you have no regulatory power over LMC.
* However, do you not agree that by regulating only part of this group you could be promoting the other associated companies?

Do you not agree that where a case may have wider public interest or may raise significant human rights issues, your power and authority aught to reflect the written word of the law and not the wishes of that groups Directors?

[vicky160985]

Re: Unregulated Loans Campaign

I'm currently experiencing problems with the FCA. I raised my concerns in December. Initially they told me my fathers agreement with L M C was unregulated (as L M C are not regulated by them) and so they couldn't help. They pointed me in the direction of the FOS! Which ok! I have no problem with that.
However! As I thought about it more and more it became obviously absurd! What they stand for that is.
Consequently, I wrote again only this time I asked questions as to why lenders could opt into regulation if thry chose to just as easily as they could pass on the OFFER!
Is that not like giving people the choice to abide by the law or not????

They exist to protect consumers from unfair treatment by those offering financial services.

Cheshire mortgage corp, sister comp to lmc was regulated and following investigations by the FSA, this company and director were fined. Cheshire was / is regulated.
Same staff, same building, same business model, same unlawful style etc yet my dads loan with LMC did not Warrant the same protection it seems!

So I pulled them on just that!
Give me a moment and I will copy and paste the key part of the letter I sent which resulted in an interesting response.

[veryannoyed]

Re: Unregulated Loans Campaign

Mediation was a complete waste of time LMC had no intention to mediate. My barrister gave 3 scenario's ranging from owing me 18k to owing me 2k. LMC even though they could not justify there interpretation of the agreement where asking to pay another 60k because of course if it went to court It would cost me 150k. Bearing in mind this was a loan for only 30k and fixed interest of approx 7.5k which has been fully repaid with an additional 10k repaid in error.

[Ruby]

Re: Unregulated Loans Campaign

In my situation, I have had two unregulated secured loans. I have been chipping away at the companies involved and they have agreed to not charge me any interest for the rest of the duration of the loan agreements. Its a small victory, but a significant one. Not many people can claim they pay their mortgage INTEREST FREE.

I also have just received a letter from one of the lenders (Welcome) offering me a reduced settlement.

I understand that you are battling the legalities of these unregulated agreements, but unfortunately we are just not significant enough to any financial institution

Its been a long hard slog but there are many ways of 'skinning a cat' xx

[Fred]

Re: Unregulated Loans Campaign

My case is up for mediation this week so I will let you know how I get on. Will be represented by a barrister so hopefully they will not be able to get away with pulling the wool over my eyes.

Do you have any news at all please ?

[Amethyst]

Re: Unregulated Loans Campaign

Aren't those the people who came in to help with the passport office phonelines ( that went well) oh and tax credits...

[suffering]

Re: Unregulated Loans Campaign

It seems Action Fraud ran out of Action; You May want to read this;http://www.independent.co.uk/news/uk...-a6701771.html

[veryannoyed]

Re: Unregulated Loans Campaign

This lot died a death then............................I think that there is still much to do here & it is real shame that "second charge" is still bottom of the list.

There has never been a better time to complain & bring some/all of the abuses alleged against the providers to public knowledge & put pressure on regulation to do their job.

My case is up for mediation this week so I will let you know how I get on. Will be represented by a barrister so hopefully they will not be able to get away with pulling the wool over my eyes.

[Mitrokhin]

Re: Unregulated Loans Campaign

I have read many of the stories on here concerning this lot Together/Blemain and would sign any petition in order to bring this lot into the public eye they ruin lives, I personally hate them and wish I'd never got the damn loan in the first place. I reckon I'll pay back around £150k on a £40k loan and thats meant to be fair?:mad2: