Unregulated lending / bridging

[Michaelj]

All

i wanted to see if anyone had any bad experiences with this
unregulated bridging / secured lending seems to be a ticket to destruction
with personal guarantees attached but absolutely no interest by the lender in a persons ability to afford the guarantee it seems disastrous and just like personal lending with no test
often the sums are vast with lenders like amicus and even regulated fca brokers pushing them on
people can be handed 3 4 or 5 bridges at a time which quickly turn into a personal noose around a neck with absolutely no affordability testing

lenders often know for certain it will fail but do not think of suicidal thoughts from people who cannot cope

[Mary Jones 2]

yes - have a bad unregulated business loan with PG , Just cash Flow PLc , they should still follow a lending code- or see if they are signed up to a lending code. I always believe there is an argument for irresponsible lending* under CONC- i dont think it wins in business court as its consumer lending, but my argument is a personal guarantor is an individual and should covered by consumer lending practices, but always worth complaining about , even if its just to unnerve them, even lenders not regulated should follow roughly the rules of the lending code.*
Otherwise your only redress is Unfair contract terms, look them up in UCTTR*

i am hugely against , companies doing personal guarantees without checking the income and expenditure of individuals if the company didnt exist*
and think the powers that be need to make this law, this is what CONC is all about but its FCA guidance not law. Credit checks and asset lists arent good enough.
The*firm*must consider the*customer’s*ability to make repayments under the agreement:

1. (1)*
   
   as they fall due over the life of the agreement and, where the agreement is an*open-end agreement, within a reasonable period;
2. (2)*
   
   out of, or using, one or more of the following:
   1. (a)*
      
      the*customer’s*income;
   2. (b)*
      
      income from savings or assets jointly held by the*customer*with another*person, income received by the*customer*jointly with another*person*or income received by another*person*in so far as it is reasonable to expect such income to be available to the*customer*to make repayments under the agreement; and/or
   3. (c)*
      
      savings or other assets where the*customer*has indicated clearly an intention to repay (wholly or partly) using them;
3. (3)*
   
   without the*customer*having to borrow to meet the repayments;
4. (4)*
   
   without failing to make any other payment the*customer*has a contractual or statutory obligation to make; and
5. (5)*
   
   without the repayments having a significant adverse impact on the*customer’s*financial situation.