Pay Day Loans and the Ombudsman

[Soapie]

My son used a payday loan firm whilst he was in financial difficulty. Unsurprisingly this did not help him get out of debt. My son completed the application form and put incorrect information about his day to day costs on the form so as to give the impression that his earnings covered his costs. Were the payday loan company at fault for accepting apparently unlikely values on an application form? Should they have checked this more thoroughly? Did my son commit an offence by putting false information on an application for a loan? Is there a case for applying to the ombudsman for compensation? Is there a time limit for challenging this?