Grace who lives in Northumberland called Five Lamps recently with an urgent request to help her clear a ‘pay day loan’
Her application was reviewed by Vince Rogers, Five Lamps’ Loan Officer who established that the payment for her pay day loan was due immediately or she would pay a further penalty. The annual percentage rate (APR) for this loan was almost 2000%.
Further investigation revealed Grace’s loan, taken shortly after Christmas 2011, had subsequently been ‘rolled over’ on a number of occasions, incurring significant additional fees.
Vince spoke directly to The Money Shop and obtained agreement to waive their fee subject to a same day payment being made. Vince worked with Grace to successfully apply for an affordable Five Lamps personal loan, which would enable Grace to pay off her loan to The Money Shop and also benefit from lower repayments and interest.
Grace was able to clear her debt with The Money Shop and avoid further penalties.
Both Grace and her daughter were extremely grateful for Five Lamps support. Grace said
“It is a massive relief to know I do not need to worry about how I will repay that loan. The payments with Five Lamps are so much cheaper and more affordable. I am so relieved they could help me, and very impressed at the speed of their response”
Last year, Five Lamps supported over 11,700 financially excluded customers across the North East with affordable loans to financially excluded individuals, enabling them to move away from their reliance on unaffordable or illegal credit.