IS LENDING WORKS DOING ANYTHING RIGHT?

ive no idea how they calculate the offer. TBH i will just be glad to run down the remaining balance and close the account.

Same here. I was OK with all of it at the time, mainly because I didn't understand it, but even so they stayed afloat etc... What tipped me over the edge was the fact that I would get no more interest for the life of the loans or pay £800 to sell.

Noted from the FOS decision on FC transfer charge.... "With all this in mind, I’m satisfied that it was fair for Funding Circle to re-price Miss E’s loan parts on the secondary market. It appropriately considered the impact this would have on Miss E before implementing the transfer payment and it gave Miss E reasonable notice, as

I summarised my complaint for them and they only addressed 3 things. I will go to the Ombudsman after one more try to get answers. Their response was pretty poor in terms of content. 
My summary
• No numerical example was given.

• No mention of a retrospective adjustment on previously paid interest.

• No mention that interest could go negative.

• No mention of what the percentage would be for the interest penalty on sale of loans.

• No 30-day period to opt out of accepting Interest penalty on sale of loans.

• The interest adjustment calculations were and still are impossible to replicate or verify.

• There was no data available, tailored to the specifics of each Investor’s Loan portfolio to show the effects of the new T&C’s and there still isn’t.

• LW knew of the issues that investors had understanding the T&C changes on the Nov 19 email and did nothing to clarify the situation.

• LW were advertising a fixed rate of 6.5% for months knowing that it was unsustainable.

• There were issues with the provision fund for some time before the issues were raised with investors in Nov 19.

• My risk appetite for Lending works P2P started in March 2019. The biggest Interest rate reductions were on loans taken out prior to my involvement in March 2019. LW knew they were underperforming loans.

• All other P2P lenders that I invested with throughout Brexit and the pandemic continued to pay interest at a fair rate. They also did not take 2% to fund their own overheads!

• LW data benchmarking showed that the loan portfolio was performing slightly better than average but investors were treated far worse.

• Percentage charge for interest penalty on sale of loans is much higher than that of other P2P providers.

• The amount of unsold loans, which could not be sold due to payment issues does not suggest a terrible issue with bad debt on my cohorts.



I am seeking compensation for:

£85 for retrospective reduction of interest in January 2020 which I could not calculate or verify and was not adequately explained in the correspondence.

£162 negative interest which I could not calculate or verify.

£787 for Interest rate penalty that I was not given a chance to opt out of.

£866 For lost interest in line with rates of other P2P providers during the same period.



Total £1,920


Optimistic? 

Complaint lodged with FOS, the wait commences

I had the original offer of £100

Replied and said not satisfied, not answered my points, they just said they were only making one offer and I had 6 months to refer to FOS