Loans At Home becomes the latest high-cost lender to collapse into administration

Leeds-based firm Loans At Home has stopped making new loans as a result after a report found that it had ‘damaged’ some of its customers and had covid battery-damaged its business model.

High-cost lenders Loans At Home has fallen into disrepair after causing “damage” to customers.

Home Mortgage Lending – The type of loan collected by agents on your property.

Its offered Loans of between 14 and 63 weeks, with common APRs in the region of 450%, according to reports.

But money watchdog the Financial Conduct Authority (FCA) announced this week that the company has gone into administration.

The company can not make new loans.

However, all of its current loans remain in place, which means that lenders still have to make their repayments.

SD Taylor, the parent company, was founded in July 1955.

In turn, SD Taylor is part of the Non-Standard Finance Group, owned by Non-Standard Finance plc.

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A note on the NSF website said a review found “it could hurt certain home loan customers”.

It added that chats with the FCA mean that directors thought Loans At Home was “no longer viable” as a business.

NSF bought SD Taylor in 2015 for £ 82.5 million.

Loans At Home lent $ 45.4million to customers in 2020, according to its latest accounts – down 41% by 2019.

The company said this was because Covid Lockdowns meant it could not visit customers in their homes, destroying its business model.

It stopped making any loans for two months from 2020, and made a £ 2.5million loss for the year.

Grant Thornton is the home loan administrator.

Customers with any questions should contact SD Taylor Customer Services at 0800 0114490 or email customerservice@loansathome.co.uk.

The FCA, NSF and Grant Thornton were contacted for comment.

Lending at home is the latest in a series of high-cost lenders to run into difficulties.

Last month high cost lenders TFS loans and the administration collapsed following claims of “unpaid loans”.

The company is known as a guarantor lender, which means it will require a family member or friend to cover repayments if you are unable to.

Last December, customers of Amigo, which stopped trading in 2020, were said to be expecting get less than half back of the interest and fees charged.

The guarantor lender has published two different recovery schemes online that outline how much compensation customers could receive.

Last May, controversial credit giant Provident Financial withdrawn from the door loan after more than 140 years.

The lender cites “shifting customer preferences” for its decision to stop pushing loans on people’s doors.

Companies and administration did not go bust. Their administrator will find out if some or all of the business can be saved, and if a buyer can be found.

What happens then?

Lending at home is no longer able to sell new loans.

However, all of its current loans remain in place, which means that lenders still have to make their repayments.

Grant Thornton is the administrator who manages his collapse.

If you own money due to a complaint, the administrators will now deal with it on behalf of the company.

However, in previous situations where a lending company broke down, the claims did not receive the full amount they owed.

For example, Wonga customers received only 4p for every £ 1 they were paid.

Customers with any questions should contact SD Taylor Customer Services at 0800 0114490 or email customerservice@loansathome.co.uk.