Liquidators for payday lender Cash Genie (Ariste Holding Limited) are seeking former customers who may be entitled to a payout as a result of the company’s unfair practices.
In 2014 Cash Genie voluntarily notified the Financial Conduct Authority (FCA) that it had engaged in unfair practices* and agreed to an independent review of its past business. Prior to engaging with the FCA, the company wrote off more than £10.3 million in charges and interest.
Whilst 76 percent of the monies owed have already been paid out to customers, around £1.5m of funds remain unclaimed. As Cash Genie and its sister company Twyford Developments Ltd (which traded as Carter Forbes) have now gone into liquidation, the official liquidators from RSM are working to trace the remaining customers who have not yet come forward for their redress payments.
Steven Law, Partner at RSM and one of the liquidators said:
‘In this case Cash Genie has voluntarily entered into a solvent liquidation, meaning there is enough capital left in the business to redress all affected customers. We have been working closely with Cash Genie and its sister company and are keen to find and pay those remaining customers.’
The redress package agreed with the FCA consists of a combination of cash refunds and balance write-downs. Cash Genie has agreed to:
- write off or refund fees and charges which should not have been added to customer accounts;
- write off or refund rollover interest where the firm rolled over customers’ loans inappropriately;
- refund payments taken without authorisation. In addition, the firm has agreed to write off all outstanding balances on accounts affected by this practice; and
- write off or refund interest and fees added to customers’ accounts after the point at which the firm should have provided customers with an annual statement.
A specially dedicated phone line has been set up to assist with claims and any customers who think they may be owed money are advised to call 0333 366 0023 between the hours of 9am and 5pm, Monday to Friday or by emailing email@example.com.