Myjar.com (MyJar) is an independent, UK based lender, with a history dating back to 2009. To date, MyJar has serviced 2 million consumer loans totalling £405 million. Notably, at the time of writing, this is a brand that holds an impressive rating of 9.3 out 10 on TrustPilot. They present as a lender that’s a little different to most, and they say that their fair treatment of customers set them apart. Today, this lender supports charities such as Payplan, Stepchange and Christians Against Poverty. Yet this isn’t to say that MyJar always delivers the levels of customer satisfaction they seek to associate with
Exploring the past of MyJar
Unlike a large majority of the payday market, MyJar have previously not been fined by either the Financial Conduct Authority or the Financial Services Authority. However they have formed part of core communications in relation to the payday industry and the problems it previously faced (namely including the Government’s insistence that lenders must be found on comparison sites; that their borrowers should be able to identify if they can repay early; and that accurate and reliable information must always be readily available for consumers, amongst other pointers).
MyJar was also to come under fire in 2014, when a Which? Investigation found that many payday lenders were charging unfair fees. This was based on the Office of Fair Trading (OFT) previously deciding that penalty charges for credit cards should be no more than £12, unless there were exceptional factors. In contrast, MyJar was charging £25 – which, amongst other lenders, was criticised by consumer groups as being ‘excessive’.
“We welcome Which?’s interest in this area and we are already considering default fees as part of our work on capping the total cost of credit”.
The Financial Conduct Authority
One of the few sources of valuable data about current, consumer issues with MyJar comes directly from MyJar themselves – in the form of data on their internally handled complaints. The most recent data (compiled on complaints between 1 December 2016 and 31 May 2017) show 1127 were opened, 29.8% of which were upheld.
We have a good track record of holding MyJar to account for not recognising repeat borrowing patterns and telltale signs of unaffordable lending. We’ve been in business for a long time, and have become a trusted name for addressing the mistreatment of borrowers by payday lenders.
If you believe that MyJar failed you, we can help. Here’s how…
✓ We have a rock sold payday loan claim success rate.
✓ You’ll never step foot into a court, nor will you need to face your lender
✓ We’re fully and comprehensively regulated
✓ Our application process is based online for your convenience, whilst our experts are on hand when you need them
We realise that claiming against a high cost loan lender can seem daunting. We aim to make the claiming process as simple as possible. We specialise in affordability claims. Our experienced team will communicate with the lender (and where required, the Ombudsman service) on your behalf. We use bespoke technology to ensure efficient claims handling. Throughout the process, we inform you of claim progress using a “stage process”, so you can track your progress easily. Please remember though, that you do not need to use a claims management company to make your complaint to your lender, and if your complaint is not successful you can refer it to the Financial Ombudsman Service yourself for free.
Pre complaint investigation and analysis
Formal mis-selling complaint made
Lender responds with a Final Response Letter
If appropriate resolution cannot be reached with the lender, referral to Financial Ombudsman Service.
As of the 1st March 2022, we have implemented a new fee structure which we have explained below. If you signed your contract with us prior to the 1st March 2022, please refer to your signed claims pack for our previous fee terms.
Our fees are owed upon a successful claim and will depend on the amount of redress you receive in cash in hand compensation. This means we charge on what you actually receive, not debt or tax deductions. If income tax is deducted from 8% statutory interest received and sent to HRMC, we do not charge you on this deduction.
If successful, your fee will be calculated based on which band your redress falls into and will be charged by whichever is the lowest of:
The below table outlines the redress bands, the maximum percentage rate of charge and the maximum total charge is for each band.
|Band||Redress||% Charge (with VAT)||Maximum charge (with VAT) (£)||Maximum charge (without VAT) (£)|
|1||1 – 1499||36%||504||420|
|2||1,500 – 9,999||33.6%||3000||2500|
|3||10,000 – 24,999||30%||6000||5000|
|4||25,000 – 49,999||24%||9000||7500|
Examples of how this would work in practice:
|Band||Lower example||Higher example|
|1||You receive £100 in redress; our fee would be £36.||You receive £1499 in redress; our fee would be £504.|
|2||You receive £1,600 in redress; our fee would be £537.60.||You receive £9,999 in redress; our fee would be £3,000.|
|3||You receive £12,000 in redress; our fee would be £3,600.||You receive £24,999 in redress; our fee would be £6,000.|
|4||You receive £30,350 in redress; our fee would be £7,284.||You receive £49,999 in redress; our fee would be £9,000.|
|5||You receive £55,000 in redress; our fee would be £9,900.||You receive £100,000 in redress; our fee would be £12,000.|
If you owe your lender money (e.g., because you are in arrears or have an active loan), they may use some or all of your compensation to reduce what you owe them. If this happens, our success fee will be calculated on the actual cash in hand compensation that you receive, for example:
|1||You recover £1,000 but owe the lender £800 for an outstanding loan, so receive £200 cash in hand. Our fee would be 36% inc. VAT of £200 which is £72.|
|2||You recover £8,000 but owe the lender £2,000 for an outstanding loan, so receive £6,000 cash in hand. Our fee would be 33.6% inc. VAT of £6,000 which is £2,016.|
|3||You recover £21,000 but owe the lender £9,000 for an outstanding loan, so receive £12,000 cash in hand. Our fee would be 30% inc. VAT of £12,000 which is £3,600.|
|4||You recover £40,000 but owe the lender £10,000 for an outstanding loan, so receive £30,000 cash in hand. Our fee would be 24% inc. VAT of £30,000 which is £7,200.|
|5||You recover £70,000 but owe the lender £17,000 for an outstanding loan, so receive £53000 cash in hand. Our fee would be 18% inc. VAT of £53,000 which is £9,540.|
You would pay us the fee once you receive your cash in hand benefit from your lender, and your outstanding loan will also have been paid off at no additional charge.
Please note, the above fee examples are for illustration purposes only. They are not an estimate of the likely outcome or fee you will need to pay. Each claim depends on its own merits.
You can cancel for free at any time within 14-days without giving any reason and without incurring any liability. You can communicate your cancellation by telephone, post, email or online.
You can cancel this agreement at any time after the 14-day cancellation period. However, if a complaint submitted by us is successful, the Success Fee will apply in the usual way.
You can cancel by post: Allegiant Finance Services Limited, Freepost RTYU–XUTZ–YKJC, 400 Chadwick House, Warrington Road, Birchwood Park, Warrington, WA3 6AE; (b) by email: [email protected]; (c) by telephone: 0345 544 1563; or (d) online at https://allegiant.co.uk/compliance/cancellation.
Allegiant Finance Services is widely regarded as a pioneer in the high cost loan claims management market.
Contactable by email, phone, or post, whichever you prefer
We will only correspond with you and keep your details secure. We’ll never sell your data.
Much more than a contact form. With our full online application process you will receive an instant automated decision on whether we can take on your claim
We are proud to have recovered £millions on behalf of our customers
We’ve been claiming high cost loan refunds since 2013