The following information is relevant for the customers of the following companies:

provident personal credit satsuma loans glo loans greenwood personal credit

 

Practice Statement Letter

Information for customers

The information below does not affect your responsibility to carry on making your normal payments in respect of outstanding loans.

  • Our records show that you may have had a loan from Provident, Glo, Satsuma or Greenwood (the "Lenders"), or that you may have guaranteed a loan from Glo between 6 April 2007 and 17 December 2020. If you received a loan from Provident, Glo or Satsuma, the loan will have come from a company called Provident Personal Credit Limited ("PPC"). If you received a loan from Greenwood, the loan will have come from a company called Greenwood Personal Credit Limited ("Greenwood").
  • The loan or guarantee may have been unaffordable to you because the Lenders may not have carried out the right checks when it made the relevant loans or took the relevant guarantee.
  • We are writing to all borrowers who received loans from the Lenders ("Borrowers") and to all persons that guaranteed a loan from Glo (the "Guarantors") to see if the Lenders may owe you compensation. If you are a Borrower with a valid claim, your compensation claim will be calculated based on the interest paid on the loan. If you are a Guarantor with a valid claim, your compensation claim will be calculated based on the amount actually paid by you. If you have a claim as both a Borrower and a Guarantor, you will need to submit each such claim separately.
  • We are using a plan called a "Scheme of Arrangement" (the "Scheme") to deal with all Borrowers and Guarantors (together "Consumers").
  • If the Scheme is approved, Provident Financial plc will make £50 million available to pay to Consumers for their valid compensation claims. In addition, some Borrowers with outstanding loans will have those loans reduced against successful claims.
  • Consumers will be able to vote on the Scheme in July 2021. The Court will then consider whether to approve the Scheme.
  • If the Scheme is approved, you will then have 6 months to make a claim. If you don’t make a claim within 6-months, you will lose any right to compensation and you will not receive any money. Also if you are a Borrower, you will lose the right to reduce any amount you owe on your loan and, if you are a Guarantor, you may have to make payments under your guarantee.
  • Once all claims have been agreed, we will calculate the compensation due to each Borrower or Guarantor with a valid claim. We would expect to start making payments in the first half of 2022

If you would like to read the Practice Statement Letter in full, please click on the button below to view a downloadable PDF version.