Not upheld: irresponsible lending - failure to identify gambling complaint against Valour Finance Limited trading as Savvy.co.uk

Decision detail

Summary

Mr T complained that Savvy lent to him irresponsibly and should have discovered his gambling problem through better checks. Savvy approved two loans: £500 in August 2024 (repaid on time) and £1,000 in February 2025 (on track for repayment). The ombudsman found Savvy conducted reasonable and proportionate checks including income verification at £1,949 monthly, credit history review, and recorded calls where Mr T was directly asked about gambling and denied it. The ombudsman concluded that Savvy's checks met regulatory requirements and Mr T gave no indication of gambling issues, so the complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that Savvy's checks were reasonable and proportionate for the loans offered. Savvy verified income, reviewed credit history, spoke to Mr T on recorded calls confirming his circumstances, and asked him directly about gambling. Mr T denied gambling on both occasions. The regulatory framework does not require lenders to go beyond proportionate checks early in a lending relationship. Mr T successfully repaid Loan 1, which was a positive factor for Loan 2. There was no evidence that Mr T gave Savvy reason to suspect gambling.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website