Not upheld: irresponsible lending complaint against Everyday Lending Limited (trading as Evlo)

Decision detail

Summary

Ms G complained that Everyday Lending Limited (Evlo) provided her with an £8,500 loan irresponsibly in 2023. The loan was repayable over five years with monthly repayments of £315. Evlo verified Ms G's monthly income of £1,450 and assessed her existing debts of £12,000 with no adverse credit markers. The loan was intended for debt consolidation, which would reduce her overall monthly repayments. The ombudsman found that Evlo's pre-lending checks were reasonable and proportionate, and that Ms G had sufficient disposable income to afford the repayments. The complaint was not upheld, and no remedy was ordered.

The Ombudsman's reasoning

The ombudsman found that Evlo's pre-lending checks were reasonable and proportionate. Evlo used verified figures where available and reasonably calculated figures where they were not. The loan was for debt consolidation, which would reduce rather than increase overall indebtedness and monthly repayments. Based on the information gathered, there was nothing to suggest Ms G would be unable to sustainably repay the loan. The ombudsman also considered the relationship under s.140A of the Consumer Credit Act 1974 and found no evidence of irresponsible lending or unfair treatment.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website