Not upheld: irresponsible lending complaint against Oakbrook Finance Limited, trading as Finio Loans

Decision detail

Summary

Mr W complained that Oakbrook Finance Limited, trading as Finio Loans, irresponsibly lent him £3,000 in 2024 with 36 monthly payments of £158.21. Finio verified Mr W's salary of £35,000 annually and used Office for National Statistics data to calculate essential living costs, concluding he would have £230 monthly remaining after all obligations including the new loan. The ombudsman found Finio's checks were reasonable and proportionate, and there was nothing to suggest Mr W could not sustainably repay. Although Mr W's circumstances changed in September 2025 resulting in reduced income, the ombudsman distinguished this from the original lending decision and did not uphold the complaint.

The Ombudsman's reasoning

The ombudsman found that Finio's pre-lending checks were reasonable and proportionate given the credit limit offered. Using verified salary figures and reasonably calculated essential living costs, Finio concluded Mr W would have £230 per month remaining after all obligations. Based on the information gathered, there was nothing to suggest Mr W was likely to be unable to sustainably repay the loan. The ombudsman distinguished between the original lending decision and Mr W's later change in circumstances, noting that a subsequent income reduction does not retroactively make the original lending decision unfair.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website