Partially upheld: service failure, incorrect information provision, poor handling of vulnerable customer complaint against Shop Finance Company Limited trading as Very Pay

Decision detail

Summary

Miss I complained that Very Pay charged high interest on a BNPL purchase after she could not repay by the 26 November 2024 deadline due to bereavement-related financial difficulties. When she called Very Pay on that date, the call handler provided incorrect information, including falsely stating the BNPL had already ended and being unclear about the payment deadline. Very Pay upheld her complaint regarding the call but maintained the interest charges were correct. The ombudsman partially upheld the complaint, finding the interest was charged in accordance with the credit agreement but awarding £200 compensation for the distress caused by the call handler's poor service and lack of empathy toward a vulnerable customer.

The Ombudsman's reasoning

The ombudsman found that while Very Pay charged interest in accordance with the credit agreement and Miss I was aware of the BNPL deadline from her statements, the call handler provided incorrect and confusing information during a vulnerable moment. The call handler incorrectly stated the BNPL had already ended and failed to clearly communicate that Miss I had until that day to make payment. Although Miss I likely could not have avoided the interest given her financial circumstances, the poor service and lack of empathy shown to a vulnerable customer during the call caused distress. The ombudsman rejected the argument that breathing space would have prevented interest being added, as breathing space pauses collections, not contractual interest accrual.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website