No Longer Wronger Wonga

The word detest is a mightily powerful word……to dislike intensely. But that is the only word I can think of towards any company that constructs its business model around praying on the vulnerable.

 

With this in mind, it’s very fair for me to state that I dislike the payday lender Wonga and all that it stands for. Oh sod it, let’s go for it……I despise them.

 

I wrote about this back in April http://stevesmithlive.blogspot.co.uk/2014/04/wronga.html but that was before the announcement last week that it is writing off £220 million of debts for 330,000 customers after putting in place new affordability checks.

 

Let’s put that another way……it is writing off £220 million of debts for those people that should never have had the loan in the first place as there wasn’t sufficient financial resources to repay it (which is the perfect scenario for Wonga).

 

Let’s be crystal clear here……Wonga didn’t reset it’s moral compass and find a conscience in the Autumn air……the regulator did what it was meant to do and shamed Wonga into the action.

 

Hats off to the Financial Conduct Authority for doing its job.

 

Let’s hope similar companies find some worthy principles sharply.