Cash Genie places itself in liquidation

Thu, 07 Jan 2016 | ADMINISTRATION

A payday lender, that offered short-term loans at a yearly interest rate of 2,986 per cent, has put itself into a solvent liquidation, after having been ordered by the Financial Conduct Industry to pay out £20 million in customer redress six months previously.

Cash Genie, which had admitted its unfair dealings, came to an arrangement with FCA to pay out redress to 92,000 customers in July 2015, who had been victim to a "number of serious failings" dating back to when the short-term loan provider started in 2009.

The liquidation is being managed by RSM Restructuring Advisory. The situation won't stop further payments of redress, and any customers owing money to Cash Genie are still expected to pay up.

The FCA uncovered several failings in its original investigation into the company, these included unfair fees, £50 charges to move customers over to its sister debt collection business, despite no additional costs being involved.

Money Advice Trust chief executive Joanna Elson OBE said: "Few will mourn the liquidation of this rogue payday lender, which the FCA rightly took action against in July after uncovering deeply unfair treatment of customers in financial difficulty."

RSM is still attempting to track down 12,000 borrowers who are still due redress, and are owed an average compensation of about £175 each.

Find distressed business listings


Share this article



Latest Businesses for Sale

Structural Engineering Design Consultancy
South West, UK

Providing designs that are practical but creative and often innovative, to meet the specific needs of its clients. Supporting sustainable construction methods and experienced in eco-friendly structures such as PassivHaus. Offers invited.

Asking Price: Offers Invited
Turnover: £715,000

LEASEHOLD


Technology & Wearables Brand
UK Wide

An established, proven brand and assets for sale, with considerable multi-million pound growth potential. The company is a designer and supplier of an established audio and wearable technology brand. The products seamlessly link three multi-billion-p...

Asking Price: Offers Invited
Turnover: £5,000,000

RELOCATABLE


Air Conditioning & Refrigeration Products Service Provider
UK Wide

Offers a diverse range of commercial refrigeration and air conditioning equipment throughout the UK. Benefits from maintenance contracts and reactive maintenance. Possesses a strong understanding of all types of cooling solutions and is able to fully...

Asking Price: Offers Invited
Turnover: £6,400,000

FREEHOLD



View more businesses for sale

News Search

Latest News

 
19
 
Nov
 

UK government set to approve Cobham takeover | BUSINESS SALE

The British government is poised to approve the $5 billion t...

 
18
 
Nov
 

Kitwave acquires Alpine Fine Foods | BUSINESS SALE

Independent wholesaler Kitwave has acquired Alpine Fine Food...

 
15
 
Nov
 

Carpetright agrees to shareholder takeover deal | BUSINESS SALE

Carpetright has agreed a deal to be taken over by its larges...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
05
 
Sep
 

Grantham’s Olde Barn Hotel enters administration | ADMINISTRATION

A very highly rated hotel in Lincolnshire has fallen into ad...

 
27
 
May
 

P2P firm Lendy enters administration | ADMINISTRATION

A peer-to-peer (P2P) banking firm has collapsed into adminis...

 
22
 
Apr
 

Sheffield printing firm enters administration - assets up for immediate sale | ADMINISTRATION

A printing company based in Sheffield has fallen into admini...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources