Rent-to-own company, BrightHouse, has been ordered to refund customers after a financial watchdog found that they have treated customer payments unfairly.
The Financial Conduct Authority (FCA) has made an agreement with BrightHouse where they are to reimburse and compensate customers £14.8 million for irresponsible lending.
The lending company, which has high street shops across Greater Manchester, has had their business practices reviewed and have produced a reimbursement plan as a consequence for putting their customers at a high risk of financial difficulty.
Many people on social media were unsurprised at this news.
Shock, Brighthouse with its rip off payment plans and interest rates, was actually ripping people off. Who knew? #wato
— Mike O'Hara (@thenavvie) October 24, 2017
BrightHouse have agreed to compensate 249,000 customers who may or may not have received full reimbursements from their payments.
The total value of this scheme is £14.8 million which will include balances of interest and fees. The cash repayments alone will cost BrightHouse 6.5 million.
BrightHouse chief executive Hamish Paton said: “We sincerely apologise to these customers who were affected. Our top priority is to ensure that they are reimbursed as soon as possible.”
Quays reporter Denis Andrei has more.
Amanda, 31, from Droylsden, Manchester used the BrightHouse service to purchase a new suite through a weekly payment of £20 for 152 weeks.
She was very unhappy with their service as she claims that BrightHouse customer service team were very unhelpful with her complaint.
Amanda said: “I’ve been treated unfairly and they’ve admitted themselves that they’re the ones who have messed up.
“They’ve not rectified the problem yet and I’ve got three young children and I’m having to wait, even though it’s their fault. I don’t think it’s very fair at all!”
We spoke to Salford’s residents about the agreement.