On Friday, the UK’s payday lending industry came to an end, when the QuickQuid fell into administrative issues, which was followed by hundreds and thousands of consumer complaints. The parent of QuickQuid was a US-based firm Enova. The shutting down of QuickQuid was due to its failure in reaching out for the deals with the regulators over inundation of the claims of compensation made against the firm.
Along with the other lenders, the firm was accused of preying on the people with financial difficulties to provide them with an insignificant amount of loans in return for a sky-rocketing rate of interest.
For the new customers, QuickQuid would offer a loan up to £1,000 and to the ones returning £1,500, while its website quotes the annual percentage as high as 1300 per cent. In the previous night, the news of Grant Thornton taking over the trading company –CashEuroNet UK of QuikQuid was confirmed.
The company was found to have been facing more than 10,000 complaints, which was mostly from the borrowers who were unable to repay their loans due to the high rate of interest imposed on them.