Doorstep lender falls into administration

A high-cost lender which provides doorstep loans across regions including Derbyshire, Lincolnshire and Nottinghamshire has fallen into administration.

Robert Maxwell and Julian Pitts of Begbies Traynor were appointed joint administrators of Leeds-headquartered Hamsard 3225 Limited, trading as CLC Finance earlier this week.

The Financial Conduct Authority (FCA) says the firm is no longer lending and that all existing loan agreements remain in place and the administrators will provide updates to customers as soon as possible.

A statement from the FCA said: “The firm’s administration does not change the payment terms and conditions of customers’ loans, these are the same as when the loan was taken out. The firm remains subject to the same regulatory rules and requirements as it did prior to its administration.

“Customers should continue to make repayments as normal. Failure to do so could affect customer credit records. We are in regular contact with the firm and the administrators regarding the fair treatment of customers.

“Hamsard 3225 Limited (trading as CLC Finance)’s customers will not be covered by the Financial Services Compensation Scheme (FSCS) as consumer credit lenders are not covered by the scheme.

“The administrators will be providing further details about how complaints will be dealt with in due course.”