Responsible Lending Policy

We are a responsible lender.

CLB Global Group Ltd., trading as Budget Loans at www.budgetloansuk.com,  is a responsible loan provider in the UK. We are based in Watford, and we have been lending since 2009. Our main clients are Filipino OFWs. Our loans are between £500 and £1500, and you may have up to 18 months to pay off the loan.

The FCA fully authorized us under the license FRN 754136. to act as a direct lender in the UK. We are also regulated by the Consumer Credit Act 1974 and all relevant and applicable consumer credit legislation and regulations.

The FCA requires lenders to act to a code of conduct. One of these codes is our responsibility to act responsibly when we lend money to customers.

Link to our FCA guide

As a responsible lender, we comply with the FCA’s new guidelines. We are committed to providing an excellent service to consumers and treating them fairly. When you take out a loan, we feel that you deserve to know precisely what you are signing up for. Therefore, we have prepared a detailed guide to our short-term loans, and we request that you read it before applying. Feel free to contact us with any questions you may have.

What we do

We are here to provide responsible loans to help our customers through temporary financial shortages. We provide total flexibility and transparency, same-day service, and complete confidentiality. We actively encourage customers to repay loans as quickly as possible, saving them money on interest and allowing manageable payments.

Our loan process is straightforward, clear, transparent, flexible, and comparatively quick. Throughout the application process, we will give you all the necessary information to make a sound borrowing decision. We will always be available to deal with and resolve any queries you may have, either now or later.

What we need from you

At Budget Loans, we believe that we and the customer have to act responsibly. This means that you need to be honest with us in all cases. We will do our necessary checks and see if we can help you. This includes checking your credit through a 3rd party credit reference agency every time you take out a loan because we know that situations change. If we think that lending you money will worsen your finances and not help you, we will decline your application and let you know why. If you lie on your application to obtain a loan, you need to realize that by doing so, you are committing fraud. Under the Fraud Act 2006, you are committing a crime and could possibly face criminal prosecution by not disclosing items that you are legally required to.  

We expect that you will act wisely before applying for a loan. Taking out a loan to go on holiday is not a good reason to put yourself further in debt. Taking out a loan to consolidate your existing debts may be a good reason, subject to you getting a better rate, making payments, etc. We do not make loans so that you can keep up with the next-door neighbors! We want you to be responsible and make the best and most sensible decisions before entering into a loan agreement. We expect and trust you to enter such an agreement with us only because you are confident that you can meet your obligations under the contract and repay any loan in full and on time. We recommend you first approach your bank for the loan, as their rate is significantly less than ours or our competitors.

The Loan Process

Keeping you Well Informed: Pre-contract Information.

We will provide you with a document for pre-contract information called an SECCI. This will show the amount you want to borrow, the loan’s APR (borrowing rate), the loan term, and the payment schedule, including how much interest you will pay over the life of the loan. This will be provided before you sign any documents with us and will form the basis of our loan agreement and contract. If you have any questions, we are always available to answer them.

Suppose you comply with the terms of your loan agreement with us and make all repayments on time as agreed. In that case, you will only be required to repay the amount in the loan agreement, i.e., the sum advanced, the interest thereon, and any fees notified and agreed upon with you in the pre-contract. You will not be required to pay any additional fees. You will never pay an extra cost on our loans. We encourage you to pay off the loan early to save interest. There is no pre-payment charge to pay off early, although some lenders do charge for this.

Missed Payments

We will inform you if you go into arrears, send you a notice of the amount outstanding, and provide you with the required FCA information sheet to accompany this notice. We will also notify you if you incur a default sum (through a notice of default). You could be issued a default notice if you do not make up the missed payment. We do not charge additional charges for missed payments, but you must contact us if you have payment problems. We collect payment through direct debits by Go Cardless, and Go Cardless charges us if your payment does not go through. This charge is passed on to you. Your bank may charge you for insufficient funds when the direct debit is due.   The direct debit will continue to try and collect automatically every few days, so if you do not replace the funds in your account, you could continue to receive a charge from your bank.

Suppose you are experiencing financial difficulties and struggling to repay fully and on time. In that case, we will do everything we can to help you and act reasonably, fairly, and responsibly in all our dealings.

It is very rare that we will allow interest-only payments, and will always actively encourage you to pay off as much of the loan as possible each month. We will try to find an alternative way for you to settle your liability to us if and where appropriate. Before agreeing to vary the loan agreement terms, we will always first carry out a further credit search to ensure that you can afford any such variation.

Dealing with Loans in Default

As a responsible business, we are determined to treat customers in default, arrears, or difficulties with understanding and consideration. Suppose it becomes apparent that you are in a situation which you are “unable to pay” (as opposed to “can pay but won’t”). In that case, we will always endeavor to treat the matter with forbearance and sensitivity until your circumstances improve.

We believe in fair collections and will try to resolve any issues about payment with you. We do not immediately turn your debt over to a debt collector, nor do we immediately involve the Court system. We try to give you time to take care of any financial problems causing you to miss your payments and work with you. However, without your effort or refusal to engage with us, we will then offer you the chance at binding mediation. Should you refuse or ignore us, we will use the Court system to recover the debt. Interest on the outstanding balance will continue throughout the court process until payments are made on your behalf. You will also be responsible for all costs associated with collecting the debt, i.e., solicitor fees, court fees, private detective,  etc. These fees will be added to the debt.

Repeat borrowing and rolling over.

Just because we may have an ongoing relationship does not mean that we will keep increasing your credit limit, nor does it mean that you can skip any of our required checks for affordability.

Always remember

At Budget Loans, we help you in your financial situation. We have years of training in finance and as loan officers in banks. We can help you with your budget. Look at what we can do to help you in your time of need so that you are not overextending yourself even more.

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Representative example:
Borrow:  £1000
Term:  12 Months
APR%: 84%
Payments:  12 payments of £153.33
Total interest Paid:  £840.00
Total amount Repaid: £1840.00