Have you had a loan or credit card with Tesco?
Well, it has emerged the supermarket is having to hand back interest and charges to 175,000 loan and credit card customers as it has broke industry rules.
Under the Consumer Credit Act, the company that provides your loan or card must provide ‘post-contractual’ information shortly after you finish paying it off. Tesco has failed to do that for many people and is now contacting all of the customers affected. However, the issue is wider than Tesco Bank there are 17 financial institutions that are having to refund money to their customers.
If you had a loan and when you had paid off the loan did not receive a summary of what you paid and interest you paid then you are eligible to make a claim. Companies have to provide this to you with in a reasonable time. You should expect this within three weeks of your loan finishing.
If you think you are eligible to the refund then you should raise a case with your loan or credit card provider. The easiest way to do this is to write a letter (as they do not accept emails), explaining your situation and why you feel there has been a breach of the Consumer Credit Act.
If they have not responded after 8 weeks then you can contact the Financial Ombudsman Service. They are there to deal with the customer issues that are not resolved and will look at your case independently and if you are entitled to a refund will ensure that you get it.
Don’t forget to keep a complete record of all your communications you send and receive, who you spoke to and when, and set up a diary reminder for 8 weeks after your case is started so that if appropriate you can send it to then Ombudsman.