Taking out a personal loan can be a tricky process. It’s important to find a lender you trust, understand the terms of your loan, and make sure you can repay it on time. However, even with the best intentions, sometimes things can go wrong. In those cases, it’s important to know what kind of compensation you’re entitled to. In this article, we’ll take a closer look at Novaloans compensation and what you can expect if something goes wrong.
Novaloans is a UK-based lender, offering personal loans of up to £8,000 over a term of up to 60 months. They pride themselves on a straightforward and transparent application process, offering flexible repayment options and no hidden fees. However, like any lender, there is always the possibility that something might go wrong. You might find yourself unable to keep up with your repayments, or you might have a complaint about the service you received.
In these cases, it’s important to know what kind of compensation you’re entitled to. Let’s take a closer look at what Novaloans offers.
Late Payment Charges
If you find yourself unable to make a scheduled payment, you will be charged a late payment fee of £15. This fee will be added to your account the day after your payment is due. If you’re struggling to make your payments, Novaloans encourages you to get in touch as soon as possible to discuss your options.
Missed Payment Charges
If you miss a payment, you will be charged a missed payment fee of £25. This fee will be added to your account seven days after your payment was due. Additionally, missing payments can have a negative impact on your credit score. Novaloans encourages you to get in touch as soon as possible if you think you might miss a payment.
Cancellation Charges
If you decide to cancel your loan before the funds have been transferred to your account, you will not be charged any fees. However, if you cancel your loan after the funds have been transferred, you will be charged a cancellation fee of £12.
Early Repayment Charges
If you decide to repay your loan early, you will not be charged any fees. In fact, Novaloans actually encourages early repayment, as it can save you money on interest.
Complaints Procedure
If you have a complaint about Novaloans, they encourage you to get in touch as soon as possible. They have a complaints department that will work with you to resolve your issue as quickly and fairly as possible. You can contact them by phone, email or letter.
If you’re not satisfied with the response you receive from the complaints department, you can escalate your complaint to the Financial Ombudsman Service. Novaloans is a member of this service, which provides a free and independent dispute resolution service for financial complaints.
Conclusion
Novaloans aims to provide a straightforward and transparent service. However, even the best-intentioned lenders can encounter issues from time to time. If you find yourself in a situation where you’re unable to keep up with your loan repayments, or if you have a complaint about the service you received, it’s important to know what kind of compensation you’re entitled to.
Novaloans charges late payment fees and missed payment fees. They also charge a cancellation fee if you cancel your loan after funds have been transferred, but do not charge any fees for early repayment. If you have a complaint, Novaloans encourages you to get in touch as soon as possible, and they have a complaints department that will work with you to resolve your issue.
By understanding the compensation options available to you, you can make an informed decision when taking out a personal loan. If you’re unsure about anything, don’t be afraid to reach out to your lender for clarification. At Novaloans, they’re committed to providing a fair and transparent service, and are happy to answer any questions you may have.