Wonga writes off 330,000 customers' debts

Wonga will write off the debts of 330,000 customers, worth £220m, after the FCA found flaws in its system for assessing the ability of borrowers to pay back their debts.

The FCA said Wonga has entered into a voluntary agreement with the regulator that requires it "to make significant changes to its business immediately". Customers whose loans do not meet the company's new affordability requirements will have their debts written off as a result. A further 45,000 clients will not have to pay interest on the money they borrowed. Wonga will contact all of its customers on 10 October to notify them if they will be included in the redress scheme. The news comes less than a week after the embattled payday lender announced a 53% fall in profits, followi...