118 118 Money Unaffordable Lending Claims
If 118 118 Money gave you a loan you couldn't realistically afford, you may be entitled to a refund of the interest you paid. 118 118 Money lends at high interest rates to people mainstream banks turn away — exactly the market where affordability complaints are most common, because the borrowers are, by definition, closer to the edge. This page explains how a claim against 118 118 Money works and how to check yours.
In this guide
- About 118 118 Money
- Was Your 118 118 Money Loan Unaffordable?
- Common Patterns in 118 118 Money Complaints
- How a 118 118 Money Claim Works
- Time Limits
- Frequently Asked Questions
- Related Guides
Check your agreements on Recoup, our claim partner's site
How much could your claim be worth?
Try our personal loan refund calculator — free, takes under a minute, and uses the official figures for this claim type.
About 118 118 Money
118 118 Money is the consumer lending brand of Madison CF UK Limited, authorised and regulated by the Financial Conduct Authority under FRN 741774, and part of the same family as the 118 118 directory enquiries service. It has been lending since 2013 and offers personal loans of up to £5,000 alongside a credit card, with representative APRs around 49.9% (variable) at the time of writing.
That positioning matters for claims. 118 118 Money openly serves borrowers with thin or impaired credit histories. Lending to that market is legal, but it comes with a heightened duty of care: the closer a borrower is to financial difficulty, the more thorough the affordability checks need to be, and the more likely it is that a loan tipped them from coping into harm.
Was Your 118 118 Money Loan Unaffordable?
Under CONC 5.2A of the FCA Handbook, Madison CF UK must assess whether you could repay sustainably — without borrowing elsewhere, missing priority bills, or going without essentials. At around 50% APR, repayments are demanding, so the assessment has real work to do. Your loan may have been unaffordable if, at the time:
- Your credit file already showed defaults, arrears or heavy reliance on other high-cost credit
- You were using payday loans, an overdraft or other credit to cover essential costs
- Your declared income was accepted without meaningful verification
- The repayments only worked by ignoring your real living costs
- You took a further 118 118 Money loan, or a top-up, while struggling with the first
- You held their credit card at or near its limit while the loan was granted
Common Patterns in 118 118 Money Complaints
- Lending into visible difficulty. The borrower's credit file at application already showed the strain — recent defaults, multiple active high-cost lenders, rising balances — and the loan was approved anyway.
- Repeat borrowing. A second or third loan, or a top-up, granted while the earlier one was clearly a struggle. Complaints often succeed from the repeat lending even where the first loan is defensible — the same loan-by-loan logic our payday loan refund calculator uses.
- Loan plus credit card. Holding both products with the same lender, with the card maxed while loan repayments were being made, is strong evidence of what the lender could see. The card has its own claim route — see 118 118 Money credit card claims.
- Debt spiral consolidation. A high-APR loan sold as consolidation that increased the total cost of the borrowing it replaced.
How a 118 118 Money Claim Works
- Eligibility check. Free, takes minutes, no paperwork — your agreements and credit history do the work.
- Evidence gathering. The agreement, your credit file from the time, and bank statements showing your position when the loan was granted.
- Complaint submitted to Madison CF UK. The firm has eight weeks to respond.
- Response. Upheld, partially upheld, or rejected.
- Escalation to the Financial Ombudsman if needed — free of charge, and binding on the lender if you accept.
A successful complaint typically refunds the interest and charges on the unaffordable lending, adds Ombudsman interest, removes related negative markers from your credit file, and — if you still owe — reduces the balance first. For a rough figure, try our personal loan refund calculator.
Time Limits
Six years from the lending decision, or three years from when you knew (or ought reasonably to have known) you had cause to complain — whichever is longer. Loans from the mid-2010s can still be in time under the three-year rule if you only recently realised the lending was unaffordable. See how far back can I claim.
Frequently Asked Questions
Is 118 118 Money still trading?
Yes. Unlike many high-cost lenders from the same era — Wonga, QuickQuid, Sunny — 118 118 Money is still lending, which means a successful complaint is paid in full rather than becoming a claim in an administration. That makes these complaints worth more in practice than claims against lenders that have gone bust.
My loan was small. Is it worth complaining?
At around 50% APR, even a modest loan generates significant interest — and if you borrowed more than once, each loan in the sequence can be looked at. The refund is the interest you actually paid, plus Ombudsman interest on top.
I'm still repaying the loan. Can I complain now?
Yes. If the complaint succeeds, the refund reduces your outstanding balance first, and the lender should also re-work the remaining balance so you repay only what you borrowed.
Related Guides
- Personal loan claims hub
- Personal loan refund calculator
- 118 118 Money credit card claims
- Payday and short-term loan claims
- The CONC rules on affordability
Check If You Could Be Owed Compensation
You may be eligible to complain if a lender gave you credit you couldn't afford. Start a free check in minutes — no paperwork needed. No win, no fee if you choose to proceed.
