Morses Club charges 466.37% APR, so is most definitely a High Cost Lender. Interestingly they claim to be a “Doorstep Lender” and say that they can deliver the money borrowed to your front door. The repayments are collected weekly by an agent.
Morses Club do undertake affordability checks and assessments so do appear to be aware that they need to lend responsibly and with due care and attention.
The problem that occurs with any high cost lender is when the customer has other borrowings with other lenders and slowly but surely the debt builds up until the repayments just cannot be met.
The example of what a loan from Morses Club costs on their website tells us that if we were to borrow £400 over 34 weeks (around 8 months), we would pay £280 in interest. That might not seem a lot but that is over £8 per week, every week.
When we make a Morses Club refund complaint we find that a lot of customer had a lot of loans, often the loans are back to back with no break in borrowing and can go on for years. This is why our average refund from Morses Club is £1,914.