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How to Claim a Refund for Very Mis-sold Credit

Author: Samuel Beckingham
Updated: Jan 15, 2024
6 minutes read
  • How to challenge Very mis-sold credit
  • The claims process
  • How irresponsible lending affects you

The online retail company, Very, began in 2009. It specialises in fashion, homeware and electricals. To make online shopping easier and seamless for its customers, the company began offering financing options. However, this can mean that some customers were then offered Very mis-sold credit. Fortunately, there are ways to be compensated for this by making a claim.

This article will give a company overview of Very and look at its history of irresponsible lending. It will detail how a Very credit refund can be made and what happens during this process. Finally, it will go over how applying for Very mis-sold credit can help your situation.

Ready to start your refund for Very mis-sold credit? Use our online form to start. It only takes a minute.

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A Company Overview of Very

The main brands associated with The Very Group are Very and Littlewoods. Until 2020, The Very Group was known as Shop Direct, coming from a merger between Shop Direct and Littlewoods. The main thing to know about Very is that they have a big online presence. This makes it likely that people were mis-sold credit by Very.

Very Irresponsible Lending

The Financial Conduct Authority (FCA) authorises and regulates lenders across the industry, and Very has been investigated on numerous occasions. The financial model that Very makes use of gives customers access to credit that can be increased at any time by the company. Very mis-sold credit to thousands of its customers for various reasons.

Complaints to the FCA against Very and mis-sold credit were because of information not being explained properly or being unable to keep up repayments. Lenders of any kind should not be in a position where they can continue with unfair practices, such as unaffordable lending. This is one of the reasons why the FCA protects consumers and looks at complaints.

What Is Mis-sold Credit?

All lenders must perform credit checks against customers when they take out loan agreements or store cards. This is done to make sure that repayments are affordable and will not financially cripple anyone with a loan. The same logic also applies to increasing credit limits on existing accounts or cards. A customer’s situation needs to be fully reviewed before allowing them to borrow more. If these checks aren’t done, or aren’t done properly, it counts as mis-sold credit.

Most complaints about Very mis-sold credit are to do with being unable to pay back what’s owed. It can include having received misleading information about repayment schedules or interest rates. Sometimes, mis-sold credit applies when customers are lured in with offers that don’t actually exist or are pressured into a product that isn’t suitable for them. Basically, a lack of transparency constitutes a bad relationship that gives you grounds to make a claim for Very mis-sold credit.

When it comes to righting the unethical practices of mis-selling credit this can happen in the following ways:

  • Have your debt written off entirely or the interest removed

  • Awarded 8% simple interest as compensation

  • Any bad effects applied to your credit score removed

When to Apply for Very Mis-sold Credit

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There are plenty of instances in which you will be eligible to apply for mis-sold credit from Very. These include if you have to borrow more to pay off existing loans.

If any of the following applies, you have grounds to claim Very mis-sold credit:

  • The company didn’t perform proper affordability checks

  • Your financial situation has become worse as a result and you’re struggling with repayments

  • You are borrowing more from elsewhere to pay off existing debt

  • The risks of borrowing more were not fully explained

  • Fees or charges were hidden or not explained at the time of application

  • You were pushed into a more expensive deal to get better rates

  • Your personal situation was not considered as part of the application process

  • Your credit limit was raised without consultation

Sometimes, you can be denied credit because of your finances. This could be a sign that you may not be able to keep up with repayments. With a store or credit card, any increase to your limits needs to be done with consideration. If the company didn’t think about how much worse off you’d be, then Very has mis-sold credit to you.

How a Very Credit Refund Works

When you make a claim for Very mis-sold credit, you’re asking the company to review your credit agreement. You can provide evidence to explain why you believe the relationship to be unfair and how you might be struggling to repay the amounts due. Typically, claims are against credit limit increases, so the process works to reset you to the position you were before your limit went up.

As an example, if your credit limit with Very was originally £500 and they upped it to £1,000, your claim will refund you all interest and charges above the £500 limit. You may also be entitled to 8% simple interest on top of this as compensation for the financial trouble it has caused you.

In cases where you’ve paid off the credit and you deemed it to be irresponsible, a successful claim for Very mis-sold credit will refund you the interest and charges on your account, and give you 8% simple interest as well. If you claim when the loan is still outstanding, the interest is removed and any refund goes towards paying off the rest of the loan amount. If this then pays off the loan, you can receive 8% simple interest on top.

When it comes to Very irresponsible lending claims, these consist of three parts: refunds, interest and credit history.


A claim through Very mis-sold credit entitles you to a refund on the money you’ve spent towards paying it off. Any and all interest and charges placed on the credit are refunded, but you still need to pay the loan back. To put it simply, the loan then becomes interest-free.


To compensate you for missing out on finances and struggling throughout the repayment process, a claim for Very mis-sold credit can give you 8% simple interest. This is calculated per day and is in addition to the refunded interest and charges. The simple interest is only awarded when the credit has been paid back.

Simple interest is taxable, so before you receive the lump sum, the basic rate of tax will be deducted from this. Other refunds on interest and charges aren’t taxed.

Credit History

A lot of the time, negative reports can be added to your credit history, but these wouldn’t have happened had Very not mis-sold credit to you in the first place. When your application for mis-sold credit is successful, any negatives associated with the credit are removed from your credit file. The idea is to reset you to the point you were before the mis-selling.

Credit Score Reset Vector

Claiming Very Mis-sold Credit

A few different avenues are available for you to make a claim. The simplest and quickest is to make use of a claims management company. They process your claim for you without delay so you can focus on your life without having to worry about a lack of communication or disagreements with your claim. It’s not unusual for the company to disagree with claims for Very mis-sold credit, but a claims company can handle this for you.

Compile Evidence

Without documents to prove you’re struggling to pay credit back, your claim is just word of mouth and won’t go anywhere. You must get together bank statements, payslips and records of any debts and outgoing payments. It’s also useful to include any communication between you and your lender to prove that Very mis-sold credit to you.

Using a Claims Management Company

Processing your claim on your behalf, claims management companies have expert lawyers at their disposal who can provide a speedy means of communication with the lender. These companies are knowledgeable and experienced in Very mis-sold credit claims, so they know whether you have a case or not.

By taking the stress off your shoulders, a claims management company can quickly and effectively process your claim. By reviewing all submitted documents and talking to Very about mis-sold credit, they can effectively force the company to put things right. If any simple interest is due, the claims company will pursue this for you.

Talk To Your Lender

The other avenue is to talk to your lender and explain why you think Very mis-sold credit to you. All evidence should be submitted and you will have to wait for a response from them. Very will tell you at this point whether they accept or reject your claim. According to timescales from the FCA, lenders must provide a response within 8 weeks.

Escalate to the Ombudsman

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If you don’t hear a response from Very within 8 weeks or they disagree that they mis-sold credit to you, you can contact the Financial Ombudsman Service. They will independently review your case and assess all of the findings. Once a conclusion has been reached, they will contact both you and the lender to either uphold your claim that Very mis-sold credit or reject it. This decision is then final.

Why Make a Claim?

It’s easy to believe that the problem is you when you’re struggling to keep up repayments to loans or store or credit cards, but this isn’t the case. Lenders can be guilty of offering credit too generously or without proper financial checks, knowing that you’ll struggle with repayments. This makes it too easy to fall into the trap of mis-selling.

With important contractual payments, like mortgages and rent, you shouldn’t be in a situation where you can’t afford to repay any loans or credit you’ve been given. Your financial situation should be considered before any credit is granted to you.

You are able to apply for mis-sold credit from Very as long as this happened within the last 6 years. If you’re currently struggling, this can ease financial pressures on you.

Start your Very mis-sold credit claim by clicking on the button below.

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