Biggest dootstep lender in the UK Morses Club goes into administration

Morses Club has stopped lending after 130 years. Once Provident exited the doorstep lending market in in 2021, Morses Club was the largest doorstep lender in the UK. As with any business failure our thoughts are with the 350+ employees that work for Morses Club as they enter into administration however we will not miss a company charging people in our community an eye-watering 343% APR on loans.

We know many people in our community were part of the 140,000 customers that Morses Club provided loans to over the last year and we urge anybody who finds themselves needing borrow this Christmas or into the New Year to contact Northern Community Bank and let us talk you through your options.  We have saved our communities hundreds of thousands of pounds since 1982 when compared to loans like Morses Club and the other doorstep lenders, and we continue to be committed to providing affordable borrowing opportunities for all members of the community.

The Debt Camel website provided a detail explanation of why Morses Club has gone into administration which we would recommend reading here.

Do I continue to repay my current Morses Club loan?

You are not expected to repay your loan in full immediately because of the administration, it is very important that you continue to repay as normal because you borrowed the money.

The administrator has stated

Any payments due in respect of your outstanding loan balances should continue to be paid as normal, as not doing so is likely to impact your credit score and ability to borrow.

However if you are struggling to make repayments then you are advised to contact the Morses Customer Service team on 0330 045 0719 and ask for a payment arrangement. You can also speak to the National Debtline on 0808 808 4000.

Loans like Morses Club offered are rarely in the best interest of the applicant. They’re in the best interest of the company offering them. Profit is the name of the game after all. As Northern Community Bank is a not-for-profit co-operative, our attention is focused solely on the applicant and their financial situation. That’s why we’re able to offer such competitive interest rates. We’re more than just affordable interest rates though. We pride ourselves on unbeatable service, too. Our experienced staff are on hand every step of the way to guide you through the process. We provide a ‘Save As You Borrow’ scheme in order to create financial stability for the account holder. And we even offer free life insurance on savings and loans. 

Morses Club’s loans tended to be for small amounts at relatively high interest rates. Jumping from one high cost lender to another will only result in kicking your finance problems down the road. That’s why family-friendly community banks across the country are now striving to help fill the gap left by Morses Club, but in a fairer, more ethical way.

So before you jump from one high cost lender to another, speak to a member of staff at any of our branches in Burnley, Nelson or Colne by calling 01282 691333 or apply online here, and give us the chance to put your mind at rest.