Sky News has reported that CashEuroNet UK, which trades as the QuickQuid brand, could be placed into administration within a few of days. This is likely to be because of the number of complaints that have been brought against the company. The firm had to set aside £1.7m back in 2015 to redress customers over affordability tests.
CashEuroNet UK is owned by New York Stock Exchange-listed Enova International, which is scheduled to announce its third-quarter financial results after the market close on Thursday.
It is not entirely clear exactly how large the Quick Quid loan book is but Enova says it has provided more than 5 million customers around the world with more than $20bn in loans and financing, while QuickQuid's website refers to "over 1.4 million customers and counting".
If Quick Quid does fail then it will be 2nd biggest failure of the payday lending sector after Wonga.
Grant Thornton, which is handling the administration of Wonga, is understood to have been lined up to be the administrators of CashEuroNet UK if the board of Enova decides to go down that path.
Categories: What is administration