Peer-to-peer platform Lendy has entered administration with the regulator set to further investigate the failings of the lender.
The beleaguered peer-to-peer company had been teetering for some time and rumours were circulating that the firm would be entering administration next week.
However it did not take that long. Damian Webb, Phillip Sykes and Mark Wilson, all of RSM Restructuring LLP , were appointed joint administrators of Lendy Limited, Saving Stream Security Holdings Limited and Lendy Provision Reserve Limited on 24 May 2019, by order of the court.
A statement on the Lendy website read: “The administrators are working closely with the FCA who consented to their appointment over the companies.
“We will shortly be issuing additional information so please watch this website for updates”
The administrators have set up a dedicated email address and phone number for creditors to contact the administration team.
The address is [email protected] and the phone number is 020 3858 9653.
At the moment, the phone number only contains a recorded message, the number to be manned during the course of next week.
The administrators statement added: “Due to the early stages of the administrations, the information we have is limited, we therefore request that creditors continue to consult the website in the first instance.”
Due to the volume of enquiries the administrators expect to receive, they said they will only be able to respond to urgent queries.
Back in March the regulator placed the lender under special supervision after becoming concerned about its ability to meet the standards required of regulated firms.
Following the news of the administration the FCA confirmed that “there is an ongoing investigation into the circumstances that have led to this action”.
It also said that RSM had been called in due to action taken by the FCA itself.
The Lendy administration marks the largest collapse of a European peer-to-peer platform to date.