Please support our efforts to defend ourselves, against aggressive legal action by US vulture fund Cerberus Capital, on loans sold to us by Clydesdale Bank / Yorkshire Bank (now CYBG - Virgin Money).

We are a voluntary group of victims who are lobbying on behalf of the thousands of customers, affected by this scandalous behaviour, that has been going on under the nose of the regulator, the Financial Conduct Authority (FCA) and the government, HM Treasury.

Do you believe that "Vulture Funds", infamous for asset stripping and brutalising business owners across the world, should be allowed to carry on destroying livelihoods and SMEs across the UK? If not please consider contributing to our legal fighting fund. Please share this page with your friends, family and on social media to get the word out about this scandal. 

Background to the Clydesdale / Yorkshire Bank & Cerberus Scandal

Between 2000 and 2012 Clydesdale and Yorkshire Banks, supported by their parent company NAB (National Australia Bank) invented a toxic loan product they branded Tailored Business Loans (TBLs) selling them to approximately 12,000 small business customers. 

The loans were toxic in that they contained major misrepresentations, in particular, huge break charges were hidden in them.

So, when interest rates fell dramatically following the 2008 financial crisis and customers tried to switch to cheaper loans, they were charged huge breakage costs of up to 40% of the loan, many were unable to switch at all and became loan prisoners. 

Many businesses did not survive and were bankrupted. Some desperate customers committed suicide.

In 2014 Clydesdale Bank’s CEO at the time, David Thorburn, admitted in evidence to the House of Commons Treasury Select Committee that the toxic loans were designed to avoid regulation.

Enter "The Vulture" 

In 2015 and 2016 Clydesdale Bank sold customers’ loans to the unregulated American vulture fund Cerberus (who in turn set up various Promontoria badged businesses to hold these debts). These companies have aggressively pursued what is left of Clydesdale Bank’s victims through the courts, selling properties below value, placing good businesses into receivership and bankrupting individuals. This is despite the businesses continuing to meet their payments.

There are many questions and doubts currently being raised regarding Clydesdale Bank's sale of these toxic loans, yet Cerberus continues to relentlessly pursue and persecute the victims.  

So far complaints to the bank and the Financial Ombudsman Service (FOS) regarding these unsuitable loans have been rejected.

In many cases, SME's original complaints to the bank are still outstanding, but without money to defend themselves from these predators, they cannot fight and are destined to oblivion.

This is where we need your help. Without funds, for legal fees to defend against Cerberus, victims will be dragged through the courts to face bankruptcy and misery in what should be their well earned retirement years. 

For more stories from our members about how their lives have been destroyed by this scandal please click here.

David's Story

David Farndon purchased his first property in 1990 and worked tirelessly building his considerable property portfolio. He trusted the friendly faces at his bank; he was a loyal customer, always paid on time and never defaulted on his loans.

He is a generous man and keen to give back, he was greatly involved in the local community, volunteering at Francis House Children’s Hospice and Wythenshawe Hospital, setting up the Eco Club at the school, and chairing the school PTA.

Then out of the blue and for no apparent reason Clydesdale Bank said they wanted him to switch his loans to to toxic fixed rates after misleading him that interest rates were only going to go up. Clydesdale failed to tell him about the huge cost of breaking the loans. When interest rates dropped David was unable to switch to a cheaper loan product. All efforts to resolve matters were rejected by the bank. Things got worse when Clydesdale Bank sold his loans to Cerberus, who then harassed him to sell the property where his elderly mother lives. 

Afraid that any day they would make his mother homeless, David couldn’t sleep because of the worry and his mental and physical health deteriorated. He could no longer afford to send his daughter to her special needs school, he couldn’t afford the vet’s bills and had to sell his car. One day David was found wandering around the streets not knowing where he was and was sent for a precautionary brain scan.

David has no money to fight Clydesdale Bank or Cerberus and his credit rating has been affected to the point he cannot get a phone or lease a car. Bailiffs are knocking at David’s door as he cannot pay the council tax and other bills relating to his properties, as although the receivers are collecting his rents, he is still responsible for bills at his properties.

How much we are raising and why?

We have recently been supported on a pro bono basis by some leading legal and claims experts who have reviewed the experience of members, and with these fresh set of eyes have established a strong legal defence for those being brutalised by Cerberus.

To come “on the record” to deploy these arguments we will have to pay for this legal advice and so we are asking for contributions to get us parity in the battle against these immoral predators and their array of powerful and well resourced lawyers and barristers.

We expect to fight at least three cases in Scotland and England before we can go on the offensive with a comprehensive group action.

We are hoping to send out the message that our members cannot now be crushed, and that Cerberus will back off, so we are setting our initial target at £25,000 to get things started. We anticipate that we will have to take up the further cases, with others in the same situation, but with the precedents established these cases, although more in number, should be less costly and this is reflected in our stretch target of £100,000. 

We are appealing to all those who have been victims of any bank abuse to support this worthy cause by donating something; a little from a lot of people will get us there although larger donations are welcome to get us there more quickly – in some of the cases listed above we have little time to act! Please donate now.

More information on all our activity can be found at https://www.cybgremediationsupportgroup.com/ for any CYBG customers who are similarly affected.

If anyone else is in the jaws of Cerberus and needs help please go to https://www.cybgremediationsupportgroup.com/ for more information on how we can help you as well.