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Wonga chased debt with fake lawyers, says FCA

Payday lender Wonga must pay £2.6m in compensation after sending letters from non-existent law firms to customers in arrears.

The letters threatened legal action, but the law firms were fake. In some cases Wonga added fees for these letters to customers' accounts.

The City watchdog, the Financial Conduct Authority, said 45,000 customers would be compensated.

Kamal Ahmed reports.

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