In this episode of Debt Matters, we examine the collapse of London-based lender Amplifi Capital and the disclosure that NatWest helped finance a connected vehicle with facilities of up to £250 million. Amplifi entered insolvency in June 2026 after financial difficulties and challenges adapting to UK consumer-credit regulation.

Amplifi began in 2013 serving credit unions before expanding into consumer lending through its Reevo brand in 2022. Reevo offered unsecured personal loans with reported interest rates ranging from 23% to 50%. It operated in an area where affordability, arrears management, vulnerability and fair treatment are especially important.

How was NatWest connected to Amplifi?

The arrangement was not simply a direct loan from NatWest to Amplifi. Filings reviewed by Reuters show that Amplifi sold some consumer loans to Castor Financing, a special-purpose vehicle created to purchase loan portfolios. Castor then issued loan notes to NatWest.

Amplifi announced a £100 million securitisation warehouse with NatWest in September 2023. By March 2025, filings showed that the Class A facility had increased to £250 million.

The structure raises a wider question: how much higher-risk consumer-credit exposure can regulated banks take indirectly through non-bank financial institutions?

What went wrong?

Amplifi’s latest accounts showed a move from a £5.5 million profit to a £100,000 loss for the year ending March 2024. The accounts indicated that regulatory changes introduced in July 2023 required the business to review its practices. Auditors also said it had become too dependent on its credit-union operations, where performance had weakened.

What happens to borrowers’ debts?

A lender entering insolvency does not usually mean that customers’ debts disappear. Agreements may remain enforceable, while repayments may be collected by an administrator, servicing company or purchaser of the loan book. Borrowers should continue following valid payment instructions unless they receive verified notice of a change.

Customers must still be treated fairly. Any organisation collecting regulated debts should communicate clearly, investigate disputes, consider affordable repayment plans and support people in financial difficulty or vulnerable circumstances.

Borrowers need to know who owns their account, who can collect payments, how their data will be used and where they can complain. Corporate failures may create opportunities for fraud, so customers should verify unexpected requests before changing bank details or paying a new party.

Questions for the debt collection sector

• What happens to an unsecured loan portfolio when a lender fails?

• Can administrators sell customer accounts to a debt purchaser? • How should arrears, disputes and affordability concerns be transferred?

• Could creditor-recovery pressures conflict with customer-support duties?

• What standards apply when loan servicing changes hands?

• Should bank exposure to non-bank lenders be more transparent?

Why this matters

This case shows how a consumer debt can be originated by one company, transferred to a funding vehicle and financed by major institutions. When the original lender collapses, borrowers may face uncertainty while administrators and creditors try to preserve value.

For the UK debt collection industry, it underlines the importance of accurate records, transparent communication, responsible forbearance and oversight when portfolios are transferred. A new owner may change who receives payment, but it should not remove the borrower’s regulatory protections.

#DebtMatters #DebtCollectionUK #ConsumerCredit #DebtRecovery #NatWest #AmplifiCapital #Reevo #Insolvency #CreditRisk #UKFinance