London — Wonga, which became Britain’s biggest payday lender but faced accusations of targeting vulnerable customers, has collapsed into administration. The company board "concluded that it is appropriate to place the businesses into administration", it said in a statement on its website late Thursday. Corporate undertakers at Grant Thornton have been appointed to carry out the administration. Wonga, which employs 500 people, is thought to have about 220,000 borrowers. "Wonga customers can continue to use Wonga services to manage their existing loans but the UK business will not be accepting any new loan applications," the lender said. "Wonga’s overseas businesses continue to trade and are not part of this announcement." Wonga’s tumble comes after a rise in compensation claims following a government crackdown on the payday loans industry. Earlier this month, Wonga said its struggles were due to a "significant" increase industry-wide in people making claims in relation to historic lo...
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