Quickquid payday loans 9889% APR Is it extortion or just business???

puddings_2

I read this and nearly fell off my chair!! Quickquid, a company that provides payday loans of up to £750, charges it's customers a rate of interest that makes even store cards and the vanquis visa look like fabulous rates.

1351% You might think that I've missed out the decimal point by accident but no, it is over a thousand percent, and that's only if you are a good risk. Some of the bad risk people taking these loans will be paying seven times as much up to 9889%

Are these companies regulated by the FSA ?
Are there no limits to the interest that they are allowed to charge ?
Am I in the wrong job - shouldn't I become a loan shark then I could pay off my mortgage next year?


These rip off loans are banned in some states of the US. Shouldnt they be banned here too?
http://www.telegraph.co.uk/news/worldnews/northamerica/usa/3814964/British-tycoon-accused-of-loan-shark-scam-in-US.html


Here's a copy of the small print from the quickquid homepage...

Terms and Conditions apply. Depending on the loan term, typical APRs will range from1351,7%to 9889,3%. Loan amounts are based on consumer's credit history and ability to repay loan. Not everyone may qualify for £750. QuickQuid performs traditional credit checks which includes verifying application information via national databases including, but not limited to, CallCredit Ltd. Funds deposited via CHAPS for delivery same working day, if approved by 14:30. Approval may take up to 30 minutes in most cases. Payday advances should be used for short-term financial needs only, not as a long-term financial solution.
Customers with credit difficulties should seek credit counselling.
(pud note: customers that agree to pay these rates should take psychiatric counselling never mind credit counselling!)

Damita

That is a crazy rate!

bank_of_slate

:eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek:

How are these b@stards even allowed to trade in this country?

...Linda xx

natsplatnat

What b*stards!!!
Just out of interest though - can anyone tell me what someone would have to repay if they borrowed £100 at the 9889% APR? (my own brian just not functioning today!!)

jenki2

Thats rediculous Just read it out loud to hubby and his jaw hit the floor!

Its just not worth it at all! I know hubby said the loan would be short term, but still!!

x

bank_of_slate

natsplatnat wrote: »

What b*stards!!!
Just out of interest though - can anyone tell me what someone would have to repay if they borrowed £100 at the 9889% APR? (my own brian just not functioning today!!)

You could work it out on https://www.whatsthecost.com snowball calculator if we knew the minimum monthly repayment
...Linda xx

edinburgher

These people are the lowest sort of scum who trade on human misery and weakness - disgusting Shylock style creatures.

The sooner these practices are outlawed the better. I've heard too many stories of those near the breadline getting trapped into a debt cycle by these people to ever consider them as anything other than the leeches of human endeavour that they are.

puddings_2

natsplatnat wrote: »

What b*stards!!!
Just out of interest though - can anyone tell me what someone would have to repay if they borrowed £100 at the 9889% APR? (my own brian just not functioning today!!)

Of course you'd also have to pay back the £100 that you borowed in the first place but as far as the interest is concerned:
If your payday was 1 week later and you borrowed £100 at 9889% apr then you would repay £188

If your payday was 1 month later and you borrowed £100 at 9889% apr then you would repay £816

i need a brandy

natsplatnat

Oooh - NASTY!!!!

Thanks puddings! My brain def not working - my first post typed brian not brain! Doh!

jenki2

puddings wrote: »

Of course you'd also have to pay back the £100 that you borowed in the first place but as far as the interest is concerned:
If your payday was 1 week later and you borrowed £100 at 9889% apr then you would repay £188

If your payday was 1 month later and you borrowed £100 at 9889% apr then you would repay £816

i need a brandy

That is absolutely astonishing, I would have to ask every person i knew to lend me something before i took that route, i feel sorry for anyone who has had to deal with one of these companies! There seems to be quite a few in Canterbury
x

fermi

I hope this isn't just an idle promise from on high. :rolleyes:

http://www.publications.parliament.uk/pa/cm200708/cmhansrd/cm081126/debtext/81126-0002.htm

Colin Burgon (Elmet) (Lab): Does the Prime Minister agree that we should crack down on unscrupulous moneylenders such as Mobile Money Ltd., which recently sent a letter to a student constituent of mine, offering to lend her £5,000 in cash, with no credit checks, at an interest rate of 378 per cent.? Her father was outraged; does the Prime Minister share that outrage?

The Prime Minister: The Business Secretary is holding a summit today on the credit card industry. He is looking at excessive interest rates that have been charged. We have to have proper measures to regulate the industry when people are charging exorbitant rates. We will take whatever action is necessary, and I hope that it will have all-party support.