MSE news: The loan firm that charges 2,400% interest

nekosuki

wizk1 wrote: »

I dislike these companies with a passion, but I rather like PayDayUK, seeing as they offered £60 as Quidco cash back once upon a time, to take out my first (and only) loan. As a result, I managed to screw them out of £40.

Savvy money saver........ 1
Faceless loan shark co... 0

Me too. £25 interest charge but £50 cashback. Thanks PayDayUK! :T

JimmyTheWig

I thought this was a very well written article.

chuckley

i personally dont have a problem with them and think people misunderstand them. they see the figure and assume they take it out over the year... well.. no...

people need to read and apply it to the circumstance they need xyz amount for... people need to read before sprouting rubbish.

anyway i 1st used it for an emergency vet bill where my cat eventually died

chuckley

PROLIANT wrote: »

I whole heartedly disagree; there is no place for loan sharking, pawn shops and similar business models, it is too easy for people who are refused bank loans, credit cards and overdrafts to use these shysters and end up in deep trouble.

What the government should do is offer low interest loans i.e. like the DWP Crisis loans to working people irrespective of their credit history.
This would solve so many problems and help so many genuine unfortunate people.

funded by whom?

if u are refused bank loans/cards then u have a serious problem. if its a small amount and u are desperate, e.g, £200. a PDL is defo the way to go, on the condition u are confident u can pay it back on next payday... hence why they ask for ur payday when they KNOW funds will be available..

loan sharks and pawn shops are two different kettles of fish. loan sharks are defo ones that need rid of, but pawn shops?! on what grounds?? why cant people go and pawn off their stuff?!

every business needs to make a profit, PDL's and pawnshops are no different and they are legal.

loan sharks however take 'profit' too far. i dont see how on earth the gov should fund people with low cost loans for their debt. it doesnt make people tackle it. same as 0% balance cards... no1 tackles the debt, they just move it for a while.

SALLYSEAGULL

Vulnerable people who need this sort of loan ignore the interest rate.

I complained to the Advertising Standards Agency about quickquid and was told that as they showed the APR they could do nothing.

Wutang_2

SALLYSEAGULL wrote: »

Vulnerable people....

Is that a polite way of saying stupid people?

_Andy_

SALLYSEAGULL wrote: »

Vulnerable people who need this sort of loan ignore the interest rate.

I complained to the Advertising Standards Agency about quickquid and was told that as they showed the APR they could do nothing.

What were you expecting they did?

redpete

SALLYSEAGULL wrote: »

Vulnerable people who need this sort of loan ignore the interest rate.

I'm fairly sure there's an article on this site somewhere by Martin Lewis explaining why these massive APR figures are not very relevant to this type of loan, so these vulnerable people are doing the right thing by ignoring the interest rate.

~Brock~

Wutang wrote: »

Is that a polite way of saying stupid people?

Weve been hearing a lot about these 'Vulnerable people' over the last decade - not in connection with genuinely disadvantaged (i.e. handicapped) people but simply describing those who cannot think for themselves or function independantly let alone take any responsibility for their actions.

Perhaps this group of people is a natural by-product of the NuLabour nanny state, and if so let's hope that common sense will gradually prevail again over our fair land.

BTW Wutang, I LOVE your signature line - I nearly spat out my coffee in laughter !!!