MSE News: Wonga branded 'morally offensive' for targeting students

hermante

banks4u wrote: »

I tell you all what, I don't mind setting up a payday loan service. I will give out loans to people and charge 500% interest. I would be able to pay my mortgage off within 6 months. What a great business idea, do you think my bank will lend me the money to start up?

I would, as long as you're personally responsible when your clients don't pay up (i.e. I get your house)

banks4u

Hey why not!! I guess the majority of people pay and only a small number all foul. So offset the profits to cover the losses job done. I would risk my house on it?!

anon_ymous

MsDaisy wrote: »

I know which company I'd rather my DS had a loan with
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Off topic, but what does DS mean here?

anon_ymous

EdgEy wrote: »

and cashback credit cards, loss leaders in supermarkets, etc etc.

Sorry surely a person who gets a cashback credit card, and goes for the offers in the supermarkets that are making a loss (whilst not giving in to temptation and grabbing something close by) is a good thing to do?

I too sometimes feel that I am in a more privileged position for the people paying rip off prices to subsidise my own costs - unless that person happens to be a tax payer (wrong wording, but you know what I mean)

oldvicar

According to http://www.moneysavingexpert.com/students/student-finance-calculator a £100 student loan (£25 maintenace loan each year for 4 years) might cost to repay:

£0, or £120 converted to today's money (with a salary of £36,900)

or

£170, or £300 converted to today's money (with a salary of £60,000)

It claims to be accurate to 'plus or minus 2%'. There are no representative APRs to enable comparison with Wonga.

Gordon_the_Moron

waqasahmed wrote: »

Off topic, but what does DS mean here?

It stands for dear son

Grouchy

No civilized society tolerates usury. Which is what PDL companies practice. Should all be closed down.

Mrs_Arcanum

In all of this outrage let's not forget Wonga are in business to make money, by whatever means they can. Martin has made sure they do so less deviously by getting some facts corrected and misleading statements removed.
No removing of choice or treating people as idiots.

Derivative

waqasahmed wrote: »

Sorry surely a person who gets a cashback credit card, and goes for the offers in the supermarkets that are making a loss (whilst not giving in to temptation and grabbing something close by) is a good thing to do?

I too sometimes feel that I am in a more privileged position for the people paying rip off prices to subsidise my own costs - unless that person happens to be a tax payer (wrong wording, but you know what I mean)

Yes - my point is that in order for you to be able to do this, someone must buy the full price stuff to subsidise it, so in effect you're taking advantage of their custom.

"Loss leaders" are items sold below cost in order to get you into the store.

VfM4meplse

banks4u wrote: »

As per my thread a few days ago, Wonga are dodgy and only after any which way to make money. It's an easy buck for them!! I think the FSA should start to

What really bugs me is their advertising campaigns that portray innocuous old grannies as the decision-makers and lenders. Surely sharks would be more representative imagery?

EdgEy wrote: »

I am a student. I like to think of myself as reasonably intelligent - quite frankly, that's why I'm taking years out of my life for unpaid study

A huge assumption. People go onto FE for all kinds of reasons. Since the conversion of polytechnics, the term "university" now applies to all kinds of substandard educational institutes, that accept A level grades Ds and Es, whilst there are plenty of people with exemplary A-levels that progress their careers without further study. There is a huge difference in aptitude between students at Cambridge and the London Southbank University.