MSE News: 'About bloody time' - payday lending crackdown

Options
"The FCA has today revealed strong plans for new regulations to combat growing concerns about the payday loan market..."
Read the full story:

'About bloody time' - payday lending crackdown

OfficialStamp.gif


Click reply below to discuss. If you haven’t already, join the forum to reply. If you aren’t sure how it all works, read our New to Forum? Intro Guide.
«1345

Comments

  • ILW
    ILW Posts: 18,333 Forumite
    Options
    Should be good news for the "legbreaker" loan sharks.
  • BRITGUY
    BRITGUY Posts: 31 Forumite
    Options
    Is it just me or are the changes not really that great, particularly as they are staying clear of a maximum % interest cap for now? I'm concerned about the impact of an immediate clampdown of rollovers for borrowers too - getting banks (or some sort of governmental guarantee, like the mortgages) to help provide alternative sources of credit to clear off loans in a controlled and sustainable manner would have been the real result.
  • Nada666
    Nada666 Posts: 5,004 Forumite
    Options
    Yup, as ILW suggests, buy shares in baseball bats and tyre irons.
  • dealer_wins
    dealer_wins Posts: 7,334 Forumite
    Options
    Lets not forget that for every case of irresponsible lending, there is an irresponsible borrower involved!!
  • opinions4u
    opinions4u Posts: 19,411 Forumite
    Options
    a 48 hour cooling off period between approval and release of funds would have been a useful brake.
  • rizla_king
    rizla_king Posts: 2,895 Forumite
    Options
    Good start, but doesn't go any way near far enough.
    Still rolling rolling rolling...... :) <
    SIGNATURE - Not part of post
  • ILW
    ILW Posts: 18,333 Forumite
    Options
    rizla_king wrote: »
    Good start, but doesn't go any way near far enough.
    Agreed, Hatchet Fred from Harlesden may have to wait a bit longer to buy his new Merc.
  • rizla_king
    rizla_king Posts: 2,895 Forumite
    Options
    Interest rates need to be capped for starters. The power is there.
    Still rolling rolling rolling...... :) <
    SIGNATURE - Not part of post
  • ILW
    ILW Posts: 18,333 Forumite
    Options
    rizla_king wrote: »
    Interest rates need to be capped for starters. The power is there.
    How would that work with a short term loan?
  • jaydeeuk1
    jaydeeuk1 Posts: 7,714 Forumite
    Debt-free and Proud!
    Options
    Pay day loans shouldn't have an APR imo. Should be expressed as a percentage cost of what you borrowed.

    EG, if you borrow £100 and you pay back £125 inc fees etc, then it should just say loan cost 25% if paid back on time.

    But then again we live in a society that is devoid of self responsibility. So !!!! it, we need more loan sharks.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 343.6K Banking & Borrowing
  • 250.2K Reduce Debt & Boost Income
  • 449.9K Spending & Discounts
  • 235.8K Work, Benefits & Business
  • 608.8K Mortgages, Homes & Bills
  • 173.3K Life & Family
  • 248.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards