NOW OPEN: the MSE Forum 'Ask An Expert' event. This time we'd like your questions on TRAVEL & HOLIDAY DEALS. Post by Wed and deals expert MSE Oli will answer as many as he can.

Has the FCA got the payday loan cap right? Have your say!

edited 15 July 2014 at 7:54AM in Loans
43 replies 5.7K views
Former_MSE_WendyFormer_MSE_Wendy Former MSE
929 Posts
I've been Money Tipped! Newshound! PPI Party Pooper Best Buy Bear
edited 15 July 2014 at 7:54AM in Loans
The financial regulator has announced details of the long awaited cap on payday loans today and the CEO, Martin Wheatley, wants your views.
Initial cost cap of 0.8% per day. For new loans, or loans rolled over, interest and fees must not exceed 0.8% per day of the amount borrowed.

Fixed default fees capped at £15, which protects borrowers to repay. If borrowers cannot repay their loans on time, fees must not exceed £15.

Total cost cap of 100%, which protects borrowers from escalating debts. Borrowers must never have to pay back more in fees and interest than the amount borrowed.

He says he's confident the FCA has set the cap at the right level to protect consumers. What do you think?

Do you think the FCA has struck the right balance?
What do you think about people not being able to take out a payday loan as a result of a cap?
Please reply with your thoughts below.

If you haven’t already, join the forum to reply. If you aren’t sure how it all works, read our Forum Intro Guide.

Read the full MSE News story: Guest comment: Have we got payday loan cap right?
*** Get the Martin's Money Tips Free E-mail at ***


This discussion has been closed.
Latest MSE News and Guides

Energy Price Cap change

Martin Lewis on what it means for you

MSE News

Best £1 you've ever spent?

Share your most impressive bargains

MSE Forum