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Lloyds new overdraft rate is designed to deceive

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Comments

  • ffacoffipawb
    ffacoffipawb Posts: 3,593 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    myars wrote: »
    bailed out and not able to pay big amounts to their savers but make huge profits from their debtors which they treble (nearly ) overnight . no the services arent free but 2 banks charging roughly the same seems to the general public a weird coincidence . am i posting this in the cheap takeaway section shome mishtake shurley

    No mistake. And don't call me Shirley. 😄
  • KJSmith
    KJSmith Posts: 152 Forumite
    oscarisapc2001 wrote: »
    ...Pay Day loan. These are capped by law at a maximum 42.6% equivalent APR...

    You're also incorrect about this. That cap applies to Credit Union Loans.

    Payday loans are in fact capped at 0.8% per day.

    I've looked on Wonga's website and the lowest rate they currently offer is a daily rate of 0.75%. I've done some crude calculations and this is much more expensive than Lloyds Banking Group's new overdraft charging structure.
  • norsefox
    norsefox Posts: 215 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    myars wrote: »
    bailed out and not able to pay big amounts to their savers but make huge profits from their debtors which they treble (nearly ) overnight . no the services arent free but 2 banks charging roughly the same seems to the general public a weird coincidence . am i posting this in the cheap takeaway section shome mishtake shurley

    You've just defined 'competition'
  • molerat
    molerat Posts: 35,823 Forumite
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    edited 19 August 2017 at 10:07AM
    KJSmith wrote: »
    You're also incorrect about this. That cap applies to Credit Union Loans.

    Payday loans are in fact capped at 0.8% per day.

    I've looked on Wonga's website and the lowest rate they currently offer is a daily rate of 0.75%. I've done some crude calculations and this is much more expensive than Lloyds Banking Group's new overdraft charging structure.
    Overdrafts are a form of pay day loan and should be treated as such. There are other (cheaper) products designed for long term borrowing. ;)
  • redpete
    redpete Posts: 4,763 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    myars wrote: »
    bailed out and not able to pay big amounts to their savers

    I'm happy with the 1-4% on my current account and 3% on my monthly saver.
    loose does not rhyme with choose but lose does and is the word you meant to write.
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