End Legalised Loan Sharks.

[Tawnyowl]

Interesting think piece on misselling thanks to 42man for pointing this out.Written by Mike Dailly

Principal Solicitor

Govan Law Centre

Glasgow

11 February 2012

 

A think piece- http://www.govanlc.com/MissellingCC.pdf

Mis-selling of consumer credit in the UK:

gateways to redress?

Conclusion

The mis-selling of consumer credit products may not feature prominently on anyone's radar at

present, but the selling practices of many licensed providers (including pay-day loans and second

charge mortgages) – and indeed the features of certain products – should certainly ring alarm bells.

Ultimately, it would appear that there are two major gateways available for vulnerable customers

who require consumer redress. Looking forward, the product intervention and banning powers and

principled-based regulatory approach of the new FCA may be as much needed in the consumer

credit space as elsewhere.

 

Very interesting reading worth a look when you get a minute or two.

[Tawnyowl]

"Money Matters" event supports Coventry's residents in tough economic times

 

The purpose of the event is:

 

• To promote sources of affordable credit
  
• To share warnings about illegal money lending and Loan Sharks
  
• To share information about budgeting and sources of help with debt.
  
• Govt info on loansharks and help available
  
• http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/DebtsAndArrears/DG_10035958
  

 

http://www.coventry.gov.uk/news/article/315/money_matters_event_supports_coventrys_residents_in_tough_economic_times

 

Payday Loans to come under tighter regulation?

 

Notice the question mark

http://www.bitterwallet.com/payday-loans-to-come-under-tighter-regulation/53533

Key new bits include:

> Additional measures to help customers in financial difficulty and in particular those with mental health problems.

> A ban on commission payments for shop staff selling store cards, and a delay in discounts or other benefits for the first seven days after a store card is acquired;

> A requirement on lenders to ensure customers are aware of the total cost of a short-term loan (including fees and charges) before they apply, and that the loan is not suitable for long-term borrowing;

> A restriction on the number of times a short-term loan can be extended to a maximum of three, coupled with a requirement that a new credit assessment be carried out each time.

The Code is binding on all fifty FLA members in the consumer credit markets, and is subject to independent oversight. It even includes a customer complaint service.

The problem is that all fifty FLA members only includes one of the major Payday lenders, Wonga, with 75% of the market governed instead by the Consumer Finance Association (CFA). This lot, including high street lenders such as the Money Shop and Cash Converters (who actually already promises not to roll over loans) are therefore not bound by these tighter rules.

“It may well be that we will bow to political or activists pressure and come up with a number [to limit roll overs], but I’m not sure we will do so in the best interests of consumers,” he said, while counting all his lovely money from hapless customers.

The CFA says it is working on an “enhanced code” in collaboration with the Department for Business Innovation and Skills and other trade associations, which will launch “later” in 2012.

So nothing much has actually changed then.

Help make it change-http://epetitions.direct.gov.uk/petitions/20219

 

Just a break for a moment from Britain have a look at this.America.

Enough is Enough

 

Representatives of payday lender Advance America downplaying their 400% interest rates.

Edited February 16, 2012 by tawnyowl

[Tawnyowl]

Has a predatory lender a legalloanshark been targeting the students again.After the recent Wonga carry on targeting them you think that maybe the students should be left alone.

 

The National Union of Students (NUS) released a statement on Sunday saying student lenders Smart-Pig should "immediately stop" aiming its services at students.

 

http://www.huffingtonpost.co.uk/2012/02/16/student-lenders-smart-pig-hit-out-at-nus_n_1281969.html

They style themselves as a friend of students but in reality they are anything but," NUS vice president Pete Mercer said.

Lynne Condell, chair of the National Association of Student Money Advisers, also piped in, saying the company was "preying on students who really do not have a lot of credit options available to them".

 

But Tom Parks, director of Smart-Pig, told The Huffington Post "someone from the NUS is out to get us and I want to know who it is".

 

I cant imagine who wants to get you you legalloanshark after all a apr of 855% does not stir emotions or attract criticsm.

 

The students' union is up in arms about the company charging 855% APR "despite presenting themselves as an 'ethical' leader" as well as incentivising students to borrow.

 

Maybe Smart Pig now is the time to make a strategic withdrawal from this market.

 

You have even implied the NUS would be supportive of your loans when they have grave reservations about such credit."

Time to vanish Smart Pig and be forgotten in the mists of time.

 

Stella Creasy MP is on to you as well now so do not expect peace anytime soon.

 

"I urge students not to be taken in by this company," the Walthamstow MP said.

 

As she says wanna know who's after legal loan sharks? Maybe ask her.

Also the real problem is the legal loan shark industry will keep doing things to make profit at expense of public - its why politicians need to act!

Help make it happen http://epetitions.direct.gov.uk/petitions/20219

Edited February 17, 2012 by tawnyowl

[Tawnyowl]

Just in case anyone wants to see a talk on loan sharking in London next Wednesday details here-

http://www2.lse.ac.uk/publicEvents/events/2012/02/20120222t1300E304.aspx

Loan sharking in the UK: increasing debts and inequalities

Date: Wednesday 22 February 2012

Time: 1-2.30pm

Venue: EAS.E304, East Building

Speaker: Stella Creasy MP

Chair: Professor Anne Power

Stella Creasy was elected as the Labour and Co-operative MP for Walthamstow in May 2010. Prior to that she was the Head of Campaigns at the Scout Association, working to support young people across the country in developing their own advocacy skills. She holds a PhD in Social Psychology, and won the 2005 Richard Titmuss Prize at the London School of Economics.

This event is free and open to all with no ticket required. Entry is on a first come, first served basis. For any queries phone and email Hans Rymenams on [email protected] and 0784 2427039.

 

 

Coming to an event at LSE

http://www2.lse.ac.uk/intranet/LSEServices/ERD/conferenceAndEventsOffice/comingToAnEventAtLSE.aspx

 

 

Liverpool council in crackdown on loan sharks charging interest of up to 117,000%

 

Read More http://www.liverpoolecho.co.uk/liverpool-news/local-news/2012/02/17/liverpool-council-in-crackdown-on-loan-sharks-charging-interest-of-up-to-117-000-100252-30347834/#.Tz6Aj7plw54.

Govt advice.

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/DebtsAndArrears/DG_10035958

You can report a loan shark in confidence to an Illegal Money Lending Team.

If you live in England

 

 

• call 0300 555 2222
  
• text LOAN SHARK and the details you want to pass on to 60003
  
• send an email to [email protected]
  

If you live in Wales

 

 

• call 0300 123 3311
  
• send an email to [email protected]
  

If you live in Scotland

 

 

• call 0141 2876 655
  
• send an email to [email protected]
  

 

 

 

 

Edited February 17, 2012 by tawnyowl

[Tawnyowl]

Bit of payday news from around the world on this windy,rainy Saturday.

Why payday loan companies are on the rise

http://www.bbc.co.uk/news/business-16906167

 

Just in case anyone missed the programme a while back

The tonight programme looks at the high interest legalloanshark paydayloan market.

As household debt rises to the five billion mark the programme looks at how ordinary households are borrowing just to fund their day-to-day expenses.

http://www.itv.com/itvplayer/video/?Filter=300105

Hoping that the credit unions really fire up.Sooner they link up with the post office network the better.

 

 

Credit unions warn of increasing payday loan dependence

The Irish League of Credit Unions have said that 2012 will see a drop in disposable income for NI households.

http://www.bbc.co.uk/news/uk-northern-ireland-16786387

 

Caused a uproar during the week

School of 'sharks': Payday loan firm invited to teach school children about money

http://www.mirror.co.uk/news/uk-news/school-of-sharks-payday-loan-firm-684932

 

Are credit unions a viable alternative to banks?

Leeds credit union-I have put it on before but seems the way to go.

http://www.bbc.co.uk/news/business-16754910

http://www.findyourcreditunion.co.uk/home

 

 

Financial advisers protest outside Cash Converters A.G.M. in Perth, about high pay day lending rates.

Payday loan protesters in Australia.Similar protests elsewhere.

http://video.perthnow.com.au/2167874386/Pay-Day-Lending-Protest

Edited February 18, 2012 by tawnyowl

[citizenB]

The Mike Dailly report on Pay Day Loans has an independant thread of its own now - I have copied over tawny owl's post from #147

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?338711-Mike-Dailly-PayDay-Loans-the-next-Mis-selling-Scandal&p=3725101#post3725101

[Tawnyowl]

The new americanBureauDirector Cordray speaks on payday loans at a field hearing in Birmingham, AL

 

 

The new american bureauConsumer Financial Protection Bureau has the rights to examine for the first time all payday loan shops,legalloansharks examine their accounts and if needed shut them down.This bureau has knowledge and bite and will be interesting to watch how they deal with the payday loan industry.Also it will be interesting to see how the payday loan companies wriggle round like ferrets in a sack to avoid the powers of the CFPB.As they wriggled round caps,rollovers etc. Sneaky little devils.

Interesting video and article on the new CFPB.Seems not everybody is happy with the appointment.I wonder who .Anyone remember the subprimers wrecking communities here and America.

http://crooksandliars.com/susie-madrak/cordray-consumer-finance-companies-go?utm_source=dlvr.it&utm_medium

 

Government promise of a pro-consumer watchdog must be delivered

 

Is Britains new soon to be FCA going to have the same powers.A few articles coming up.

http://www.which.co.uk/news/2012/01/government-promise-of-a-pro-consumer-watchdog-must-be-delivered-277718/

 

The FCA will be more rigorous running checks on firms, offering greater level of investigation and more scrutiny.

The FCA will have the ability to ban products or certain features of products.

A watchdog not a lapdog.

 

 

Sharper teeth for financial watchdogs

 

http://www.ft.com/cms/s/0/e1fe4e30-3a11-11e0-a441-00144feabdc0.html#axzz1mopq73qu

The changes, allowing more regulatory intervention and public scrutiny for groups accused of breaches, will raise hackles in the City

The Consumer Protection and Markets Authority – to be renamed the Financial Conduct Authority – will be able to ban products or limit their distribution for up to 12 months.

The FCA, to be headed by Hong Kong regulator Martin Wheatley, will also be allowed to reveal its intention to penalise banks, brokers and individuals pre-emptively, before the target can present its case to an internal appeal body.

Lets hope the FCA is going to be strong.It will be interesting if possible to compare the American CFPB which is new to the FCA.

Britain does not want anymore toothless regulators.

 

On the American side i have heard rumours that over 19 million Americans are now in the legalloansharks clutches.Urghhh.

More info on that soon.

Why does it take 100000 signatures to influence and debate such a obvious need.http://epetitions.direct.gov.uk/petitions/20219

How much is the delay on regulation costing people and communities.

Why has this govt not acted.Snail comes to mind.

Why does someone who has interests in the paydayloan industry and private healthcare donate so much money to the party of no regulation.

If you would like to ask

Address here and contact details

http://www.number10.gov.uk/contact-us/

 

 

 

 

 

Edited February 19, 2012 by tawnyowl

[sillygirl1]

It is a pity we don't have the same system as America over here.

 

I still fully believe that one company must only have one trading name per licence, as this would stop them setting up 9 or 10 'sister companies' and misusing them to gain information they would not normally have access to - plus if you apply to one you cannot apply to the others in the same month.

 

Anything that stops the cycle of loan-reloan-reloan with 2nd company etc etc etc, plus if any company 'raids' peoples bank accounts that must carry a fine of three times the amount of the 'raid'.

[Tawnyowl]

Task group on Legal Loan Sharks to Meet Next Week

 

 

Just trying to get some more info on this story.Interesting article from http://www.medwaytimes.co.uk/index.php/medway-politics/249-task-group-on-legal-loan-sharks-to-meet-next-week

A task force-interesting.

I have mentioned Medway before.The Medway CAB demonstrated against the legal loan sharks before i believe by handcuffing themselves to railings outside a legal loan sharks.Just trying to find the story.

Here is a bit of the story.Good on you CAB Medway.

Workers from the Medway Citizens Advice Bureau demonstrated outside the Money Shop in Chatham High Street at noon on Friday.

They wore straitjackets to represent the impact of severe debt with the words "Say no to payday loans" printed on the front.

Chief executive of the bureau Dan McDonald, who was among the group, blasted the chain.

He said: "They are preying on our residents, they prey on the vulnerable. They should not be here.

"I'm totally against having them on the High Street, especially in Chatham and Gillingham.

Now it seems the council are on board.Maybe time to leave this area legal loan sharks.

Finding more info on this interesting area and their coming battles against the legal loan sharks.Back soon.

If you live round the Medway area maybe join the local credit union if you want to.Kick the legal loansharks into touch.Here is one another in a mo-

http://www.medwaycreditunion.co.uk/

 

Another Local credit union

http://www.kentsavers.co.uk/

 

I have seen a good few protests now both here and in America.And Australia, video here-

http://video.perthnow.com.au/2167874386/Pay-Day-Lending-Protest#.TsNN-bFhcZA.

.They seem to be gathering pace.It seems hard for the ordinary working man and women to battle these massive organisations with their massive funds for advertising,but some are sure giving it a go.

And with support from their local councils and MPs like Stella Creasy and others who knows.

http://epetitions.direct.gov.uk/petitions/20219

Edited February 21, 2012 by tawnyowl

[Tawnyowl]

A frightening statistic.It is estimated of the 19 plus million Americans using legalloansharks products

over 12 million are trapped.

http://www.responsiblelending.org/payday-lending/

And now they are rooted here.Targeted predatory lending in your towns and city.

Probably affecting someone in your family or street.

http://epetitions.direct.gov.uk/petitions/20219 Help stop the legalloansharks.

Remember what the subprimers did.With their targeted predatory lending.

 

Anyome who is in London this afternoon and wants to see a lecture on the legalloansharks,sorry high cost credit providers. details here.

http://www2.lse.ac.uk/publicEvents/events/2012/02/20120222t1300E304.aspx

If you are planning to attend this event and would like details on how to get here and what time to arrive, as well as on accessibility and special requirements, please refer to Coming to an event at LSE

Edited February 22, 2012 by tawnyowl

[Tawnyowl]

Well what a day yesterday with the OFT.

Payday lenders to be investigated by OFT

www.bbc.co.uk/news/business-17153544

 

Much to report this Saturday morning.

Lets start with a legalloanshark many of you perhaps have had dealings with.

Payday lender MiniCredit apologises over 'threats'

http://www.bbc.co.uk/news/business-17127951

You can listen to the full report on 5 live Investigates on Sunday, 26 February at 21:00 GMT on BBC 5 live. Listen again via the 5 live website or by downloading the 5 live Investigates podcast.

 

Lets see what Stella Creasy has been up to.This MP who battles tirelessly against the legalloan sharks even when things do not seem to be going well.

With the support we all give there is no hiding place for these legalloansharks.Every trick they play is recorded and reported.The same for the dcas with their underhanded methods of extraction.Sorry about that drifted off for mo.Lecture mode.

Back to Stella Creasy.

Well apparently on hearing the possibly good news from the OFT she went on a undercover mission in Walthamstow.I suppose when you are pretty high profile,a MP i suppose not wearing a disguise may have given her away.

On hearing of a new legal loan opening in Walthamstow she decided to investigate.

How many legalloansharks can a high street take.

The best part of this tale, is a video was taken of the interrogation that followed.

It seemed very hard to get any answers out of this latest legalloanshark in Walthamstow.

I bet this lender enjoyed the meeting.When they target areas perhaps legalloansharks it may be best not to target one where Stella Creasy lives and works.

Why is it so hard to get the Apr.A song should be made.22- 22- 22 POUND FIFTY.All will become clear.

Here it is.

http://www.youtube.com/watch?v=M1Dct_eKfkg

This lender has now been reported to the OFT.Have a nice day legalloanshark.

 

Just putting this on about the new CFPB in America.

http://www.consumerfinance.gov/

They have only been going for a short while but allready are setting about some of the practices we do not like here.

Here is one of their latest.

http://www.businessweek.com/news/2012-02-24/amex-faces-u-s-enforcement-action-on-credit-card-late-fees.html

 

As we are getting a new regulator the FCA http://www.fsa.gov.uk/library/communication/speeches/2011/0302_hs.shtml soon it will be interesting to compare them.

Bit more info on the FCA

Is Britains new soon to be FCA going to have the same powers.A few articles coming up.

 

http://www.which.co.uk/news/2012/01/...ivered-277718/

The FCA will be more rigorous running checks on firms, offering greater level of investigation and more scrutiny.

The FCA will have the ability to ban products or certain features of products.

A watchdog not a lapdog.

 

Hi Sillygirl1 nice to see you again on Saturday morning same time next week perhaps.

The legalloansharks cant pull the wool over your eyes thats for sure.

Lets hope what you have said-allied companies,complaints from all sources comes out.

I like your saying the murky marketeers.

I feel a ode coming on.

 

And perhaps a final thought from Stella Creasy,a think piece.What do you think to

this statement.It makes sense to me.

Only regulation through total cost capping will really end legal loan sharking & protect consumers -fight goes on

http://epetitions.direct.gov.uk/petitions/20219

 

Off to shops now to buy vegetable seed for my small plot.

I feel it may be tough this year.

Propogation and selling produce at fairs and boots may be the key to survival this year.

Now where have those 200 tomato plants gone and the potatoes and the beans,propogator,compost,pots.MMM,going to take some getting used to,the good life.

Back soon with more legal loan shark news.

Together, the great british public will overcome the legal loan sharks. They will be beaten and forgotten in the mists of time.

Hopefully.

Edited February 25, 2012 by tawnyowl

[sillygirl1]

Minicredit are stating that they only had a 'tiny' 54 complaints to the FOS, well how many did they have via the OFT/Trading Standards? And how many about their allied companies? Add all the complaints for ALL sources on this company and a different picture is painted.

 

54 complaints is 54 complaints too many - how many employees would survive in a company if 54 complaints were made against them?

 

Usual tosh from the murky marketeers.

[Tawnyowl]

Article by Stella Creasy MP about the OFT and the Cheque Centre.

Japanese Knotweed: The OFT review of Payday Lending and Cheque Centre in Walthamstow

 

 

On Friday the Office of Fair Trading announced a review into payday lending. They state that “We are concerned that some payday lenders are taking advantage of people in financial difficulty.” I welcome this review as it reflects a change of heart from their June 2010 review of high cost credit which stated that ‘the markets work reasonably well’. It also reflects the growing pressure that the way in which the legal loan shark industry operates in the UK on our consumers is detrimental.

However, even with this ‘crackdown’ the reality is that the regulations on this industry to be enforced are weak and that as quickly as one firm is censured another will take its place. Only introducing caps on the total costs of credit will give British consumers the protection others enjoy across the world from these firms and help ensure this form of credit isn’t detrimental to Britain’s struggling households or our struggling economy.

 

 

To give one example of the sort of activity I hope the OFT will now act on, I visited our latest legal loan shark in Walthamstow (our eleventh shop offering these kinds of high cost credit products) called Cheque Centre on Hoe Street. As I breathed in the fresh paint smell I asked the staff why they didn’t advertise their APR for short term loans (something which the law requires them to do) The staff informed me that they had been told by ‘head office’ not to tell customers what the APR is and to instead tell them the borrowing rate on £100 ‘until payday’ whenever it may be. They couldn’t therefore tell me what the rate was so I could compare it with other lenders or even understand the consequences of rolling over a loan, should I not be able to repay it back. I recorded this conversation (apologies for the shaky video) and have now reported this firm to the OFT to ask if this is the sort of misleading and confusing practice by these firms that they will be addressing.

 

 

This industry chases profits, of which much can be made from british consumers struggling financially and facing a lack of access to any other more affordable credit. Like japanese knotweed these firms will continue to spring up and exploit this as long as the regulatory framework in our country allows them to do so. I will keep pushing for enforcement of the law as it stands- and for laws to protect British consumers from these firms in the first place. If you haven’t already please do sign the petition and encourage your MP to back an end to legal loan sharking.

Edited February 28, 2012 by citizenB
spacing for easier reading

[Tawnyowl]

http://www.eveningnews24.co.uk/news/norwich_credit_unions_promote_loan_shark_alternatives_1_1220116

Just a mention about the illegal loan sharks that seem to be getting caught in ever increasing numbers and the team that catches them.This is the first time i have read about the proceeds of crime helping people join a credit union.Brilliant idea and i hope this idea goes nationwide.

The England Illegal Money Lending Team, who prosecute illegal money lending offences, have been working with Norfolk County Council Trading Standards, West Norwich Credit Union and Ketts Credit Union to encourage people to look at alternatives to illegal money lenders.

New credit union accounts are being sponsored by proceeds of crime money, with £20 bonuses for the first 50 people to sign up with the Ketts Credit Union scheme and make two payments by Wednesday.

 

Good news indeed.

 

Nationwide please.

An estimated 310,000 households nationally borrow from illegal money lenders, many of whom charge exorbitant rates of interest to trap people into a spiral of debt and resort to bully tactics or intimidation to enforce repayment.

Just in case anyone wants the info on what to do if caught in the illegal loan sharks tentacles and sees no way out ,information telephone numbers etc on this link.

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/DebtsAndArrears/DG_10035958

 

Greater Manchester says no to legal loan sharks

 

Bit of news from just over a week ago from Manchester.

This is about several Manchester MPs and councillors supporting the end legal loan sharking campaign

http://www.tonylloydmp.co.uk/archives/964

Edited February 27, 2012 by tawnyowl

[Tawnyowl]

#Amd87: Ask Your MP to Support Powers to Cap the Cost of Credit and Tackle Legal Loan Sharking

 

Hello!

I'm writing to let you know that an amendment has been tabled to the Financial Services Bill that could help tackle the problems caused by legal loan sharking. Please ask your MP to either co-sign this amendment or ask their colleagues on the committee to support it.

The Financial Services Bill covers many issues including reforming the way banks are regulated and the creation of a new Financial Conduct Authority. Crucially the new FCA will also oversee consumer credit – and have the power to act to address ‘toxic’ financial products which cause detriment to consumers. Labour members of the committe debating this Bill have tabled an amendment that would give the regulators the power to cap the charges any company can levy for credit to prevent such detriment – so capping the costs of credit and sending a strong message that excessive prices for credit will not be tolerated because of the problems they cause consumers. It is Amendment 87 and refers to Clause 22 of the bill – you can read my speech about these proposals here.

 

This amendment will be debated in committee in the coming days so it is vital to contact your MP as quickly as possible to ensure they are aware of this opportunity to tackle legal loan sharking. There are 18 MPs on the committee who can vote for this amendment who are listed below along with a sample text to send your MP. You can find your local MP's contact email address here - please also share this email with friends and family and encourage them to write to their MPs as soon as possible as well to show the strength of feeling about the need to tackle legal loan sharking in the UK. You can also use #Amd87 if you tweet about this proposal to help highlight this campaign – together we can tackle legal loan sharking!

 

 

Stella Creasy

Labour and Co-operative MP for Walthamstow

Suggested text to send to your local MP

Dear XXX

As one of your constituents I'd like to let you know about my support for amendment 87 to the Financial Services Bill currently being debated by parliament. This would give the new financial regulators the ability to cap the excessive costs of credit and so help tackle legal loan sharking. Giving these new powers to this body to address the conduct of this industry and the costs of financial products like payday loans would send a strong message to this industry about the rates of interest that are acceptable to charge. It could therefore make a real difference to the millions of Britons now struggling financially who are borrowing from these companies to make ends meet by encouraging firms to cut their charges.

Please co-sign Amendment 87 and encourage your colleagues who are on the committee to vote in favour of this amendment when it is debated in the coming days. The MPs on the committee are listed below for your information- thank you in advance for your support for these proposals and the campaign to tackle legal loan sharking.

Members of the Financial Services Bill :

 

• Karen Bradley- (Staffordshire Moorlands)
  
• Lorely Burt (Solihull)
  
• Mark Durkan (Foyle)
  
• Chris Evans (Islwyn)
  
• Yvonne Forvargue (Makerfield)
  
• Mark Garnier (Wyre Forest)
  
• Stephen Gilbert (St Austell and Newquay)
  
• Sheila Gilmore (Edinburgh East)
  
• Fabian Hamilton (Leeds North East)
  
• Matthew Hancock (West Suffolk)
  
• Greg Hands (Chelsea and Fulham)
  
• Mark Hoban (Fareham)
  
• Cathy Jamieson (Kilmarnock and Loudoun)
  
• Chris Leslie (Nottingham East)
  
• Jesse Norman (Hereford and South Herefordshire)
  
• Teresa Pearce (Erith and Thamesmead)
  
• David Rutley (Macclesfield)
  
• Alok Sharma (Reading West)
  

Latest messages of support and people who have allready contacted MPs

http://www.facebook.com/events/178114545634203/

Edited February 28, 2012 by tawnyowl

[Tawnyowl]

MP calls for high-interest payday loan schemes to be regulated

 

http://www.thisisdevon.co.uk/MP-calls-high-payday-loan-schemes-regulated/story-15361598-detail/story.html

 

Interesting article about the difference between wonga's PR and their actual clientele. [/url]

http://www.guardian.co.uk/business/2012/mar/01/wonga-real-cost-payday-loan?INTCMP=ILCNETTXT3487e

 

[Tawnyowl]

Another dull,rainy Saturday morning and temperatures have dropped. Been tropical most of the week,but now weekends here everythings changed.

Maybe best to stay in your nests this morning and stay warm.

Maybe set the world to rights and say a few things about the payday lenders high interest end of the credit market.

Be back in a mo,cat meowing at the front door, wanting to come in. Must let him in dare not argue with Fang my cat.

Found this article from the West Midlands,interesting in a couple of ways.

Credit union director urges payday loan rate cap

http://www.bbc.co.uk/news/uk-england-birmingham-17156139

 

Also a mention of the six towns credit union.When the AGM met they passed a huge 4% dividend.Wow. Link here http://www.sixtowns.co.uk/

Tawnyowl just checked bank account.Poor return.Credit union is doing very well.

Time perhaps Britain had a national join a Credit Union day.America did and 100,000 people joined one.Over 1,300,000 people joined a credit union in America last year.93,000,000 members..Article-

Banks' fees pay off — for credit unions

http://www.latimes.com/business/la-fi-bank-fees-complaints-20120302,0,7970213.story

Get the local band playing,invite a few MPs, bang a few drums attract a few people to a historic event.The day the great british public bit back.Against the high credit ,legal loan sharks, characters that are flooding the country.Wishful thinking perhaps.Who knows.Do you.

Here is a few of the accounts the sixtowns credit union does.

 

• Instant Access Account - Any money money in this account can withdrawn at anytime
  
• Christmas Account - This account helps you save by allowing you to put money away on a weekly, fortnightly or monthly. The money in this account can then be withdrawn the first week in November.
  
• Holiday Account - Like the Christmas Account you save at your convenience and you withdraw this money 4 times a year, March, June, September and December. An excellent way to save for those School/Children Centre trips.
  
• Budget Account - By putting money into this account we will set up a payment plan to pay your Landlord, Utility Bills or any other regular bills .
  

Also for me the first time i have heard this from a credit union.Maybe best to check with them to 100% confirm.As they were having software issues at one time.

From the beginning of March 2012 we will be able to offer Payday Loans.

Here is the link press the BBC LINK. http://www.sixtowns.co.uk/content.asp?section=116

So if you are around Sandwell maybe this is good news for you.Rumour is interest rate 26%

"Why use Payday Loans with APR over 4000% when our is 26.8%"

 

 

Other credit unions.Get in there.Challenge the legal loan sharks.

I am a great fan of credit unions

After that a few of you may be feeling credit union curious and maybe want to know more or even join one.

Here is the link just in case.

http://www.findyourcreditunion.co.uk/home

 

Just checking out another credit union offering payday loans.This is good news.

In London.Areas covered Southwark or Lambeth

Details coming up.

Here is the loan details from a ethical lender not a legalloanshark.

http://www.cuok.co.uk/index.html

CUOK is a short term loan facility from London Mutual Credit Union designed to see you through until your next payday. It is exclusively for people who live or work in Southwark or Lambeth.

http://www.cuok.co.uk/eligibility.html

Hopefully payday loans at fair rates will soon spread nationwide through all credit unions.

It seems speed of loan and ease of access is the way to go.The faster the better.But at fair affordable rates.

 

 

MPs debate Jam Jar accounts and role of credit unions

http://www.abcul.org/media-and-research/news/view/225

The recent legislative reform order brings new and exciting opportunities to credit unions. It is now for the sector to respond to those opportunities by seeking new ways to reduce their costs, to improve the products and services that it offers and to reach out to new markets to become self-sufficient and sustainable.

Hopefully linking up with the post office network will help credit unions.Does anyone know how this is going.

73 million was, or is available for credit unions to modernise.Any news.Anyone.

The Post Office would benefit from a great new source of revenue and business , which matter so much to all of us in our communities and constituencies.Bring it on.

Any clued up people from the post office available to tell us.Or the credit unions.Is the link up ongoing.

I suppose the credit unions now the reforms have taken place are busy advertising in their local communities delivering leaflets,talking at community centres,schools,places of work and banging on a few doors to let people know they are there.And ready to take on the legalloansharks.Anyone with any news.

Well when Tawnyowl started writing this morning it was pouring down with rain.Now it is bright cold but sunny.

This tells me maybe i have been on the computer to long.Time to plant a few crops in the field.Something like that.Please excuse me if i have gone on a bit this morning.Enjoy your day.Bye for now ,

Edited March 3, 2012 by tawnyowl

[bramers79]

Hi all

im new to the site, i have been having real issues with the Cheque centre recently

After speaking to the staff in store to arrange a payment plan as i have had to take time off unpaid from work to look after my sick partner they kindly agreed on £50 a month .....on the 28th they called to take the payment over the phone and i kindly give them my card details to debit £50 (confirmed by the agent)........but she didnt take £50 she took the total of nearly £700 my whole savings i needed to live off for the next couple of months this was the balance of the loan but in my mind i had made an agreement to pay this bank.

 

all i got out of the company was tough i even escalated it to the area manager but all i got was tough you owed us the money

 

because of this the last few months have been hell for me and my family "HOW DO THEY KEEP GETTING AWAY WITH IT"

 

i know there is nothing i can do now but im making it my personal mission to help put an end to this LEGAL LOAN SHARKING

 

Bramers79

[sillygirl1]

There ARE things you can do NOW

 

report them to the Office of Fair Trading and Trading Standards for a start as it is against the Guidelines on Debt Collecting to take all the funds when an arrangement had been made for x amount.

 

The OFT and Trading Standards are holding a proper investigation into this murky market and your complaint could be vital

 

http://www.consumerdirect.gov.uk for the Office of Fair Trading

http://www.tradingstandards.gov.uk for Trading Standards

 

Change your bank account to prevent this happening again with them (they may 'accidentally' try again)

 

Contact Walthamstow MP Stella Creasy as she is very much against the payday loan people. She has people who want to name and shame these companies.

 

Taking vital money from you at a difficult time is a disgrace and the more people who know this company behaves this way the better.

 

Never EVER feel 'there is nothing I can do about it, I owed the money they were entitled to it' that is a bank 'buzz phrase' to make you feel 'morally responsible'.

 

You WERE morally responsible in setting up an agreement for them to take £50, they were CORPORATELY IRRESPONSABLE in taking all the funds they did at the time.

[Tawnyowl]

Mother's pain at son's payday loan nightmare

 

http://www.bbc.co.uk/news/uk-northern-ireland-17395947

"He applied for several payday loans, in fact, he approached five lenders and they all lent to him," she said.

Northern Ireland payday lenders face investigation

http://www.bbc.co.uk/news/uk-northern-ireland-17392407

A month-long survey of 29 loan companies in major NI towns revealed the majority of lenders do not adequately explain the consequences of failing to repay a loan on time.

Trading Standards found in every case the payday lender was unable to quote the Annual Percentage Rate (APR).

 

I remember Stella Creasy MP trying to get the APR out of a legal loan shark.A difficult task.

Undercover video here- http://www.youtube.com/watch?v=M1Dct_eKfkg

 

And maybe if you feel like it sign the epetition.Dont let them get away with their legal loan shark practices.

http://epetitions.direct.gov.uk/petitions/20219

 

The Office of Fair Trading is already investigating the tactics of the payday loan industry in a review expected to be completed later in the year.

The committee also called for upfront fees to be phased out by debt management companies, which charge to offer advice to individuals on dealing with their debts.

"During these difficult economic times, increasing numbers of people up and down the country - not least some of the most vulnerable members of our society - are relying on the provision of consumer debt management services and payday loans to make ends meet," said the committee's chairman, Adrian Bailey.

"Yet this industry remains opaque and poorly regulated. The government must take swift and decisive action to prevent firms from abusing the needs of such a vulnerable customer base."

 

The payday loan industry has had the chance to put its own house in order, but has failed to stamp down on irresponsible lending.Time for action.

http://www.channel4.com/news/payday-loans-what-action-is-being-taken

Norman Lamb seemed to dodge a few questions.

Listen from 2-08

Especially when Adrian Beecrofts name was mentioned.Norman got a bit of a sweat on when his name was mentioned.Sometimes referred to as a Dalek of Downing Street.The man who gave 500000 pound to the Tory party and had interests in a payday loan company and private health matters.And WAS OR IS a advisor to them. Info coming.

The PM has Mr Beecroft – a significant donor to the Tory Party, he and his wife have given more than half a million pounds to the Tories since Mr Cameron became leader – to now consult on everything from pensions to cutting the NHS.

Although Mr Beecroft retired from Apax in September 2008 as their senior investments officer, the company owns or manages healthcare companies such as General Healthcare which stand to benefit from the increased use of the private sector inside the NHS.

 

We have now been listening to the same story for ages.Looking into the effects on credit if caps are introduced.

Would it drive people to illegal loan sharks.

The loan sharking team based in Birmingham are smashing the loan sharks day in day out.Some of the proceeds of this crime have paid for people through bonus schemes to join credit unions.Some estimates say 350000 families borrow of illegal loan sharks.If you know anyone in trouble with a loan shark pass on this link,it may save their family from them. http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/DebtsAndArrears/DG_10035958

Maybe follow the loan shark team on Twitter or facebook. Link here-

 

• Visit the Stop Loan Sharks Facebook page Opens new window
  
  
• Follow the Stop Loan Sharks team on Twitter
  
• The high rip off credit market must be dealt with it can not be allowed to continue at this rate.Whole high streets being taken over by them. Not a pretty site. Places to avoid. People are beginning to avoid once thriving shopping areas.I know i do. It must be affecting high streets up and down the country.
  
• Used to say. Lets go shop on the high street.Now.Why, all there is now is the pawn shops,loan shops, etc.Not down some side street but bang centre of the high street.
  
• Its not all bad news.Some credit unions,maybe just a few at the moment are beginning to offer paydayloans at reasonable rates.APR 26% or therabouts.It seems people want fast,easy access loans.Maybe the credit unions will power up and challenge the legalloansharks.And go nationwide with these affordable loans.It could happen.
  

.

Edited March 25, 2012 by tawnyowl

[Tawnyowl]

http://politicalscrapbook.net/2012/03/adrian-beecroft-cash-for-access-donation/

The man who gave 500k plus to the Tory party who was a legal loan shark at one time.

Money for influence comes to mind or is at least thought about.

There is something of the night about this.

 

As Adrian Beechcroft's riches come from legal loan sharking some would like clarity he's not made reps on consumer credit! .I hope that any legal loan sharks who are party donors have not made representations on capping credit. Others would like to know the answer to this as well

http://www.independent.co.uk/news/uk/politics/tory-donors-bid-to-curb-job-security-provokes-lib-dem-anger-2376461.html

The Adrian Beecroft story is not new news but has come to the forefront again with the donations uproar.It was written about in Oct-Nov 2011 but like everything till heavy publicity and arguments in high places comes todays news is tomorows chip papers.

Edited March 27, 2012 by tawnyowl

[Tawnyowl]

Do i sense a rebellion coming from fans of football clubs.Are they getting sick of the legalloansharks involvement with their clubs.

Tawnyowl is somewhat biassed in opinion on the predatory lenders sweeping the country just as the subprime lenders did both here and in America.And what a mess they left just as this lot will when finally the government act.

Perhaps you might like to read the next article.

We want Wonga off our clubs' websites

 

http://www.guardian.co.uk/business/2012/mar/27/wonga-off-club-websites

 

http://epetitions.direct.gov.uk/petitions/20219

 

If they really wish to advertise short-term loans for their fans in these difficult financial times, then perhaps it would be better to give publicity to their local credit unions

 

Do you feel credit union curious.Want to know where your local credit union is.Search here.

http://www.findyourcreditunion.co.uk/home

Edited March 29, 2012 by tawnyowl

[Tawnyowl]

Legal loan sharks.I have heard many sad stories of people getting into trouble with these sharks.

But some stories of the legal loan sharks ,still after all this time grab your attention.

Here is the latest.

Its not just the payday loan market who are taking Britains people to the cleaners.

Have a read of this.

86-year-old Olive hands two-thirds of her weekly pension to legal loan shark Provident

 

 

http://blogs.mirror.co.uk/investigations/2012/04/86-year-old-olive-hands-two-th.html

 

Provident Financial, which charges up to 1068% annual interest, claims: "We have *processes in place to ensure our customers never borrow more than they can afford to repay."

Why do i not believe a word they say.

 

http://epetitions.direct.gov.uk/petitions/20219

Edited April 6, 2012 by tawnyowl

[Tawnyowl]

Just been having a rest for a short while from talking and writing about the legal loan sharks.

I have just been reading a few articles about them.

They really do not see any harm in their legalloanshark practises.

Just gearing up for a wonderful summer of telling them exactly what i personally think of them.

While they carry on regardless.Expanding their empires worldwide.Or trying to.

A shiver of sharks a suitable name for a group of legalloansharks

Certainly sending a shiver down many peoples spines when caught in their webs.

 

A rough idea of how fast they are expanding from a town in Yorkshire.

A year ago, they accounted for about ten per cent of local debts. That figure is now thought to have risen to 50 per cent.

 

Adrian Bailey MP, the business committee’s Labour chairman, said: “This industry remains opaque and poorly regulated. Despite a Government consultation that ended almost a year ago, little has been done to remedy the situation. The Government must take swift and decisive action to prevent firms from abusing the needs of such a vulnerable customer base.”

http://epetitions.direct.gov.uk/petitions/20219

 

Am also surprised at Wellcome trusts involvement with A LEGALLOANSHARK

As one well known MP Stella Creasy said

"Dear wellcome trust please spend more money on research and less funding growth of legal loan sharking in uk. Wonga not charitable concern.."

 

Full account of this story here from edwinclucks thread

http://www.consumeractiongroup.co.uk/forum/showthread.php?337523-The-Wellcome-Trust-charity-and-Wonga.Com

More news soon-just warming up.As hopefully the weather will.

As you look round the country,so many MPs, councillors, support action from all sides but nothing happens.

Swift action is called for.

The only swift i expect to see shortly is a bird flying in from Africa.

But maybe,who knows something may give.And i dont mean the legalloansharks wallets.

That is to much to ask.Action of some sort will surely come.

Edited April 11, 2012 by tawnyowl

[Tawnyowl]

Just a small article from Australia showing some peoples anger at the legalloansharks.Seems a familiar story.

Anger at payday lenders

 

 

http://au.news.yahoo.com/today-tonight/latest/article/-/13179122/anger-at-payday-lenders/

 

Showing the problem is global.

Aged pensioner Graham Murray and his disabled wife Pam became trapped in a spiralling debt nightmare, taking loan, after loan, after loan, with different payday lenders. It was an expensive lesson. For nine years the payday lenders direct debited payments on pension day, leaving Graham begging for charity.

Now it is the payday lenders fighting for survival. A Federal Government review is considering a national cap on upfront fees of ten per cent, and ongoing interest rates of just two per cent a month.

However, according to Lowe “there is now word that they are proposing to double that cap, which would render the reform ineffective.”

Quick follow up to the story which has not gone down well.

Rates limit to double as payday lenders win

 

 

http://www.perthnow.com.au/business/local-business/rates-limit-to-double-as-payday-lenders-win/story-e6frg2s3-1226281410614

 

Bit of news from America.

Cordray Seeks Payback for Payday Predators

 

The federal government’s crackdown on abusive financial practices that take advantage of the working poor is ramping up even before the new cop on the beat – the Consumer Financial Protection Bureau – steps into the fray.

http://www.thefiscaltimes.com/Articles/2012/04/02/Cordray-Seeks-Payback-for-Payday-Predators.aspx#page1

 

Back to Britain.

Islington Councillors demonstrate against pay-day loans - but drop by-law plan

Campaigners, including Cllr Richard Greening (far left) and Raphael Andrews (3rd from right) stand in front of a pay-day lender in Archway

 

http://www.islingtongazette.co.uk

/news/islington_councillors_demonstrate_against_pay_day_loans_but_drop_by_law_plan_1_1344947

Islington Council members who protested against payday moneylenders have been forced to abandon a bid to ban them from the borough.

Nice to have tried.Better to try and fail than not to try at all.I take my hat off to you all.Admire your effort.

Bit more info - http://www.credit-union.coop/news.asp?section=News

 

Another article.As people thought people are being ruthlessly targeted by these predatory legalloansharks.

From Wigan a report.

As the saying goes, someone always makes a profit out of a crisis, and Britain's high streets are filling up with these little enterprises.

I liked the comment if you are wondering why it is not happening in France ,Greece and Italy its because it cant.It only happens in our deregulated financial services industry.

5 companies were contacted for a comment,none replied.

 

Shocking,startling news from Bradford

There has been a dramatic rise in the number of people in Bradford who have got into a vicious circle of debt through payday loans, it has been revealed.

http://www.thetelegraphandargus.co.uk/news/9568925.District___s_payday_loan_debt_rockets/

 

Adrian Bailey MP, the business committee’s Labour chairman, said: “This industry remains opaque and poorly regulated. Despite a Government consultation that ended almost a year ago, little has been done to remedy the situation. The Government must take swift and decisive action to prevent firms from abusing the needs of such a vulnerable customer base.”

http://epetitions.direct.gov.uk/petitions/20219

Edited April 15, 2012 by tawnyowl