Is the end of payday lenders nigh?

10 June 2013

stock_payday_loans Payday lenders are being investigated left, right and centre, and could be stopped from trading. Elsewhere, there's a public backlash against the sector too.

Recently, Bolton Wanderers fans successfully protested against a QuickQuid sponsorship and over at Newcastle United, Papiss Cisse is refusing to wear next season's shirt because it has Wonga on it.

There's also a student campaign urging colleges and universities to ban on-campus advertising by payday lenders.

The National Union of Students said Northampton, Northumbria and Swansea universities have alredy banned ads and they want other unis to join in.

The OFT are closing in to, saying that there's evidence of "widespread irresponsible lending" and that some companies have become heavily reliant on struggling customers who can't afford to pay loans back.

With the NUS lending weight to the protest, it looks like payday loans are in for a choppy ride. Russell Hamblin-Boone, chief executive of the Consumer Finance Association, who represent short-term lenders, said: "It is concerning the NUS is denying choices to its members, who are all educated and intelligent people, without fully understanding either the short-term lending industry or the way young people are managing their finances in 2013."

Payday loans - doomed?

TOPICS:   High Street News   Debt   UK News

8 comments

  • Idi A.
    Yep, NUS members are "all educated and intelligent people". Fact.
  • shiftynifty
    Russell Hamblin-Boone, chief executive of the Consumer Finance Association, who represent short-term lenders, said: “It is concerning the NUS is denying choices to its members, who are all educated and intelligent people, without fully understanding either the short-term lending industry or the way young people are managing their finances in 2013.”....fuck off Russell
  • LancerVancer
    Better a payday loan than one from a loan shark. I see why people use them, even though you can ge into a lot of trouble if you don't pay them back on time. I don't know how Shopacheck went on for so long, they used to lend money to everyone on the council estate that I lived on. They had the pay the end of your loan off with another loan!! Always keeping people under the thumb.
  • Inspector G.
    Payday loan companies know their time will come, they're already banned in some US states. That's why they have such comical APRs, trying to get in as much dosh as quickly as possible. I would luuurve to see the FSA force them to repay the interest they've scooped in.
  • Roge
    totally immoral - it is basically legalized loan sharking never should have been allowed in the first place outlaw as soon as possible
  • jiggle
    Maybe people should stop living beyond their means? White Lightning instead of Strongbow?
  • hollieb
    I personally can't wait to see this happen they need to be axed all together, someone like me who thinks its just to easy! and admit im irresponsible, its to easy to get one out, knowing deep down half time you can't pay it back, but its easy money for us young knowing we can do this, its debt after debt after debt! And nothing but my own fault, but they make it to easy!!
  • Shop V.
    I savour, cause I found just what I was having a look for. You have ended my 4 day lengthy hunt! God Bless you man. Have a nice day. Bye

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