Tag: Payday loans

OFT warns payday lenders they could be shut down if they don’t clean up their act

The Office for Fair Trading has said that most of the 50 major payday lenders it has scrutinised since launching an investigation earlier this year failed to comply with legal obligations and expected standards. The OFT told the 50 biggest firms that they may face enforcement action, which could mean putting them out of business. The regulator has also warned the UK’s 240 payday firms about growing evidence of poor practices in the sector. Continue reading

One in four 18-24 year olds likely to seek a payday loan

The number of British adults who say they are likely to seek a payday loan in the next six months has risen from 3.5 million individuals to 5 million since this time last year, with 26% of the 18-24 age group likely to do so. Continue reading

Demand for Community Finance soars as ethical lenders take on the Wongas

04.10.2012 Enquiries to ethical ‘community finance’ providers have more than doubled in the last year as individuals seek routes out of high interest debt traps, according to new figures released by the CDFA today. Continue reading

Payday loans soar

17.09.2012 BBC News Personal Finance Correspondent, Simon Gompertz, writes on his blog today that loans and profits at high interest lender Wonga have soared in the last 12 months. Continue reading

CDFIs a lifeline for 21,000 households – saving many from loan sharks

Consumer loans from CDFIs have increased by 35% in the last financial year Continue reading

1 in 8 workers using payday loans – and losing three days’ wages

Workers are increasingly using payday loans because their wages run out before the end of the month, according to a new report published by the union Unite. Continue reading

People struggling to pay for food and bills caught in a payday loans debt trap

Over 60% of people who took out payday loans were using the money to pay for household bills or buying other essentials like food, nappies and petrol, a survey by Which? has revealed. CDFA’s Chief Executive Ben Hughes comments on the figures below. Continue reading