islandgun Posted January 15, 2014 Report Share Posted January 15, 2014 Did anyone see the programe that followed Benefits St can't remember the name, about short term loans to wage earners, are they doing a service to the community or are they get rich quick gangsters. I thought money lenders had been made illegal in this country! and these people are causing no end of misery Quote Link to comment Share on other sites More sharing options...
keg Posted January 15, 2014 Report Share Posted January 15, 2014 I didn't see the programme but anyone charging that much interest is a gangster. People do not look at the APR, they look at the weekly/monthly repayments and as long as those can be met ( at first) then all seems ok. Quote Link to comment Share on other sites More sharing options...
aris Posted January 15, 2014 Report Share Posted January 15, 2014 Were they referring to payday loans? Apparently these are legal Quote Link to comment Share on other sites More sharing options...
henry d Posted January 15, 2014 Report Share Posted January 15, 2014 Dave loan ranger, all about payday loans. There is a tendency at the moment for these firms to charge slightly less than 4750-5000%simply to undercut the bigger firms. For some it is the only way to make ends meet Quote Link to comment Share on other sites More sharing options...
aris Posted January 15, 2014 Report Share Posted January 15, 2014 The APR (and the A stands for Annual) on pay-day loans can be a bit misleading - they are only meant to be for 30 days - and while they have their place, I think they are dangerous for the vulnerable. Quote Link to comment Share on other sites More sharing options...
bruno22rf Posted January 15, 2014 Report Share Posted January 15, 2014 Nobody forces people to take out these loans-it seems to me that its half wits that borrow at these rates then go bleating to the press or CAB when they realise that they have to pay the money back-come on people-wise up. Quote Link to comment Share on other sites More sharing options...
keg Posted January 15, 2014 Report Share Posted January 15, 2014 Henry does have a valid point, a small percentage of the population cannot access normal lines of credit, especially now the banks have toughened up their lending criteria. Credit Unions are the best way forward for those who would normally try a payday lender. 5 years ago, if you were self employed the banks were throwing money at you for on a self certification mortgage.... Quote Link to comment Share on other sites More sharing options...
fruity Posted January 15, 2014 Report Share Posted January 15, 2014 The only reason the people on the show was moaning because they hadnt paid the money back when they should have. payday loans are short term , if you don't pay back on time what you owe them ,they sting you with big interest It's simple you lend it pay it back on time in full as you agreed no problems Quote Link to comment Share on other sites More sharing options...
aris Posted January 15, 2014 Report Share Posted January 15, 2014 The only reason the people on the show was moaning because they hadnt paid the money back when they should have. payday loans are short term , if you don't pay back on time what you owe them ,they sting you with big interest It's simple you lend it pay it back on time in full as you agreed no problems They sting you with 'fees'. Have a read here: http://www.moneysavingexpert.com/loans/payday-loans Quote Link to comment Share on other sites More sharing options...
Bluebarrels Posted January 15, 2014 Report Share Posted January 15, 2014 Can't afford it don't buy it and certainly don't borrow money to pay for it seems some people like to live a life of worry BB Quote Link to comment Share on other sites More sharing options...
aris Posted January 15, 2014 Report Share Posted January 15, 2014 Can't afford it don't buy it and certainly don't borrow money to pay for it seems some people like to live a life of worry BB Would that include food, or paying the heating bill? Alot of people are taking these loans for necessities. Quote Link to comment Share on other sites More sharing options...
Nikk Posted January 15, 2014 Report Share Posted January 15, 2014 The APR (and the A stands for Annual) on pay-day loans can be a bit misleading - they are only meant to be for 30 days - and while they have their place, I think they are dangerous for the vulnerable. Wouldn't that cost 400 quid in interest over just one month? I think they're scandalous personally. I don't borrow money apart from the mortgage and my car and only buy a car that I could sell without losing much money on even though I could easily get a loan for something big and flashy. I've been through the hard times with downturns in work and I wouldn't be able to sleep if I had huge debts. Quote Link to comment Share on other sites More sharing options...
Bluebarrels Posted January 15, 2014 Report Share Posted January 15, 2014 (edited) Would that include food, or paying the heating bill? Alot of people are taking these loans for necessities. More fool them then just digging themselves further in,get a second job or put another jumper on,make cut backs elsewhere,we all have to budget the money we earn and surely must realise whatever they borrow will need paying back ( putting themselves through further hardship ) BB Edited January 15, 2014 by Bluebarrels Quote Link to comment Share on other sites More sharing options...
Nikk Posted January 15, 2014 Report Share Posted January 15, 2014 More fool them then just digging themselves further in,get a second job or put another jumper on,make cut backs elsewhere,we all have to budget the money we earn and surely must realise whatever they borrow will need paying back ( putting themselves through further hardship ) BB True but there are thick and young (plus thick) people out there that get targeted by these companies and it's a brutal way to learn a lesson. Quote Link to comment Share on other sites More sharing options...
fruity Posted January 15, 2014 Report Share Posted January 15, 2014 More fool them then just digging themselves further in,get a second job or put another jumper on,make cut backs elsewhere,we all have to budget the money we earn and surely must realise whatever they borrow will need paying back ( putting themselves through further hardship ) BB Nail on the head BB if you cant afford it don't have it, the guy on there last night moaning about them and charges etc I see had an I phone 5 ! So he had been really cutting back lol Quote Link to comment Share on other sites More sharing options...
lucas Posted January 15, 2014 Report Share Posted January 15, 2014 Most of them don't buy essentials with them, maybe used for a night out or stuff like that Quote Link to comment Share on other sites More sharing options...
Dekers Posted January 15, 2014 Report Share Posted January 15, 2014 I didn't see the programme but anyone charging that much interest is a gangster. People do not look at the APR, they look at the weekly/monthly repayments and as long as those can be met ( at first) then all seems ok. That may well be the case, but who is the idiot if that is true? It is time people took responsibility for their own actions and stopped blaming others, they are quick enough to take the loan but can't be bothered to read the terms. Who led them screaming and fighting to the lenders door and made them take out the loan? TUFF! Quote Link to comment Share on other sites More sharing options...
four-wheel-drive Posted January 15, 2014 Report Share Posted January 15, 2014 (edited) I see nothing wring with payday loans as long as they are given to working people who can pay them back in the alloted time £100 for two weeks with £10 interest I think is a good deal. There are two things that worry me the first is giving these loans to people without checking up on weather they can pay it back the second thing is if someone earns say £400 per week and spends all of it leaving nothing in reserve that cannot be any way to live your life things can and will go wrong everyone needs to have a nest egg or an I just old and not with it in todays world. As someone said about that TV program Benefit Street how come all of the people seem to have leather furniture and 42" TVs I have a 32" and I now working people with much smaller ones as they cannot afford to upgrade it make you think. Edited January 15, 2014 by four-wheel-drive Quote Link to comment Share on other sites More sharing options...
keg Posted January 15, 2014 Report Share Posted January 15, 2014 That may well be the case, but who is the idiot if that is true? It is time people took responsibility for their own actions and stopped blaming others, they are quick enough to take the loan but can't be bothered to read the terms. Who led them screaming and fighting to the lenders door and made them take out the loan? TUFF! Agreed and that was my point. Quote Link to comment Share on other sites More sharing options...
Dekers Posted January 15, 2014 Report Share Posted January 15, 2014 Agreed and that was my point. Quote Link to comment Share on other sites More sharing options...
keg Posted January 15, 2014 Report Share Posted January 15, 2014 They never read the small print or calculate the worst case scenario. Saying that, these people cannot go anywhere else, may only need it for a few weeks between jobs or until benefits start. Quote Link to comment Share on other sites More sharing options...
henry d Posted January 15, 2014 Report Share Posted January 15, 2014 Credit Unions are the best way forward for those who would normally try a payday lender. Absolutely Most of them don't buy essentials with them, maybe used for a night out or stuff like that Really, do you know all the people who take payday loans? No you don`t, great generalisation! Quote Link to comment Share on other sites More sharing options...
Dekers Posted January 15, 2014 Report Share Posted January 15, 2014 They never read the small print or calculate the worst case scenario. Saying that, these people cannot go anywhere else, may only need it for a few weeks between jobs or until benefits start. ...at 5000% they can come to me! Quote Link to comment Share on other sites More sharing options...
lucas Posted January 16, 2014 Report Share Posted January 16, 2014 Absolutely Really, do you know all the people who take payday loans? No you don`t, great generalisation! I don't confess to know all people who take them but I'd suspect that most people don't use them as they are advised. And I really don't know why your going mad about generalisation looking at some of your posts. Quote Link to comment Share on other sites More sharing options...
islandgun Posted January 16, 2014 Author Report Share Posted January 16, 2014 People can get into debt for a huge variety of reasons that those who are financially secure don't seem able to grasp, and often the lesser of two evils when in that position, is to take the money you need from wherever you can. to help get out of the hole, I posted this originally because I think the lenders are taking advantage of these people who do not have a choice, These same people (borrowers) often don't have the savvy to manage the repayments on time then incur large charges and spiraling cost. Obviously there are perhaps some who borrow the money to buy a new phone but they are clearly beyond help. At least this borrowing option is only open to people in work (allegedly) and not to those on benefit, If your wondering. no I haven't any experience in this the bxxxxxds wouldn't lend me anything. Quote Link to comment Share on other sites More sharing options...
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