Payless loans

[vetran]

Payday lenders offering up to 6,000% interest on loans face new cap of 100% from January - so does this mean they will go out of business?* | Daily Mail Online

Payday lenders offering up to 6,000% interest on loans face new cap of 100% from January - so does this mean they will go out of business?
Financial Conduct Authority bring in cap of 0.8% per day from January 2
Means nobody should ever pay back more than double what they borrowed
New APR% would be 292% compared to the up to 6,000% offered now
Experts believe the cap could put many of the lenders out of business

[quackhandle]

That's usually where the local loan sharks will step in.

Less face it the target market for these companies is for people who aren't that great with money/or possibly numbers in general.

qh

[VectraMan]

Of the people that don't manage to make the first payment, how many of them go on to subsequently repay the debt? It's hard to believe anyone who can't repay after a month manages to repay 60 times as much after a year - they're just going to default. So limiting it to a more achievable twice as much might actually earn the lenders more.

[BigRed]

They better not go out of business I'm just talking to one of them about a contract

[OwlHoot]

They better not go out of business I'm just talking to one of them about a contract

Crikey - You mean they plan to whack someone who can't pay back their loan?!

Those guys really play hardball