Payday loans may outstrip credit cards

[The Spartan]

Sweeeeeping generalisation.

You'll find that drug addicts are unlikely to have the cheque books in the first place and are more likely to turn to bog standard crime. Easier to mug someone than go to cash convertors.

Its desperate people turning to what they think is there last option that drives this and the sad fact then when caught in a debt spiral, without outisde assistance there is little escape.

You don't have to be a drug addict to buy drugs and are you saying people who work don't dabble in drugs?

[Notascooby]

You don't have to be a drug addict to buy drugs and are you saying people who work don't dabble in drugs?

I'm saying they'd more likely use their income to pay for these. If you "dabble" then you're less likely to sell the telly to pay for smack.

[Support Monkey]

It's always been around 'on tic', 'the never never', 'HP'. It's nothing new.

Exactly, its always been around but the problem now is the consumer society we live in where people feel their hard done by if they don't have the 42" telly or an Iphone, there will always be genuine hardship cases but alot of them are only funding a lifestyle beyond their means, when you walking past one of these places check out the people inside £100 bench jeans, £400 I phones £90 superdry jackets, that to me is not a genuine need and these kinds of places only fuel the circle of debt their already in

[Arturo Bassick]

Exactly, its always been around but the problem now is the consumer society we live in where people feel their hard done by if they don't have the 42" telly or an Iphone, there will always be genuine hardship cases but alot of them are only funding a lifestyle beyond their means, when you walking past one of these places check out the people inside £100 bench jeans, £400 I phones £90 superdry jackets, that to me is not a genuine need and these kinds of places only fuel the circle of debt their already in

You seem to be under the impression that these people can't afford these items when actually they can. Due to their circumstances they may end up paying more for them, but if they have budgeted properly they can afford them. It's expensive being poor! (T.V. Smith)

[Support Monkey]

You seem to be under the impression that these people can't afford these items when actually they can. Due to their circumstances they may end up paying more for them, but if they have budgeted properly they can afford them. It's expensive being poor! (T.V. Smith)

Surely if they budgeted properly they would not need a loan to cover them from one payday to the next.

budgeting is knowing what is coming in and spending it wisely and making it last until you get payed again even if that means going without

[The Spartan]

I'm saying they'd more likely use their income to pay for these. If you "dabble" then you're less likely to sell the telly to pay for smack.

They would yes but when you need to get some you can't always wait for payday so why not use a payday loan?

[scooterscot]

Good luck starving, then. Bankruptcy won't put food on your table or pay your electricity bill.

Your comment was as per usual nonsensical.

People starve in Africa everyday I don't see them queuing at pay day loans with cheque in hand. Have you ever been to a developing country? I'm guessing not or you would not use the term starving so loosely. It's particularly insulting to suggest people are starving because of financial reasons when we've on the verge of an obesity epidemic.

We have a benefits system in place to see that welfare is maintained.

Why would anyone use payday loans when facilities are in place to provide us with basic needs?

[rd409]

People starve in Africa everyday I don't see them queuing at pay day loans with cheque in hand. Have you ever been to a developing country? I'm guessing not or you would not use the term starving so loosely. It's particularly insulting to suggest people are starving because of financial reasons when we've on the verge of an obesity epidemic.

We have a benefits system in place to see that welfare is maintained.

Why would anyone use payday loans when facilities are in place to provide us with basic needs?

We have this problem because, people spend benefit money for booze and tobacco, and then use these quick credit to pay for food. I remember there was a thread about bbc link regarding someone on reduced benefit, spending 10% of his money on these stuff. Unless people at the bottom do not get their priorities right, these sort of companies will do exist.

[vetran]

That would be 'Raymond' discussed on this board last week.

would like to see a cap on APR say 30% so borrow £100 and it costs £130 max in a year. Plus better regulation.

[rd409]

That would be 'Raymond' discussed on this board last week.

would like to see a cap on APR say 30% so borrow £100 and it costs £130 max in a year. Plus better regulation.

The problem with this is no one would want their £100 logged with someone with a bad history for a year just for 30% return, and £100 at 30% max APR would be roughly only £2.5 a month, so not a financially viable solution.

+1 for Better regulation though.