The reason being that many people use the small short term (e.g. lend 50 quid for a week, pay back 55) loans offered by doorstep lenders to bridge the gap, partly because they can't get credit elsewhere. Taking this service away will mean no credit at all for some people.

No doubt they need some regulation, but typical goverment red tape kills small legitimate businesses, whilst the illegal ones continue to thrive.

They should also be running 'thrift' campaigns about not spending or borrowing what you can't afford to pay off. But that would kill an economy currently built on consumer debt used to by foreign made goods.

I avoid loan-sharks and get my money from a mortgage-crocodile instead.

Short term lending wrote:
The reason being that many people use the small short term (e.g. lend
50 quid for a week, pay back 55) loans offered by doorstep lenders to
bridge the gap, partly because they can't get credit elsewhere. Taking
this service away will mean no credit at all for some people.
No doubt they need some regulation, but typical goverment red tape
kills small legitimate businesses, whilst the illegal ones continue to
thrive. They should also be running 'thrift' campaigns about not
spending or borrowing what you can't afford to pay off. But that would
kill an economy currently built on consumer debt used to by foreign
made goods.

But in most cases, such short-term lending doesn't actually help these people anyway. If someone needs to borrow some cash to see them through a week, you can be pretty sure they do that every week, and will do for a long time. All the time, that borrowing is costing them a fortune. They simply have to curb their spending or increase their income. No, that is most definately not easy for a lot of people, but short-term lending like this doesn't solve the problem, not even short-term.

Why do people borrow £50 for a week? Because they need to feed themselves and their families, generally. Why do they need to borrow to feed themselves? Because they don't earn enough to pay for food. Come next week, they still won't earn enough to pay for food, but they have spent some of the money they can't afford to spend on food, on interest charges. So they have to borrow again for a week to feed themselves. Every time, chipping away at their meagre income. It's a circle. Borrowing a large amount of money because you need it now, and can't - or won't - save is fine, but borrowing money simply because you don't have enough to pay your basic expenses is a mugs game. Sure, taking this service away will mean no credit at all for some people, but largely for people who cannot afford credit anyway

Find a person who has debt problems, pay their debts off for them and re-visit them in six months. They'll be in debt again. Debt is rarely actually a financial problem, it's a lifestyle problem

I can't understand why so many people get loans or even get into debt in the first place. They're living beyond their means. My philosophy is; If you can't afford something, then don't but it!

STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn't keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn't keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

keith wrote:
STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn't keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn't keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

"IMPORTANT UPDATE" apparently Mr SHUFFLEBOTTOM, nee STUMPY the duck. It wasn't the fact that he couldn't afford the repayments he was trying to live up to the old saying "TIGHT AS A DUCKS A**".

keith wrote:

keith wrote: STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn't keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn't keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

"IMPORTANT UPDATE" apparently Mr SHUFFLEBOTTOM, nee STUMPY the duck. It wasn't the fact that he couldn't afford the repayments he was trying to live up to the old saying "TIGHT AS A DUCKS A**".

Keith, are you saying he wouldn't STUMP up the cash?

Waiting wrote:

keith wrote:

keith wrote: STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn't keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn't keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

"IMPORTANT UPDATE" apparently Mr SHUFFLEBOTTOM, nee STUMPY the duck. It wasn't the fact that he couldn't afford the repayments he was trying to live up to the old saying "TIGHT AS A DUCKS A**".

Keith, are you saying he wouldn't STUMP up the cash?

Apparently he shelled out a fortune on loans, realised it was not as cracked out to be and made an eggsit

Ian wrote:

Waiting wrote:

keith wrote:

keith wrote: STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn't keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn't keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

"IMPORTANT UPDATE" apparently Mr SHUFFLEBOTTOM, nee STUMPY the duck. It wasn't the fact that he couldn't afford the repayments he was trying to live up to the old saying "TIGHT AS A DUCKS A**".

Keith, are you saying he wouldn't STUMP up the cash?

Apparently he shelled out a fortune on loans, realised it was not as cracked out to be and made an eggsit

Eggcellent comment

Waiting wrote:

keith wrote:

keith wrote: STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn't keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn't keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

"IMPORTANT UPDATE" apparently Mr SHUFFLEBOTTOM, nee STUMPY the duck. It wasn't the fact that he couldn't afford the repayments he was trying to live up to the old saying "TIGHT AS A DUCKS A**".

Keith, are you saying he wouldn't STUMP up the cash?

He tried to earn some cash playing 20/20 cricket for hampshire through the summer, they thought he would be a good runner seeing as he had 3 legs,but he was kept on the reserves bench, i bet you can work out why, yes he was always out for a DUCK....groan,even when he was fielding his position was, MIDDLE LEG...groan...

I canardly better that

My experience of these services - I've fallen into the trap in the past - is that it isn't even a way of raising money. It's just a way of deferring cash shortages until later, whilst also flushing a portion of said cash down the toilet. Many of the people who use these services, if they just put up with the hardship for even a couple of weeks will find they don't have to use the service any more at all

Others, of course, will find it more difficult

keith wrote:

Waiting wrote:

keith wrote:

keith wrote: STUMPY the duck took out a loan from a loan shark,he was hoping to get out of copythorne. He couldn\'t keep up the repayments,look what happened to him!!!!The sharks stated that if he couldn\'t keep up with the payments, it would cost him a leg and a leg,and a leg ,and a leg. Then they would have to re-name him, SHUFFLEBOTTOM !!!!!

\"IMPORTANT UPDATE\" apparently Mr SHUFFLEBOTTOM, nee STUMPY the duck. It wasn\'t the fact that he couldn\'t afford the repayments he was trying to live up to the old saying \"TIGHT AS A DUCKS A**\".

Keith, are you saying he wouldn\'t STUMP up the cash?

He tried to earn some cash playing 20/20 cricket for hampshire through the summer, they thought he would be a good runner seeing as he had 3 legs,but he was kept on the reserves bench, i bet you can work out why, yes he was always out for a DUCK....groan,even when he was fielding his position was, MIDDLE LEG...groan...

Apparently Stumpy was 'loaned' out for ther summer and did a tour of local fetes.
Won every 3 legged race he entered.
Prizes won include a pair of slippers.

Poor old stumpy, you'd think a duck would know how to handle a few bills

He did not Stump up for his debts, now he's up before the beak

George wrote:
Poor old stumpy, you\\\\\\\\\\\\\\\'d think a duck would know how to handle a few bills

You have to be yolking, should try the river bank.

In light of the plight of Stumpy, there should be a quakckdown on loan sharks

that could be very eggciting

George wrote:
My experience of these services - I've fallen into the trap in the past - is that it isn't even a way of raising money. It's just a way of deferring cash shortages until later, whilst also flushing a portion of said cash down the toilet. Many of the people who use these services, if they just put up with the hardship for even a couple of weeks will find they don't have to use the service any more at all Others, of course, will find it more difficult

Appreciate your honesty about yourself speaking from experience.
As you will know, facing reality is a tough prospect for a lot of people, when pride is at stake.
Too proud to admit they have cash shortages with kids to feed, bills to pay etc and with no job or credit, banks will not help.
Hence the vicious circle.

Its not the loan sharks you should be worried about, its the big gangs of them

Ian wrote:

George wrote:
My experience of these services - I've fallen into the trap in the past
- is that it isn't even a way of raising money. It's just a way of
deferring cash shortages until later, whilst also flushing a portion of
said cash down the toilet. Many of the people who use these services,
if they just put up with the hardship for even a couple of weeks will
find they don't have to use the service any more at all Others, of
course, will find it more difficult

Appreciate your honesty
about yourself speaking from experience.
As you will know, facing reality is a tough prospect for a lot of
people, when pride is at stake.
Too proud to admit they have cash shortages with kids to feed, bills to
pay etc and with no job or credit, banks will not help.
Hence the vicious circle.

The harder part for me wasn't facing reality, but in admitting that I had made some mistakes leading me to my (then) current position. You mentioned pride, and that played a big part. Especially the age I was then, it was difficult to say "I've mis-managed my finances horrendously here", because of course, we all like to think we've got more control of our lives than we often actually have. Particularly, it's hard for people in their teens and early twenties to own up to losing control, because they're so desperate to prove their independance. But as you say, and as I can testify, it's a vicious circle

Nice to see George and Civvy have made it up.

These "loan sharks" DO have a valid role in our curious society. I've met regular users of them who borrow fifty quid and return fifty five quid a day or two later. And they don't resent that at all.

Key to the enigma is:-

There's nought so queer as folk!

Robert wrote:
These "loan sharks" DO have a valid role in our curious society. I've
met regular users of them who borrow fifty quid and return fifty five
quid a day or two later. And they don't resent that at all.
Key to the enigma is:-
There's nought so queer as folk!

Where do these people live? I'll lend 'em £50 at £4 a week vig.

Glad too see that my warped sense of humour has given us all a laugh,& hopefully sorted out a few problems,ie george & civvy,Still cant under stand why the echo had to take off big dan gleebles comment and my follow up off of the Stumpy page,surely it was harmless fun the comments that were made,yet they leave on here the statement (if you read between the lines) about the loan sharks cutting stumpys leg off,with further threats of total disablement,and renaming him "SHUFFLEBOTTOM". Funny ol' world aint it !!!