Borrowing on your doorstep?
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Loan sharks can cause misery to people already weighed down by debt. Here are some tips on how to stay on your guard and make sure you don't get bitten!
Only borrow from legal lenders
Ask for proof the lender has a Consumer Credit Licence.
People lending without a licence are illegal
You are not breaking the law if you borrow from someone without a licence but you are likely to be ripped off - and worse!
Illegal lenders are loan sharks
You may have been bitten by a loan shark if your loan keeps growing even though you pay regularly. One loan shark customer had to pay £50 a week out of her benefits of £74 per week. Another was charged 117,000% interest!
Some loan sharks threaten you when you can’t repay
These kind of loans are unenforceable without a court order
Most loan sharks don’t provide paperwork
You never know how much you have paid.
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Report your lender if you don’t think they have a licence;
Phone the loan shark confidential helpline on 0300 555 2222. It is staffed 24 hours a day seven days a week, 365 days a year.
The helpline will check to see if they are legal.
You will not get into trouble with the authorities.
Remember, it is the loan shark who is behaving illegally!
You can also email: stoploansharks@birmingham.gov.uk
The help line is staffed by members of the Illegal Money Lending Team. They are working with Sheffield City Council Trading Standards to ensure that loan sharks are brought to justice.
You can also contact Sheffield Homes Money Advice workers Alison Whitehead or Janice Bell workers through the North call centre on 0114 293 0000 or 0114 205 3333.
Charges are local rate including inclusive minutes from mobile phones.
You probably won’t have to repay loans from an illegal lender.
If in doubt give us a shout!
