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MP Backs Payday Loan Regulation

Monday July 8 2013

MP John Healey MP John Healey

AN MP has backed a bill to regulate rip-off payday money lenders who can charge interest rates of up to 1000 per cent.

MP John Healey's Wentworth and Dearne constituency saw the number of people seeking help with payday loan companies triple last year.

"These payday lenders are making millions from extortionate loans to some of the most vulnerable people in Barnsley," he said.

"It's understandable that, in hard economic times, people feel they have no choice but to turn to them.

"But unexpected costs quickly mount up, and people are pushed further into debt because of the massive interest rates, rip-off charges and misleading advertising.

"This bill aims to stop the worst practices which badly exploit those who can afford it least."

The number of people taking out payday loans and struggling with debt is increasing rapidly.

In 2011, debt charity Step Change had 11 clients in the Wentworth and Dearne constituency with payday loans. In 2012, the number had gone up to 39.

The charity saw 68 people from Wentworth and Dearne with debt problems in 2005 but this had nearly tripled to 198 by 2012.

The average unsecured debt in the constituency last year was nearly £13,000 and the amount owed to payday lenders £1,295.

The ‘High Cost Credit Bill’, put forward by Sheffield Central MP Paul Blomfield, has cross-party support and will include new measures to ensure excessive charges are capped.

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Reply Posted by Alex on Monday July 8 2013 at 15:12
If the Government issued a bill with a living wage, they'd be no need to get loans from loan sharks. The government and the ones before them, are the real Con merchants.

If you've no money and your desperate, where do you go??? Some of these MP's don't have a clue or they don't want to.

look in your own backyard Mr healey and see where you're going wrong!

Reply Posted by Brian on Monday July 8 2013 at 16:46
Quite simply, people should learn how to moderate their spending and only spend on essentials and to a level that they can afford. It really is difficult to have sympathy with people who use the services of a payday lender and then complain about it. It is all about education, common sense and will-power.

Reply Posted by Brian on Thursday July 11 2013 at 17:27
Quite simply, I talk absolute garbage and need banning from posting crap on here.

Reply Posted by Stevo on Tuesday July 16 2013 at 19:59
Easier said than done Brian, hope you never have to be in an unemployed persons shoes, may shut your great big opinionated gob firmly shut then if the shoe was the other foot.

Reply Posted by Alex on Tuesday July 9 2013 at 22:05
Brian, it's quite simple, some people don't have the money you have! Some people have got nothing, and it's not always their fault. Some people have family breakdowns, some lose their jobs, some are in deficit and some don't know what they are talking about.

Reply Posted by Brian on Tuesday July 9 2013 at 22:20
I don't have any money............I've paid my council tax.

Reply Posted by Brian on Wednesday July 10 2013 at 16:38
I have also lost my marbles

Reply Posted by Brian on Wednesday July 10 2013 at 18:59
I do not know which fool posted the above under my name, but it was not me. Let me assure the clown who did post it that he or she is factually incorrect as I have never lost my marbles as I still have them in a box in the loft. You must be thinking of your own marbles, which clearly went missing some time ago.

Reply Posted by Brian on Thursday July 11 2013 at 17:26
Brian WE don't have a name we are just a number.
Why not take ourselves for a long walk off the end of the central pier in Blackpool?

ipso Regulated