Friday, December 28, 2012

Payday Loans? Hopefully only the turkey will get stuffed this Christmas

I first saw this excellent poster in the window of the North Wales Credit Union branch in Denbigh. Check out their press release on the Christmas rip off here.

It shows up what thieves Payday loan companies are and how they exploit the poor and vulnerable.

You would pay over 4000% APR interest on a 38 day £400 loan from Wonga or 26.8% APR from a credit union loan over a year.

If you paid the £400 off over a year then you would still pay over £100 less in interest than with Wonga in 38 days.

Good luck to Stella Creasy MP and her #Sharkstoppers campaign.


Anonymous said...

Not impressed with Stella Creasy.

Lacks business accumen and life experience. Totally lost confidence in her and unfit to be an MP.

She started off well by attacking Payday loans (I support this aspect of her campaign), then cluelessly went on to attack Pawnbrokers without understanding their business model.

Pawnbrokers take on huge risks. It is safe lending, if pawnbrokers are lending against gold jewellery. What about their loans against objects like cameras, watches, mobile phones, signed autographs or antiques. What happens if the items turn out to be duds?

Is a bank going to loan money against an object?

People like Stella Creasy are totally clueless. She has never run a business. She shouts her mouth off. She wants to regulate them. What are her qualifications? Writting Phd at Uni papers?

It is clueless policitians like her who sit in parliament and pass st*pid regulations without thinking things through, and understanding the impact on business.

John Gray said...

Hi anon

I think you are being more than a bit unfair and even silly.

If you really support Stella's attack on payday loans then you will not carp about pawnbrokers who also offer unsecured loans at massive rates.

Also it is bonkers to claim that no-one can criticise anything if they have not run a business.

I would however agree that Cameron and Osborne should be precluded from office on that basis. So should Thatcher? She never ran a business?

Stella is so bright she makes your head hurt. So don't go down the clueless game. Since you will just lose.

Anonymous said...

"Stella is so bright " - you got her wrong. She is just another cheap politician. She only picks campaign, which will win votes and publicity.

A good politician, has an understanding of issues on both sides and should be neutral.

If you had seen the TV documentary on pawnbrokers, you would have seen there is another side.

Stella was wrong. This Pawnbroking firm had a warehouse full of duds stuff. They were paying business rates and rents. Boxing memorabilia, which they valued at £100 is only worth £10. To get rid of those items, they took it to auction and must have spend £50 on petrol. So it was not worth selling, but I am sure they did it for TV footage.

Thatcher was the daughter of a green grocer. She understood business. She straightned out the country, after the last Labour government left it in a mess.

I agree Cameron and Osborne should be precluded from office. They at least listen to business, so you don't end up with stupid laws.

Just catching up to some idiotic laws and regulation passed during the Labour years. And I thought the EU lawmakers were mad.

John Gray said...

Hi anon,
A good Politian has to be neutral? What if there is something clearly wrong???

How can you be “neutral” about an evil?

I didn’t see the TV programme so not sure what you are on about?

But Thatcher never ran a business? Her father did. If she had then perhaps she wouldn’t have destroyed so many.

James Sax said...

Hi John, I like the humour surrounding the poster but payday loans have there place. They certainly shouldn't be used all the time considering the high level of interest.

However in emergencies due to not requiring credit checks or paperwork (most of the time) things can happen quickly and without hassle. People should really do the right research to make sue they are getting a square deal.

John Gray said...

Sorry James but you lot are just disgusting thieves who prey on vulnerable people.