UKC

Channel 4 now

He is getting the dirt on these guys, looks like he might actually raise the profile on this.

Maybe Britain will make some of this illegal (as it us in other countries.)
Britain has 'light touch' regulation of these companies.

That 'Light Touch ' worked out well with the Bankers, so no worries there then !

In reply to Jim C:

I'm gonna get this on catch up, saw it advertised and it did look good.
Cisse raised the profile a while back when he refused to wear the Wonga.com logo'd Newcastle shirt, seems he was made to stand down though. Apparantly his argument was on religious grounds and that it offended his views. He just gets on with the football now and gives 2648%.

http://www.theguardian.com/football/2013/jul/25/papiss-cisse-newcastle-wong...

In reply to wilkie14c:

Ironic that the program after that, Go Hard or Go Home, was sponsored by Wonga!

In reply to LastBoyScout:

Mate of mine took a photo of an ad in brighthouse window and posted it on FB. It was for a PS - total price 1100 quid

In reply to Jim C:

I don't really get the issue with Wonga, tend to agree with them that 99% of people use their service properly. People are made aware of the loan repayment costs.

In reply to Panick:

Seems to me the issue is: as one of the undeserving poor, you pay more and accept that it's your fault rather than the failure of a bankrupt economic philosophy. No?

In reply to Panick:

It's all very well saying "people are made aware of the repayment costs" but the concept of RESPONSIBLE LENDING stretches way, way beyond simply giving out information.

Sadly there are far too many payday lenders who do the basics by the book, but do not truly carry an ethic of responsible lending.

It is certainly true that the majorit of people pay back on time and in full, but that doesn't mean it's an ethical approach.

In reply to Rampikino:

Better to have something like Wonga in the open and publicly available, than have payday lending go underground.This I believe is the real problem that nobody wants to face upto.

In reply to Jim C:

It's all very well saying these lenders are open and that people know what they're getting into, but one thing the programme did a good job of emphasising is that these companies rely on their 'customers' getting into trouble and facing spiralling debt, in order to make their profit. If everyone taking out a loan repaid it on time, the lenders wouldn't have a very successful business. One example was the lad who was receiving threatening letters about the debt he could no longer manage, at the same time as being bombarded with daily text messages offering him MORE short-term loans. responsible lending?

In reply to ripper:

Probably not, but equally individuals do have to take responsibility for themselves and not give into temptation whenever it is present.

Easier said than done if you are in financial dire straits of course.

Neil

In reply to Neil Williams:

. I would be interested to learn why he need the loan in the first place, that is the crux of the issue.

I suppose he could go to a loan shark as an alternative, hardly realistic.

In reply to neilh:

Indeed. One benefit of Wonga etc is that it means the loan sharks lose out.

(You could argue that at those rates they *are* loan sharks, but while you might get sued at least they don't threaten people with violence if there is trouble paying)

Neil

In reply to Neil Williams:
But is there much evidence to state that loan sharks are actually losing out? I think the lines are too blurred for people to notice the difference.

I.e. its become socially acceptable to borrow money for a short period of time at high interest from puppets of the TV - surely the loan sharks have never had it so good?

In reply to JMGLondon:

But why would you get involved with someone's dodgy mate down the pub when you can get a Wonga loan so easily?

Neil

In reply to Neil Williams:

Because you've already borrowed from Wonga and you can't pay them back, so your options are pretty limited.

My point is that since the emergence of payday loan companies and their subsequent debtors, surely the potential clientele for loan sharks has never been bigger...therefore why would they be going out of business...

In reply to Neil Williams: I was amazed on one recent documentary when people were taking out Wonga type loans for a night out. If you can't afford it , don't do it.

Other needs may be more pressing/ serious but I just thought it was a sign of the way people expect everything instantly and accept debt so routinely. There used to be a concept of saving for things/ luxuries you couldn't afford!

In reply to earlsdonwhu:

True, though I see no particular issue with taking out a loan to spread a capital item if you can afford the repayments and consider the cost of the interest a worthwhile sum to pay for having the capital item sooner than you'd be able to buy it for cash. That on a similar level is what I think the national debt is for - it shouldn't be used for running costs.

The key is *if you can afford it*. And I don't think I'd take a loan for something that wasn't an asset e.g. a holiday, and definitely not a night out. If nothing else, it's helpful to have the asset because you'd be able to sell it to pay off most/all of the remaining loan.

Neil