To: UK Government Parliament
Payday loans included in FSCS or banned
Payday lenders have for too long been able to get away with making large profits from vulnerable customers, most of whom are unable to lend from mainstream lenders. Over recent years, Many have been served with heavy fines by the FCO only to enter into administration and a scheme of arrangement which often leaves customers with 4 pence for every pound they are owed. Because these businesses are not covered by the Financial Services Compensation Scheme, there is no protection for customers seeking compensation for the hundreds and sometimes thousands of pounds of interest for which they have been over charged.
Why is this important?
Examples of these well known payday lenders include, Wonga, MyJar, Amigo, Moneyshop, Payday UK, Payday Express and the list goes on.
As these businesses make up a large part of our financial services Loan system, consumers should be covered by FSCS just as they are with high street lenders.
As these businesses make up a large part of our financial services Loan system, consumers should be covered by FSCS just as they are with high street lenders.
