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.