One in 20 families 'relies' on payday loans

Discussion in 'The Intelligence Cell' started by Blogg, Jul 10, 2013.

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  1. Or 5% if you prefer. Does not sound a lot but since there are currently around 22 million "households" in the UK that means there could be over 1 million households and more than 3 million unfortunates/suckers directly or indirectly in the grip of these usurers.

    No wonder they have been spreading like a fungus.

    One in 20 families 'relies' on payday loans - Telegraph
  2. Sod them, the biggest problem is 'self-certified' mortgages. Yes indeedee house prices are rising again and banks are eager to lend to suckers who promise to be good but don't have necessarily have the where-with-all to back it up. Fanny-Mae all over again... Institutionalised fuckwitary as opposed to private fuckwitery.
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  3. Working in a credit related industry, I don't have a lot of sympathy for people who use payday lenders. People who use these lenders are usually repeat defaulters who will most likely default on the payday loan as well.

    The biggest problem is the line between our "needs" and our "wants" has completely blurred. We must get back to basics. We need food, water, clothing and shelter. We don't "need" a 50" LCD tv. We don't "need" a playstation video game.

    People must get over the sense of entitlement that pervades society now.

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  4. It's an easy distinction to learn, and once one forms the habit of discerning one from the other, it's an easy one to maintain. If one can be arsed to do so - many can't, it seems.
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  5. I noted last time I got leave that daytime TV is filled with advertisements from these sharks. Also the injury claim jockeys and PPI parasites.
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  6. Which strangely is exactly what happened in the US and got us into this current mess, the "Sub Prime Mortgages" which were championed by none other than their current president!
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  7. Considering that my latest job's pay has been delayed by three weeks due to HR/Finance not knowing their arse from their elbow when setting up a new site, and having to handle 50 new staff - I've had to explain to a landlord why their rent is late, and luckily have a fairly understanding landlord. Many don't have the same leniency with a bank/letting agent, and resort to payday loans to be able to pay rent, or bills.

    For example, I've got rent of 325, bills of 25-50 a month, then probably close to 100 in food bills per month. Job before last was barely pulling in enough to cover my rent and bills, which meant I was literally eating up my overdraft/credit card to be able to eat. So, I can see WHY people might use payday loans if they've got no option, then they end up getting fucked when they can't pay it.

    That said, I do know idiots who use payday loans to go out on the piss, or for something shiny. Typically students, or fat chavs. Thats when I agree with your points.
  8. Which just goes to show how much of the UK population is utterly retarded. **** them, **** their shitty little council houses, **** their 55'' 3D HD TVs, **** their ugly kids and **** their turkey twizzlers.

    If you can't manage on the money you have coming in then it's time to cut down on the money going out. People who end up with more 70 pay day loans should be shot in the streets for sheer retardedness. In fact, anyone who's ever used one more than once and failed to repay them within the month then whinges about the interest as if they just didn't realise that 4,000% is ******* massive deserves anything they get.
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  9. Completely agree. A friend works in the local job centre and is full of stories of wasters, orange from so much fake tan, moaning about the latest phone bill on their iphone and how they cant afford their new tattoo now. This while moaning about how poor they are while on the dole but turning down paying jobs.... aye good one. But im sure we all know our own examples.

    As Squiggers says, they are necessary some times. Though with so many companies operating yet all making a profit it is obviously a boom industry beyond the needs of rare problems like that.
  10. Auld-Yin

    Auld-Yin LE Reviewer Book Reviewer Reviews Editor

    These blood sucking leeches of pay-day loan companies came into being as banks became more and more reluctant to give short term loans/ overdrafts. The pay-day companies charge horrendous rates of interest that the high street banks would never get away with!

    Strange then that many of these pay-day loan companies are actually owned by some of the major banks!

    Just yet another stitch up by the banking fraternity IMHO.
  11. Wordsmith

    Wordsmith LE Book Reviewer

    I presume you've claimed the appropriate benefits like working tax credit, housing allowance, etc? That to my mind is what the system should do - support people who are doing their damndest to keep in work and pay the bulk of their own bills.

    As to the rest, I suspect if you checked the IQ of people who take out pay day loans, a fair few would come out below average or even sub-normal. Some people can't do simple maths and work out how horrendous the interest payments are.

  12. Because you're supposed to repay them within 30 days, not keep them for five years like a normal bank loan.

    If they charged standard interest rates like the banks do they'd probably make huge losses.
  13. Well whatever one thinks about these companies, one can be confident that nothing will be done to curb their activities any time soon:

    From Wiki:

  14. The other side of the coin is that there's another industry - marketing - grown up specifically to blur that line. It's more profitable for it to be blurred than not.
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  15. This hits the nail on the head. Needs v Wants. If we didn't have the money we didn't have it. Today too many people stick it on plastic, then when the crunch comes and loans need repaying they can not afford the Needs. Very sad but very true.