Payday loans is a short term loan promoted by its patrons as a top-up loan between paydays. These loans, however, have become an excuse to rob poor people of whatever money they have. For a start, just consider the interest rates: 2500% APR. To top that, these loans do not stop at being just a single, one time expensive form of borrowing. Most people are deliberately made to fall in a debt trap because of unclear terms, almost unregulated penalties and what not. Here are some comments from various consumers of payday loans on an
online payday loans forum :
"
Took money out of my account without asking (illegal). Rude on the phone, the manager was worse!!"
"
I got a loan from these ppl last month. A few days b4 my payment was due I received an unexpected leccy bill which i had to pay 4 obvious reasons.
I emailed **** 2 explain my situation and told them i would pay the full amount plus any extra costs i would incur the following week. This amounted to 180 pounds.
When i instructed them the following wk to take the money from my account, they took it out of my account then said my payment was deferred!! I have now had a call from their debt collectors demanding the 180 pounds which i have already paid!! It is not fair, i have given them the money and it wasn't even a month b4 they passed me on 2 a debt collector.
These ppl just want 2 steal your money. i have emailed them twice explaining i have paid but have heard nuthing back! "
"
*** are, like all other payday loan lenders legalised loan sharks. To the people above who got declined %u2013 good %u2013 they did you a favour. Companies like this trap desperate vulnerable people into a never-ending cycle of high interest borrowing. I have just got myself out of the payday loan trap but it took help from a very good friend and nearly 2 years. It cost hundreds and hundreds of pounds in interest."
Clearly something needs to be done about it. We as a society can not function if we allow our poor and vulnerable to be made such use of. The purpose of this petition is to educate people about the hazards of taking a payday loan and to encourage them to do their best to find alternatives.
