Kiss goodbye to loan sharks

Shamshad Mughal, Naila Ilyas, Luthfur Rahman (Rochdale Borough Council) with PCSO’s Louise Cleary and Christine Hardman

Tackling the problem of illegal lending by loan sharks was the subject at a ‘Loan Shark Awareness’ event at Rochdale Town Hall.

The Council, the Police, Citizens Advice Bureau, local registered social Landlords, NHS (HMR) and Shelter looked at illegal money lending activity, to establish if a problem exists and, if so, bring the perpetrators to justice.

Naila Ilyas, Economic Development Officer said families may be looking to find extra money and might be tempted by doorstep lenders: “Residents who are unemployed or on low incomes may turn to unlicensed lenders, who lend money at high rates of interest. Illegal loan lenders are incredibly hard to track down and target our most vulnerable sectors of the community. But by working together the problem can be overcome and there is help and support for people affected.”

Tony Quigley, Manager of the North West Trading Standards Illegal Money Lending Team said so far they have helped more than 11,500 victims, written off more than £31 million of illegal debt and secured more than 60 years of prison sentences for illegal lending:

"We are asking people to come together to say no to loan sharks. It can seem like an easy option if you are struggling financially but loan sharks have a devastating effect on individuals, families and communities. People often start by borrowing a small amount but have to pay excessive interest rates and end up paying back far more than they imagined. In fact, they are often not aware of how much they pay as loan sharks rarely provide paperwork or repayment plans or explain what interest rates they are charging.”

If you have been affected by a loan shark, or know of loan sharks operating in your area, contact the 24-hour confidential hotline on 0300 555 2222. You can also text – just send the word ‘loan shark’ plus your message to 60003.

reportaloanshark@stoploansharks.gov.uk

www.direct.gov.uk/stoploansharks 

“Our team will be working closely with the council and other enforcement agencies to rack down and take tough action against loan sharks. Organisations such as Victim Support, the Citizens Advice Bureau and the council can provide support to victims and help them to obtain affordable credit without turning to loan sharks,"  added Mr Quigley.