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In March 2013 the OFT announced it cash advance and balance transfer serious concerns about payday lenders after it uncovered evidence of widespread irresponsible lending.
It said lenders were failing to explain adequately how payments will be collected, using aggressive debt collection practices and not treating borrowers in financial difficulty fairly. It also found that up to half of payday lenders revenue comes from loans that last longer than 30 days and cost more than originally agreed because they are rolled over.
So far this year the OFT has revoked the licences of three payday lenders and says it will continue to crack down on payday lenders that breach the law or OFT guidance. Did you enjoy that. Why not share this article. Problems paying back a payday loan.
If youre struggling to pay back a payday loan or think that the lender has treated you unfairly, heres how to tackle the problem.