keitha
Member of DD Central
2024, hopefully the year I get out of P2P
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Post by keitha on Apr 24, 2023 10:32:48 GMT
For those not au fait with the business setup
Loans to less creditworthy people at extortionate rates and you needed a guarantor.
They were in trouble for not doing proper ability to pay checks on either the borrower or the guarantor.
Originally they were told to repay all the interest, then it went to court and the court ordered 41p in the £, now it's been further reduced to about 17p.
I'm gob smacked at the attitude of some of the borrowers saying the courts "have robbed them" "I need the money to pay bills I was counting on the compensation" err lets get this right you of your own free will entered into a credit agreement, you knew the interest rates, getting anything back is a bonus.
LOL as I typed this a leaflet for a local pawnbroker dropped through the door "representative APR 155.8%" a few weeks after Easter and before the bank holidays, last drop was a couple of weeks before Christmas. 155.8% about 8% a month !
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adrianc
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Post by adrianc on Apr 24, 2023 11:55:05 GMT
LOL as I typed this a leaflet for a local pawnbroker dropped through the door "representative APR 155.8%" a few weeks after Easter and before the bank holidays, last drop was a couple of weeks before Christmas. 155.8% about 8% a month ! I've seen ads on FB for a lender that promise "NO INTEREST!" (APR 83%)... Unsurprisingly, this has been a recurring theme in comments to the ads. Their reply is that it's not interest, it's a monthly membership fee to get access to the interest free loan... Ah, here we go - this lot. www.creditspring.co.uk/£200 loan twice a year, each repaid in six months, £7/mo "membership", 88.8% APR.
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keitha
Member of DD Central
2024, hopefully the year I get out of P2P
Posts: 3,875
Likes: 2,314
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Post by keitha on Apr 24, 2023 12:04:41 GMT
maybe we should setup a credit union
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agent69
Member of DD Central
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Post by agent69 on Apr 24, 2023 12:57:35 GMT
For those not au fait with the business setup Loans to less creditworthy people at extortionate rates and you needed a guarantor.They were in trouble for not doing proper ability to pay checks on either the borrower or the guarantor. Originally they were told to repay all the interest, then it went to court and the court ordered 41p in the £, now it's been further reduced to about 17p. I'm gob smacked at the attitude of some of the borrowers saying the courts "have robbed them" "I need the money to pay bills I was counting on the compensation" err lets get this right you of your own free will entered into a credit agreement, you knew the interest rates, getting anything back is a bonus. LOL as I typed this a leaflet for a local pawnbroker dropped through the door "representative APR 155.8%" a few weeks after Easter and before the bank holidays, last drop was a couple of weeks before Christmas. 155.8% about 8% a month ! I could never understand how they justified such high interest rates (50% ish?), when it was effectively a secured loan.
As an aside, was this the bunch that were taken to court and fined millions, but the judge agreed they didn't need to pay because they had no money?
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keitha
Member of DD Central
2024, hopefully the year I get out of P2P
Posts: 3,875
Likes: 2,314
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Post by keitha on Apr 24, 2023 13:23:21 GMT
They were ordered to repay all the interest this was reduced to 41p then 17P, obviously no point in fining someone millions if they can't pay and would go bankrupt as we all know what that does, it just leads to administrators making a fortune.
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