Menu
23/07/2003
'Fair deal' for loan repayers proposed
People who repay loans early will get a "fairer deal" under changes outlined by the government today.
The government has found that around seven-in-10 personal loans are settled early, but people often have to pay big charges if they do so. The government wants to scrap the rules that penalise customers.
Proposals contained in a new White Paper in the autumn will include plans to: clamp down on loan sharks; magnify the small print of loan agreements; and put a stop to "irresponsible" lending.
The changes will update the UK's 30-year-old credit laws, which were introduced when the market was much smaller and simpler. In 1971 only one type of credit card was available, while now there are around 1,300 cards on the market.
Consumer Affairs Minister Gerry Sutcliffe said: "I want to ensure our credit laws meet the needs of a modern credit sector. They must protect consumers by tackling loan sharks, allow unfair loan agreements to be challenged, and ensure consumers know what they are getting themselves into when they sign on the dotted line."
(GMcG)
The government has found that around seven-in-10 personal loans are settled early, but people often have to pay big charges if they do so. The government wants to scrap the rules that penalise customers.
Proposals contained in a new White Paper in the autumn will include plans to: clamp down on loan sharks; magnify the small print of loan agreements; and put a stop to "irresponsible" lending.
The changes will update the UK's 30-year-old credit laws, which were introduced when the market was much smaller and simpler. In 1971 only one type of credit card was available, while now there are around 1,300 cards on the market.
Consumer Affairs Minister Gerry Sutcliffe said: "I want to ensure our credit laws meet the needs of a modern credit sector. They must protect consumers by tackling loan sharks, allow unfair loan agreements to be challenged, and ensure consumers know what they are getting themselves into when they sign on the dotted line."
(GMcG)
Related UK National News Stories
Click here for the latest headlines.
25 July 2013
Church Of England Go Into Business Against Wonga
The Church of England is set to go to battle with online payday loan company Wonga. The Archbishop of Canterbury, Most Reverend Justin Welby, has announced a plan for the CoE to expand credit unions as an alternative to payday loan vendors.
Church Of England Go Into Business Against Wonga
The Church of England is set to go to battle with online payday loan company Wonga. The Archbishop of Canterbury, Most Reverend Justin Welby, has announced a plan for the CoE to expand credit unions as an alternative to payday loan vendors.
19 August 2014
Payday Loan Middlemen 'Drain' Money From Customer Accounts - Report
Websites are taking out hundreds of pounds from unknowing customers' accounts, on the promise of finding cheap credit, only for the loans never to materialise.
Payday Loan Middlemen 'Drain' Money From Customer Accounts - Report
Websites are taking out hundreds of pounds from unknowing customers' accounts, on the promise of finding cheap credit, only for the loans never to materialise.
05 October 2011
Businesses Seek Tax Breaks On Loans
Tax breaks for private lenders as well as equity investors would ease credit conditions for small firms now, says the Forum of Private Business.
Businesses Seek Tax Breaks On Loans
Tax breaks for private lenders as well as equity investors would ease credit conditions for small firms now, says the Forum of Private Business.
15 February 2013
Citizens Advice Call For Immediate Suspension Of Payday Loan Co. Licenses
The Office of Fair Trading (OFT) are being urged to use new powers to immediately suspend the licences of four payday lenders, who Citizens Advice claim are "causing significant distress" to customers.
Citizens Advice Call For Immediate Suspension Of Payday Loan Co. Licenses
The Office of Fair Trading (OFT) are being urged to use new powers to immediately suspend the licences of four payday lenders, who Citizens Advice claim are "causing significant distress" to customers.
08 October 2003
M&S backtracks over &More credit card after OFT probe
Marks and Spencer Financial Services (MSFS) has changed the way it will offer to replace its store cards by the &More credit card after action by the Office of Fair Trading. MSFS had sent out letters to many card holders saying that its store card would automatically be replaced by the &More credit card unless card holders objected.
M&S backtracks over &More credit card after OFT probe
Marks and Spencer Financial Services (MSFS) has changed the way it will offer to replace its store cards by the &More credit card after action by the Office of Fair Trading. MSFS had sent out letters to many card holders saying that its store card would automatically be replaced by the &More credit card unless card holders objected.
-
Northern Ireland WeatherToday:It will be cloudy again throughout the day. Mainly dry in the morning, but patchy drizzle in places, becoming more widespread and persistent in the afternoon. Freshening southwesterly winds. Maximum temperature 12 °C.Tonight:Cloudy with a spell of heavy rain pushing south through late evening and the early hours, followed by some clear spells. Minimum temperature 6 °C.
