Illegal Money Lenders are also known as 'Loan Sharks', they appear and act friendly, convincing you they can be trusted or at least they do when you initially meet them. Anyone that lends you money and asks for more in return is not a legitimate lender.
We know that many people are struggling financially right now, and it's very important to be aware that such money lending is on the rise.
Here are some red flags to look out for to avoid any Loan Sharks:
- They may offer you a cash loan
- You don't get any paperwork, such as a credit agreement or record of payments
- They add huge amounts of interest to a loan and threaten you if you fall behind any payments
- They force you to hand over your passport, bank card, benefit card or other personal documents as security on the loan
- They are not regulated
Our Housing Operations Team attended awareness sessions on Loan Sharks with the England Illegal Money Lending Team. They investigate this activity and any related offences and help get the money lenders prosecuted and imprisoned.
If you need financial help, it's best to get support from Citizens Advice or contact your local Council's Welfare Rights team to see if you can apply for any grants or funding. You can also contact your Customer Relations Manager (CRM) for advice about this. Please visit www.stoploansharks.co.uk for further information.
