The largest payday lending corporations, some even international payday lenders, have been the first to cooperate with the new regulations that were introduced in January of 2015. These firms are legitimate financial institutions and beg to operate in the same way as other financial institutions. The only difference between them is solely that the payday company maybe slightly less tight-fisted with their loans.
Having said that, the legitimate payday companies have conformed to cross-checking between other payday companies. That is to make sure that the applicant does not hold many loans with other companies. They also cross check with credit companies to make sure that the applicants do not have debt and are paying debt off with debt collectors. Legitimate companies also look at your finances to make sure you can repay your loan. In 2015, it was not as easy to just walk into the payday lender on the high street and grab some cash. These above-board companies are making a concerted effort to end payday debt misery.
15-year-old girl from Swansea takes on the fight to end payday debt misery
15-year-old Ffion Price is a school girl ambitious to change things, not only in her community in Swansea, but in the whole of the UK. Miss Price says she has witnessed how high-interest rates of payday loans cause debt that can spiral out of control. The high school pupil has helped to back the push to get interest rates capped. The FCA (Financial Conduct Authority) has set down new rules this year that has capped the interest on payday loans at 0.8% per day.
Miss Price as made such an impression that she was asked to be a guest speaker at the Labour Party Conference in Manchester. Interestingly Miss Price had this to say,
“My family has never had to take out payday loans; I have seen it happen to people. I have seen what other people go through, and that has made me want to help. Obviously Bonymean [her local community] is classed as a deprived area, and it is always apparent that there’s – not a struggle as such – but a difficulty. People end up falling back on credit loans – it’s regular – it’s no shock if someone takes out a loan here. My whole involvement is trying to stop people doing that.”
Miss Price finds this to be an effective way to end payday debt misery it seems.
The middle class who can pay their bills always have the solutions for the poor: What is the secret to ending payday debt misery?
Miss Price seems to think the best way to get really poor people out of debt is to convince them not to borrow money from others. That would mean that while she is nursing her aspiring political career, the people she has ‘saved’ still can’t heat their houses, buy their dinner, and pay their rent. Now there is some misery to look at – Miss Price.