Charter to Stop the Payday Loan Rip-Off

Published on: Friday, 11-April-2014

Knowsley Council was one of the first local authorities in the country to recognise the importance of promoting financial inclusion, ensuring residents have access to appropriate financial advice and support, including affordable credit options and debt advice.  We understand the devastating impact that debt can have on individuals, families and our communities.

Whilst there is a place for short-term lending, too many Payday Lenders are breaking their own codes of practice and are trapping millions of people into spirals of debt as a result.  Irresponsible payday lending has been allowed to go on for far too long.  That’s why the council has recently backed the Charter to Stop the Payday Loan Rip-Off and is calling on local residents to sign up as well. 

The Charter to Stop the Payday Loan Rip-Off was launched in October 2013.  It is a public campaign calling on the Financial Conduct Authority (FCA) to introduce tougher regulation of the payday lending industry so that it works better for people and stops ripping them off.

It sets out the need for effective regulation, ensuring loans are not given to people who realistically can’t afford to pay them back, ensuring there are no hidden or excessive charges and ending irresponsible advertising.

Residents can support the Charter by signing the online petition at www.change.org/paydayloancharter