The Exeter Citizens Advice Bureau has been working hard to highlight the problems with payday loans and to hold the lenders to account.
A recent report from the CAB has found that only a third of customers applying for payday loans were asked questions about their situation and finances before taking out the loan. And of those who had repayments problems only 18% felt they were being dealt with sympathetically and only 16% were offered a freeze on interest and charges under a repayment plan. These statistics speak volumes about how these companies treat their customers and it is clear that far too many people are being caught in continuous debt because of poor treatment by their lenders.
The Exeter Chamber of Commerce are launching a campaign highlighting alternatives to the extremely high rates of interest chargeable on so-called pay-day loans. The aim of this is to encourage employers to offer the option of an Advance Salary Scheme within their businesses: http://www.exeterchamber.co.uk/say-no-to-pay-day-loans/