#LoanSharksAreMonsters: Loan Shark Awareness
Whether it’s Halloween or not, one thing we all must be aware of is #LoanSharksAreMonsters! At Bradford District Credit Union, we have been working with the England Illegal Money Lending Team (IMLT) since 2013. We are committed to promoting financial well-being and supporting our community and raising awareness about loan sharks.
According to a report carried out by the CSJ (Centre of Social Justice) around 1.1 million people in England could be borrowing from illegal lenders. Furthermore, it takes over 5 years for over a fifth of them to pay the money back.
What are Loan Sharks?
Loan sharks are Illegal money lenders. They usually charge high-interest rates and are NOT registered with the Financial Conduct Authority. You can discover if a company is authorized to lend money and report any loan sharks you know anonymously.
#LoanSharksAreMonsters: the warning signs
What to look out for incase a lender is carrying out illegal activities:
- No loan paperwork or agreement given
- They refuse to give you information about the loan
- They keep items (passports, bank cards, etc.) until the debt is paid.
- They take things from you if you don’t pay on time
- They continue to add more interest or charges. Hence, the debt never reduces
- They result in intimidation or violence if you don’t pay
How BDCU protects people from #LoanSharksAre Monsters
Bradford District Credit Union has been working with Stop Loan Sharks (IMLT) to raise awareness amongst our community about loan sharks by offering to join a credit union. Especially for those who are unable to open a savings account or get a loan from a high street bank. This is particularly why many people turn to loan sharks for help. BDCU encourages members within our common bond to save regularly and provide loans at low rates. As the IMLT believes it is vital for members of all society to get help from regulated financial institutions along with alternatives that are ethical. They encourage people to join Credit Union, for them to save regularly, and allow them to get legal and affordable loans when emergencies arise.
Reporting Loan Sharks
Illegal Money Lending Team
Report a loan shark online
reportaloanshark@stoploansharks.gov.uk
Telephone: 0300 555 2222
24-hour service
Text a report to 07860 022 116
Helpful tips
The Credit Union runs a number of financial inclusion projects including ‘Money SOS’ workshops, Money tips, Loans, FoodSavers, and UniformSavers. All are making a real impact on people’s lives. Give them a look!