![]() Credit unions, who can help you save money as well as offer manageable credit products.You can also get advice on your options from Jobcentre Plus The government website has information on how to get an advance on your first benefit payment. Help from the government, such as benefits and money to cover food and emergency costs.If you're aware of a loan shark or have borrowed money from one you can report them anonymously.įind out how to report a loan shark in the rest of the UK Are there alternatives to borrowing from a loan shark?Įven if you’re on a low income or have a poor credit rating, there are safer ways to access money or cover expenses. ![]() They're still breaking the law if they lend or collect money. Sometimes a business may have a valid consumer credit licence which allows them to do other financial activities, but not to issue loans. If you have a payment book or agreement showing an address or licence number, have this handy when you call. The Financial Conduct Authority (FCA) helpline can tell you if a business has a valid consumer credit licence. It's not always obvious if a creditor is lending money illegally, especially if they act like a normal business. How can I tell if a company has a licence to lend money? However, they have no right to lend you money without authorisation from You may even be given a payment book or an agreement to sign. There are legitimate doorstep lenders such as Provident, and loan sharks sometimes try to imitate doorstep lenders in order to win your trust. Using intimidation or violence if you don't pay.Adding more interest or charges so the debt never goes down.Taking things from you if you don't pay on time.Keeping items until the debt is paid, such as your mobile phone or cash card.Refusing to give you information about the loan.Giving you no paperwork or agreement on a loan. ![]() ![]() These are some of the warning signs to watch out for that a lender is acting illegally: The methods they use to lend and collect money vary a lot. Loan sharks often lend money alongside another legal or illegal business. It's a criminal offence to lend money for profit without a consumer credit licence, although it's not illegal to borrow from such a company or person. Someone who engages in unlicensed lending is typically known as a loan shark. ![]()
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