Renfrewshire Council Leader in ‘toxic debt’ of payday loans warning
Renfrewshire Council Leader Mark Macmillan is urging local residents to avoid falling into the toxic debt spiral of using payday loan companies and join the local credit union instead.
Renfrewshire Council has banned access of payday loan websites from council PCs and the Leader recently met with the board of the Renfrewshire Wide Credit Union to hear about their services.
Anyone who lives or works in Renfrewshire can join and make full use of a range of financial services including affordable credit – meaning there’s no need to resort to payday loans.
Councillor Macmillan said: “Put frankly, these payday loan companies are absolutely shocking. To charge ridiculous interest amounts of anything up to 4,000 per cent, fail to check if the customer can afford the repayment then use bully tactics to hound for payment when they fall behind, is appalling practice. The result is vulnerable people falling into a spiral of toxic debt that they can’t get out of.
“I’d urge all Renfrewshire residents to avoid these companies. They are still unregulated and they will unfortunately be looking to take advantage of hard-pressed families in 2013 as benefit cuts start to take hold.
“Our local credit union offers a far better alternative. I had a really useful meeting with its board recently. The credit union has a positive role to play in the community to help people through these difficult times by encouraging saving and ensuring access to affordable credit rates.”
For more information drop into the Renfrewshire Wide Credit Union at 41 High Street, Paisley, or call on 0141 889 7442.