Blue Valkyrie
Not seen such Bravery!
But that is bollocks. Interest is capped after 60 days.
I'm slightly biased as I do allot of work for many of the pay day loan companies. They really aren't the horror merchants people paint them to be and when used how they are intended to be used provide a very useful service to many people (in Wonga's case 1.25m people last year). 97% of their customers pay their loans back in full and on time. Sure enough that does mean in the case of wonga you end up with about 40k people who default but if you are using a pay day loan company then I would guess you've exhausted every other avenue of borrowing money. The chances that person won't ever be able to repay that money and are likely to go bankrupt. Therefore it's really not in Wonga's interest for people to default on their loans.
I'm sure their qualifying criteria could be made stricter but in the same breath individuals need to take some responsibility for their actions. No one is putting a gun to anyone's head and saying take a loan out.
Yes 97% may pay back, but how many are then so skint they have to then get a new loan to cover the month as they can't pay anything else
