Early day motion 152

PAYDAY LOANS

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Total number of signatures: 34

Anderson, David Austin, John Bottomley, Peter Campbell, Gregory
Caton, Martin Corbyn, Jeremy Cryer, Ann Davidson, Ian
Dean, Janet Dodds, Nigel Drew, David Durkan, Mark
Etherington, Bill George, Andrew Hancock, Mike Heyes, David
Holmes, Paul Hopkins, Kelvin Illsley, Eric Jenkins, Brian
Jones, Lynne Leech, John Llwyd, Elfyn Mason, John
McCrea, Dr William McDonnell, John Pelling, Andrew Reed, Andy
Rogerson, Dan Simpson, Alan Simpson, David Spink, Bob
Truswell, Paul Williams, Hywel

That this House notes with concern the alarming increase in the use of payday loans; further notes that interest rates are extremely high and that these loans are designed in such a way that borrowers often have difficulty paying them off when they are due, with no option to pay in instalments; further notes that a large part of the industry's profit comes from repeat borrowers who find themselves unable, because of the way the loans are designed, to repay their loans on the due date and instead must continually renew them, incurring massive charges; further notes that the industry has failed to properly regulate itself; and therefore calls on the Government to bring forward legislative proposals to limit interest rates and charges and to publicise the better ways to borrow small amounts of money over a relatively short period of time.