Search

Calls for ‘legal loan sharks’ to be targeted following Wembley meeting

PUBLISHED: 13:42 20 September 2012 | UPDATED: 14:53 20 September 2012

Stella Casey MP surrounded by loan sharks at the event in Wembley last night

Stella Casey MP surrounded by loan sharks at the event in Wembley last night

Jonathan Goldberg

High interest loan companies ‘can cause vulnerable residents to spiral into debt’

Profiteering loan companies targeting vulnerable residents in the borough have been attacked as part of a new crusade launched in Wembley last night.

The scheme, which is calling for greater regulation on various high interest loan companies, will lobby central government to impose tighter restrictions on them.

Politicians, including the leaders of both Brent and Camden council, were joined by community members at Chalkhill Community Centre, in Chalkhill Road last night to launch the campaign.

Cllr Michael Pavey, a Barnhill ward councillor, who helped organise the meeting, described ‘legal loan sharking’, as a huge problem in the borough.

He said: “From just door knocking or talking to residents there are many people who have highlighted it as a concern either for them or people they know.”

The loan companies, which have seen an increase in the borough, including in Kilburn High Road have been criticised for their extortionate interest rates.

Some credit companies are known to charge at an annual interest rates equivalent to more than 400%.

This is despite the Bank of England base rate being just 0.5%.

“The UK is unique in that there is no regulation on these types of organisations and vulnerable residents can spiral into debt with huge interest rates.” – said Cllr Pavey, who moved a motion condemning loan companies at this months full council meeting.

The scheme will now call for central government to impose tighter regulations on the practise and cap the amount a borrower will have to give back.

Stella Creasy, MP for Walthamstow and shadow minister for crime prevention was also at the event to launch a campaign calling on the Football Association (FA) to tighter regulate advertising of the loan companies.

0 comments

Latest Kilburn & Brent News Stories

Yesterday, 16:31

Charity golfers helped to raise more than £12,000 for a Kenton hospice by enjoying a great game and some fine food.

Yesterday, 12:30

A trade union “trailblazer” from Kilburn whose role as a dinner lady in Brent was to spearhead free school meals for children, has died.

Yesterday, 11:12

Staff and pupils of a Brondesbury primary school praised the “incredible gesture” after a housing association gifted them nearby woodland instead of building homes on it.

Yesterday, 10:36

One person has been rescued and one man taken to hospital after a fire swept through a house in Neasden.

Wed, 17:31

A giant interactive festival celebrating the diverse cultures of India is heading to Kingsbury for three days.

Wed, 17:12

More than 100 people have signed a petition demanding urgent fire safety work be carried out at their housing association flats.

Wed, 16:49

A host of animals are descending on Neasden in a free event aimed at bringing the countryside to a built up part of the borough.

Wed, 16:07

A burglar who tried to force his way into a St John’s Wood house while the owner watched on has been jailed for a year.

Education and Training

cover

Read the
Education and Training
e-edition today

Read Now

Newsletter Sign Up

Sign up to receive our regular email newsletter

Most Read Kilburn News

Show Job Lists

Digital Edition

cover

Enjoy the
Brent & Kilburn Times
e-edition today

Subscribe

Education and Training

cover

Read the
Education and Training
e-edition today

Read Now