It’s Stop Loan Sharks Week – here’s how we’ve been helping our customers

It’s Stop Loan Sharks Week – here’s how we’ve been helping our customers

This week is Stop Loan Sharks Week which highlights the dangers of borrowing money from a Loan Shark. 

A loan shark is someone who lends money illegally, without authorisation from the Financial Conduct Authority. The loan normally involves high or extortionate rates of interest, making it difficult if not impossible for the borrower to repay it. 

Our Money Advice Team work with our customers who have borrowed money from illegal lenders and help them to get back on track. 

Our Director of Housing Care and Support Peter Gill said: “Customers on low incomes sometimes struggle to pay rent, energy costs and other bills and are therefore vulnerable to illegal money lenders, or loan sharks.  

“People are on the breadline and really feeling the pinch. If they are encouraged to borrow from ‘a friend of a friend’, before they know it, they may find themselves owing large sums (including interest) and facing coercion if they don’t repay their debts. 

“We work with our customers who have borrowed from loan sharks and often they are initially frightened to speak out, but we support them to bring these people to justice.” 

Previously our customers were among those who gave evidence which led to the prosecution of a Coventry man who was operating as a loan shark in parts of the city. Our neighbourhood team supported customers while they gave evidence, finding a safe space where they felt comfortable talking about their experiences to the police. 

We ensure that we respond to early warning signs that a customer is struggling financially and provide the appropriate support. 

Peter added: “Colleagues try to visit tenants at home at least once per year and let them know about our Money Advice Service if they have any financial concerns or other problems. 

“We also check our customers claim all the benefits they are entitled to, and we help them balance their income and expenditure and make sure their rent is paid so their home is safe.” 

One of the customers our Advice Team helped is Gregg Coton who was struggling to make ends meet. He was unable to access financial services and benefits online due to the brain fog caused by Covid. Our Money Advice Team helped him with his money problems. 

Gregg said: “I’d got into a lot of problems and was struggling to think straight. Now I’m receiving the money I’m entitled to, and I’m extremely grateful for the help that I received.” 

If you are concerned that you are falling victim to a loan shark, call our Advice Team on 0300 790 6530 or contact Stop Loan Sharks England on 0300 555 2222.

Find out more about how we’ve helped our customers in our HQN feature.

For media enquiries contact our Communications Team.