to think brighthouse is a rip off

[2shoes]

just walked past one

29%APR!!!!!!!!!!!!!!!

YANBU.

Its one of the unfair extra costs of poverty.

People have known it's a rip off for years.
It's one of the few forms of credit available to low income families or people with previous credit issues though.

i don't know why it shocks me, I see the adverts and am shocked,. surely there is a law against it

Have you seen that ad for the Pay Cheque loans where the APR is something like 2350%?

2689% actually on wonga.com

There is no law against it. I don't think there should be though. They are not loan sharks. Unfortunately credit is more expensive the poorer you are or the worse your credit history is. It has to be, interest rates are calculated on risk.

I think the issue is more about educating people about good and bad forms of credit, and also, getting away from the culture that you need a brand new washing m/c for example if yours breaks.
Second hand or freecycle is just as useful.

If you speak to most people they don't know where their local credit union is for example.

It really is shocking. If poorer folk had decent access to credit at a reasonable rate, it would make such a difference to them - just seems really unfair to make the poor poorer iykwim.

I do know folk who have used these places and I dont think most of them realise the REAL costs, the ones that do just dont have any other option. Things like a fridge, cooker are everyday essentials so if they "go" they need to be replaced somehow.

There really needs to be a law to regulate the amount of interest these places charge.

That advert makes my blood run cold it is cynically aimed at those who are struggling financially and putting them in a position where they will have more problems.It would be easy to say,'they dont have to use it' but when life is a grind of poverty surrounded by consumerism it must be so easy to say,'I can have that'.The ads make me sad and angry.

Yes but I have this conversation regularly with my younger brother, he will earn £700 in one week and blow the bloody lot then have to use cash converters or some other rip off merchants to pay his rent 3 weeks later.

He earns decent money and many people on benefits get a good couple of hundred pounds a week all in all, I've seen SIL's bank statements, she could budget, as could he but oh no they must have it new and they must have it now.

thing is I can see how people fall for it, I remember a few years ago, we couldn't get credit and I might have been tempted......
thanks goodness those place wern't advertised on tv back then.

My ex was one of these people who fall for scams like this.

he'd go all "Oooooh, shiny! and only £6 per week!!!!"

yes, love. FOR THE REST OF YOUR LIFE, AND YOU DO NO OWN IT UNTIL YOU FINISH PAYING FOR IT, BY WHICH TIME IT'S PROBABLY BROKEN AND OUT OF WARRANTY!

He didn't get it, he never did understand the difference between need and want.

The biggest joke is if you pay late they charge £3! The place is a piss take/life saver at the same time

Me too 2shoes. I was tempted to go there when my laptop (which I needed for college) broke and I couldn't get credit elsewhere.

Luckily my stepped in and allowed me to get credit in her name.

The thing with BrightHouse though is it's a rent to buy scheme, so if you ever become in a position where you cannot pay, they simply take the goods back, rather than take you to court. You can also pay in small weekly installments by cash in the shop. Which is much easier for those on lower incomes/benefits.

Also when you are struggling on such a low income even £80 for a 2nd hand cooker, if yours breaks down without notice can be unaffordable.

My sister pays her utilities weekly using payment cards. Used to be able to do it in a wide range of shops and post offices with no charge but now the only local Payzone for the water bill is in Brighthouse.

I was very at that wondering if the poorest are being lured in and if Brighthouse are getting some sort of kickback. I wouldn't be at all surprised if the other companies followed suit...

so true shiney, I used to despair over washing machines and know I would have got sucked into this(lucky for me dh would have stopped me) but how many people son't have a sensible person telling them they are being ripped off.
It is sad imo

MiladyDeWinter that is bad