183.2% APR - please someone tell me this is illegal!

[crimplene]

I've just recieved a kind offer from 'Provident personal credit' at the aforementioned APR . I'm imagining this is based in my (dubious) postcode rather than my (glowing, obviously) credit rating. They've offered to bring the money round in cash and then send an 'agent' on a weekly basis to collect my repayments. Thay've told me not to worry if I'm unemployed or retired or anything, they'll 'help' as they've been 'helping' people for 125 years.

Is it really legal to loan money to vulnerable people at this rate?

yep

bastards

Seriously? but several of my neighbours are pretty vulnerable. This is terrifying.

Yes it is legal. There is often talk of making it illegal but it's allowed. Provident is an 'above board' listed company, though totally evil and immoral. They justify it on the grounds that it stops people having to go to real loan sharks who break knees etc and also because the doorstep collection and bad debt costs are high. Very sad that many people are so desparate they are taking out these sort of loans.

A friend of mine used to borrow from the provident for xmas, she would borrow say £200 and end up paying back £300 over the following year.........I told her i would sooner lend her the money back and she would have it paid back sooner (as no interest of course) and then continue to put the same away for the following xmas.. She didnt understand interest and just say that she was ONLY paying back £6 a week!!!!

Yes, perfectly legal. I have a friend who works for the Government Insolvency Service and she can rant for ages about these companies -- there are a lot of them about.

Daylight robbery, their arguement is that they are the only lenders who will lend these people money, tis disgusting, don't get me started!

Yes, it's legal. Now imagine getting that sort of offer two weeks before Christmas, the day after you get your catalogue bill from last year's Christmas.

You can see why people take them but Jesus, they'd take the skin off your back.

I'd rather sit with beans on toast at christmas than go to these people, but then I see the mess they get folk in, so maybe im biased.

And yes, they do prey on those who don't understand interest.