CONDUCT OF PRIVATE LOAN COMPANIES

Early day motion 654, tabled 27 July 2010 by Linda Riordan (Labour). Signed by 41 members.

That this House is concerned about the practices of loan companies like wonga.com which charge people excessive interest rates for borrowing money; notes that first time wonga.com customers could pay as much as 2,689 per cent. annual rate for a short-term loan; finds it distasteful that companies can prey on vulnerable people in this manner; recognises that people using this company will end up in a cycle of debt making themselves even poorer; is appalled that wonga.com advertises on televisionportraying itselfas a respectable company; condemns the tone of the advertisements which try and encourage people to borrow money; and calls on the Office of Fair Trading to urgently investigate the interest levels this company charges which are exploiting some of the poorest people in society.

Signatures by party: Labour 31, Liberal Democrat 3, Conservative 2, Social Democratic and Labour Party 2, DUP 1, Green 1, Plaid Cymru 1.