General Chat

The post office was always the place to put your little bits of savings but that is no longer available I believe. It was always where I saved for whatever I wanted.

It was handy for those who were not able to get a bank account too, because banks don't want people they might not be able to profit from.

Those who 'save-up' can end up penniless. Remember this news in 2006?

'The Farepak hamper collapse'. The collapse of Christmas hamper firm Farepak has cost thousands of families their annual savings.

I don't really buy this idea of having to borrow for Christmas.

It doesn't sneak up unexpectedly. There is a very good chance that it will turn up every year.

A programme about when coal was king the other night was very interesting. Wages were good then in the coalfield towns and villages, most people paid a lowish rent. Yet a considerable amount was spent by the end of the weekend and many families struggled till next pay day.

David is quite right. It is usury - an old fashioned word, but correct. Barclaycard was the first "acceptable" face of this form of theft. Anything more than 10% above bank rate is usury and should be banned. There are caps in many countries.

And universal credit will send many more into the hands of these usurers :-(

see i don't follow the norm, i get what i can when i can,

dont get me worng i did get caught out when i was younger, store cards , but it was a lesson well learnt, and made me realise its better to put a small amount " even a £1" is better than nothing

obviously people fall on hard time, but there is other ways, but better to plan ahead than be stuck, the companys should be capped, but then again people know when they go into them what there getting into, if they read the small print

Somehow we were all led to believe that we would always be able to afford everything and that ownership was the most important thing of all.

I remember hearing on a radio programme hoe a council, I think it was possibly Bristol, often had calls from people who needed expensive repairs to the council houses they had bought and thought the council would still be liable for them.

As a born pessimist I always assume things can only get worse and that what I have today I will not be able to afford tomorrow.

Living within your means is fine Stray, but what if your means cover the mortgage you took out when you earned 35k a year and you now earn 13k on basic wage, three quarters of what you take home goes on the mortgage ( you don't have equity) the other earner has left....and your roof needs repair, or the boiler dies?

In an ideal world we would all live within our means and stash some away, but many people just can't, for one reason or another. And for years we have been encouraged NOT to, and to be part of an 'easy credit' society, eg given a mortgage 3+ times income, on the basis that property prices won't fall...but they do. Have it now pay later. Well 'later' has arrived.

I am with you there Stray but I don't think putting a bit aside is cool any more. You have to have everything NOW!

but surely when you sign up for it they tell you the interest you have to pay back so there not going in blind,

if more people lived within there means n put a little money aside, in case of emergency's then these company's cant rip people of,

i swear by our credit union, pay a little each week for a rainy day, and even there loans are a reasonable amount of interest,

more like daylight robbery :-S

Usury I think they call it

Agree Rose

......and when you are facing having your gas/electric cut off in a couple of days time

What do you do, with only 75p in your pocket, panic I guess

These companies need to be regulated more, and firmly so

They are no better than door step lenders

People don't know what they are getting into, it seems a little amount to borrow for a month , but inevitably most people will not be able to 'catch up' and repay, so they take out another loan to pay the first and so it rolls on.

And it isn't always spendthrifts who get into trouble, it can be someone who has unexpected and large bills for house repairs, or heating, or loses their job, or on a low wage with a bad credit history, these companies can seem the only option.

Edit to add...and it is easy, you don't have to go 'cap in hand' to a real person at your bank, or be embarrassed asking family to help, just a few clicks and it's yours.

It might be that 'people' are desperate, frightened and do not know where to turn

It's not about being 'daft'

if people are daft enough to get a wonga loan, then they know what there getting themselves into,

It seems that some of these loan companies are, for a better phrase, trying to use children, they are regularly screening adverts using animated characters like those used in children's programmes, and running there adverts during children's TV programmes.

No doubt you get the picture, someone is struggling and hoping things will get better soon, until then Christmas is just round the corner and they are wondering how they can get their kids a few decent presents.

These loan companies methods are despicable, they prey on the poor and vulnerable, and to try and put pressure on parents by targeting children just shows how low they will stoop :-|

The Labour leader Ed Milliband wants adverts for payday loans to be banned during children's TV programmes - he should go further and completely ban them from advertising on television at anytime.

Annx

it's very rarely "people with addictions" who use pay day loans over here ........... and I assume the UK is somewhat similar.

They don't have the securities.


it tends to be the working poor ......... those who are earning enough not to get any benefits, but not enough to get by

those who earn enough not to get any benefits, but have to go to the Food Banks because they can't afford to buy food.



OR it's the silly ones who cannot manage their money, buy something, then run out of money before pay day and have a bill to pay (eg rent)


It becomes a vicious circle



There's quite a big push here for better money management courses in High School, to teach students how to handle credit cards, etc.


Students here have to go to school until they are 18 .............. and it is being advocated that a course on money management should be taught in 1 or both of the last 2 years.

The amounts are unreasonable and what they charge should be capped. It's exploiting the vulnerable.

I imagine people with addictions could be desperate when only 'now' matters. Also those who are unable for whatever reason to manage their money well and budget for an unexpected bill. It isn't always that people don't get enough money, it's what they do with it. Many are vulnerable and shouldn't be taken advantage of like this.

the government should act and do something to put a stop to this daylight robbery

Not much of a credit for any Government if some of its poor people have to revert to such desperate measures just to temporarily survive financially.

We’ll all end up as paupers at this rate. Reopen the Workhouses.