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Posted to uk.d-i-y
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All I wanted was an overdraft...
On 25/04/18 14:12, wrote:
On Wednesday, 25 April 2018 11:15:57 UTC+1, TimW wrote:
On 25/04/18 07:40, Brian Gaff wrote:
[...]Its been my experience that high street banks are the
last place to look except for payday loan sharks of course.
Brian
Although I understand the payday loan sharks are used by the canny poor
because they know that if they get to the end of the month and incur
penalty charges on phone, loan, cards etc they will be fleeced. Better
to pay the outrageous fees to a payday loan shark than to let the high
street banks get at you.
It's a sobering thought but wonga exists because the likes of Barclays
and Lloyds are even worse.
TW
I've never heard of high street banks charging anything like the crazy prices of wonga et al. They just refuse to loan. As bad as payday lenders are, they're still an improvement on illegal loan sharks, which is why they're permitted.
The point of the wonga loan is that it's available for a week or two.
The apr therefore looks crazy but that isn't what it's for. If you are a
bit skint you can get to the end of the month and have to pay late
charges on cards, on a phone account, at £10 or £20 a time, maybe
unauthorised overdraft charges, hiked interest as well, all for being a
week behind and you will pay a lot more in total than if you go to a
payday loan provider.
TW
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