Zorrro Posted October 11, 2012 Share Posted October 11, 2012 We now have a banner ad for Bee Loans Quote Link to comment Share on other sites More sharing options...
24hoursfromtulsehill Posted October 11, 2012 Share Posted October 11, 2012 A good point. It sounds innocent enough, but then the Wonga strategy is to secure "repeat business". £21 is a :censored: lot of money for someone with £0. It's also £21 that won't be spent on food for the kids or rent or electricity. Quote Link to comment Share on other sites More sharing options...
leeslover Posted October 11, 2012 Share Posted October 11, 2012 My counter to that is simply that Banks do and are shafting you constantly - you just don't see it. Things like fixing rates, currencies and the like will bum sex you worse than a 2,000% interest rate. The only bank doing that sort of thing has, "England," in it's name and works on Threadneedle Street. Quote Link to comment Share on other sites More sharing options...
opinions4u Posted October 11, 2012 Share Posted October 11, 2012 It sounds innocent enough, but then the Wonga strategy is to secure "repeat business". £21 is a :censored: lot of money for someone with £0. It's also £21 that won't be spent on food for the kids or rent or electricity. I'm not privy to the profile of their customer base. But I suspect more than half of their regular customers are young singles who live at home with Mum and Dad, earn a decent wage and have no significant expenses beyond an iPhone - but just piss it all away on an excessive social life. Quote Link to comment Share on other sites More sharing options...
Crusoe Posted October 11, 2012 Share Posted October 11, 2012 My counter to that is simply that Banks do and are shafting you constantly - you just don't see it. Things like fixing rates, currencies and the like will bum sex you worse than a 2,000% interest rate. Well yes, hard to argue with that in principle. But at least we're all getting equally shafted, rather than being singled out for special shafting attention. Quote Link to comment Share on other sites More sharing options...
24hoursfromtulsehill Posted October 11, 2012 Share Posted October 11, 2012 I'm not privy to the profile of their customer base. But I suspect more than half of their regular customers are young singles who live at home with Mum and Dad, earn a decent wage and have no significant expenses beyond an iPhone - but just piss it all away on an excessive social life. The "customer" base is poor families, meaning, for instance, single mums, and those who have irregular work if any. Most of their customers are benefit claimants, which makes that £21 quite a large proportion of weekly income. Quote Link to comment Share on other sites More sharing options...
leeslover Posted October 11, 2012 Share Posted October 11, 2012 The "customer" base is poor families, meaning, for instance, single mums, and those who have irregular work if any. Most of their customers are benefit claimants, which makes that £21 quite a large proportion of weekly income. What do you want then, food stamps instead of cash payments? Quote Link to comment Share on other sites More sharing options...
24hoursfromtulsehill Posted October 11, 2012 Share Posted October 11, 2012 What do you want then A maximum interest rate. Quote Link to comment Share on other sites More sharing options...
Ackey Posted October 11, 2012 Share Posted October 11, 2012 The only bank doing that sort of thing has, "England," in it's name and works on Threadneedle Street. Come on, we both know that's not true. Quote Link to comment Share on other sites More sharing options...
leeslover Posted October 11, 2012 Share Posted October 11, 2012 Come on, we both know that's not true. True, there's the US Federal Reserve, and the Bundsbank, and... Quote Link to comment Share on other sites More sharing options...
Ackey Posted October 11, 2012 Share Posted October 11, 2012 True, there's the US Federal Reserve, and the Bundsbank, and... It must be lovely in your Adam Smith mecca! Quote Link to comment Share on other sites More sharing options...
leeslover Posted October 11, 2012 Share Posted October 11, 2012 It must be lovely in your Adam Smith mecca! Not sure where you disagree? Barclays were told to fix LIBOR, it will probably come out that lots of banks were. Who controls the currency, other than the people who set interest rates and are currently prining more billions of pounds worth of the stuff? Quote Link to comment Share on other sites More sharing options...
leeslover Posted October 11, 2012 Share Posted October 11, 2012 A maximum interest rate. I would imagine that there is a high level of default on these debts and no collateral. Your policy would be excellent news for moonlighting bouncers and like but not much help for people needing the loans. Quote Link to comment Share on other sites More sharing options...
24hoursfromtulsehill Posted October 11, 2012 Share Posted October 11, 2012 I would imagine that there is a high level of default on these debts and no collateral. Your policy would be excellent news for moonlighting bouncers and like but not much help for people needing the loans. What? What would moonlighting bouncers have to do with it? They wouldn't have any more rights to break people for a rate of 30% rather than they currently have, when interest rates are 5,000%. What the :censored: are you talking about? Quote Link to comment Share on other sites More sharing options...
opinions4u Posted October 11, 2012 Share Posted October 11, 2012 (edited) The "customer" base is poor families, meaning, for instance, single mums, and those who have irregular work if any. Most of their customers are benefit claimants, which makes that £21 quite a large proportion of weekly income. Perhaps people who lie when they apply. Those without work really shouldn't be taking out payday loans. From their web site: Wonga is here to help with occasional cash flow problems - when you need a short-term cash advance to tide you over for a few days or weeks - but our service shouldn't be used to manage existing debt or as a regular source of ongoing credit. If you're already feeling the strain financially, please be aware that a Wonga loan will only add to your commitments because it must be repaid within a month. Always think carefully before commiting to any form of credit and, if in doubt, seek advice before making any decisions. Perhaps that's a bit like telling a smoker that cigarettes are bad for you. But they do make it clear. I'm no lover of these guys. They profit, in many cases, from the stupidity of those who borrow from them. I find it hard to understand why people use them for anything. But they do decline over half the applications they receive and their profit per loan is around £15-£20 - hardly earth shattering. How much mortgage interest do people pay in a day? The problem is tell the difference between somebody being a bit stupid in their money management as opposed to somebody being mentally incapable of handling their own affairs. And is any money lender qualified to make that judgement? How would you feel if you walked in to the bank, requested a loan and was declined on the grounds that a £15k a year salesman thought you were bonkers? As I say, I'm not trying to make a case for the virtues of Wonga and other PDL lenders. I'm caught somewhere between banning their like outright, stopping the advertising, and giving people the choice to plug the short term gap in a free market kinda way. Maybe the balance is to close off this form of credit. But does that then open the door to the real loan sharks? Edited October 11, 2012 by opinions4u Quote Link to comment Share on other sites More sharing options...
leeslover Posted October 11, 2012 Share Posted October 11, 2012 What? What would moonlighting bouncers have to do with it? They wouldn't have any more rights to break people for a rate of 30% rather than they currently have, when interest rates are 5,000%. What the :censored: are you talking about? Sorry, I will speak more slowly. If the APR was 30% Wonga wouldn't lend the loans it did,with defaulting costumers and costs they would probably lose a fortune. Loan sharks aren't covered by maximum lending rates, that is who the borrower would go to instead, and get their arms broken when they got into trouble. Tune in for next weeks lesson - "How Prohibition Ended American Brewing." Quote Link to comment Share on other sites More sharing options...
24hoursfromtulsehill Posted October 11, 2012 Share Posted October 11, 2012 Maximum interest rate solves the problem. They can carry on lending, but for no more than, for instance, 30%. Quote Link to comment Share on other sites More sharing options...
opinions4u Posted October 11, 2012 Share Posted October 11, 2012 Maximum interest rate solves the problem. They can carry on lending, but for no more than, for instance, 30%. They can't make a profit on short term lending at that rate. So you effectively outlaw them. Thus opening up a lucrative market for the doorstep lenders. Not the legal ones. Quote Link to comment Share on other sites More sharing options...
Guest Scratch2000uk Posted October 12, 2012 Share Posted October 12, 2012 Thus opening up a lucrative market for the doorstep lenders. Not the legal ones. **Wanted**, two big strapping lads for...erm..household collection services. Quote Link to comment Share on other sites More sharing options...
Monty Burns Posted October 23, 2012 Share Posted October 23, 2012 Never open your door to them. Keep your doors and windows locked and they cant do :censored:. Quote Link to comment Share on other sites More sharing options...
Guest Scratch2000uk Posted November 19, 2012 Share Posted November 19, 2012 I wonder if Hearts will be borrowing anything off their shirt sponsors Wonga to pay the taxman? Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.