Comments on: Loan Sharks – time to take action

By: Free Market

Free Market — Thu, 20 May 2010 08:43:23 +0000

Wake up everyone – we live in a free world – if the business was so good and so profitable – some big guys like Cash Converters would come in with a low rate and knock many of the little guys over – I suspect the losses are significant – hense the rate is high with all players in the industry.
Force education – but dont take away the free market!!
Limit the interest and the thousands who use the services responsibily won’t have anywhere to go. (except underground)
Very dangerous path – just beacuse another Country took that path does not make it the right one.
Next we will be regulating how many Big Mac’s we are allowed to eat…..lots of good stories for you about the fatties from the Big Mac – Waring 6 Big Mac’s a day may make you fat!!
Interest rates = the risk associated with the loan – Wake up.
I don’t see you or any of your friends setting up shop offering loans at low rates – or anyone else for that matter….Why…I suspect because you know you will go broke.
You are on a path that will remove people’s options and freedom to make decisions for themselves….be careful about the direction you are going…..nice political point scoring if you can pull it off….

By: Spud

Spud — Wed, 19 May 2010 21:45:07 +0000

“I mean, you could cure an alcoholic’s hangover with a couple of shots of whisky but are you doing them a real favour?”
Would tide them over until they could get to Maccas.

I think loan sharks should have a limit on the interest they can charge. I’m on the fence over banning them.

By: Loota

Loota — Wed, 19 May 2010 21:28:29 +0000

Chris, giving crack to a crack addict doesn’t solve the issue – does it?

By: Chris

Chris — Wed, 19 May 2010 21:24:04 +0000

The budget advisory service is open to them already – banning loan sharks isnt going to change that – so that really dosnt solve the issue – does it?

By: Loota

Loota — Wed, 19 May 2010 21:22:07 +0000

Chris said:

@loota – you still dont answer the question – when they have no money and need some yet are unable to borrow from other places because of bad debt the loan shark is the last person they can go to. Where do you expect them to go?

Chris, going to a loan shark makes their financial situation much worse not much better. I mean, you could cure an alcoholic’s hangover with a couple of shots of whisky but are you doing them a real favour?

To answer your question, I suggest a budget advisory service as the first stop, and sooner the better.

By: Chris

Chris — Wed, 19 May 2010 20:38:12 +0000

@loota – you still dont answer the question – when they have no money and need some yet are unable to borrow from other places because of bad debt the loan shark is the last person they can go to. Where do you expect them to go?

The problem is that the person gets themselves into such a position of having to use them is their own fault – paying debts and being able to gain access to funds from ‘normal’ lending institutions isnt a “right” – its something that needs to be earned – generally by having the $ to pay it back and building a good history of repaying debt.

By: Spud

Spud — Wed, 19 May 2010 18:22:22 +0000

Loan sharks need leglislating because I think a sucker is born every minute.

By: Loota

Loota — Wed, 19 May 2010 11:38:52 +0000

Chris, sarcasm does not become you.

You make it sound as if loan sharks help the desperate. Yes, for about a day.

Then they make the situation for that person far worse, day by day by day.

That, which you surely understand now, is the actual problem.

By: chris

chris — Wed, 19 May 2010 11:21:07 +0000

@ a mother – if one is so desperate and there is no possibility of cash from other means – where can someone go if they cannot use a “loan shark”?

Yes they are bottom feeders – but they are working with people at the bottom. What next – legislate that finance companies must give them loans – knowing that they cannot be paid back.

By: A Mother

A Mother — Wed, 19 May 2010 07:46:04 +0000

Thy prey on the vulnerable. Unless you have been desperate, you don’t know how tempting it is. No I never have used a loan shark, but have been so desperate that the thought did cross my mind for a split second