PAY DAY LOANS INTEREST RATES WILL NOT BE CAPPED – As Government austerity measures take their toll more people are turning to ‘Pay Day’ loan companies in order to tide them over until the next pay packet arrives.
Taking out such a loan; at what is openly acknowledged as extortionate interest rates, these loans can quickly, and often do, spiral out of control with the debtor never having a fighting chance of clearing the debt.
During this year the UK Government have made a number of pledges to curb these companies in offering loans with outrageous interest rates and while the Consumer Affairs Minister, Jo Swinson, summoned a number of the companies for talks nothing has been achieved and it has now been confirmed that ‘pay day’ loans firms will not be ordered to cut or cap their interest rates.
It’s nothing unusual to see our Government Ministers promise action only to find that there is little development and in most cases complete and utter failure. You can thank your lucky stars that Ministers never take up the occupation as aircraft technicians as it’s likely that no aircraft would ever survive a successful take-off or landing.
Can anyone tell me why Jo Swinson is still being employed by the taxpayer? After all you might think it reasonable that with her excessive pay and perks this would spur her into actually working for the electorate.
Unfortunately Ministers are soulless, incompetent and inept and we have become accustomed to the lies and deceit. Yes, no doubt there will be another promise announced shortly but as with this latest promise it’s almost a foregone conclusion that nothing will be achieved.
Note the articles above and see how many ‘vows’ and ‘pledges’ have been given and then summarily dismissed – this is the true face of Cameron’s incompetent Government.
So what was the point of the pointless promise and the meeting that Jo Swinson had with a number of ‘pay day’ loans companies? Was this merely an informal chat with a few chums? Was there an offer of a nice cushy job in one of their organisations if Jo Swinson applied a liberal coating of whitewash over the issue?
Speculation, accusations and conspiracy theories could be explored all day long but the truth is that Jo Swindon did hold a meeting with the top ‘pay day’ loan companies and there shortly after announced that the Government wouldn’t intervene by forcing them to cut or cap their interest rates in order to give the consumer a fighting chance.
According to Jo Swindon she was determined to curb the ‘irresponsible’ behaviour of companies like Wonga who openly exploit vulnerable consumers in financial difficulty; often due to the number of austerity measures imposed by the Government.
As the bell rang she certainly came out with all the right fighting words but as she announced after the meeting that the likes of Wonga wouldn’t be forced to reduced or cap interest rates it is obvious that her rhetoric didn’t prevent a good beating in the ring.
The only positive thing to come out of this meeting is that the likes of Wonga are now able to continue what is seen as little than an illicit trade that preys on the poor. Their future is now set and they will continue offering loans at extortionate rates because they are now clear that no Government Minister has the intelligence or backbone to stop them.
The ‘pay day’ industry in the UK is worth approximately £2 billion a year and while the Office of Fair Trading have received thousands of complaints neither it, nor our Ministers, appear capable of bring this under control.
One thing our Government Minister’s are clear on; they all agree that this situation needs talking about but as we have learned in the past, and through this example, Government Minister’s are wonderful orators but completely clueless when it comes to implementing their words into actions.
I would, personally as a taxpayer, like Jo Swinson to step down; I’m sure she’d do just fine sweeping the streets on minimum wage. Of course if I and the entire population called for her dismissal no such result would be forthcoming as we do not live in the democracy that this Government so dearly loves to talk about; this being made crystal clear when David Cameron refused to sack Sir David Nicholson.
Despite mass public outcry these instances clearly shows how our Minister’s will circle the wagons in order that these incompetent fools are able to retain their positions and continue to fleece the taxpayer.
Do you think Government should take direct action and cap these types of loans interest rates? Please leave your comments below.