News from our partners

From time to time we will be publishing news stories on Shropshire Newsroom from our partner organisations.  The following is from England Illegal Money-Lending Team:

Advice on avoiding loan sharks during Shropshire campaign

Shropshire residents will be able to seek advice on money matters, including how to avoid a loan shark, during a local campaign. 

Shropshire Council’s financial inclusion board are working in partnership with the England Illegal Money Lending Team over the coming weeks to tackle the issue of illegal money lending. 

With an estimated 310,000 households across the UK turning to illegal money lenders, the campaign aims to raise awareness of the issue and encourage anyone involved with a loan shark to come forward. 

Loan sharks may appear friendly at first but their behaviour can quickly change, with many adding additional amounts to the illegal debt and charging exorbitant rates of interest.  The team have prosecuted illegal lenders who were charging up to 131,000% APR and some who have resorted to extreme methods such as intimidation, threats or violence to enforce repayment. 

Between 10am and 1pm on Monday 14 May 2012 at the Sure Start Children’s Centre based at St Mary’s Bluecoat Primary School in Bridgnorth and Tuesday 15 May 2012 at the Sure Start Area Base at the Rock Spring Community Centre in Ludlow, drop in sessions will be held. 

The sessions are open to everyone, and representatives from agencies including the England Illegal Money Lending Team, the Citizens Advice Bureaux and the welfare and benefits team will be on hand to offer support and advice on: 

• The ways in which loan sharks operate and what you should do if you have borrowed from an unlicensed lender
• The recent welfare changes and how they affect benefit entitlements 
• Managing your money and coping with debt. 

At both events, the England Illegal Money Lending Team have worked with just Credit Union to sponsor an initiative, which encourages people to save.  Using proceeds of crime money taken from convicted loan sharks, a £10 bonus will added to the first 12 credit union accounts opened each day.  Those wishing to sign up are asked to bring two forms of ID. 

The campaign will also see training sessions on the issue of illegal money lending being held for frontline staff at a variety of agencies.*  The sessions are aimed at giving the staff an understanding of the dangers of loan shark, and the ways in which they operate, enabling them to support any of their clients who have fallen into a loan sharks trap and help them to report the crime. 

Further events to promote ‘Healthy Living on a Budget’ are to be held by the family care and well-being team on Wednesday 23  May 2012 and Wednesday 13 June 2012, with more to be confirmed.  Meetings will also be held between the England Illegal Money Lending Team, Shropshire Council, West Mercia Police and other local partners to look at ways of tackling loan sharks. 

Tony Quigley, head of the Illegal Money Lending Team, said:

“Illegal money lenders are a scourge on our communities.  These criminals are motivated by greed and have been known to use the worst kinds of bully tactics, to force people to pay back over the odds.  We would urge anyone who is the victim of an illegal lender to call us in confidence on 0300 555 2222.  Calls are answered by a trained investigator 24/7.” 

To report a loan shark: 

Call the 24/7 confidential hotline 0300 555 2222

Text ‘loan shark + your message’ to 60003

 emil reportaloanshark@stoploansharks.gov.uk

Private message us on www.facebook.com/stoploansharksproject

Log-on to www.direct.gov.uk/stoploansharks 

*Agencies involved include Shropshire Council housing team, Shropshire Housing Group, Shropshire Council’s Tenant Group, A4U information and advice service, South Shropshire Housing Association, Severnside Housing Association, the Tenant Association South Shropshire, and Sure Start Children’s Centre. 

Funded by the Department of Business Innovation and Skills, the Stop Loan Sharks Project consists of three illegal money lending teams; England, Scotland and Wales. Working in partnership with local Trading Standards authorities up and down the country, the England team consists of specialist officers who investigate and prosecute illegal money lending and related activity and LIAISE officers who support victims and raise awareness of the dangers of borrowing from illegal money lenders.  The project piloted in 2004, and expanded in 2007.  So far the project has secured more than 210 prosecutions leading to custodial sentences in excess of 125 years.