3.5m ‘bled dry’ by loan sharks 5,000 per cent interest rates... and it’s legal

MILLIONS of hard-up Brits are being "bled dry" by legal loan sharks offering payday deals at up to 5,000 PER CENT interest.

A report reveals that 3.5 million expect to borrow money from firms offering quick credit over the next six months.

Of those, a third are unlikely to meet repayment targets. They will be forced to "roll it over" — incurring huge charges. Frances Coulson, president of insolvency experts R3 who compiled the report, said: "We fear a million will be forced into a debt spiral.

"Payday loans have a place but there needs to be far more transparency about the charges.

"They are fine for a catastrophic event if you know you will have the money to pay it off.     Read Full