Illegal money lending and loan sharks
Illegal money lenders, are unlicensed (lending without a credit licence) and operate outside the law. They are commonly referred to as loan sharks. These loan sharks not only take advantage of vulnerable borrowers but also bring disrepute to legitimate lenders.
Consumers who may find themselves unable to access credit due to a poor credit history, an inability to manage finances or because their income is simply too low to provide reassurance, may resort to illegal money-lenders.
The Government believes that action is needed to protect consumers, particularly the most vulnerable in our society. We will seek to promote responsible and sustainable banking and curb unsustainable lending in order to protect consumers from financial malpractice.
Illegal Lending Project
Since 2004 funding has been committed for specialist regional teams to target illegal money lenders. Further details about the project can be found at "Illegal money lending project" page.
