Jon Ison
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 posted on 22/11/11 at 09:35 PM |
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Log book loans
Just watching add on tv, 799.9%apr !!!
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r1_pete
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| posted on 22/11/11 at 09:40 PM |
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Sounds rediculous doesn't it but they aren't intended as long term loans.
The only way to good low rates is to prove you don't really need to borrow the money....
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loggyboy
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| posted on 22/11/11 at 09:44 PM |
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check out wonga, theres is 4214% apr!!
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watsonpj
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| posted on 22/11/11 at 10:32 PM |
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I like the way payday have a table that highlights the wonga apr as theirs is only 1737%. I heard on the radio this morning that the government were
going to clampdown on store cards and their introductory offers to try to reduce people's borrowing and ultimately their indebtedness. It makes
me  the only time you want a store card is for the introductory offer or interest free period and then cut it up. They should be clamping down on
how they vet for loans but mainly on the legalized loan sharks that are the wongas, quick quids and paydays.
Sorry rant over and calm.
Pete
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Chippy
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| posted on 22/11/11 at 11:27 PM |
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I think that people who use these companies, must be completely mad with a capital M, IMHO. Ray
To make a car go faster, just add lightness. Colin Chapman - OR - fit a bigger engine. Chippy
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morcus
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| posted on 23/11/11 at 03:31 AM |
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The problem is some people are left without an alternative as they can't get any kind of credit, I know people who've had to do this.
In a White Room, With Black Curtains, By the Station.
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Stott
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| posted on 23/11/11 at 08:31 AM |
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As Martin Lewis of money saving expert points out though, they are not a good idea but they are still considerably cheaper than going over your
overdraft.
Especially people like Halifax who charge £15 fee then £1 a day every day you are over, plus interest. So it can cost £22 to be over your overdraft by
£100 for a week plus interest.
Im not a supporter of payday loans, just saying that they do have a place, albeit a small one.
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bobinspain
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| posted on 23/11/11 at 09:53 AM |
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"Webuyanycar" almost pick the pocket of sellers who are in need of immediate cash. Some might say 'they provide a service'
(but at considerable cost). e.g. I contacted a seller with a 2005 Fiat Barchetta for sale on ebay, £4,500 ,(make an offer) 50k miles fsh, there were
no takers. I asked what he was looking for. He said that in desperation, that very morning, he's accepted 'Westealanycar's'
offer of £2,325.
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Ninehigh
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| posted on 23/11/11 at 08:07 PM |
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quote:
Originally posted by Chippy
I think that people who use these companies, must be completely mad with a capital M, IMHO. Ray
True but it's really a case of cavvy at emptor... They quite clearly display the interest rate and state it's a short term thing.
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JoelP
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| posted on 23/11/11 at 08:52 PM |
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They need to teach a bit about money management at school i think, some people are just clueless. Just simple aspects like how to manage a budget, and
explaining the pros and cons of debt.
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daviep
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| posted on 23/11/11 at 08:53 PM |
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quote:
Originally posted by watsonpj
I like the way payday have a table that highlights the wonga apr as theirs is only 1737%. I heard on the radio this morning that the government were
going to clampdown on store cards and their introductory offers to try to reduce people's borrowing and ultimately their indebtedness. It makes
me the only time you want a store card is for the introductory offer or interest free period and then cut it up. They should be clamping down on
how they vet for loans but mainly on the legalized loan sharks that are the wongas, quick quids and paydays.
Sorry rant over and calm.
Pete
Your rant is exactly the kind of thing which makes me rant
Who exactly are the "they" why should they be vetting and clamping down?
As pointed out the "legalized loan sharks" as you call them can actually be a better option than some circumstances which can occur with
"regular" banking. If people lack the intelligence/foresight/patience/ to read the details and consider the consequences of the use of
these (and other) credit products in a sensible way which they can manage then that is a personal decision that the individual is responsible for
their own decisions and eventual outcomes.
Anybody who needs credit so badly should be hearing warning bells about the way they are living their lives e.g outwith their means and not enough
savings.
Davie
“A truly great library contains something in it to offend everyone.”
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steve m
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| posted on 23/11/11 at 09:21 PM |
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I suppose when you need the dosh to pay for some heroin. or similar, does the interest rate really concern them?
All a bit tongue in cheek, as there are probably some very poor folk out there who have no option, And i do really feel sorry for them,
probably oldish, pennyless, and also very cold as winter comes,
Very sad really !!
Steve
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Ninehigh
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| posted on 24/11/11 at 07:20 AM |
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quote:
Originally posted by JoelP
They need to teach a bit about money management at school i think, some people are just clueless. Just simple aspects like how to manage a budget, and
explaining the pros and cons of debt.
Yep they should, I'm slowly compiling a list of all this that should have been taught in school.
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cliftyhanger
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| posted on 24/11/11 at 07:49 AM |
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But teaching money stuff to kids is almost pointless. They have NO concept of money except their parents just give it to them.
Honest, I had to do an "off the cuff" cover lesson to a group of 15 year olds who had been doing some booklet work on money (yep, it is
done, they had been given accurate figures for earnings, rents, bills, food and so on) but they really couldn't give a toss about it all.
I used the Martin Lewis "lesson" as a basis, but like most subjects it needs to be taught in small groups if it is to be effective, and
the dear taxpayer will not stand for that.
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David Jenkins
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| posted on 24/11/11 at 08:48 AM |
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Places like Wonga are short-term loans only, and they do limit the first loan to (I think) £400.
The trouble is, like credit cards, if you fail to pay the loan off on schedule then the interest on your debt increases VERY rapidly - leaving the
borrower in an impossible position if he/she is often short of cash (i.e. like the people who would need this sort of 'service' ).
I hate the Wonga adverts too... loud-mouthed chavs shouting their mouths off...
[Edited on 24/11/11 by David Jenkins]
[Edited on 24/11/11 by David Jenkins]
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Jon Ison
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| posted on 30/11/11 at 06:03 PM |
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Just seen the ad again and got me thinking, I guess they obviously secure the loan against the car, wouldn't show on hpi though would it ? How
would you be fixed if you bought a car that had a loan from them secured on it, I guess they keep log book but you only need to have a replacement
handy ?
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PSpirine
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| posted on 30/11/11 at 07:08 PM |
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They provide a service.
If you're dumb enough to not understand what 1000% APR means if you don't repay SHORT TERM, it's frankly your own fault.
The less we encourage people to be idiots by nannying them, the quicker they'll learn. It's not the lender's fault if people have no
sense of money management. Wonga for instance in my opinion make it very clear exactly how much you're expected to repay and when and they make
their (RIDICULOUS) APR clearly shown.
What next, you'll be asking for the government to ban people selling useless crap on ebay? Cause they don't make financial sense, and the
buyer should know better than to buy it? Some members of this forum might find themselves incredibly bored 
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plentywahalla
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| posted on 30/11/11 at 08:03 PM |
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If you were desperate for someone to lend you 50 quid on Wednesday to feed your kids, and you knew you could pay it back on Friday when you got paid,
To pay 5 quid interest would be a good deal. The lender is only earning 5 quid for all the admin and the risk that he never sees you again.
Everybody's happy.
Except that is 1500 % interest. It only becomes extrortionate if it is not paid back for a year or so.
These people are a lifeline to others. I wouldn't use them, but don't knock it until you've needed it.
Rules are for the guidance of wise men ... and the obedience of fools. (anon)
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