Payday loan providers escape rate of interest clampdown. This studies have shown that the industry has neglected to self-regulate efficiently.

Payday loan providers escape rate of interest clampdown. This studies have shown that the industry has neglected to self-regulate efficiently.

LONDON (Reuters) – Britain’s economic watchdog drew fire on Thursday for neglecting to impose a limit regarding the huge rates of interest imposed by payday loan providers because it lay out its want to discipline the industry.

The Financial Conduct Authority (FCA) warned it would impose much tougher rules on payday loan providers – which offer short-term loans designed to tide borrowers over till payday – forcing them to check on whether borrowers are able their loans and restricting the quantity of times those loans could be extended. Read More