Crackdown on Legal Loan Sharks - Petitions (Closed)

Petition details

Companies which offer high interest short term loans were one of the great economic successes of 2012 – making their millions by exploiting the financial misery of 1000s of Scots.Often charging interest rates in excess of 4000%, these companies target low income families who are struggling to pay bills and make ends meet.
These companies need regulated and our Governments also need to improve the debt relief services for those families whose debt has spiralled out of control.
…But there’s still plenty our council can do to protect people from the predatory practises of these legal loan sharks.
We call on our council to establish a task force to take on payday loan companies. Such a taskforce should start by investigating the feasibility of:
- Running a city wide financial literacy campaign – warning against dangers of payday loans, promoting council money advice services and ensuring maximum benefit take up.
- Promoting and supporting credit unions across all Council staff and related agencies
- Rejecting all planning applications for payday loan shops which include a “change of use”
- Blocking access to payday loan company websites in all council buildings and libraries across Edinburgh
- Encouraging a crack-down on rogue payday loan lenders who flout trading standards rules with more council mystery shoppers.

Petition Status

Closed

Name of petitioner

Kezia Dugdale

Opening date

01/01/2013

Closing date

28/02/2013

Total signatories

938

Petition Outcome

The Petitions Committee on 18 April 2013 agreed:To ask the Director of Services for Communities to report to the Petitions Committee on 3 June 2013 providing a recommendation on the appropriate decision making body to consider next steps on the following issues contained within the petition:1) Running a city wide financial literacy campaign – warning against dangers of payday loans, promoting council money advice services and ensuring maximum benefit take up.2) Promoting and supporting credit unions across all Council staff and related agencies3) The use of Planning Law in relation to loan shops4) Blocking access to pay day loan websites in Council buildings and libraries across Edinburgh5) Encouraging a crack-down on rogue payday loan lenders who flout trading standards rules with more council mystery shoppers.6) Other means by which the Council can support specific sectors affected.

Further Action

This petition was considered further at the Petitions Committee on 3 June 2013.This petition will be considered further at the Corporate Policy and Strategy Committee on 13 May 2014.

Links

<a href=" http://www.edinburgh.gov.uk/meetings/meeting/3001/petitions_committee"> Petitions Committee 3 June 2013</a>