A ‘loan shark’ is someone who is lending money
without having a licence to do so from the Office of Fair Trading.
Loan sharks all tend to charge extremely high interest rates and
add charges whenever they want. They can often get violent if
payments are missed and they rarely give paperwork, making it
difficult to keep track of how much is owed.
Also be aware of doorstep lenders, they might
sound like they are offering you a great deal but make sure that
you are fully aware of what interest you are repaying, sometimes
this can be three or four times the cost of the actual item you are
If you have already borrowed money from an
unlicensed money lender you are under no legal obligation to repay
the debt and should contact your local Trading Standards
Officer or visit
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