Consumers need more options, not more adverts from payday lenders
As payday lenders announce record advertising spends, Citizens Advice warns that that the payday loans industry must prioritise customer treatment above profits.consumers need more options, not more adverts from payday lenders.
Gillian Guy, Chief Executive of nation charity Citizens Advice, said:
“Consumers need more options, not more adverts from payday lenders. As the squeeze on living standards continues, payday lenders know they have a captive audience of people who need extra cash to tide them over, but aren’t catered for by mainstream lenders.
“The news that advertising spending has been increased even while the Office of Fair Trading and Competition Commission investigate the industry is a slap in the face for consumers who rely on lenders to treat them responsibly.
“We have serious concerns about the way that payday lenders treat their customers – evidence from our clients shows that lenders routinely break the promises they made to treat customers fairly. The payday loan industry must focus on cleaning up its act and treating customers fairly, not increasing business regardless of the cost to customers.”
Notes to editors:
- The Citizens Advice service comprises a network of local bureaux, all of which are independent charities, the Citizens Advice consumer service and national charity Citizens Advice. Together we help people resolve their money, legal and other problems by providing information and advice and by influencing policymakers. For more see the Citizens Advice website.
- The advice provided by the Citizens Advice service is free, independent, confidential, and impartial, and available to everyone regardless of race, gender, disability, sexual orientation, religion, age or nationality.
- To find your local bureau in England and Wales, visit citizensadvice.org.uk. You can also get advice online at adviceguide.org.uk
- You can get consumer advice from the Citizens Advice consumer service on 03454 04 05 06 or 03454 04 05 05 for Welsh language speakers
- Citizens Advice Bureaux in England and Wales advised 2.3 million clients on 5.4 million problems from October 2013 to September 2014. For full 2013/2014 service statistics see our quarterly publication Advice trends
- Citizens Advice service staff are supported by more than 21,000 trained volunteers, working at over 3,000 service outlets across England and Wales.