A loan shark is an unlicensed money lender. They are not regulated by the Office for Fair Trading, do not follow their code of practice and they operate outside of the law.
Borrowing from an illegal money lender may mean that you:
- get a loan on very bad terms
- pay an extortionate rate of interest (rates as high as 131,000 per cent APR have been recorded)
- will be harassed if you get behind with your repayments
- are pressured into borrowing more from them to repay one debt with another
Hartlepool Credit Union is a ‘Stop Loan Sharks’ campaign partner and is working with the Illegal Money Lending Team to stamp out loan shark activity in Hartlepool.
You are not breaking the law by borrowing from an illegal money lender, they are.
Reporting a loan shark (in confidence) could not be simpler:
- phone 0300 555 2222
- text LOAN SHARK and your details to 60003
- email the Stop Loan Sharks team at firstname.lastname@example.org
If you would like any more information on how to deal with a loan shark, please visit the Illegal Money Lending Team website.