What has happened
The good news is that the draft legislation that will make payday loans and consumer leases safer and less exploitative has been released for comment.
We expect that after the government responds to any feedback, the final legislation will be introduced to the Parliament some time in November 2017.
What are the reforms?
The reforms will tackle predatory lending by:
- Limiting repayments for payday loans and consumer leases so that no person can spend more than 10% of their net income on either product.
- Placing a cost cap on what providers can charge for consumer leases for the first time, at 4% of the retail price per month for a maximum of 48 months.
What people can do NOW
To make this Parliamentary vote an emphatic YES, we are asking people to send a supportive email to their local Member of Parliament.
This link below will take you to a campaign website that will automatically generate an email to your local MP.