Driven Into Debt Event 20/06/19
A discussion exploring ways to protect vulnerable borrowers and provide affordable, accessible alternatives to high-cost credit.
Stella Creasy - Member of Parliament for Walthamstow
Damon Gibbons - Director at Centre for Responsible Credit
Bilal Mahmood - Parliamentary candidate for Chingford & Woodford Green 2015/17
In the UK 9.3 million people are estimated to be struggling and resorting to credit as a means to cover their everyday living costs. Others find themselves caught in a debt trap due to unexpected events in their lives such as losing their job or becoming ill. Often people have no access to mainstream borrowing options, instead using products like high-interest credit cards, unarranged overdrafts or payday and doorstep loans. Over 4 million are in persistent credit card debt, paying back on average £2.50 for every £1 borrowed. A third of customers do not fully understand the interest rates they are paying - and the Financial Conduct Authority (FCA) says customers using high-cost credit are among the most likely to have a physical or mental health condition.
By using innovation and legislation how can we reform the credit market and prevent people from being targeted and exploited by predatory lenders?