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Low-paid Lose Access To Cash As Cattles Restricts Loans

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http://business.timesonline.co.uk/tol/busi...icle5576151.ece

About 100,000 struggling low-income earners were left without a source of emergency cash this week after Cattles, the sub-prime lender, stopped offering loans.

Cattles, which helps workers who are paid between £15,000 and £25,000, temporarily froze lending this week, blaming the banking crisis for its decision to impose a monthly quota as it battles to stay afloat.

Debt charities warned that the move could leave millions of workers at greater risk of defaulting on other debts or failing to meet living costs. The lender, which was rejecting more than 95 per cent of all applications for unsecured loans even before the suspension, said it would not grant any more finance until early next month.

Cattles, which receives about 330,000 applications a month through Welcome Finance, Welcome Car Finance and Shopacheck, said it had been forced to set the monthly limit on lending throughout this year so that it does not run out of funds.

The suspension comes days after Cattles said it would reduce the amount available for new lending by 75 per cent, cutting the value of loans from £1 billion last year to £250 million.

Cattles offers loans to borrowers with impaired credit histories. It has 800,000 loans outstanding and said the number of applications it received last year shot up from 1.5 million in 2006 to 4million at the onset of the credit crunch. It attributed the rise to an increase in applications from borrowers with better credit profiles than traditional Cattles customers but who are now being rejected by mainstream banks.

A spokesman for Cattles said: “People who would have been eligible for loans from banks before the credit crunch have found that they have since been rejected as banks have become more cautious. Cattles has seen a rise in applications from these people, who might be more affluent but are perhaps in rented accommodation, or recently divorced.”

I think if you need to borrow money to keep paying off debts and living you are financially insolvent and need to find another remedy to your problems.

So it appears if you want a Cattles loan you need to get in your application at the beginning of the month.

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http://business.timesonline.co.uk/tol/busi...icle5576151.ece

I think if you need to borrow money to keep paying off debts and living you are financially insolvent and need to find another remedy to your problems.

So it appears if you want a Cattles loan you need to get in your application at the beginning of the month.

they're legalised gangsters, their rates are not that much better than loan sharks only Cattles threaten folk with ccjs and there in lies one of their problems; the lowest paid in our society have turned the tables on Cattles/Provident etc, if they borrow 500 quid and can't pay it back they'll get the court to insist they pay it back at 2 quid a week if they fall on harder times.

Cattles can't raise debt to lend it out anymore, that's also why they're not lending, the demand is there but it's a lot cuter than those who used to fall over themselves to lend to cattles realised. The end consumer is stiffing them and they can't borrow, doomed business model.

Edited by Converted Lurker

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Guest eight
http://business.timesonline.co.uk/tol/busi...icle5576151.ece

I think if you need to borrow money to keep paying off debts and living you are financially insolvent and need to find another remedy to your problems.

So it appears if you want a Cattles loan you need to get in your application at the beginning of the month.

I don't know about low-paid; round here if you're on £15-£25K you're doing very well.

eight

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I don't know about low-paid; round here if you're on £15-£25K you're doing very well.

eight

Funny but my other half just got a junk letter from Cattles this morning (shopacheck).Offered her £500 at an amazing apr of 246% :blink:

These people should of been outlawed years ago.As CL said they are gangsters hiding behind glossy letters.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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