Those pay day loan companies are just legalised loan sharks, I can see how people strapped for cash or people like Sam with learning difficulties can get roped into debt, its sad. There should be a legalised maximum interest rate.
The interest rates both on the pay day loan and credit card must have been emormous!
I think Sam's credit card limit was £2,500 and I would imagine his pay day loan would have been about £500 maximum and all that was just a couple of months ago and now Lisa says the debt is about £5,000?
I have heard that these pay day loan companies really rip people off and can destroy people, but I am amazed if it is correct that after such a short time Sam now owes £5,000.
Well I think some of those pay day loan places can charge over 5000% APR, when you take the average bank loan APR on such a small amount is about 8% APR although Sam would probably be considered high risk and not eligible for a loan or would be charged a higher rate of interest.
Then if he was withdrawing cash on the credit card he would be charged a fee for this & interest on withdrawals usually starts from the moment the withdrawal occurs not at the end of the month like it is for purchases, plus he probably didn't get a low rate credit card, he took the one he was offered rather than shopping around. Then there would be late payment fees, fees for having to send out letters, it would quickly mount up but I think Emmerdale should have let it run a little longer in the background before the bailiffs would have appeared.
Those pay day loan companies are just legalised loan sharks, I can see how people strapped for cash or people like Sam with learning difficulties can get roped into debt, its sad. There should be a legalised maximum interest rate.
Saft Sam's problem was that he never made any attempt to pay anything back.
I hate Sam. Why Zack is blaming the Perma Frowner Jai for Lisa's collapse when it was brough on mostly by the worry of this idiot's debts and the Bailffs a calling. Why does he never take responsibility for his actions? Just pulls stupid faces and someone will sort it out. He is able to drive, hold down a job, have a child - he should be liable for his mistakes as well.
Its a pity he hasn't got a rich (blonde, skanky) relative who could pull 5 grand out of her arse without thinking twice about it to pull him out of the clarts. :D
Comments
I think Sam's credit card limit was £2,500 and I would imagine his pay day loan would have been about £500 maximum and all that was just a couple of months ago and now Lisa says the debt is about £5,000?
I have heard that these pay day loan companies really rip people off and can destroy people, but I am amazed if it is correct that after such a short time Sam now owes £5,000.
Then if he was withdrawing cash on the credit card he would be charged a fee for this & interest on withdrawals usually starts from the moment the withdrawal occurs not at the end of the month like it is for purchases, plus he probably didn't get a low rate credit card, he took the one he was offered rather than shopping around. Then there would be late payment fees, fees for having to send out letters, it would quickly mount up but I think Emmerdale should have let it run a little longer in the background before the bailiffs would have appeared.
Saft Sam's problem was that he never made any attempt to pay anything back.
I thought he borrowed £400 from Kerry so that he could make some payments