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Unscrupulous Lenders

Volume 447: debated on Thursday 15 June 2006

To ask the Secretary of State for Trade and Industry if he will make a statement on his Department’s recent discussions on strengthening enforcement against unscrupulous lenders. (77544)

The Consumer Credit Act 2006 will improve the regulation and monitoring of consumer credit businesses and extend protections, rights and means of redress for consumers against unscrupulous lenders. Furthermore, the Loan Shark Pilots the Government have funded in Birmingham and Glasgow will enable Trading Standards to prosecute illegal lenders in these areas and gain a clearer understanding of the scope, extent and impact of illegal money lending. Finally, the Financial Inclusion Fund includes £45 million to increase face-to-face debt advice capacity, with particular regard to the needs of vulnerable consumers.