Ipswich Citizens Advice Bureau reports spike in debt advice for those using doorstep lenders
PUBLISHED: 21:32 18 February 2017 | UPDATED: 21:33 18 February 2017
Ipswich Citizens Advice Bureau has warned people against the intimidating methods of doorstep lenders after reporting an increase in high priority debts.
Doorstep loans are those which people apply for online or over the phone and feature a lender visiting with the cash, before returning weekly for repayments.
But the bureau has warned that the hefty interest rates and intimidating tactics often used by the lenders has resulted in more people visiting them with debts over rent and council tax.
Centre manager Nicky Willshere said: “When they are dealing with the same individual week in and week out they come to see them as friends rather than creditors and this too can influence their decision to treat the doorstep loan as more urgent than perhaps a letter reminding them of overdue rent.”
The bureau is urging people to use loans approved through credit unions and check interest clauses carefully.