A 47-year-old man was arrested on suspicion of illegal money lending following an operation in south London by the England Illegal Money Lending Team (IMLT) early today.
The (IMLT) worked in partnership with officers from the Metropolitan Police to execute a warrant at an address in the Worcester Park area of the London Borough of Sutton. A business premises in the nearby Sutton area was also searched.
Officers seized documents and electronic devices, and the suspect was taken into custody to be questioned by IMLT investigators.
The IMLT works in partnership with the London Borough of Sutton Trading Standards Service to investigate and prosecute illegal money lenders.
Dave Benbow, head of the IMLT, said: “We work with partners across the country to tackle illegal lending in our communities.
“If you have borrowed money from someone you may have thought of as a friend, but now you’re feeling threatened or afraid, or if they are adding huge charges or interest, you may have been targeted by an illegal lender.
“If you, or anyone you know, is in this position, not just in the London area, but anywhere in England, we would urge you to contact our team in complete confidence to get expert support and advice.”
There are up to 1.08 million people in debt to loan sharks in England, according to figures from the Centre for Social Justice (CSJ).
The warning signs of an illegal lender include:
- Giving you no paperwork or agreement on a loan
- Refusing to give you information about the loan
- Keeping items until the debt is paid such as your bank card or passport
- Taking things from you if you don’t pay on time
- Adding more interest or charges so the debt never goes down
- Using intimidation or violence if you don’t pay
Many illegal money lenders are well known within their communities and are often introduced to borrowers through friends or family members. They are unregulated and give loans with no paperwork, charging extortionate interest rates. They often resort to threats, intimidation and even violence if repayments are not made.
Unauthorised lenders do not complete affordability checks on borrowers – often meaning they are lending to people who cannot pay them back. These borrowers do not have the protection of consumer law such as cancellation periods and the ability to apply for help if they can’t pay. This causes huge amounts of stress and can impact their other finances – leaving them unable to pay rent or other priority bills.
Anyone who has been affected by illegal money lending should call the Stop Loan Sharks 24/7 helpline on 0300 555 2222 or access support online at www.stoploansharks.co.uk. There is a Live Chat facility on the website and the team can also be contacted via WhatsApp on 07700 102773 from 9am to 8pm, Monday to Friday.
