A 43-year-old North Tyneside man was arrested on suspicion of illegal money lending today following an early-morning operation.
The England Illegal Money Lending Team (IMLT) worked in partnership with officers from Northumbria Police to execute a warrant at an address in the Longbenton area.
Officers seized electronic devices and documentation, and the suspect was taken into custody to be questioned by IMLT investigators.
The IMLT works in partnership with North Tyneside Council Trading Standards Service to investigate and prosecute illegal money lenders.
Dave Benbow, head of the IMLT, said: “Illegal lenders are often well known in their communities and bring misery and devastation to those who borrow from them. We work with partners across England to tackle this crime and make our communities a little bit safer.
“If you have been offered a loan and been threatened when you couldn’t pay, or if what you owe keeps growing even though you are making payments, then you may have been targeted.
“If you, or anyone you know, has experienced any of these things or has any knowledge of illegal lending then we would urge you to contact our team in complete confidence.”
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
Illegal lenders are not registered by the Financial Conduct Authority (FCA) and do not complete affordability checks on borrowers, often meaning they are lending to people who cannot pay them back. 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. The Live Chat and WhatsApp services are monitored from 9am to 5pm, Monday to Friday.
