A 28-year-old man was arrested on suspicion of illegal money lending and money laundering following an operation in South Hertfordshire early today.
The England Illegal Money Lending Team (IMLT) worked in partnership with officers from Hertfordshire Police to execute a warrant at an address in the Borehamwood area.
Officers seized electronic devices, documents and cash. The suspect was taken into custody to be questioned by IMLT investigators.
The IMLT works in partnership with Hertfordshire Trading Standards Service to investigate and prosecute illegal money lenders.
Dave Benbow, head of the IMLT, said: “Illegal money lending will not be tolerated in England, and we will continue to work with our partners to take action against those who blight our communities in this way.
“If you have been offered a loan, been threatened when you couldn’t pay, had your bank card taken from you as security or if you are paying back more than you borrowed then you may have been targeted.
“If you, or anyone you know, has experienced any of these things then I would urge you to contact our team for confidential support.”
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
- 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, adding high charges and interest rates. They often resort to threats, intimidation and even violence if repayments are not made.
These lenders 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.
