Clwyd South Assembly Member Ken Skates is backing a new national campaign warning people of the dangers of using loan sharks.
Community Housing Cymru and the Wales Illegal Moneylending Unit (WIMLU) recently launched the Don’t Get Bitten by Loan Sharks campaign to combat the growing problem of illegal money lenders.
Labour AM Mr Skates said: “Every year in Wales, thousands of people turn to illegal money lenders or loan sharks. Figures from WIMLU reveal that the number has risen from 15,000 victims in 2009 to 26,000 victims in 2011/12 – a 40% increase.
“This month the Welsh Labour Government announced £1.2m of financial support for credit unions to help them increase membership and develop additional financial services and products to meet the needs of customers.
“I believe anything which stops the rise of illegal loan sharks and unscrupulous payday lenders – which are basically just legalised loan sharks – should be welcomed. Whilst credit unions are not the sole answer, they are integral to helping people balance their books better.
“The Citizens Advice Bureau has also spoken out about the dangers of going to payday lenders and I would urge people who are having financial problems to call them. Their volunteers can provide a lifeline by offering valuable help and support. They will also be happy to give advice on how to avoid similar problems in the future.”
To contact the CAB in Wrexham, call 0844 477 2020. For Denbighshire, call 01745 334568, and for the North Wales Credit Union call 0333 2000 601.
