Interest rates for moneylenders could be capped

The Government is expected to move to cap the amount of interest legal moneylenders can charge their customers.

It is thought the existing 2002 MABS Bill will be amended or a completely new bill introduced.

There are currently 46 lenders licensed by the Financial Regulator, charging an average interest rate of 180%.

However, illegal operators are charging much more, and Fianna Fáil TD Billy Kelliher has said families could be left highly in debt at this time of year.

“I think it's time we look at the whole issue of money lending and interest rates that they're permitted to charge people when they give out loans,” he said.