Illegal money lenders target needy

ILLEGAL money lenders are offering hard-pressed families in local authority housing estates cash loans of between €500 and €1,000 at interest rates of up to 200%.

The money lenders are taking clients’ children’s allowance books as collateral. Some are even escorted to their post offices on payment day for the money collection.

One company, which is registered and licensed to give loans, is also calling door-to-door in four key local authority housing estates in Waterford city, a local councillor says. It is charging a rate of 130% on loans.