MABS warns against moneylenders as festive pressure grows

People in the south-west who never previously used moneylenders are now turning to credit agencies which are charging exorbitant interest rates.

Christmas spending is adding to pressures on people, some of whom are already in debt to banks and credit unions which now have stricter lending practices.

The Money Advice and Budgeting Service (MABS) has warned: “People, for example, who have gone into arrears with a credit union cannot go back for money so their traditional sources of credit dry up.”