Cardiff Trading Standards Service in partnership with the Wales Heads of Trading Standards have launched a new Wales Illegal Money Lending Unit and Hotline number today.

The eight strong team of officers who comprise the Illegal Money Lending Unit will help people having problems with illegal money lenders throughout

These lenders, more commonly known as loan sharks, are people who lend money and charge extortionate rates of interest. They are not licensed as they should be, and sometimes use threats of violence to intimidate those who cannot pay the money back on time.

Anyone who is a victim of a loan shark, or knows a friend or family member who is affected by their activities can call the newly launched hotline number on 0300 123 3311 and speak to a specialist officer. Calls to the hotline will be completely confidential.

Social Justice Minister Dr Brian Gibbons, who hosted the launch, said that the service is a further step forward in the battle to get loan sharks off the streets by helping to create a climate in which victims can come forward without fear of reprisals.

 “We know that many people on low incomes simply can’t access affordable sources of credit and are often forced to seek out expensive alternatives – from doorstep lenders to pawnbrokers to illegal loan sharks.  We will be working with the Unit and the Wales Co-operative Centre to identify how best we can ensure that affordable credit is made available in the areas where loan sharks are removed. This will be a vital step in dissuading other illegal lenders to move in and take their place,” he said. 

The Minister for Consumer Affairs Gareth Thomas said:

"This team will protect people from loan sharks. Illegal lenders are criminals who target vulnerable people and the Government is determined to get them off our streets.

"Anyone who is being preyed upon by a loan shark should turn to our team for help. Give them the evidence and they can put a stop to this illegal behaviour."

Councillor Judith Woodman, Cardiff Council Executive Member for Communities, Housing and Social Justice said:

 “Thousands of households face debt problems in Wales and are exploited by illegal money lenders every year. We encourage loan shark victims to contact our confidential hotline for help and support on 0300 123 3311.”

Dave Holland of Cardiff Trading Standards, who are leading this project on behalf of the Wales Heads of Trading Standards, said:

 “This presents Trading Standards with an excellent opportunity to tackle loan sharks who prey upon vulnerable Welsh consumers. They hold too many consumers in an ever increasing spiral of debt, causing misery and compelling many to turn to crime to repay these debts. Working with a range of other agencies the Unit aims to stop this illegal trade and drive the criminals behind the activities from local communities.”