Loan Sharks – Its time to act

“Communities remain concerned about the impact exorbitant interest rates and irresponsible lending practices are having on families. It’s time the Government took urgent action to crackdown on these predatory loan sharks,” said Carol Beaumont.

“I am deeply disappointed at the vote against the First Reading of my ‘Credit Reform (Responsible Lending) Bill last night.

“Supporting the Bill to Select Committee would have provided a chance for close scrutiny of the provisions of the Bill which picks up on practices being used by many other countries to control the abhorrent actions of loan sharks and provided an opportunity for the community to have their say on an issue of concern to many.

“I am committed to continuing to work with churches, unions, Budget Services, Maori, Pacific and Women’s organisations, community group and Credit Unions to find other ways to progress my campaign to crack down on Loan Sharks.

“It is unconscionable for this Parliament not to act when clear exploitation is evident in the community. The weak assertions by the Minister of Consumer Affairs that she is undertaking ‘reviews’ that will help are not sufficient.

“Political parties across the house as well as community groups are calling for the Government to address this issue, to take a hard stand against this exploitation and to protect some of our most vulnerable New Zealanders.

“We hope the Government will work with us to find solutions to the Loan Shark problems communities face. It is time we all took action together,” Carol Beaumont said.

ENDS

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