A PYMNTS Company

UK: Church of England takes payday lenders into own hands

By  |  July 29, 2013

As the Competition Commission takes on an investigation into the UK’s payday lenders, following the finding by the Office of Fair Trading of “deep-rooted problems” with the sector, the archbishop of Canterbury has informed payday lending giant Wonga that the Church of England will being a decade-long process to “compete” Wonga out of business. Most Rev Justin Welby, who one served on the Banking Standards Commission in Parliament, told media he spoke with Wonga chief executive Errol Damelin about the plans to combat an industry highly criticized for high interest rates and fees that burden consumers. The OFT referred the case to the Commission after finding evidence that certain business practices of the market “prevent, restrict or distort competition.” Wonga raised its standard interest rate to 5.853% last month. Welby has already initiated a credit union for clergy and church staff in York, say reports.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    Subscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    Full Content: The Guardian

    We’d love to be your preferred source for news.

    Please add us to your preferred sources list so our news, data and interviews show up in your feed. Thanks!

    Add as Preferred Source

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.