Bid to halt log-book loans

OLDHAM COUNCIL

OLDHAM Council has waged war on so-called log-book loans where lenders prey on the most vulnerable, charging extortionate interest rates and forcing them into a debt cycle they are unable to break free from.

Councillor Jim McMahon attacked the practice, saying hundreds across the borough had fallen into the trap of taking out loans with interest rates of up to 1,000 per cent. He gave the example of the Log Book Loan Shop on Hollins Road, where a £1,000 loan attracts a monthly interest of £161, equating to 346 per cent APR over a year, and 585 per cent over five years.

“These lenders are not offering a service, they are preying on those who have no other options, no consumer rights, and little chance of breaking from the debt cycle once it takes hold. If people miss one or two payments, they can loose their car. It’s scandalous, unfair and needs to be outlawed.”

He spoke in support of a Government announcement that these loans could be stopped and gathered the support of councillors across the council chamber as well as local MPs.


75p per unit call for pubs

A CALL was made for a minimum 75p charge per unit of alcohol in pubs and clubs across Greater Manchester.

Council leader Howard Sykes told the Association of Greater Manchester Authorities their 50p suggestion needed to be upped by 50 per cent.

And he pointed to the dramatic drop in violent crime in Oldham town centre which he said was directly linked to the crackdown on cheap drinks promotions.

“You can still get hammered big time for £3 or £4 with a minimum 50p per unit charge,” he told last night’s meeting.

Councillor Sykes said the crackdown had made a real impact on town centre safety and highlighted a 27 per cent fall in violent crime since the issue of cheap drinks was tackled.

“Our town centre is a much safer place to be. Much safer than many other places in Greater Manchester,” he said.


Light at end of the tunnel

THE underpass at Hardman Lane, Failsworth, will be lit in a bid to dissuade teenage drinkers from hanging around.

The pledge was made by Councillor Richard Knowles, in answer to a plea from Councillor Jim McMahon, who said pedestrians felt intimidated by the darkness. He also called for Metrolink works to be speeded up so the road under the bridge at Hardman Lane could be re-opened.

Councillor Knowles said: “The railway is 130-years-old and a lot of bridges need rebuilding or extensive refurbishment.”