Thursday, 25 July 2013

Cameron Quiet over C of E attack on Wonga.com

Will our Prime Minister David Cameron support the Church of England's attempt to put Wonga.com out of business?

Ive often wondered why Cameron (and the Tory party as a whole) are so quiet about these controversial "legal loan shark" companies.

Well, well, well we now know why Cameron has been keeping his trap shut - for those of you who did not know - Wonga.com is a major doner to the Tory party.

This company is a "life destroyer" to those that use its short term loan services. It's main area of business is giving short-term cash loans to struggling families at exorbitant interest rates.

A household name through a huge advertising ­campaign, Wonga claims it serves people who need the flexibility of ­borrowing in the short term and can afford to pay it back.
But critics say they target desperate unemployed families, luring them with the promise to put cash in their bank accounts within just 15 minutes.
Many turn to the company after watching the TV ad which shows three puppet pensioners dancing to house music while explaining the ­attractions of Wonga.com.
Private Equity manager Adrian Beecroft has donated over half a million pounds to the Tories since 2005.

Beecroft is the head of the private equity group that administers the barely legal loan shark operation Wonga.
The Wonga business model is to prey on the mentally ill, the financially illiterate and the absolutely desperate by offering them usurious loans at eyewatering interest rates. The typical interest rate on a Wonga loan is an incredible 5,853% APR!

Even in the free-market obsessed United States, such outrageous loans are illegal, but here in the UK the Tory party are stubbornly resisting efforts to regulate the so-called Payday lending sector and introduce maximum APRs. Does this resistance have anything to do with the fact that one of their biggest donors runs one of the biggest legal loan shark operations in the country?

In 2012 the Tory leadership invited Beecroft to draw up Tory employment policy for them. What Beecroft came back with was nothing short of a corporate wishlist of pro-business anti-worker regulations, including proposals to introduce sack-at-will legislation, to restrict access to unfair dismissal claims and slash awards that are made to those that are not excluded entirely, to create immunity from prosecution for employers that hire illegal immigrants and to remove carry-over legislation to allow new owners of businesses to rid themselves of long established workers.

Our advice is to avoid Wonga.com et al like the plague!

1 comment:

  1. Yes your right, DO NOT TOUCH WONGA WITH A 40FOOT BARGEPOLE.

    RIPPING OFF BASTARDS IS ALL THEY ARE.

    ReplyDelete