Dramatic rise in Fifers turning to payday loans

The dramatic rise in Fifers struggling with payday loans is a cause for ‘grave concern’, according to Dunfermline MSP Bill Walker.

New data shows that the number of Fife clients of StepChange Debt Charity with payday loans almost tripled between 2012 and the first three months of 2013, rising from 11% to 30%. Between 2011 and 2012, the average amount owed increased from £375 to £1,656, though this dipped to £1,385 in March 2013.

Mr Walker said: “The number of Fifers turning to payday loans is a grave concern. The interest rates charged can be extremely alarming, leaving people with no money for day-to-day expenses when they attempt to make their monthly repayment. Payday loans may appear to be a quick fix, but in reality what might begin as a relatively small loan can soon escalate out of control. Read more of this post