Moneylending companies do a brisk trade among case-strapped sectors of the population.

Taking a fast loan is becoming ever more costly for people, the online financial newspaper Taloussanomat reports.

“A FAST LOAN may become ever more expensive for the person taking it due to the tightening of loan conditions prompting fast loan firms to raise prices. The genuine annual interest rates of the most expensive loans are over 2,000 per cent.

According to a study conducted by Suomen Rahatieto about a third of fast loan firms have raised prices since last autumn, according to a report made by Suomen Rahatieto for Taloussanomat.

Behind this development is the growing cost of maintaining the loan service. After the change in the law fast loan firms have to be able to verify the customer’s identity, among other things. Fast loans can no longer be taken at night either, which shortens the daily hours of business.

Pricing has been changed by either raising the costs of the loan or the price of text messages. At its most expensive a text message that is required for the loan costs five euros.

It is not even worth considering taking very small fast loans because the expenses involved in those are astronomical compared to the capital.”

TALOUSSANOMAT 26 February. MARIA MANNER
Lehtikuva - Roni Rekomaa