WHICH? CLEAN UP CREDIT CAMPAIGN AND EXCESSIVE DEFAULT FEES CHARGED BY PAYDAY LENDERS

That this House notes the recent research published by the Competition Commission that found more than a third of payday loan customers repay their debt late and incur default fees; further notes previous research estimating that a million UK households a month are using payday loans; welcomes the Which? Clean Up Credit campaign on excessive default fees charged by payday lenders; supports the campaign's call for the Financial Conduct Authority (FCA) to clamp down on excessive charges and irresponsible lending, and to make sure borrowers are being treated fairly whatever form of credit they are using; and calls on the FCA to take urgent action in response to this growing problem.