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Shark spotted at Birdcage is part of pay day loans protest
Activists have been in Kendal this afternoon gathering support for a clampdown on pay day lenders charging high rates of interest on short term loans.
The Westmorland and Lonsdale Labour Party took part in a national event trying to force a cap on the interest rates lenders can charge.
It follows reports of some lenders charging people up to 7,000 per cent APR for an unsecured loan until pay day.
To illustrate the point, local Labour party representatives handed out leaflets and were accompanied by a 'loan shark'.
South Lakes Labour said pay day loan companies were thriving because its charges for missed payments were 'equally eye-watering'.
Local Labour leader Paul Braithwaite said: “More and more people are finding it harder to meet their monthly bills at the moment and they can be forced to turn to these lenders to tide them over.
"However the interest rates charged along with associated fees can see people sent into a spiral of debt which it is impossible for them to get out of.”
“We need urgent action from the coalition to cap interest rates to protect people from being fleeced so unfairly. We also need action to help prevent people becoming trapped in very high interest personal debt.”
“We need to promote affordable loans from other financial institutions such as credit unions as an alternative to these legal loan sharks”
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