My pick of last week’s news is that gambling on credit cards is to be banned.
Tweet of the week
Waiting for a funding decision today… everyone thinks clients with #deficitbudgets are a priority don’t they?
— Anna Hall Ⓥ (@Anna__Hall) January 17, 2020
Love Island stars promote buy now, pay later firm Klarna accused of pushing customers into debt Sun: Alongside discounts codes and details of their outfits, the stars have pushed the “shop now and pay later with @klarna.uk” in the Instagram adverts.
Doncaster property training debt soldier killed himself BBC: The BBC has become aware of dozens of people who have said they signed up for Property Investors’ training and now wanted their money back.
An outstanding balance? Inequalities in the use – and burden – of consumer credit in the UK Resolution Foundation: “typical consumer debt repayments, relative to monthly pre-tax income, remain nearly 3 times as high for households in the lower-income quintile compared against their higher-income counterparts. “
Is this the decade of the Credit Union? FCA: Speech by Charles Randell, FCA Chair to the National Credit Union Forum
Charity uses open banking to speed up debt advice Finextra: Money Advice Scotland’s new webchat service uses Experian’s open banking tool, the Affordability Passport, to gather crucial income and expenditure data, as well as a statement of consumer credit debts.
Amigo founder James Benamor in £3m payday Times (paywall): The founder of Amigo Loans has banked a £2.9m dividend despite a profit warning at the guarantor lender, a surge in customer complaints and fears of a regulatory crackdown.
Sainsbury’s Bank urged to move borrowers to a regulated lender after pulling out of mortgage market Mail: The bank has refused to rule out selling the loans to a private equity firm.
Add your debt to your Netflix, gym and veg box subscriptions Times (paywall) Creditspring has lent £3 million to almost 8,000 customers since it opened in September 2018. It charges £6 a month for two £250 loans, or £8 a month for two £500 loans.
Benefits & other news
Gambling on credit cards to be banned BBC: 22% of online gamblers using credit cards are classed as problem gamblers.
Turn2us launches the #LivingWithout campaign highlighting the impact of appliance poverty Turn2Us: Over two million households (4.8 million people) are living without essential household appliances such as fridges, freezers, cookers and washing machines.
Universal Credit: Does the monthly design work for claimants? House of Commons Library: It’s a good list of all the problems with monthly design.
Betfred owners make millions from company treating gambling addicts Guardian: MPs on both sides of the house voiced dismay at the “cynical” arrangement, while the shadow health secretary, Jon Ashworth, said the fact the Dones were profiting from betting and from gambling addiction treatment showed an “unacceptable conflict of interest”.
DWP ‘condemns’ 2,000 terminally ill people to die without benefits, charity says localgov.co.uk: “The Government’s own figures suggest that ten people a day have died while waiting for PIP in the six months since the DWP announced a review” .
£20 a week to live on: what happens when the double whammy of Universal Credit and the Benefit Cap hits Z2K blog: How the different parts of the benefit system fail to interact properly.