A 70-year-old woman and a 68-year-old man have been arrested on suspicion of illegal money lending and money laundering following a dawn raid in the Dingle area of Liverpool.
Officers from the England Illegal Money Lending Team (IMLT), working with Merseyside Police, carried out a warrant at an address on Wednesday morning (July 22). They seized mobile phones and paperwork during the search.
Suspects in custody
Both suspects were taken into custody and will be questioned by investigators from the IMLT.
The investigation is being conducted by the IMLT in partnership with Liverpool Trading Standards Service.
Warning from authorities
Dave Benbow, head of the England Illegal Money Lending Team, said: "Illegal lenders are often well-known in their communities and often pretend to be a friendly face offering a favour. The reality is that they are exploiting the vulnerable and lining their own pockets."
He added: "We work with partners across England to tackle this criminal activity and protect communities. If you or someone you know has borrowed from someone you suspect is an illegal lender, call our team in confidence for advice and support."
Scale of the issue
According to figures from the Centre for Social Justice (CSJ), up to 1.7 million people in England are in debt to loan sharks.
Warning signs
The warning signs of an illegal lender include: giving you no paperwork or agreement on a loan; refusing to give you information about the loan; keeping items such as your bank card or passport until the debt is paid; taking things from you if you don't pay on time; adding more interest or charges so the debt never goes down; and using intimidation or violence if you don't pay.
Unauthorised lenders do not complete affordability checks on borrowers, often lending to people who cannot pay them back. These borrowers do not have the protection of consumer law, such as cancellation periods and the ability to apply for help if they can’t pay. This causes huge stress and can impact their other finances, leaving them unable to pay rent or other priority bills.
How to get help
Anyone affected by illegal money lending should call the Stop Loan Sharks 24/7 helpline on 0300 555 2222 or access support online at www.stoploansharks.co.uk. There is a Live Chat facility on the website, and the team can also be contacted via WhatsApp on 07700 102773. The Live Chat and WhatsApp services are monitored from 9am to 8pm, Monday to Friday.
