What happens when you report a loan shark

This week (11 - 17 May) is Stop the Loan Sharks Week, a national campaign raising awareness of illegal money lending and encouraging people to seek help without fear or judgement.

More than 1.08 million people in England are estimated to be in debt to a loan shark, according to Stop Loan Sharks.These illegal lenders often charge extremely high interest rates and may use threats, intimidation, harassment or even violence to pressure people into paying.

If you or someone you know is dealing with a loan shark, it’s important to know that you’re not the one doing something illegal. Help and support are available, and reporting a loan shark can protect you and others from harm.

In the UK, any business or person lending money legally must be authorised and regulated by the Financial Conduct Authority (FCA). This regulation exists to help protect you and your money. Before borrowing from any lender, you should always check that they appear on the Financial Services Register and make sure they are genuinely who they claim to be.

You may suspect that a friend, neighbour or family member is being targeted by a loan shark. If so, there are simple but important ways you can support them:

• listen without judgement
• reassure them that it is not their fault
• remind them they have not committed a crime by borrowing money
• let them know a loan shark has no legal right to recover the debt
• encourage them to seek medical help if they have experienced physical harm or threats

Reporting a loan shark

Reporting a loan shark can feel frightening, especially if you are worried about threats or intimidation. But there is specialist support available throughout the process, and you can report concerns completely anonymously.

If you have borrowed money from a loan shark, you will not be expected to appear in court simply for taking out the loan. Borrowing from a loan shark is not illegal, and in most cases the debt itself is unenforceable by law.

By reporting a loan shark, you could help stop them targeting you and other vulnerable people.

How Stop Loan Sharks can help you

Stop Loan Sharks offers safe, confidential support for anyone affected by illegal money lending. Since 2004, the organisation has helped more than 32,500 people.

You can:

• speak to someone confidentially for advice or support
• report a loan shark anonymously
• receive one-to-one support if you need it
• get help with debt, housing or health concerns
• be referred to other support services
• receive guidance on safer borrowing options

Specialist investigators can begin a confidential investigation into the lender and work to stop illegal activity while making sure you receive support throughout the process.

You can contact them any time, day or night, by calling 0300 555 2222.

You can also use the confidential online form or live chat service through Stop Loan Sharks. Live chat is available Monday to Friday, 9am to 5pm.

Most importantly, you will not get into trouble for coming forward. Support is available, and you do not have to deal with a loan shark on your own.