Wonga.......

[butterfly.]

Does anyone have any ideas on what corporate social responsibility challenges wonga or any payday loan company faces?

[boxtops]

They're a commercial company - their rates are made clear. It's only when people don't pay back that their swingeing interest rates come into play.

[factor-fiction]

Hi- what is the context of the question please. Is it for an essay or are you looking to challenge these organisations in some way. They face the same issues as many companies but they face additional challenges because of the issues of debt faced by their customers and the bad publicity associated with charging high interest rates and seeking to recover money from those who can't afford to pay. They are also very much in the eye of politicians and press who will pounce on a story

[excelsior-1]

that is a 3215% interesting question

[butterfly.]

Yes factor fiction this is for an assignment. However I can't see a problem with these lenders, its true they make it clear on their charges. I don't see them any differently then a bank loan. Where would people who are desperate go if banks turn them down. I am finding it hard to argue against these organisations!

[factor-fiction]

You could argue that they target their advertising in such a way that it may encourage people to spend money they can't afford- for example some ads are shown in between children's programmes because they know of the 'pester power' children can have ("Go on mum, you can afford that i phone for me- you can borrow the money really easily from Wonga").
Also it has been argued they don't make proper checks- there have been cases where people have taken out loans in someone else's name

[butterfly.]

Thank you factor fiction, very helpful.