

How did people feel about this zero-interest loan scheme?
Upon the news of this scheme being present in the budget, campaigners have expressed their delight for such a change in the world of lending. This includes MPs, debt charities and fair-lending companies who dislike the illegal sharks present in the industry. Nevertheless, some campaigners feel that this change, whilst welcomed, does not go far enough. Many believe more could be done to stop the exploitation of low income households in the lending industry. Labour MP Stella Creasy often campaigns against the effects that unfair lending practices have on people from low income backgrounds and households. She urged the Chancellor and ministers to introduce an interest-cap on every form of borrowing, as to stop the problem before it occurs. With something like this in place, she says, people would not find themselves in such financial troubles to start with and therefore they would not have to even seek out one of these new zero-interest loans to help. MoneySavingExpert founder, Martin Lewis, was vocal that he was happy with this step being taken by the government. He is known for speaking out against the horrors that unfair lending practices of payday loan companies can lead too.The Financial Conduct Authority
This scheme is also seen as something which is to complement the Financial Conduct Authority (FCA), who took over the lending industry in 2014 and gave it a real makeover by introducing stricter rules which basically wiped unfair lenders off of the scene in their masses. The rules which they introduced even forced the payday lending poster child, Wonga, to go into administration.