What exactly is loan sharking?

[AccruedExpenditure]

And how illegal is it?

 

[amdforever2]

Charging insane interest on a loan

usually over 30% or something



and

uhhh


dunno

 

[GasX]

It's all the way illegal...

 

[Linflas]

I think the illegality is the collection methods used. Generally banks don't break kneecaps when payments are missed.

 

[Ilmater]

Well, technically, it's charging "illegal" interest rates, so obviously, by very definition, it's illegal.

 

[Ilmater]

Originally posted by: Linflas
I think the illegality is the collection methods used. Generally banks don't break kneecaps when payments are missed.

Mine did. CURSE YOU US BANK!!! YOU'VE GOT LOTS OF MONEY!!! I ONLY HAVE TWO LEGS!! What am I gonna do about my legs?!

 

[GasX]

google search term: loan shark - 1st listing

Another similar crime is Usury - which is charging outrageous interest rates (usually 25% or more is considered usury)

 

[AccruedExpenditure]

i don't believe in teh google.

 

[StageLeft]

It's how I make my side money. 25% is what I charge. If you're late with a payment the whole thing goes up to 50%, and trust me you do NOT want to be late again.

 

[natedawg]

I read something a while back about loan sharks. If you need a loan, loan sharks are the way to go. They typically charge much less interest than one of those pay-day loan businesses which can charge several hundred percent on their loans depending on how much you borrow.

 

[Ilmater]

Originally posted by: Gnote
i don't believe in teh google.

That doesn't matter. teh [sic] google believes in you...

 

[VictorLazlo]

Originally posted by: Mwilding
google search term: loan shark - 1st listing

Another similar crime is Usury - which is charging outrageous interest rates (usually 25% or more is considered usury)

What is this "google search term"? Is that some sort of intraweb site? What AOL keyword do I type to get there?

 

[lancestorm]

You guys looking up loan sharks in google reminds me of Office Space where they were looking up 'money laundering' in Webster...

 

[TommyVercetti]

This reminds me of the game "Drug Wars" Haha! You could borrow money from a loan shark, and they when the time was up to pay, you would hear this guy in a Mafiaesque tone go "Where's my money". If you didn't pay, they would do damage to you. Heheh

 

[Ausm]

It is similar to check-n-go except if you stiff Check-n-go they will so you and not break your legs

Sysadmin

 

[dullard]

Originally posted by: natedawg
I read something a while back about loan sharks. If you need a loan, loan sharks are the way to go. They typically charge much less interest than one of those pay-day loan businesses which can charge several hundred percent on their loans depending on how much you borrow.

Or you can borrow your money by more conventional ways and save a bundle over the loan shark. But you are right that pay-day loan businesses are possibly the worst money mistake that anyone could ever make.

 

[FrustratedUser]

Originally posted by: Skoorb
It's how I make my side money. 25% is what I charge. If you're late with a payment the whole thing goes up to 50%, and trust me you do NOT want to be late again.

You are cheap!
I had a LEGAL car loan with 29% interest!! :Q

That is what you pay for being a foreigner with no credit history. Luckily that POS loan built me enough credit to refinance at 5.2% 9 months later.
Now my credit score is 710+ after being here 2 years and a few months.

 

[DaveSimmons]

candygram!

 

[Xionide]

Originally posted by: FrustratedUser

Originally posted by: Skoorb
It's how I make my side money. 25% is what I charge. If you're late with a payment the whole thing goes up to 50%, and trust me you do NOT want to be late again.

You are cheap!
I had a LEGAL car loan with 29% interest!! :Q

That is what you pay for being a foreigner with no credit history. Luckily that POS loan built me enough credit to refinance at 5.2% 9 months later.
Now my credit score is 710+ after being here 2 years and a few months.

Which country did you come from?

-Xionide

 

[Ranger X]

I charge 25% and if payments aren't met in time, I start taking organs as payment.

 

[bandana163]

Usury=25%+???

The biggest interest rate I've ever seen was:
Personal loan (about 500$), total interest rate: 227-438%. Now that's a rip-off.
The sad part is that this company had 160000 clients last year in a country with 10mil inhabitants.

 

[TommyVercetti]

Originally posted by: Ranger X
I charge 25% and if payments aren't met in time, I start taking organs as payment.

But only after a long drawn out plot, convulated exchange of dialouges, bad humor and a mock trial by a female acting as a male.

 

[FrustratedUser]

Originally posted by: Xionide

Originally posted by: FrustratedUser

Originally posted by: Skoorb
It's how I make my side money. 25% is what I charge. If you're late with a payment the whole thing goes up to 50%, and trust me you do NOT want to be late again.

You are cheap!
I had a LEGAL car loan with 29% interest!! :Q

That is what you pay for being a foreigner with no credit history. Luckily that POS loan built me enough credit to refinance at 5.2% 9 months later.
Now my credit score is 710+ after being here 2 years and a few months.

Which country did you come from?

-Xionide

Sweden

 

[Luden]

What exactly is loan sharking?

Consult your local Money Tree, Pay Day Cash Loans, Check in to cash, ...

 

[Vic]

Charging a high interest rate is not loan sharking, that is usury.

Loan sharking is illegal lending without collateral, written documentation, set interest rate or repayment terms, where the entire loan with interest could come due and payable at anytime the lender desires, and with repayment guaranteed by the threat of violence.