Analysis of information sources in references of the Wikipedia article "Wonga.com" in English language version.
Britain's biggest payday loan company, Wonga, has signed up to a new code of practice being introduced on Wednesday that will restrict the number of times a loan can be extended.
Some of those who lose access to credit will be diverted to the black credit market, where costs and risks will be significantly higher and outcomes more damaging
Founded by Errol Damelin and Jonty Hurwitz, Wonga provides cash advances to UK consumers
The company's loans of up to £400 are available for one day to a month, and interest is charged at 1pc a day.
The upshot of placing restrictions on the terms at which payday loan companies do business will further limit the availability of credit to people from regulated entities. Such customers will then, likely as not, head to unregulated lenders whose complaints management procedure involves not the Financial Services Authority but baseball bats and snarling dogs.
