THE National Union of Students (NUS) has launched a campaign urging colleges and universities to ban advertising by payday lenders on their campuses.
The call comes as Britain’s biggest payday lenders have been warned by the trading watchdog that they risk being put out of business if they fail to demonstrate that they are up to scratch.
The Office of Fair Trading, found evidence of “widespread irresponsible lending” after carrying out an investigation into payday lenders, including firms appearing heavily reliant on struggling customers who cannot afford to pay their loans back on time.
Pete Mercer, NUS national vice-president, said: “Students are struggling to make ends meet and this is having a real impact on their wellbeing and their education…
“It’s great that these institutions have already joined our campaign and I hope that others will soon follow suit.”
Michael Ossei, personal finance expert at comparison website uSwitch.com, said: “With the cost of living rising and tuition fees and books not getting any cheaper, it’s easy to see how so many students could fall back and rely on pay day loans to get them through university or college.”