The Hidden danger of Loan Sharks – what you need to know

If you’re struggling with money, you’re not alone. Life can be hard - whether it’s job loss, the cost of living crisis, or unexpected emergencies. When things get tight, it’s only natural to look for help wherever you can. And sometimes, that help seems to come from someone you trust.

But not all help is safe.

Some people take advantage of others when they’re at their most vulnerable. These people are known as loan sharks, and they operate outside the law - often with devastating consequences for those they target.

What is a loan shark?

A loan shark is someone who lends money without a license. They’re not a bank, and they’re not a registered lender. That means they don’t follow the rules that protect you  -  and they can make life incredibly difficult.

At first, they might seem kind. Helpful. But the demands grow. The repayments never seem to end. They might threaten you, or try to control you. It’s estimated that over 1 million people in England have borrowed from loan sharks. That could be anyone - your neighbour, your colleague, your friend. It could be you.

How do I know if someone is a loan shark?

If you’re unsure about a loan, here are some signs that something might not be right:

• You weren’t given any paperwork

• You don’t know how much you still owe

• The amount you're paying back is far more than what you borrowed

• They’ve taken personal items (like your passport or bank card) as “security”

• You feel frightened, trapped, or controlled

• You always make this payment - even if it means falling behind on essentials like food or heating

If you feel that you may be in this situation, this is what you should ask yourself:

• Did I borrow money from a friend or someone I know personally?

• Does this person lend money to others too?

• Am I being asked to pay more than I borrowed?

• What happens if I can't make a payment?

It is so important to know that borrowing from a loan shark is not illegal. The person lending the money is the one breaking the law - not you.

At Dukes Bailiffs, we work with people every day who are doing their best in very difficult circumstances. We know how easy it is to feel trapped, overwhelmed, and ashamed. But we also know there is a way out - and you don’t have to walk it alone.

Where you can turn for support:

There are people who understand what you're going through and are ready to help:

• Call Stop Loan Sharks on 0300 555 2222 – it’s free, confidential, and they’re here to listen.

• Prefer to type instead of talk? Visit www.stoploansharks.co.uk and use their Live Chat.

• If you’re already in contact with our team, let us know - we can support you in getting the help you need.

At Dukes, our mission is simple: to help you get out of debt – and stay out. If something doesn’t feel right about a loan you’ve taken, trust your instincts. Talk to us. Talk to someone. The sooner you reach out, the sooner we can help you find a way forward.