Commenting on The Archbishop of Canterbury’s comments on annualised interest rates, Ray Perry, Chief Executive of the National Pawnbrokers Association (NPA), said:
“Pawnbroker loans typically charge an annualised interest rate of 80 to 130 per cent, which equates to 6 to 9 per cent a month, representing a viable option for instant short-term cash loans. They are secured loans against an asset of value so there is no danger of customers spiralling into debt and no early repayment fees. People should always check whether the company they want to borrow from is a member of the National Pawnbrokers Association as members are bound by NPA rules and a customer code of conduct.”