Payday lender, which has previously limited borrowing to a 30-day period, denies short-term extension to 60 days is motivated by financial demands of Christmas
Payday lender Wonga has temporarily extended the period borrowers can take out its loans in a move that has sparked concern among debt advice charities Wonga has previously made much of the fact its loans have a maximum period of 30 days, but for a week at the beginning of December borrowers could opt to take on a debt for 60 days. It is now offering a maximum loan period of 45 days. The spokesman said the 60-day loan period, which may have attracted borrowers who would otherwise have faced a repayment deadline right at the start of the new year, was "data driven" and not timed to coincide with the festive period. However, debt advisers said they were concerned the extension would tempt people struggling with the cost of Christmas. The insolvency group R3 recently released research suggesting 8% of people were considering using high cost short-term loans to fund festive spending....Read more on this story: Wonga tries longer loans