Loan shark

(redirected from Loan sharks)
Also found in: Dictionary, Thesaurus, Legal.

Loan shark

Someone who issues loans with interest rates above the maximum legal level, often thought to come with threats from the lessor. Loan sharks typically are associated with organized crime, but this is becoming more rare with the emergence of regulated methods that accompany high-risk loans such as subprime and payday lender. See: Usury

Loan Shark

A person who makes illegal loans, usually by charging an extraordinarily high interest rate. For example, a loan shark may lend $1,000 at a 2,000% annualized interest rate, which is illegal in most states. Loan sharks are not financial institutions; they often "collateralize" their loans with threats of violence. Loan sharking often is associated with organized crime. See also: Usury.
References in periodicals archive ?
Individuals and families borrow from these loan sharks and are often trapped into spiralling debt as extra amounts and interest are added at random.
Anyone in Yorkshire and Humber working on a project raising awareness of the dangers of using loan sharks or promotes financial management can apply.
For financial advice or to report a loan shark, call the EIMLT on 0300 555 2222.
However, no matter how difficult things become, our message is that no one should even consider the temptation of using loan sharks.
Loan sharks employ criminal methods to lend money, and criminal activities to get recovery of it also.
A common strategy used by loan sharks is to confiscate the passport of the borrower.
Campaigners said that even though there are more than 200 active loan sharks in Scotland - with the actual figure probably much higher - just 34 calls were made by members of the public to report them last year.
Remember, loan shark debts are not enforceable and by taking action against loan sharks we can, in the long term, reduce rent arrears, evictions and homelessness.
WIMLU is responsible for investigating and prosecuting loan sharks, as well as supporting victims when their debts become too much.
He says: "As credit dries up, we can make the assumption that more people will be tempted to use loan sharks.
DESPERATE cash-strapped UK households are in the grip of ruthless loan sharks.
HELP is at hand for victims of loan sharks, thanks to a new scheme which will help them buy food for their families.