Payday lenders boom again despite curbs as QuickQuid owner sees 20% rise in loan volumes in the UK
One of Britain's biggest payday lenders has told its investors it is bouncing back – suggesting the controversial loan industry has weathered a clampdown by financial watchdogs.
Enova International, whose brands include QuickQuid and Pounds to Pocket, told US analysts that loan volumes at its British businesses had jumped 20 per cent in the second quarter against the first.
Chief executive David Fisher said in a conference call: 'We have seen a nice start to the third quarter as well. So we feel really good about our position [in the UK], both competitive and regulatory.' He added: 'Demand looks good in the UK right now. It
looks very strong.'
Strong: QuickQuid and Pounds to Pocket owner Enova has seen a 20% increase in volumes at its UK business
The comments follow a sharp fall in the loan book held by Enova, which was one of the three largest payday lenders alongside The Money Shop owner Dollar Financial and Wonga. The three groups provided about 70 per cent of payday loans at the industry's peak in 2013.
They were predicted to survive tighter controls imposed by the Financial Conduct Authority, but smaller rivals were expected to be forced out of business. However, figures revealed to The Mail on Sunday by the FCA suggest that many firms have survived.Source: www.thisismoney.co.uk
Category: Payday loans