Ireland’s largest moneylender, Provident Financial, has announced it will shut its doorstep lending business, as full-year results on Monday highlighted the strain the coronavirus pandemic and growing customer complaints have put on subprime lenders. The move comes just days after Minister for Finance Paschal Donohoe said the Government was planning to “gradually” lower the current interest rate cap on licensed moneylenders’ loans. This includes new loans to existing customers.”It said loans would still be provided to those customers who had already applied for finance and had signed their loan agreements. The company reported a pre-tax loss of £113.5 million (€132 million)for 2020, compared with a £119 million (€138 million) profit the previous year. The biggest drag was a £75 million (€87 million) loss in its consumer credit division, which includes home credit.

Source: The Irish Times May 10, 2021 15:00 UTC