Home credit- Door step lending

Home credit otherwise known as door step lending increased during the pandemic.  This is where a resident can borrow money and the agent who works for the company will bring the money to the residents home.  The agent will visit the home on a weekly basis to collect the repayments. 

Home credit loan/door step lending companies usually offer small loans from £100-£1,000, but the interest rates are similar to pay day loan companies i.e. extremely high.  These  companies have to be authorised by the Financial Conduct Authority.  This can be checked by using the Financial Conduct Authority register, which can be found here

If the company is not registered they are then consider an illegal lender or loan shark and should be reported, to report a loan shark please refer here

Home credit lenders cannot legally cold call a resident asking if they require a loan.  If a resident requires a loan which they are able to pay back, they should seek alternative credit lenders, such as the London Mutual Credit Union or Fair Finance who offer low and competitive interest rates.