Payday loans could stop you getting mortgage

Sarah Coles
Payday loan advert
Payday loan advert

John Giles/PA Archive/Press Association Images

If you have ever taken out a payday loan - even if you paid it back on time and in full - it could harm your chance of getting a mortgage. One lender is rejecting applicants who have turned to these loans more than once in the previous year.

So why is it doing this, and is the practice likely to spread?