Payday loan bubble 'could burst'

Press Association
Payday loans sign
Payday loans sign

The payday loans bubble could be on the brink of bursting following accusations against the industry that it is preying on struggling borrowers, research has suggested.

Insolvency trade body R3 is predicting a dip in borrowers turning to payday lenders in the next six months, with one in 14 (7%) adults planning to take out loans, down from one in nine (11%) when a similar study took place in October.