New payday lender rules take effect

%VIRTUAL-SkimlinksPromo%Payday lenders come under a stronger clampdown from tomorrow that will ban them from rolling over loans more than twice and restrict their ability to drain money from borrowers' bank accounts.

From July 1, firms operating in the industry will also have to place "risk warnings" on television adverts, which will highlight the problems that late repayments can cause and direct consumers to the Government-backed Money Advice Service (MAS) for help.