“I congratulate Commerce and Consumer Affairs Minister Kris Faafoi, for deciding to introduce an amendment to cap interest rates on high cost loans”, Green Party spokesperson on Consumer Affairs Gareth Hughes said today.
“I’ve been urging the Minister to take this step otherwise the legislation wouldn’t have been as effective to protect consumers from loan sharks.
“Without interest rate caps we still could have seen annualised interest rates in the high-hundreds or thousands of percent which is simply wrong and damaging.
“Dozens of countries already cap interest rates and it is a practical step to help the vulnerable.
“I want to acknowledge the work of FinCap, the Salvation Army and other groups who have also pushed for interest rate caps.”