Code for payday lenders

The vast majority of payday lenders must abide by improved customer codes from today as the drive to step up standards in the loans industry continues.

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The move comes amid calls for tighter restrictions on high-interest lenders and a new investigation into industry standards.

The improved standards have so far been agreed to by four trade associations, representing more than 90% of the short-term loan sector.

Any lender who is a member of the trade associations must abide by the rules or ultimately face expulsion.

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