Google to Ban Payday Lender Ads

Google to Ban Payday Lender Ads.

Google confirm this week that it will ban advertising in its search results for short term loan lenders known as ‘payday’ lenders.

The ban will start from 13 July where firms offering

Loan term shorter than 60 days and with interest rates in excess of 3% per month will be banned.

Google suggests the move is to protect people from toxic debt and the debt spiral, critics suggest this is a move that is contrary freedom of trade.

Comment

We have already seen the Church of England criticise and indeed establish competitor loan firms to try and counter the ‘payday’ loan phenomenon.   And whilst we agree we all have a duty to protect the public good, is it not the responsibility of governments and regulators to set the law and rules to protect us?

That said, the move could trigger payday lenders into reducing interest rates so that their advertisements qualify.