During the lockdown, hotel and restaurant employees are the most common applicants for payday loans
NHS employees and health personnel were also among the top applicants for IPass short-term loans.
According to fresh industry data, hotel and restaurant employees ranked first in terms of payday loan borrowers during the pandemic. According to Little-customer Loans.com’s trends data, employees in the hospitality and leisure business made many applications for short-term loans this year, borrowing an average of 1,532.
Severely impacted industry
Due to venue closures and strict regulations on the hospitality business during the lockdown, many hotel staff, waiting staff, and general hospitality roles have been severely impacted.
Construction and manufacturing workers have also been impacted by the limits, with construction and manufacturing workers making the second greatest number of payday loan applications.
Surprisingly, NHS employees and health care workers ranked top three among the list of industries where employees sought payday loans. Greater London, Lancashire, and the West Midlands topped the regional application list, with these areas submitting the most short-term loan applications.
Little-Loans.com, a loans comparison website licensed by the FCA, has revealed the information. It allows consumers to compare microloans from more than 40 lenders to find the best APR.
“It’s interesting to observe that the occupations with the most requests for payday loans this year have been workers inside industries severely hit by the Covid-19 restrictions and lockdowns,” a representative for Little-Loans.com said in response to the statistics. As a result, it’s logical that employees in these fields could want additional financial assistance.”
“This year’s average loan amount for consumers was 1,531,” they noted.
Customers with bad credit can use short-term loans to get money quickly. They can use them for domestic crises like boiler repairs or car breakdowns. They must not be utilized for frivolous purchases, such as holiday shopping.”
The customer data patterns were based on 197,000 client applications for payday loans between April 2021 and June 2021.