Lender in Focus 2.1: The Money Shop Overview and History

the-money-shop-about

Are you interested in learning about The Money Shop? They are one of the UK’s most recognisable financial service brands on the UK High street. It is owned by the US company, Dollar Financial Group.

Short term loans from The Money Shop are available from a network of physical stores. You can also borrow money online through their website.

Other services offered by the Money Shop include:

  • Pawnbroking
  • Cheque cashing
  • Guarantor loans
  • Money transfers
  • Foreign exchange
  • Pre-paid cards
  • Gold buying.

The Dollar Financial Group

Dollar Financial Group (DFG)  began in 1979 and has headquarters in Pennsylvania, US.

In the UK, DFG was the largest provider of payday loans in 2009.

In 2011, Dollar Financial acquired Month End Money. They took on brand names that included PaydayUK.

Today, the Dollar Financial Group owns The Money Shop, PaydayUK and Payday Express.

The Money Shop history

The Money Shop was acquired in February 1999 by the Dollar Financial Group.

By 2012, there were approximately 550 UK branches for customers to visit.

In 2015, there was an investigation by the Financial Conduct Authority. The result was Dollar Financial Group having to pay more than £15 million in compensation.

Since then, The Money Shop has scaled back and closed more than 200 of its branches. This followed a restructure in response to tighter regulation and sector changes.

Despite these changes, The Money Shop remains one of the most recognisable names on the high street for short term loans.

Today, The Money Shop has almost 250 branches remaining. Some of these underwent a redesign in 2016, in response to customer feedback.

The most modern branches feature secure counters that offer increased privacy for customers. Many also have children’s play areas, making The Money Shop’s services more accessible for parents.

Football fans will recognise The Money Shop as the sponsors of Wolverhampton Wanderers Football Club. With their branding across the Molineux Stadium.

Also, the lender operates the Money Talk online community. This enables members to share their views and opinions through regular surveys. Alongside this, there are chances to win cash prizes and shape The Money Shop’s products.

About the money shop

Company information

The Money Shop is a trading name of Instant Cash Loans Ltd.

The registered business address is:

6 Bevis Marks, London, EC3A 7BA

The website address is: www.themoneyshop.com

The Money Shop is a founder member of the Consumer Finance Association and a member of the National Pawnbrokers Association.

Financial Conduct Authority registration

The Money Shop is authorised and regulated by the Financial Conduct Authority. Also, the registered number is 2685515.

The Money Shop short term loans

Loans from The Money Shop are also provided as instalment loans, over terms of between 3 and 12 months.

These are usually marketed as a ‘payday loan alternative’, offering a little more flexibility.

Consumers can borrow as little as £100, and as much as £2,000 subject to affordability checks.

Loans from the Money Shop have a representative APR of 450%.

Many people choose to apply for a loan online. If you are eligible, you could see up to six different loan offers. You can choose the one that best meets your needs.

You can also apply for a loan from The Money Shop by phone or in one of their branches.

The Money Shop lending criteria

To apply for a loan from The Money Shop, you must be:

  • 18 or over
  • Earning at least £417 (net) per month
  • In full-time employment, or receiving regular disability benefits or a pension
  • a UK bank account and debit card holder

Alternative loans from The Money Shop

If a traditional instalment loan does not meet your needs, you may prefer another option.

Guarantor loans

The Money Shop provides guarantor loans for between £1000 and £7500.

These have a representative APR of 49.7%.

Guarantor loans are available over terms of between 1 and 5 years.

To apply for a guarantor loan, you will need someone that is happy to provide their backing. They may be asked to make repayments if you are not able to keep up.

Guarantor loans are provided by The Money Shop’s partner, direct lender George Banco.

Guarantors must be between the ages of 25 and 75. They should have a minimum net monthly income of £1,000. They will need a good credit history and a UK bank account and credit card.

Secured loans

If you have possessions that can be used as security for a loan, then you might prefer The Money Shop’s pawnbroking service.

This has a representative APR of 148%.

Pawnbroking services are only available in The Money Shop’s physical stores. You can borrow money over 7-month terms.

You can pawn gold, silver or platinum. Also, you can also pawn diamond jewellery and certain designer watches. Quotations are often provided at no cost if you take your item to the store.

You can either repay your loan to get your item back or lose your assets and ask for them to be sold.

If you need your item to be sold, you will still be responsible for the difference between the item sale price and the total amount that you borrowed.

Applying for credit with The Money Shop

Online loan applications

If you are applying for a loan online, you can start with The Money Shop’s online loan calculator.

You can use the calculator to fine-tune your loan requirements. Choose how much you want to borrow, and select a suitable loan term. The calculator shows instalment amounts and the total repayable.

Actual costs can vary. Your individual circumstances may adjust the loan that you are offered.

Lending decisions are usually instant. Approved loans can be delivered to your bank account on the same day if they have been finalised before 3 pm.

In-store loan applications

If you visit a physical store, you can apply for credit in person.

You will need proof of identity and address before your loan application will be approved.

Furthermore, The Money Shop has more than 200 branches across the UK and Ireland.

The Money Shop loans

The Money Shop is a direct lender.

You can also use brokers like Cash Lady, to compare loans from The Money Shop with several other quotes.

Applications can be finalised with The Money Shop directly, once you have chosen the best loan to meet your needs.

Read the next chapter to learn about the Advantages of using this lender.

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