LoanBan – a self-exclusion register for high-interest loans
Just like Gamban and GamStop protect people from gambling, LoanBan would let individuals block themselves from taking out high-interest loans before debt spirals begin.
Why do we need LoanBan?
When people hit a financial crisis, they often feel they have nowhere else to turn. High-interest and short-term loans are advertised as quick fixes, but the huge interest and fees can quickly turn into an unmanageable debt spiral.
Gambling already has self-exclusion tools like GamStop and Gamban, which allow people to block themselves from betting sites and apps. There is no equivalent protection for high-interest loans – even though the harm can be just as severe.
LoanBan is a simple idea: give people the power to say "no" to loans before they reach breaking point.
How a loan self-exclusion register could work
A national register would allow individuals to voluntarily sign up and block themselves from being approved for certain types of loans, such as high-cost short-term credit or other high-risk borrowing.
Lenders and credit providers would be required to check the register before issuing a loan. If someone has chosen to self-exclude, the application is declined – no questions asked.
The system could be run by credit reference agencies or an independent, regulated body – similar to how gambling self-exclusion schemes are managed today.
Who would this help?
LoanBan is for anyone who knows loans could be dangerous for them in a crisis – including:
- People in recovery from problem debt
- Those with mental health difficulties
- Individuals facing instability or abuse
- Anyone who wants a safety brake on borrowing
What you can do now
This campaign is starting with a simple step: gathering public support for a national loan self-exclusion register in the UK.
By signing and sharing the petition, you're helping to show policymakers that people want better protections against harmful lending practices.