According to the latest news, 4 Americans flew from US to London in search of a new frontier. They had done lot of travelling. “We just did a lot of walking,” said Mike Charles, who comes from Arizona. “Anywhere that wasn’t Westminster or Chelsea or Richmond.”They took shelter in a small and cheap hotel in London. They were looking for a region where payday loans business can flourish. Therefore they thought of consulting Speedy Cash as they heard lot about their service. After a research they found that Speedy Cash was itself in state of crises. Actions were taken against payday lenders by the statutory bodies. They claimed that they charge very high APR ranging from 500 to 5,000 percent.

On one hand the payday lenders claim that they provide fast cash to the consumers in emergency needs. On the other hand critics claim that consumers entangle themselves in infinite loop of debt. Robert Frank, who is economics professor at Cornell University, has compared payday loan lending with “handing a suicidal person a noose.”Number of US states has put restriction on rapacious payday lending practices. They have put restriction in the interest rate. The business strictly follows a new law that is formulated by the Dodd-Frank financial reform that was passed in 2010. So number of US companies has plans to shift to Britain. They believe that there is less limitation carrying on the payday loan business there.

“We have dramatically diversified out of the US where the regulatory environment ... is at best unclear,” Jeff Weiss, chief executive of listed US lender DFC Global, told a New York investment conference this summer. “We diversified into geographies like Canada and the UK with relatively little competition where we can build a dominant market position.” DFC Global is now the biggest UK payday lender by market share; it owns high street chain The Money Shop and two internet-based lenders.