anti-loan sharking laws

Anti-loan sharking laws are regulations designed to protect consumers from predatory lending practices by illegal lenders, known as loan sharks. These laws prohibit unlicensed lending, excessive interest rates, and abusive collection methods. They aim to curb exploitative loans that often trap borrowers in cycles of debt, ensuring transparency, fair terms, and legal recourse for borrowers. Violating these laws can lead to criminal charges; enforcement helps maintain a safe and equitable lending environment.