Consumers struggling to obtain unsecured loans are increasingly turning to expensive forms of finance, it has been noted.
According to the Consumer Credit Counselling Service, payday loans are being taken out by a growing number of people, particularly the young.
Frances Walker, spokesperson for the body, remarked: "They seem to have a forte of targeting young people because they have taken out quite a lot of advertising on things like Facebook - things where young people go."
She noted that people with poor credit history are choosing the options, which offer significantly higher interest rates than other unsecured loans.
Consumers will typically secure a £200 loan against their next pay cheque, paying £50 a week in interest, said Ms Walker.
But she added that in many cases the capital is not being paid off, meaning borrowers are paying out that amount every month.
Credit Action recently found that the UK's personal debt stood at £1,456 billion in November.
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