ANSWER: No, a legally imposed maximum interest rate would not help home credit customers. By restricting what lenders can charge, interest rate ceilings force lenders to be more selective in terms of who they are able to accept for loans. Suppliers stop serving those customers - invariably the less well-off - who are higher-risk and who only want small loans. In effect, the ceilings increase financial exclusion. Rather than helping consumers by making credit cheaper, interest rate ceilings would make credit less accessible and reduce consumer choice. This could lead consumers on low incomes who require short-term cash loans to borrow from illegal lenders.