Loan shark Bryan Smith is free after judge hears his rates were cheaper than Wonga Bryan Smith, 58, loaned more than Â£300,000 to his customers Police found Â£24,000 cash and details of over 1,000 loans at his home He pleaded guilty to unlicensed money lending at Gloucester Crown Court But Judge Hart said rates 'did not bear comparison' with licensed lendersÂ Smith was given a suspended 14 months jail term and 250 hours unpaid work Bryan Smith, 58,Â pleaded guilty to five offences of unlawfully engaging in consumer credit business, one of money laundering and one of acquiring or using criminal property, namely the proceeds of unlicensed money lending A judge has freed a loan shark after hearing that he charged lower interest rates than many of the national licensed lenders, such as Wonga.Â Bryan Smith, 58, loaned more than Â£300,000 to his customers and typically charged about 60 per cent interest, Gloucester Crown Court was told. But the court heard his 'exorbitant' rate was significantly lower than some of the short term loan market leaders who were charging a variable rate of 2,000 per cent or one company, Wonga, Â which charged over 5,000 per cent APR. When police and trading standards officers searched Smith's home in April they found almost Â£24,000 in cash, 3 diaries and several hundred handwritten A4 sheets of paper detailing the loans. Smith, of Charlton Kings, Cheltenham, pleaded guilty to five offences of unlawfully engaging in consumer credit business, one of money laundering and one of acquiring or using criminal property, namely the proceeds of unlicensed money lending. Prosecutor Simon Mortimer said Smith began money lending in 2008 when he was working as an installer of rental TVs. He was licensed at that time but did not renew his licence when it expired in 2011. He made loans of relatively small amounts to clients, often to finance them buying white goods and other household appliances, said Mr Mortimer.Â Investigations showed he had loaned Â£304,330 in the period when he had no licence. Analysis of his bank account showed he was receiving pension credits of Â£375 a month and that appeared to be his only source of income. But he rarely drew money out and was paying his mortgage in cash 'He lived his life in the cash economy,' said Mr Mortimer. In excess of 1,000 loans had been made by Smith at an interest rate of 60 percent, he said. Customers were not provided with any paperwork at all so did not have the extent of their loans or the terms of the agreement in writing. Mr Mortimer quoted the example of one woman who borrowed Â£300 for a year and repaid Â£850. Jeremy Barton, defending, said Smith has health problems and simply did not get around to renewing his licence. He had never been aggressive or intimidating towards customers, he said. Mr Barton said he had done his research into short term loan companies and found that the market leader would have charged a total of Â£917.86 for a Â£300 loan. Smith was sentenced at Gloucester Crown Court (pictured) to 14 months in jail, suspended for two years, and ordered to do 250 hours unpaid work 'That is a variable rate of interest of 2,000 percent,' he said. That company is not alone. Another company I have found has an APR of 5,000 percent. 'My client's charges were less than what is currently being asked for by so called regulated and respectable businesses. He is not a well man., He has a heart condition. He is remorseful and wishes he had given his attention to re-regularising his business. He loaned money to people in need of it but did so in an unlawful way. This is a period of his life he will not repeat. Judge William Hart sentenced Smith to 14 months jail suspended for two years and ordered him to do 250 hours unpaid work. 'It is not for me to comment on the morality of money lenders and their interest rates but of course I am well aware of the large degree of public disquiet at the interest rates charged,' said the judge. Although your interest rates were exorbitant in legal terms they did not bear comparison with licensed money lenders who are well known. He described Smith's business activities as 'rather old fashioned.' They were the way that people had financed domestic purchases in the past, he said. But he said Smith's failure to give customers any paperwork left them in the dark and in danger of their indebtedness snowballing.