A microlender is an organization that makes business loans to individuals who are not able to obtain financing from traditional lenders. Microlenders typically charge higher-than-average interest rates; their maximum loan is usually $25,000 or less. Recipients of micro-loans are typically individuals in poverty or in development zones in the U.S., or who live in developing nations.

They are referred to as loan sharks because they charge ridiculousness loan rates. The term used for someone who loans money with a 60% (or higher) interest rate is “loan shark”