Police have shut down a loan sharking syndicate, arresting four men and three women aged 23 to 48.

The gang advertised in magazines and online discussion forums, offering loans at low interest rates and without requiring income proof.

A 28-year-old woman told Police she borrowed $8,000 from the syndicate in 2007 but had to make a $1,200 interest payment every 10 days.

The seven arrestees were detained for lending money at an excessive interest rate and dealing with property known to represent the proceeds of an indictable offence. A large number of documents, debtor information, bankcards and computers were seized during the operation Tuesday.

The syndicate members are also believed to have forced debtors to hand over their personal bank accounts to repay the debts of other debtors and for money laundering.

Police urge the public not to borrow money from loan sharks nor provide personal bank accounts to others for unlawful purposes, warning to do so is considered money laundering.