I recently took out a payday loan with WDA but unfortunately due to me becoming unemployed, I was unable to repay the full balance on the due date which was 25/07. I emailed them on 23/07 explaining I was having financial difficulties, I would not be able to pay them anything on the due date but did want to come to an arrangement to pay. I specifically asked them not to take the funds from my card, as there would be insufficient funds in my account
I recieved a response asking for the circumstances of my unemployment, which I replied to, they've asked for some proof, like a P45, which I said shouldn't be a problem and it was all quite civililsed...
Until I noticed 2 transactions on my account for £10 on separate days. I thought this was odd but perhaps they were just late payment charges. Today however I've found my account has basically been cleaned out by them and they have taken £300.
Yes, I should have cancelled my card and as I understand it there is little or nothing that can be done about it as debit card transactions aren't protected in the same way that DD's and SO's are.
However, I've just read their terms and conditions, which are interesting to say the least:
"If this repayment transaction fails, we will make up to a further 3 attempts on the Due Date to recover the following sums, in order, by
Debit Card payment:
£10 (step 1);
if this is successful, 50% of the outstanding balance (step 2);
if step 2 is successful, 50% of the outstanding balance;
if step 2 is unsuccessful, 25% of the outstanding balance.
Where we cannot obtain the amount outstanding on any Due Date, we will make immediate attempts to contact you and find out why,
and agree alternative repayment arrangements. It is in your interest to discuss your situation with us. If you are suffering financial
hardship, we will show forbearance in considering alternative repayment arrangements. If you agree a repayment plan with us, or
arrange an alternative date for repayment, we will suspend collections attempts for the period until the revised payment falls due as
So, they took the first £10 - that worked. Step 2 - 50% of remaning balcance, no that didn't work - ok lets try and other £10 the day after then... yes that's worked.
Then I'm guessing they've probably tried to take a few more out and failed. Until today that is when a few hundred pounds was transferred into my account by a family member, they've tried again and YES, we've got him.
Now that doesn't look much like the process in their terms and conditions to me?
I've since sent an email asking for a breakdown of the transactions they have attepted to make, failed or successful and said I will be cancelling my card, and all they have succeeded in doing is delaying the payment of the full balance further.
Can anyone say I am within my rights to complain here?