Too many Payday Loans Please Help. **

[renegadeimp]

Dont give in to them and dont rush payment unless you can realistically afford to pay it. If you are thinking of making a payment and you are going to have to struggle for the next week/month, then reduce the payement.

 

If it takes you 6 months to repay it realistically then that is what they will have to agree to.

[mihaizaharagiu]

thanx i realy apreciate you help i will update every day

[lostinspace1000]

the best thing to do is probably let all the payday loans go into default, dont worry about your credit score it was probably poor if you had to use payday loans. these loans arent secured so they cant really do anything, just beware they will try to bully you and hit you with out of this world charges but ignore their rubbish and keep everything in writing, asking for CCA 's can buy you a little time.

i let my 4 go into default, dont care about credit scores (theyre complete rubbish, not even government regulated). paid them off and on my terms.

[renegadeimp]

I wouldnt advise telling people to ignore their credit score. Way too much of everyday life is incorporated into it, and it will take YEARS to get it back to a decent level, and thats after any defaults/CCJ's have falled off.

[jwr86]

Is it worth just setting up a dmp with one of the "free" companies and letting them deal with all the lenders?

[EchoFalls1982]

Is it worth just setting up a dmp with one of the "free" companies and letting them deal with all the lenders?

 

Yes it definitely is. Trust me. The CCCS do it completely free but I didn't stick with my repayment plan. Now I am with Immediate Finance and they do take a bit but it is well worth it.

[Bombaymix]

It is worth considering a debt management plan. However, I believe they will usually only consider you if you have 5k of unsecured debt or more.

[EchoFalls1982]

Not necessarily. It depends which ones you go to. |The CCCS do any amount, so do a lot of them.

[Bombaymix]

"a lot of them" must have recently changed their eligibility requirements then because CCCS or Payplan wouldn't even consider my 3.5k worth of unsecured debt forcing me into a fee paying DMP a few years back :/

[jwr86]

If you enter into a dmp do you then default on all the loans?

[EchoFalls1982]

Nope, not at all. Say for example if you were in a DMP and you owed £2000 between 6 different creditors, you write all the creditors, then the DMP people will contact them all telling them that they will have to go through them to deal with all the money you owe. After they have done that legally the creditors can't contact you, they HAVE to go though your DMP. They aren't allowed to phone or send you letters and if they do, you can just send them (freepost) to your DMP people. You can tell them how much you can afford a month and they will sort our the rest. Takes a lot of hassle off your back. I owe about £6000 but am unemployed so can only afford £50 a month which is what I pay. Also the DMP people will do what they can to negotiate with the creditors to see if they can get interest cut. One of my creditors got paid off with a £400 saving.

[sillyboy72]

Took out 10 payday loans for 400 each.. What an idiot ive been. Had 3500 overdraft with hsbc and 7000 personal loan and 750 on capital one credit card. Now in real mess and waiting to see if p2p, toothfairy, wonga etc will play ball.

[renegadeimp]

Hi sillyboy. If you would like any help with your situation, feel free to create a thread of your own. This will allow you, and us, to keep all info in one place for you. Both for easy reference, and so info doesnt get confused with other peoples issues

 

Regarding your payday loans, some of those lenders are very well known for completely ignoring you from the start, and will try to add on extortionate charges and fee's. It might be a good idea to nip this in the bud before they start to get out of hand.

[sillyboy72]

Have sent all of them recorded delivery dmp from cccs which is now step change debt charity. offering a token pound payment and a statement of income and expenditure.

[renegadeimp]

Did you get a full breakdown of the debt before that? All those PDL's listed are known for piling on extreme and unlawful charges. If they are not contested, then you will have to pay them as you havent acknowledged otherwise.

[sillyboy72]

Most are paid this month.. Only quick quid toothfairy mini credit and txtloan havent

[renegadeimp]

Just make sure that you contest any of the charges they add.

 

Work on a basis of you only owing the Original Loan amount + Original interest + A default fee, minus anything you have already paid.

 

Let them justify the extra charges. Especially if there are late payment penalty fees. Extra interest amounts ( which are penalty fees), and anything like £100 for passing it to a DCA, who are normally another desk in the same office.

[EchoFalls1982]

Also out of personal experience if you sort out the txt loan with them-just tell them you are entering a DMP plan and they will stop the interest. The problem with the CCCS is that even though they are brilliant at dealing with the creditors, the actual creditors themselves may still keep charging interest if you are only paying £1 . Keep checking your plan to make sure that they don't. Most of the creditors are merciless. MAKE SURE THAT YOU CHANGE YOUR BANK ACCOUNT. Go to a completely different bank. Trust me on this as they try taking money out of your account all the time. When I got back in work, I had over £900 taken out by capital one finance in £50 spurts over a few hours until there was nothing left. My whole first wage. I only owed them £200 originally and they put £250 interest but then kept putting interest on and the funny thing was, it still wasn't paid off. I went insane at them on the phone but it didn't get me my money back. What was the reason-the real reason you have taken all these payday loans out?

Edited January 15, 2013 by EchoFalls1982

[renegadeimp]

To add to Echo's good advice, make sure you tell your previous bank, in writing, to stop and cancel ANY and ALL methods of payments to that creditor, including the use of CPA's ( COntinuous Payment Authority). A LOT, if not all PDL's use a CPA to get your money even if you change debit cards. And some banks even honor their requests for money, even if it takes you into an unauthorised overdraft.

 

Once you give them that letter, get them to copy it and sign both ( you keep one copy), they are obliged by FSA regulation to refund any money into that account and put the account back to how it was before any of this happened

[EchoFalls1982]

Yeah good point Renegade. Also if you just get a basic account with a new bank, they are obliged to keep it basic and there will be no such thing as an unauthorised overdraft in most cases.

 

Also the CCCS will negotiate with your creditors that you will only pay what you afford but what they won't do is cut any of your interest to your creditors down. My DMP people take a cut of what gets given to creditors but they have cute over £600 interest so far.

[renegadeimp]

When I got back in work, I had over £900 taken out by capital one finance in £50 spurts over a few hours until there was nothing left. My whole first wage. I only owed them £200 originally and they put £250 interest but then kept putting interest on and the funny thing was, it still wasn't paid off. I went insane at them on the phone but it didn't get me my money back.

 

 

You could have contested it as fraud and got the bank to refund your money. It is pretty obvious that its fraud or misuse of the card if 900 comes out in 50's within a few hours.

[EchoFalls1982]

I tried that. i even rang the police. It isn't fraud. Apparently legally they are allowed to do that. Even if you are in a DMP, if you owe any creditor money, they can take it from your account without your say so.

[renegadeimp]

Whoever gave you that info, im guessing the bank did, is completely wrong.

[EchoFalls1982]

The police told me and so did the bank.

[renegadeimp]

The police probably took the literal word fraud. The bank plain out lied to you.