Right to cancel on payday loan???

[sailingman321]

I just wondered - if I used the right to cancel on a payday loan on my payday, and agreed to repay them the original loan after cancelling my debit card - would there be any come back.

ie. not having to pay their large interest charges etc.

Has anyone tried this?

 

Thanks!

[sillygirl1]

You might get somewhere, depending on if you have already rolled it over, if not then there is not much chance.

[Jamie Kingston]

how long ago did you take the loan? who is the loan with? if it is one of the smaller companies you might be able to... reply back with the info and i'll let you know.

[jellycubes]

Its normally 14 days if a new payday loan is taken out but if in rollover no chance. Could come to some arrangement though but like jamie said we need some details, none that identify you, just payday loan company and time taken out

[26072004]

I can only comment on Wonga as I have an agreement to hand, You must cancel within 14 days of them issuing the credit agreement to you (not you signing it).

 

If you do cancel they will add a daily rate of interest under the terms and conditions of the loan, so the only way you would save any money is if your loan is over a term greater than 14 days and you will save a few pounds at the best.

 

however, you dont have to pay the money back for 30 days after giving notice so if you give notice after 10 days you dont have to return the money for 40 days (beware though they will charge interest for all 40 days) It is a way of getting round default fees as they can not charge them if the case is cancelled.

 

After the extra 30 days I imagine they will instantly default your account and hit you with all the charges under the sun and a few on top for good measure.