Pay Day Loans

[fairy-queen25]

Hi I hope someone will be able to help with my substantial debt problem. I very stupidly took out several pay day loans it started with one and now I have four. I just had to keep getting them just to live up to now I have either paying them or paying to extend them. The problem is I dont even have enough money to feed the children and the household bills, so I basically defaulted on WONGA last month I keep getting letters, phone calls but Im ignoring them I know its stupid. Ithink I should do an i and e and send it together with an offer of repayment to all the creditors. Will this work. The creditors are WONGA UNCLE BUCK SWIFT STERLING AND PAYDAY UK

Thanks in advnce

[rebel11]

Hi fairy

 

Welcome to CAG

 

The guys will be happy to advise as soon as they are available.

 

Have a read of 6 and 7 in my signature.

 

Thread moved.

[sillygirl1]

What you MUST do is set up an alternative bank account with another bank, you only need a basic account, Halifax online, Co-op or the Post Office are good bets.

 

Work out how much you can afford to pay each one and remember you only owe the original loan amount and one months interest no matter what they tell you. Do not fall for 'you have to pay default interest, set up fees, additional costs' as it is not true.

 

Do not send them an income and expenditure form as they are not entitled to the information, only a court can ask this.

[ksmiggy]

sillygirl1

I'm sure it's been done and said, but could you reitterate where the original loan and 1 months interest comes from? and maybe how it should be worded perhaps?

Appologies if your fed up with repeating it, but I do think that given how PD companies are trying it on everybody, the more places people can find that piece of info the better.

[sillygirl1]

Its Section 87 of the CCA Act, when the initial term (the one month) is over then the original sum plus interest for the initial term is due... nothing else - even if they keep saying it is in their T&Cs you can counter with this, and should it be taken to court they would not get very far, I've seen companies try to take a £150 loan to over £1,500 before now and cave in at mediation (which is what the courts are now favouring).

 

Wording would be as follows

 

Dear PDL Co

 

I am experiencing financial difficulties and wish to repay the loan as follows (most companies seem to accept repayment over 3 -6 months depending on amount,) and wish to pay directly into your bank account - please can I have these details, I will use my name and account number as reference.

 

I am revoking any rights you may have to telephone me and wish to keep everything in email, all calls will be automatically recorded and a complaint logged with the Office of Fair Trading (OFT) and Trading Standards. I also revoke any right you may think you have to send a 'doorstep collector/agent'. Should any threats of this nature be received I will automatically complain to the OFT and Trading Standards.

 

Please accept my apologies and I will review this situation as things improve.

 

 

I would keep any initial contact short and sweet and non-threatening as above, if possible could you pay one loan off completely this month and then the next the following month? Its known as snowballing and is sometimes more effective than pro-rataing.

[fairy-queen25]

I copied the letter above and sent it out to all 6 payday lenders, now the fun has begun.Wage day Advance have contacted me via email threatening to take money from my account, surely they do not have the authority, However I am in the process of removing myself from this account this should stop that. They also want income and expenditure and wage slip which I have declined to give them They are threatening to keep adding fees etc. Any more advice on this would be appreciated. they call themselves responsible lenders but they all knew that I had loans from other PD loaners so HOW IS THAT RESPONSIBLE...... its not