Payday Loans Mess

[Sphinxy]

Hi there..I hope you can be of some use. I am currently a student living at home. This all started in September 2011 when I took out a Wonga loan as I was struggling for cash at the time. Since then I have had to pay them off and take more loans out from them as they want you to. I realise how stupid this is now.

 

Since around May this year however it has all spiraled out of control.

 

I currently owe 6 different companies various amounts which work out roughly to-

 

Wonga- £1,200

Quickquid- £600

Speedcredit- £359

Txt.Loan- £100

Minicredit- £100

Payday Express- £300.

 

I am a student and currently have no money...the whole thing has become a mess.

 

What made it this bad was that I went through a rough patch of drinking and gambling in which I didn't care about the consequences.

 

Now most of these companies are harassing me for payment and adding interest etc.

 

Speed credit have sent threatening letters which are fairly standard I'm guessing. The rest just send emails and I get calls everyday. I had arrangements with the others but I have since broke them and defaulted with them.

 

What should I do? I can only pay some off when my student loan comes through. Whats the best way to sort this mess and what are my rights?

 

Many Thanks.

[Welshy27]

Hi there. So have you already defaulted with all of the six companies - if not which ones are still 'active' and when are the due dates? I've had experience with Wonga, Minicredit and Speed Credit and Wonga is by far the easiest in setting up a repayment plan where ongoing interest can be frozen. The other two are more complex and time consuming in being able to get what you want but with perseverance it can be achieved.

[Sphinxy]

Hi there. So have you already defaulted with all of the six companies - if not which ones are still 'active' and when are the due dates? I've had experience with Wonga, Minicredit and Speed Credit and Wonga is by far the easiest in setting up a repayment plan where ongoing interest can be frozen. The other two are more complex and time consuming in being able to get what you want but with perseverance it can be achieved.

Hi there. I have defaulted with quickquid and speedcredit. I have a payment plan with text loan and the others are ongoing. I recieve calls from express everyday, wonga nothing yet.

[Welshy27]

Well that's good that you've made some progress with some of them. The Speed Credit site has for today been currently down with lots being discussed as to whether they have lost their licence but am sure it will be back online soon. The main thing is to make sure your money is secure so that none of these companies can automatically take a penny from you so consider moving it over to a new account if you have one. Can you tell me more about the Wonga one in terms of when you defaulted and what charges they have added so far because as I said you could sort this one out easily.

[Sphinxy]

Wonga-

Your account is 81 days in arrears

Your due date was:

Sunday 15 July

How much you owe today:

£1044.35

I broke a payment plan I had with them so currently I haven't done anymore.

 

Wonga Email-

As explained previously, from 10pm this evening we’ll cancel your repayment plan and attempt to collect the full balance you owe - £1,187.37. This includes all the interest and fees you would have avoided if you’d kept to your arrangement. Interest will continue to accrue until the full balance is paid.

 

 

Quick Quid-

 

This email is to remind you of your severely overdue loan with QuickQuid.

 

Payment on this loan needs to be made immediately.

 

If we do not receive a response, we will take that as a refusal to pay and will take appropriate collections measures which include, but are not limited to, the use of a third party collections agency.

 

We value you as a customer and would like to help you resolve this matter.

 

Currently, your balance is £553.66 and FULL PAYMENT MUST BE MADE IMMEDIATELY as your account is over 60 days past due.

 

 

Speed credit I currently need to pay £359 before the 8th or they will refer it to debt collection.

 

Minicredit I don't owe yet. Text Loan I am paying £20 a month off and Express I owe £300 who keep calling me but I don't know if this is default yet.

 

The only thing I can do is wait for my student loan to come through and pay off the worst companies then and try and make new arrangements with the others and stick to it. I don't know if it's too late already. This is so stressful and I would stress to people NEVER take out these loans it just spirals out of control and it's a nightmare.

[Welshy27]

Ok with Wonga they are going to continue to make repeated attempts each day to take any money available in your account so you really need to cancel your card so to stop the chance of anything going out. I'm not sure what happens if you break a repayment plan because they do state the consequence of doing so - i.e. full balance being bought forward for immediate payment - not sure if this is allowed? I'm guessing they would eventually pass it on to a debt collection agency like Mackenzie Hall. Was there a reason why you couldn't make the payment on your original plan?

 

If your student loan comes through before the Minicredit loan is due then I strongly advise you to pay them first since they are one of the worst and it's only £100 you got with them.

[Sphinxy]

I just contacted Wonga and spoke to one of the South Africans...they were surprisingly friendly and have just set up a new payment plan starting from the 19th October for £87 a month for the next 12 months...

 

Seeing i've already broke 2 payment plans with them and now this is my 3rd...they said it is my last chance.

Edited October 4, 2012 by Sphinxy

[Welshy27]

That's fantastic and I would have recommended you contacted them by phone because they are 'good' at setting up repayment plans without any hassle. I assume they immediately confirmed it by email - they normally do. If you ever have to amend an amount or payment date then ring them in advance and again they will happily agree to this.

[renegadeimp]

Wonga Email-

As explained previously, from 10pm this evening we’ll cancel your repayment plan and attempt to collect the full balance you owe - £1,187.37. This includes all the interest and fees you would have avoided if you’d kept to your arrangement. Interest will continue to accrue until the full balance is paid.

 

Get that to the OFT. It is breaking guidance.

 

Currently, your balance is £553.66 and FULL PAYMENT MUST BE MADE IMMEDIATELY as your account is over 60 days past due.

 

Wrong. repayments are done on your terms, and they cannot demand full payment.