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    • Future Comms issues. Read more at https://www.consumeractiongroup.co.uk/topic/416504-future-comms-issues/
      • 3 replies
    • This is a bit of a lengthy one but I’ll summerise best as possible.
       
      THIS IS HOW THE PHONECALL WENT 
       
      I was contacted by future comms by phone, they stated that they could beat any phone contract I have , (I am a limited company but just myself that needs a business phone and I am the only worker) 
      I told future comms my deal, £110 per month with a phone and a virtual landline, they confirmed that they could beat that, £90 per month with a phone , virtual landline  they also confirmed they would pay Vodafone (previous provider) the termination fee. As I am in business, naturally I was open to making a deal. So we proceeded. 
      Future comms then revealed that the contract would be with PLAN.COM and the airtime would be provided by 02, I instantly told them that this would break the deal as I have poor 02 signal in the house where I live as my partner is on 02 and constantly complaining about bad signal
      the salesman assured me he would send a signal booster box out with the phone so I would have perfect signal.
      so far so good.....
      i then explained this is the only mobile phone I use for business and pleasure, so therefore I didn’t want any disconnection time in the slightest between the switchover from Vodafone to 02
      the salesman then confirmed that the existing phone would only be disconnected once the new phone was switched on.
      so far so good....
      • 14 replies
    • A shocking story of domestic and economic abuse compounded by @BarclaysUKHelp ‏ bank complicity – coming soon @A_Gentle_Woman. Read more at https://www.consumeractiongroup.co.uk/topic/415737-a-shocking-story-of-domestic-and-economic-abuse-compounded-by-barclaysukhelp-%E2%80%8F-bank-complicity-%E2%80%93-coming-soon-a_gentle_woman/
      • 0 replies
    • The FSA has announced large fines against DB UK Bank Limited (trading as DB Mortgages) - DeutscheBank and also against Redstone for their unfair treatment of their customers.
      Please see the links below for summaries and full details from the FSA website.
      It is now completely clear that any arrears charges which exceed actual administrative costs are unfair and therefore unlawful.
      Furthemore, irresponsible lending practices are also unfair and unlawful.
      Additionally there are other unfair practices including unarranged counsellor visits - even if they have been attempted.
      You are entitled to refuse counsellor visits and not incur any charges.
      Any charges for counsellor visits must not seek to make profits. The cost of the visits must be passed on to you at cost price.
      We are hearing stories of people being charged for counsellor visits for which there is no evidence that they were even attempted.
      It is clear that some mortgage lenders are trying to cheat you out of your money.
      You should ascertain how much has been taken from you and claim it back. The chances of winning are better than 90%. It is highly likely that the lender will attempt to avoid court action and offer you back your money.
      However, you should ensure that you receive a proper rate of interest and this means that you should be seeking at least restitutionary damages - which would be much higher than the statutory 8%.
      Furthermore, you should assess whether the paying of demands for unlawful excessive charges has also out you further into arrears and if this has caused you further penalties in terms of extra interest or any other prejudice. This should be claimed as well.
      If excessive unlawful charges have resulted in your credit file being affected, then you should take this into account also when working out exactly what you want by way of remedy from the lender.
      You should consult others on these forums when considering any offer.
      You must not make any complaint through the Ombudsman. your time will be wasted, you will wait up to 2 yrs and there will be a minimal 8% award of interest and no account will be taken of any other damage you have suffered.
      You must make your complaint through the County Court for a rapid and effective remedy.

      http://www.fsa.gov.uk/pages/Library/Communication/PR/2010/120.shtml
      http://www.fsa.gov.uk/pubs/final/redstone.pdf
      http://www.fsa.gov.uk/pubs/final/db_uk.pdf
       
      http://www.fsa.gov.uk/pages/consumerinformation/firmnews/2011/db_mortgages.shtml
      Do you have a mortage arears claim to make? Then post your story on the forum here
      • 0 replies
paydayfool

1% daily charge, are they allowed?

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Hello

 

I am talking with Peachy to setup a repayment plan. I took the amount due and split it over 10 months so it's affordable whilst I pay for a council tax arrear that has surfaced from 2 years ago.

 

The counter offered with a 12 month plan adding a 1% daily interest rate adding over £200 to the total, can they do this? I thought it was the loan plus original interest they could charge?

 

Any advise would be greatly appreciated.

 

Thanks

A foolish man

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Tell them NO. if they refuse to stop ALL interest and charges on the account, you pay them £1 a month. End of. There is no obligation for them to stop interest and charges, but it is a violation of OFT guidance if they dont, as they wouldnt be taking the debtors circumstance sin to account. More-so they are profiting off your circumstances.

 

Your council tax is more important, so these can take a running jump. If they went near a court, you can easily tell a judge you had high priority debts to take care of, but CG thought they were more important.

 

Stick to your guns.

 

Also, could you post the contents of the letter you got from CG that said that?


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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Also, could you post the contents of the letter you got from CG that said that?

 

Here is the email;

 

Since you have stated that you are not able to make the payment in

full, we have been willing to arrange a repayment plan for you, so

that you could pay the debt off in parts. We have even been willing

make the repayment plan offer to you without the required evidence of

change in financial difficulty and the respective income and

axpenditure sheet. However, as it is with all other purchases - in

case you wish to pay for something in parts and over a longer period,

the total amount to be paid, will be higher then the amount you would

need to pay if you would make the payment in one go. As previously

explained, there will be no penalty charges added for the overdue time

during the repayment plan period, however a small daily interest will

remain (because the funds that have been issued will be returned over

a longer time period) and thus the total amount of the repayment plan

will be higher then the current balance. It is the same with all

purchases that you wish to pay for in installments.

 

We have no obligation to arrange 0% repayment plans.

 

This has been our best and final offer.cleardot.gif

Edited by paydayfool

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They are playing the guilt trip. They also breach OFT guidelines by adding on interest despite you stating you cant afford to repay them. Therefore, they are trying their normal trick of blackmailing you into a repayment plan you cant afford under penalty of the debt increasing even more.


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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Hello,

 

Peachy emailed me today stating the following;

 

You have the option to agree or to disagree.

 

As you have not confirmed the repayment plan offer then please note,

we act as follows:

 

 

We charge you interest at the rate applicable of 1% per day (fixed)

(365% per annum);

 

1 day after the due date we will send you an overdue reminder

resulting in a £25 administrative fee and interest on the principle

sum at the rate applicable of 1% per day to be added to your loan.

 

3 days after the repayment date another overdue reminder including a

£12 administrative fee and interest on the principal sum at the rate

applicable of 1% per day will be sent.

 

7 days after the repayment date an overdue reminder including a £12

administrative fee and interest on the principle sum at the rate

applicable of 1% per day will be sent.

 

14 days after the repayment date an overdue reminder including a £12

administrative fee and interest on the principle sum at the rate

applicable of 1% per day will be sent.

 

21 days after the repayment date an overdue reminder including a £12

administrative fee and interest on the principle sum at the rate

applicable of 1% per day will be sent.

 

28 days after the repayment date an overdue reminder including a £12

administrative fee and interest on the principle sum at the rate

applicable of 1% per day will be sent.

 

35 days after the repayment date an overdue reminder including a £12

administrative fee and interest on the principle sum at the rate

applicable of 1% per day will be sent.

 

42 days after the repayment date an overdue reminder including a £49

administrative fee and interest on the principle sum at the rate

applicable of 1% per day will be sent.

 

If you have not repaid the full amount of loan including

administrative fees and interest by the 45th day of the loan cycle we

will hand your debt over to our Debt Collection Partner.

 

Please note that we might charge you with other reasonable costs that

have incurred as a result of you missing your payments, such as

reasonable legal costs or the additional costs that would involve

instructing a debt collection agency to recover amounts that are due

from you. Late repayments may affect your credit rating and may result

in legal action.

 

What would be the best way to reply to them? Im at a loss...

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I'd tell them to bog off and that all those charges are unlawful and unenforceable. They are also in breach of OFT guidance.


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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So I emailed them and said

You are breaching OFT guidance yet again. You state that you are going to add nearly £150 in charges as well as extortionate interest. This is not considered reasonable costs and I will make a complaint to the OFT and the Financial Ombudsman should you do this. You should not continue to add interest and charges to someone in financial difficulty. I will give you one last opportunity to accept my offer as I would like to resolve this in the fastest time possible. I was being reasonable, but you being a payday loan shark believed you could bully me into submission, you believe that you can ignore regulations and guidelines and make your own rules up. You are wrong. In the meantime please provide me with bank details that I require to make payment as I believe that you withholding this information from me is deliberate action by you to prevent me from paying to get me further in debt with you.
and the reply I had was basically the same as before plus some 'getting advise' statements
Thank you for the e-mail. As responsible lenders, we always aim to help our customers in financial difficulties and be understanding and fair and conduct our business in compliance with all relevant legislation, regulations, regulatory guidance and requirements. We always exercise forbearance and consideration of debtor's circumstances, in particular in relation to those who are particularly vulnerable or experiencing severe financial hardship. However, we have no obligation to arrange 0% repayment plans. The current nominal APR of your loan is 365.25%. In the offer that was sent to you, the APR was 60%, so we have already agreed to decrease the interests rate significantly. Since you have stated that you are not able to make the payment in full, we have been willing to arrange a repayment plan for you, so that you could pay the debt off in parts. However, as it is with all other purchases - in case you wish to pay for something in parts and over a longer period, the total amount to be paid, will be higher then the amount you would need to pay if you would make the payment in one go (because the funds that have been issued will be returned over a longer time period) and thus the total amount of the repayment plan will be higher then the original balance. It is the same with all purchases that you wish to pay for in instalments. Please be advised that even in case you join a Debt Management Agency, the creditors are not obligated to freeze the interests completely. It has been our best and final offer. Please confirm if you would like to accept the offer. Alternatively, we would suggest you to seek independent advice or assistance. It is important that you receive correct advice and assistance from properly authorized people, such as the free advice organisations listed below. You should be aware that information or opinions that you may find online, such as in website forums, may appear reliable but may not necessarily be legally correct or it may be inappropriate for your particular circumstances. The free advice organisations listed below will be better positioned to provide you with personal advice from trained staff. Some of these organisations are also usually recommended by regulators. Citizens Advice: For advice and information on debt and other topics, visit your local Citizens Advice Bureau (address in the phone book) or go to www-adviceguide-gov-uk (England and Wales), www-cas-gov-uk (Scotland) or www-citizensadvice-co.uk(Northern Ireland). National Debtline: If you live in England, Wales or Scotland phone 0808 808 4000 or go to www-nationaldebtline-co-uk for debt advice and information. Advice4DebtNI: If you live in Northern Ireland phone 0800 917 4607 or visit www-advice4debtNI-com for debt advice. Money Advice Scotland: If you live in Scotland, phone 0141 572 0237 or visit www-moneyadvicescotland-org-uk to find contact details for debt advice in your local council area. StepChange (formerly Consumer Credit Counselling Service): For debt advice throughout the UK phone 0800 138 1111 or visit www-cccs-co-uk Advice UK: Regionalized debt advice - see website www-adviceuk-org-uk Pay Plan: For debt advice throughout the UK, please call 0800 280 2816 or visit www-payplan-com Money Advice Service: Government funded advice and signposting for debt advice. Call 0300 500 5000 or visit www-moneyadviceservice-org-uk Trading Standards Service: www-direct-gov-uk or contact your local Trading Standards office. Community Legal Advice: If you qualify for legal aid phone 0845 345 4345 for free advice or visit www-communitylegaladvice-org-uk This has been our final response, if this is not satisfactory to you then you have a right to have your complaint dealt with under the Financial Ombudsman Service at: The Financial Ombudsman Service South Quay Plaza 183 Marsh Wall London E14 9SR Website: www-financial-ombudsman-org-uk Consumer helpline: 0800 0234 567 (from a landline) 0300 123 9123 (from a mobile) E-mail: complaint.info@financial-ombudsman-org-uk Switchboard: 020 7964 1000 Fax: 020 7964 1001
Im a bit stuck..... shall I file the complaints and let me the FOS and OFT look into this now?

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I'm going to highlight the most important aspect of their reply email:

 

It is important that you receive correct advice and assistance from properly authorized people, such as the free advice organisations listed below. You should be aware that information or opinions that you may find online, such as in website forums, may appear reliable but may not necessarily be legally correct or it may be inappropriate for your particular circumstances. The free advice organisations listed below will be better positioned to provide you with personal advice from trained staff.

 

Have you spoken to any of the organizations they provided contact information for?

 

Given that you are apparently unwilling or unable to provide evidence of a change in your circumstances their offer seems reasonable.

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You dont need to speak to any of those organisations, unless you want piece of mind. They have shown completely that they know we are right and they are adding on unlawful charges and interest purely for profit and also ignoring OFT guidelines.


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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You dont need to speak to any of those organisations, unless you want piece of mind. They have shown completely that they know we are right and they are adding on unlawful charges and interest purely for profit and also ignoring OFT guidelines.

 

(Please note this is not aimed at you renegadeimp. I can see you obviously have a dislike for finance companies and I admire that, I'm simply offering some free advice to the OP.)

 

For the sake of brevity I'll simply post a link to the below page and quote from it as required:

 

nationaldebtline.co.uk/england_wales/page.php?page=35_options_for_dealing_with_your_debts

 

(removed prefix due to my post count being too low)

 

Normally, you work out your offers of payment based on a pro-rata distribution of your available income, after you have worked out what you have to pay on your essential household outgoings. This means that all your creditors are offered a fair share of what you can afford to pay. You also need to ask that any interest and charges are frozen.

 

You may need to offer no payments if you have no available income. This is called a ‘moratorium’. You may prefer to make token offers of payment of £1 a month to each creditor. Creditors are only likely to accept this for a short time.

 

The first underlined part is essentially the reason they requested an income and expenditure from yourself, so they can establish exactly how much is reasonable for you to pay. If there is any reason to question information provided in the income and expenditure they may require supporting documents before accepting the proposed arrangement.

 

Some creditors may also request documents to support your claim of a change in circumstances if they have any reason at all to believe it may not be true. And, contrary to popular belief, they are not required to accept any and every offer thrown at them.

 

As for accepting £1 per month, they may accept it for a short time if necessary. Many will likely actually accept it for much longer if you have important priority debts to deal with first.

 

You should also likely accept that them taking you to court is a real possibility. They will usually only do this if you meet a few set criteria, such as them knowing your current address (they may have this whether you've given it to them or not) and whether or not they believe you are employed. It may be worth googling around a little and seeing if Peachy issue large numbers of claims on a regular basis, if not you may be ok. Some companies don't.

 

Either way, you should still probably phone one of the advice organizations that Peachy listed in their email to you. You will receive much better advice than could be provided on forums like these, especially given the limited amount of information you can realistically provide us and the unknown level of expertise of the posters.

 

I would personally advise either Stepchange who can be reached on 0800 138 1111, or Citizens Advice on 08444 111 444. Both are free phone numbers, and both will provide better advice in a shorter time frame than you could possibly receive on here.

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I dont dislike them at all. What I dislike are their business practices, the way they harass and threaten debtors plus the almost illegal intimidation tactics some of them use.


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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I also find it strange you think that the pdl is fine to do what they do. Even more so coming from a new poster posting on a random thread.


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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I also find it strange you think that the pdl is fine to do what they do. Even more so coming from a new poster posting on a random thread.

 

I find it strange that this is how you interpreted my post, but hey.

 

Also, there is no point stating "I don't dislike them", and then essentially saying you dislike them in the very next breath. Some do engage in border-line illegal behaviour (and a few companies like MMF very likely cross that line at times), but this thread is not about that.

 

This thread is about a specific lender offering a specific balance for a payment plan, and the OPs options in this regard.

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No. Not strange how i interpreted it at all. We've seen many posts like this. The charges are added on purely to create them a profit, especially when they have ignored the debtors circumstances. Sure, there should be some negotiation both ways, but you seem to take the stance that CAG's info is wrong. Which is strange as our advice is the same as NDL's, stepchange and the CAB. Again, the info you post, coming from a brand new poster commenting on a random thread.....


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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No. Not strange how i interpreted it at all. We've seen many posts like this. The charges are added on purely to create them a profit, especially when they have ignored the debtors circumstances. Sure, there should be some negotiation both ways, but you seem to take the stance that CAG's info is wrong. Which is strange as our advice is the same as NDL's, stepchange and the CAB. Again, the info you post, coming from a brand new poster commenting on a random thread.....

 

My information was quoted directly from national debt line, and conflicts with your own advice, so I do not believe your advice is the same.

 

In regard to the OFT, they advise only that creditors allow for "alternative, affordable, repayment amounts when a reasonable proposal is made by a debtor". In this case Peachy have given contact information for free debt advice agencies, and they've requested an income and expenditure form be completed to set up a reasonable payment plan. They've then essentially just quoted verbatim their terms and conditions in regard to charges because they aren't going to freeze the account, because the OP will not complete the requested income and expenditure.

 

It is not a breach of any OFT guidance to refuse to freeze interest or charges on an account for a £1 per month offer, and it is not good advice to try and use offers of token payments as some kind of threat. In fact I would go so far as to say advising people to do so is downright irresponsible.

 

Quite simply, advice like this is the reason that debtors who genuinely are struggling are required to show evidence of this fact. Because people like yourself advise everyone to make this offer, irrespective of circumstances, and you mislead them into believing the creditor is obliged to accept it or freeze interest/charges.

 

In regard to Peachy, I'd question their 1-day overdue £25 fee. Or the weekly £12 charges that serve as overdue reminders, but given that they've agreed to waive these in this case it seems irrelevant. If they're applying them whilst you're clearly talking to them to negotiate a payment plan, you could probably make a pretty good case for a FOS complaint on that basis but I'd advise getting peachy to put in writing that they've been applied and that they refuse to waive them first.

 

It might also be worth asking Peachy to send you their complaints procedure, and make a formal complaint directly to them in writing. FOS will be pretty annoyed if they don't issue a final response and that way you can get their intent, and everything they're requesting from you, set down clearly in writing.

 

Other than that I'd say you essentially have two choices:

 


    Enter into a charges-free repayment plan with interest still being applied to the account


    Show them evidence of your change in circumstances, and if they refuse to freeze interest then make a FOS complaint

 

DO NOT follow renegade imp's advice of arbitrarily offering £1 per month, if you do it will severely weaken your position should you make a complaint against the company as they will easily be able to show they had reason to doubt your offer was sincere. If you do decide the follow that advice, ring one of the debt advice organizations first and go over it with them.

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NDL has to 'play it safe' They dont go by the history of what Specific creditors will and will not do. They have a one size fits all approach which is understandable.

 

The £1 a month offer is used if the creditor is blatantly adding on charges and not adhering to guidelines. The reason being that if they refuse to stop charges and interest despite you showing you cannot afford more then there is absolutely no point paying them more till they agree to your repayment plan.

 

You also seem to forget, they are a LOW PRIORITY creditor and must be treated as such in respect to your financial circumstances. Too many times PDL's think they are high priority creditors and we have new posters like you agreeing with them when you do not know the history of them. You say my advice is wrong, i find your posts rather suspicious given you are a new poster who chose to post on a random thread of a well known PDL that loves to fleece people.


Any advice i give is my own and is based solely on personal experience. If in any doubt about a situation , please contact a certified legal representative or debt counsellor..

 

 

If my advice helps you, click the star icon at the bottom of my post and feel free to say thanks

:D

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No. Not strange how i interpreted it at all. We've seen many posts like this. The charges are added on purely to create them a profit, especially when they have ignored the debtors circumstances. Sure, there should be some negotiation both ways, but you seem to take the stance that CAG's info is wrong. Which is strange as our advice is the same as NDL's, stepchange and the CAB. Again, the info you post, coming from a brand new poster commenting on a random thread.....

 

And yes, much of the advice provided on CAG is incorrect. A co-worker actually directed me to these forums for this very reason, on seeing some of the advice given to forum users her exact words were "people should require a license to post on the internet".

 

Quite simply these are internet forums, and like all internet forums a lot of different users will post or perpetuate information sometimes with somewhat dubious working knowledge of the actual topic.

 

I also don't really understand the relevance of your references to the information I'm posting, or the age of this account. Nor is the thread random, I was typing the names of various companies in to see what clients thought of them and "Peachy" returned this.

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NDL has to 'play it safe' They dont go by the history of what Specific creditors will and will not do. They have a one size fits all approach which is understandable.

 

The £1 a month offer is used if the creditor is blatantly adding on charges and not adhering to guidelines. The reason being that if they refuse to stop charges and interest despite you showing you cannot afford more then there is absolutely no point paying them more till they agree to your repayment plan.

 

You also seem to forget, they are a LOW PRIORITY creditor and must be treated as such in respect to your financial circumstances. Too many times PDL's think they are high priority creditors and we have new posters like you agreeing with them when you do not know the history of them. You say my advice is wrong, i find your posts rather suspicious given you are a new poster who chose to post on a random thread of a well known PDL that loves to fleece people.

Of course they are a low priority creditor, I can't think of anything that would ever be lower priority, however has the OP shown any evidence to the creditor that this council tax arrears actually exists? Or that their situation would not allow them to repay the loan on time?

 

If someone takes out a short term loan, then requests a payment plan within this time frame having claimed a substantial change in circumstances it is reasonable to request evidence. This is what the OP seems to have refused to provide Peachy.

 

Your advice is also quite poor, you could phone any of those free debt advice agencies and they'll tell you the same. I don't mean to sound rude when stating this, but you've repeated it numerous times and I'd like the OP to avoid following it. Your assumption that I do not know the history of pay day lenders is also incorrect, however any infractions on their part will always be viewed on a case by case basis and will not take into account the lender's history.

 

I will admit my knowledge of pay day loans is relatively limited, but it's still probably more substantial than many other's. I don't feel it's really worth me learning too much about them given that the upcoming CPA changes will likely end, or completely reform, this particular part of the consumer credit industry anyway.

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