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How to approach some of the payday lenders and their ridiculous charges

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Hello,

 

I realized that I have been in a very vicious payday hell cycle for a while now, and realising to my shock that I owe them all in total of nearly 6k left me quite disgusted..

 

Anyway, I decided to get out of this cycle and get back on track so I cancelled all my CPA and started contacting them all saying I owe too much etc. and that I would come back with a repayment plan offer.

 

Some of them, put my loan on hold a freezed intrests. Other urged me to come back with a payment plan asap and some just ignored my emails (this was sent before the day was due)

 

Anyway, I have a question how I should approach some of them particullary those who charge ridiculous fees.

 

One is Bongaloans, orginal amount was 100£ + 30 in intrests.

 

I contacted them nearly a week before it was due, nothing.

When the date was due, I asked them again. And well and behold they respond.

 

I said to them that I offer to pay 50£ a month and hoped they would agree on that. Too my shock (maybe I should have expected it).

 

They said they could do that, but the total amount due then would be 310£!!

 

This was because they had 4x charges being applied because of missing payment, 1x on the day, 1x 2 days, 1x 5days 1x 7days after. All 45£ each!

 

I told them this was plain ridiculous, as the charges is just made up thing and I informed them WELL before the day was due, I said I would accept to pay in total 200 back. They came back saying they would remove one of the charges so it would be in total of 270£.. still ridiculous for 100£ loan.

 

What should I do? Should I keep pushing them, saying it's unfair charges? I want to be done with them tbh within 3 months.

 

Another one is Wage Day Advance, they want to see my bank statements before they are willing to offer a paymentplan, or I have to agree to their payment plan of 142£ a month. Which I cant afford anyway.

 

I really don't want to part with my statements as It does not show all my expenses, and it's kind of personal. And I have loans outside my bank like Chequecentre and Moneyshop. But I have a feeling I will get nowhere if I do. I owe them (according to them) 584£.

 

 

There is also Mr Lender and Cash Genie, I did send them email, but I heard noting.

I have a feeling they will contact me soon though, as they did manage to get the roll over fee from my account but I got it refunded so once they realize I think they will start harassing me.

 

 

The other ones that has been "fine" is Moneyshop (had to argue a bit to get the 50£ a month in), Chequecentre yet to contact them with a plan, as I said I would try 300£ a month, but that is not possible after I realized how much I owed.

 

Access fast money wants a Standing order screenshot. Peachy is fine with 50£

MyMate I will reply to.

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Hi and welcome to CAG

 

First of all, don't even bother trying to get credit for the next 6-7 years as by the time this is sorted, your credit file will be well and truly stuffed. I point that out as it may be important to some to have a clean file.

 

Any lender has absolutely no right to see your bank statements and you are well within your rights to tell them to 'go away' in what ever manner you choose.

 

National Debtline do a very good income and expenditure form which you should use to work out what you have to play with after paying the essential stuff and having money for a rainy day and a life are essential too.

 

What is not essential is paying payday lenders off as quickly as possible. Since the FCA took over from the OFT at the beginning of this month, they are taking a close look at payday lenders and I'm sure will be asking for evidence soon so;

 

Do the I&E forms to send to each lender as you will now be dealing in writing and not by phone, offer them a payment they can reasonably afford as long as they remove ALL the unenforceable charges levied. If they refuse, you then raise a formal complaint with the option of escalation to the Financial Ombudsman. Payday lenders do not like the regulators getting involved and some tend to settle before that.


If you are asked to deal with any matter via private message, PLEASE report it.

Everything I say is opinion only. If you are unsure on any comment made, you should see a qualified solicitor

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Before you do aaaaaaaaaaany of that brilliant advice above....

 

 

Get your bank account fully secure or get a parachute account. Some of those PDL's you listed are well known for stripping your bank account clean once they get any kind of sense that you will default on repayments.

  • Haha 1

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

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Hi guys,

 

So I have managed to get a payment plan with most of them, but I'm struggeling with Bongaloans. They used charged me another 78.50£ on my loan, because I could not follow their payment plan in time, I sent them an email that this was because I changed bankaccount details so there was a messup on my payment, in any case I can only afford to pay them 20£ this month and then I can start paying 50£.

 

Anyway they are basically saying this now:

 

"Please note that the cost of involving a debt collection agency is £78.5. This has been added to the amount of your total debt. The new balance now stands at £392.5.

 

Following our instructions to the debt collection agency, a third party debt collector will be in touch. You can either make a payment to them or they will take into account any assets you may have. These can be used to help settle the debt.

 

Please note that if you fail to comply with the debt recovery agency, a County Court Judgement may be made on your case.

 

To avoid this it is vital that you take action immediately. Contact us at once by email at xxx "

 

My original loan with them was 100£ , surely this can not be considered as fair fees? I'm paying them 20£ today, but can I challenge their fees? It's nearly 400£ more expensive than what I borrowed!

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Hi

Yes you can challenge the fees. How can they justify a £78.50 charge just for pressing a few buttons is ridiculous. Just because you may have agreed to these charges when you applied does not make them fair.

 

When the debt collector writes, check out who they are as a lot of these companies have in house collectors


If you are asked to deal with any matter via private message, PLEASE report it.

Everything I say is opinion only. If you are unsure on any comment made, you should see a qualified solicitor

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Id also report them as they are implying a dca is able to take your belongingd.


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 should talk to the Financial Ombudsman. Not only can they lay out your options for you, but if you feel its necessary you can make a complaint about the charges and the way your case has been handled. They're very good at making companies reassess these costs!

 

I think this story is a warning to anyone who wants to take out multiple payday loans. There is always other options out there.

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I got a call today from Mil(?) that the Bongaloans were transferred to them.

 

I said they could call me later after work, but all Im going to say to them that I will come back with a payment plan after next week as that is when I get paid, and this time I won't make the silly choice of delaying my rent arrears.

 

I can then provide them with a payment plan for the following month.

 

The ridiclious charges I will ofcourse question, the amount was 130£ orginally and I think it's now around 250+ something, which I never agreed on, but I paid in 21£ so far.

 

Will be interesting to see what they have to say..

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You should not be speaking to these people on the telephone. Insist on everythign being written down - it will provide a paper trail should you later require it when making a complaint or if there was litigation involved.


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So.. just had the call from them, I did ask them for contact details which they would send to my email.

 

First they said I owed them now 300 something off a 79£ loan, which I said was ridiculous because it was a 100£ loan, but he then "offered" me to pay 130£ and clear all the charges and interests if I paid it all, I said I would get back to them later if they provided details.

 

Now, they obviously know the other charges were ridiculous, so if I do this Ive only spent 20£ extra on it, which is not a "too bad" deal, but im not saying anything to them. I will consider it when I see how much I have left.

I'm kind of surprised they did offer me such a "cheap" way out tbh, so I will def get this 100% confirmed in writing first that this is true.

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Stop talking to them on the phone. Ask them via email and get confirmation via email. If the offer is legit, then you only pay them via standing order and no other method.


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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Agree with this being in writing.

 

If you are happy to clear this with the £130, get them to agree that they will not sell any remainder on.

 

This is a well known tactic that some lendes and DCAs use. They agree to a Full and Final settlement but don't tell the debtor that the remaining amount is still collectable and they will flog on the balance to another DCA so:

 

Get them to agree in writing that they will accept the F&F and that they will not pass any remaining debt on-ever.

 

If you choose to ring them again (more fool you) try and record them.


If you are asked to deal with any matter via private message, PLEASE report it.

Everything I say is opinion only. If you are unsure on any comment made, you should see a qualified solicitor

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I got them to send me a confirmation regarding Bongaloans, there it's listed that I owe them the full amount still.

 

I sent an email back, saying 2 things. One is what days I will be able to make the payments on (20£ a month)

The other was that I do not accept the fees that have been added, and I will only pay 130£ for the full settlement.

 

They only replied on that the paydate was ok.. what a suprise.. :)

 

I will remind them again before I pay next week that I need confirmation that 130£ will settle the full amount.

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Hehe, so they replied to my email..

 

I can confirm you have made the payment of £130.00 we will return the account to Bonga.

 

Please can you update me when you make the £20.00 payment.

 

Kind regards

 

Andrew Lee

Compliance Manager

 

MIL Collections Ltd

 

Handing it over to Bonga, sure.. meaning I'm only paying THEM by the looks of it. I sent an email again, saying that I need confirmatio that the Loan is cleared in full with both them and Bonga before I pay anything.

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Right, I have a new issue with Mr Lender now and HSBC.

 

Basically Mr Lender took 120£ of me 03/03 from my HSBC account, but before that I talked to HSBC to ask them to cancel any CPA or direct debits with my account.

 

After I talked to HSBC and back and forth they refunded that amount, but a month later or two they had taken it again! I asked yet again to get it refunded and ask them to cancel this.

 

Now, it's been taken AGAIN! And I also got a nice little letter from HSBC saying that "The transactions seems to be correct blah blah blah, please see attached documents from Mr Lender" which just shows a letter from them with a copy of my contract and stating that I have NOT requested a cancel of CPA which is false, because not only HSBC has gotten one, but Mr Lender got one too by email, and I have a automatic response from them that proves it.

 

Now, I don't feel there is much of a point arguing with Mr Lender, but how do I deal with HSBC, how do I get it refunded and actually force them to stop taking the 120£ every month now, just to get it refunded. Last time they claimed they could not refund it AND stop future transactions at the same time, I had to choose..

 

BS if you ask me..

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Hi

HSBC have let you down. You gave them an instruction and they have failed to abide by this.

 

Mr Lender should not have attempted anything after you gave them the same instruction. They cannot deny you told them either.

 

I suggest you visit your branch of HSBC and demand to speak to someone who actually knows what they are talking about. This needs to be logged as a formal complaint and remind them of their obligations under BCOBS to treat a customer fairly.

 

As for Mr Lender, you cannot just stop arguing. If they did it to you who knows who else they have tried it with so you must:

a) Complain to Mr Lender

b) file a report with the FCA. They won't take action for you but they will log it and when they have enough cases, act


If you are asked to deal with any matter via private message, PLEASE report it.

Everything I say is opinion only. If you are unsure on any comment made, you should see a qualified solicitor

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Make sur eyou DO file a report with the FCA. They are coming down very hard on banks and creditors that refuse to cancel a CPA.


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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Thanks, I will do.

I've sent HSBC a message through the messaging system for now, and will escalate it with them depending on what kind of answer I get there..

 

I also find it very strange that the letter I got, is dated 25th of June, which is nearly 3 WEEKS ago! And in the letter they are saying they will re-debit the amount on or after 2 July 2014.. it's almost like they waited with sending out this letter until it was too late to argue against it aswell..

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Right, talked to a monkey at HSBC and what a suprise after alot of nonsense like they claimed that when I talked to the first time they said I should get back to them with exact amounts I would be charged before they could stop it, as they could not monitor the account without that info.

And basically in the end said I would just have to claim it back from Mr Lender.

 

I said I was not happy with the response and would take action further, also let them know that I would not sort my history in regards to my being over my overdraft limit until this case is closed, which they then said they would offer to credit it me with 60£ (half) if I was happy with that. I sad no.

 

Will write more later, probably need some advice on what i should exactly write to the FCA. I fear my account will be taken into a collection agency, and I would have to pay ALL of my overdraft which includes the 250£ limit, which I really can not afford right now..

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Stop talkign to people on the phone!!!!!!!!!!!!!!!!!!!!!!!!!

 

 

Start writing letters instead keep proof of postage and reciept


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The SabreSheep, All information is offered on good faith and based on mine and others experiences. I am not a qualified legal professional and you should always seek legal advice if you are unsure of your position.

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If you have an android phone go to google play store and purchase the app " call recorder pro" then if you must speak to these people you at least have every conversation recorded which can be transcribed

and used as evidence.

Best application for recording calls.

 

George

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If you have an android phone go to google play store and purchase the app " call recorder pro" then if you must speak to these people you at least have every conversation recorded which can be transcribed

and used as evidence.

Best application for recording calls.

 

George

 

Good advice

**SIDE NOTE**

 

This app is **FREE** for an unspecified limited time right now :)


PLEASE HELP US TO KEEP THIS SITE RUNNING

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The SabreSheep, All information is offered on good faith and based on mine and others experiences. I am not a qualified legal professional and you should always seek legal advice if you are unsure of your position.

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Hey guys, a small update.

 

Motormile has taken over Mr Lender and Peachy and after a long long time, they actually replied to me on email and stopped calling me.

But I had to laugh at their email, basically replying to my email of what I thought the amount remaining should be and charges should drop etc.

 

They ofcourse said they could not because I agreed to the terms, no suprise there. However for some reason they managed to make my 400£ with Mr Lender (mind you that they already have gotten 120£ from my bank on this), to be £ 1,405.24!!

 

I'm looking forward to their answer.

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Got an answer:

 

"Thank you for your email.

 

I have requested a statement of account for both of these loans from the original lenders. I will hold your accounts for 2 weeks while we await these documents."

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Write back and say " You will hold the accounts indefinitley until you get the correct information"


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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