Pay Day Loan, advice please

[cagger11]

I have payday loans that I have defaulted with recently. They are:

 

Wonga

Payday Express

Capital One Finance

I have written to them using a template I found in the consumer forums. I have received my first reply from Capital One Finance: - Thank you for your email.

We will not be accepting your offer of repayment of £28.98 over 12 months.

Your balance is £595.00, this is due to fines added to your account as its in default it was also stated in your contract that you initially signed that fines would be applied if the contract was breeched,

Key Information

If you default, our tariff charges are as follows: We will charge You the sum of £25 for missing the agreed payment. We will charge You the sum of £25 per letter for

The first, second, third, fourth and fifth letter that we send to you in respect of the collection of any outstanding sums on your account. If You are in arrears for 14 days

after the agreed due date, 39% of the original Amount of credit will be applied to the account. You must pay us any reasonable expenses and costs that We may incur

in tracing You if You move address without first notifying Us. In addition, You must pay us any reasonable expenses and costs we may incur in taking other steps to

enforce, or attempt to enforce, our rights against You under this Agreement, and You will be charged simple interest, both before and after judgment, at the rate set out

above from the date payment falls due until payment is made.

We can negotiate on these fines to reduce your balance and arrange a payment plan for you however we will need this paid on a weekly basis and over 6-8 months. Once a plan is in place I can freeze your balance and prevent all calls and emails being sent

I will also need for you to complete the attached income and expenditure form and return to myself.

Please Advise

(Name of member of staff)

 

I then received the same email again with a very detailed income and expenditure form attached. At the top of the form it stated this:

Income and Expenditure Form

As you have applied for a payment plan with Capital Finance One and want to spread the payment over a Period of over 8 months we need to complete this form and either E-mail or fax it back on 08447707944. One this has been done it will be assessed by our collections department and they will then be in contact with you.

What do people think is the best course of action here? I'm reluctant to spread the payment plan over 8 months or pay more than 1 months interest and the amount borrowed - I read in the forums that it's best to stick to your guns. I don't want to offer what I can't afford either. I'm also wary of sending the income and expenditure back.

 

Please can people offer me some advice:

 

Is it best to stick to my guns and only offer my original offer over 12 months?

Should I send the form back?

They mention a weekly payment plan, is that possible by standing order?

 

Thanks to anyone who can help. I'm feeling after a difficult time with pay day loans I'm starting to take back control of my finances.

[cagger11]

Also I have just noticed a text from them informing me that my case will be passed on to door to door collection at 5pm today.