Pay-day loan advice please.

[jh7891]

Hello, I'm a newbie to these forums and I've had a browse around and found some of the information helpful for my situation. But thought I'd make my first post to see what others have to say. Firstly, I apologise for the long post! I thought a lot of detail would help.

 

My problem is like many others, I've taken out multiple Pay-Day loans and have now found myself unable to pay them off in full - deferring them obviously just adds to the debt!

 

My monthly expenditure totals £1,000 (rent, bills, food, etc), and there is nothing I can cut down on at present, which leaves me with £380 for PDL's.

 

I have agreed two repayment plans with my two biggest loans, which leaves me with £130 to pay off the three "smaller" loans. The other three I haven't yet proposed a repayment plan, so I've had to commit a debt sin this month and ask to defer them. (Repayment plans set up so far have all interest and charges frozen.)

 

I have reported my debit cards linked with my bank as stolen, and have been told by my bank, that as long as no payment is pending by a company, then they can't charge a payment to a cancelled card. Is this correct? I asked for any CPA linked to either card to be removed, and they kept telling me no, they can't do this, and to contact the companies concerned, even though I was reading out guidelines from the FSA website, it fell on deaf ears.

 

Now, I have had luck with setting up two repayment plans with :

 

Quick Quid, who I told to remove my card details off of their system, which they have apparently done, and have set up a Direct-Debit for the payments per month. I know Direct-Debit payments aren't ideal, but being an American company, they don't seen to have a UK based bank account for standing orders.

Does anyone know if they do have a UK bank account? Or are they telling the truth? (I owe in total just under £600 after charges, so will be paying back just under £150 per month - over four months, which means I will be rid of them by the end of November).

 

I have also set up a repayment plan with Wonga, at £100 per month until November, then £200 per month until March (the extra hundred coming from what I was paying QQ (I will owe £1,200 in total!) They sent me an email confirming the dates and amounts, which is fine.

I did receive another email saying my loan was due in full on the 31/08/12, which worried me somewhat When I called them to inform them the upcoming payment will be paid by standing order, they did confirm £100 will be taken, and that they can push back the date to allow the funds to reach them, and be allocated to my account.

I plan on getting a pre-paid debit card for my pay-day lenders so it isn't linked to my account, so I may have to change the date again going forwards to allow the payment to reach Wonga. Should I email/call them stating I revoke the CPA connected to my debit card, or won't it make a difference/shouldn't I worry?

 

Now, the other three loans!

 

Pay-Day Express, I will owe £450 if I paid off in full, they charge £90 to defer this, and I've read they are extremely difficult to set up a plan with. I want to propose a plan of £60pm from end of September until the end of November, then with the extra £50 that was going to QQ, pay them £110 in December and January, then the final amount in February (£50 - assuming they freeze all interest and fees - wishful thinking?!) If they were to slap on a charge, then I could maybe pay this off in February/March.

 

PDUK and WDA I will owe £200 each. I was thinking of proposing a plan of £30pm each, which would mean these would be paid off by the end of February.

 

With the last three, does anyone have any tips on dealing with them?

 

I hope what I've done so far sounds correct, if anyone has any tips or do's/don'ts, I'm willing to hear them

 

Many thanks for reading, if you've got this far!

Edited August 28, 2012 by jh7891
Spelling mistake

[havinastella]

Hi and welcome to CAG!

 

I'm always a bit dubious about cancelling cards.

 

I think from the experiences I have read on here lately and Banks and PDL's not caring about CPA's, I would look for a new account with no ties to your recent one.

 

There are lots out there and it's easy to do over the internet.

 

Jogs

[jh7891]

Hi Havinastella,

 

I applied for a new account last night with another bank, and am awaiting a new debit card - I wish I'd have done this sooner! I aim next month to have all of my wages paid into the new account, load up the pre-paid debit card, and pay them that way, so there are no links to my account

 

I look forward to the day when I'm away from the PDL's! I keep thinking, if they all agree, this could be in six months...

[havinastella]

My only other advise would be to pay what you borrowed + 1 months interest.

 

If you have paid that and the rest is rollover fees, they can whistle.

[jh7891]

My only other advise would be to pay what you borrowed + 1 months interest.

 

If you have paid that and the rest is rollover fees, they can whistle.

 

Yes, that definitely sounds more than fair. Thanks for the advice.

 

Thankfully Wonga and Quick Quid seem to be playing ball so far! I just need my new debit card, so I know 100% that my money is safe. I have two free pre-paid debit cards on the way: one is for loading up to pay the PDL's (no link to my bank account), and the other for my living expenses, so my bank account can remain for my bills and rent. Let's hope it works out...

 

If anyone has had any dealings with Pay Day Express, PDUK & WDA, and has any insight for repayment plans with them, I'd be interested to hear.

[renegadeimp]

Make sure that no cpa exists on your accounts. If it does then get it cancelled in writing.

[jh7891]

Make sure that no cpa exists on your accounts. If it does then get it cancelled in writing.

 

I'm assuming they do exist, but my bank were useless, and stated that they couldn't do it (someone didn't even know what a CPA is). I guess the best course of action is to state it in writing to the companies tomorrow by email, then call my bank again, hopefully getting someone who can help me?!

[renegadeimp]

All you need to do is put it in writing, hand it to your bank and get a receipt. From the moment they receivw the instruction, they must comply by law.

[jh7891]

All you need to do is put it in writing, hand it to your bank and get a receipt. From the moment they receivw the instruction, they must comply by law.

 

Good to know, thank you. I will do just that tomorrow!

[jh7891]

I went into my bank today and asked them to remove the authority, and handed them a letter. They said this can only be removed as a fraudulent transaction, which they couldn't do there, but as I spoke to the fraud department the other night to cancel my card, this may be okay. Unfortunately it seems my bank don't seem to know an exact answer. Although Wonga said my card is now showing as expired so wouldn't work anyway... I've revoked the CPA with them in writing too.

 

All I know is I'm moving my money to another account with Halifax first thing tomorrow morning (a savings account which apparently can't be touched by anyone else). I can relax a bit more once I get my new bank details through! I've had little sleep this week with worrying so much.

 

I managed to get PDUK's bank details from them, but they state I have to make the transfer from RBS or Nat West, as nowhere else can do the transfer. Does anyone know if this is actually true? I would've thought a faster-payment bank transfer from my bank would be fine.

 

Thanks to anyone who's given me advice in this thread, or whose advice I have read in other threads. There is light at the end of the tunnel...

[renegadeimp]

Did they take your letter? If not then hou need to be making formal complaints. It seems the major banks think they are above the law atm.

[Jamie Kingston]

you can pay pduk from any bank account - load of bollucks. You could even go into the bank branch and pay cash over the counter but make sure you use your reference so they know its you.

[jh7891]

Did they take your letter? If not then hou need to be making formal complaints. It seems the major banks think they are above the law atm.

 

They wouldn't take it, but I am sending this on along with a letter of complaint! They do seem to think they're above the law - even rules that the FSA themselves set.

 

I'm glad to hear what PDUK said was a load of rubbish, thought they must be telling porkies.

 

Thankfully as I have to get up at the crack of dawn, my money is now safe, rent & bills safely in my housemates account, the rest safe just in case the CPA kicks in!