Payday loan hell

WestWalesWannabee

Hi everyone. I am hoping that someone can help me out with some suggestons please?

I am in a terrible financial mess and I desperately want to sort myself out. Unfortunately though I am up against a stumbling block. Quite a few months back now I took out two payday loans at a time when everything was going wrong and I had no spare money, i.e. the car broke down, urgent dental treatment etc and now I'm in a loop i can't get out of. I can't obtain finance anywhere else as my credit is so badly damaged and of course once the company has taken the money I borrowed off them when I get paid, I then have to take out another loan as I can't live without the money they've taken off me for the month. I.e. a £400 loan taken out, they take back £520 and then I need to take out another £400 loan to live on for the next month. It's making me so frustrated that I'm having to do this every month and they're taking so much money off me that could be mine to put towards my debt. Can anyone come up with some suggestions as to how I get myself out of this vicious circle please? None of my friends/family are in a situation to help me and I can't obtain cheaper credit elsewhere.

Help! I really want to sort myself out.

Thank you...

smashedbooboo

Hi honey, and welcome to MSE, i cant give you any advice at the moment but hang around hun and someone will be along shortly to help you out and give you the correct advice you need. You have made the first step in sorting yourself out. Dont worry you have come to the right place. Stick around. Lots of lovely people on here will help you xxxxxxxxxx

peteuk

We did something simular with cash till pay day cheques. We ended up have about £500 pounds worth of cheques, each month we would go into the shop and put them back a month. Cost of about £70 a month.

I would hate to know how much we paid them.

Im not 100% sure I can help, however I am sure someone can. I dont like to encourage people to take out more debt, but there are companites around that might be able to work things out.

In the end we took a loan out with Provident, although the interest is higher than the high street, we are paying it back in small payments. Rather than having to pay it all back in one go.

Have you posted an income/expense list, that might help...

Pete

*MF*

Hi ... I am hoping other members can help you with budgeting, saving, cutting back , making some extra money etc - there is a wealth of information and help on here.

This will maybe not help immediately - but do you have a Credit Union near you?

I have posted links below, about credit unions in general, a loan calculator, and there is a also link to see if there is a credit union near you - just hope this helps - maybe not immediately - but gives you an out in some way:

http://www.abcul.coop/page/members.cfm

http://www.abcul.coop/page/calculate.cfm

WestWalesWannabee

I thought of Provident too and tried them and even they turned me down!

Burlesque_Babe

hi - the best thing to do is to put up an SOA (statement of affairs) and everyone can have a look at your financial situation. That way, we can make suggestions where cutbacks, purse tightening can be made so over the next few months you can reduce your liability to Payday Loans.

GeorgeUK

Is there a credit union near you that you could join?

I have only heard about them from the board, but i gather that you need to put only £1 a month in your account and you may be able to get a cheap loan from them. I'll try to find some other info.

Edit: http://www.abcul.org/page/about/intro.cfm

CCCS_Sarah

WestWalesWannabee wrote: »

Hi everyone. I am hoping that someone can help me out with some suggestons please?

I am in a terrible financial mess and I desperately want to sort myself out. Unfortunately though I am up against a stumbling block. Quite a few months back now I took out two payday loans at a time when everything was going wrong and I had no spare money, i.e. the car broke down, urgent dental treatment etc and now I'm in a loop i can't get out of. I can't obtain finance anywhere else as my credit is so badly damaged and of course once the company has taken the money I borrowed off them when I get paid, I then have to take out another loan as I can't live without the money they've taken off me for the month. I.e. a £400 loan taken out, they take back £520 and then I need to take out another £400 loan to live on for the next month. It's making me so frustrated that I'm having to do this every month and they're taking so much money off me that could be mine to put towards my debt. Can anyone come up with some suggestions as to how I get myself out of this vicious circle please? None of my friends/family are in a situation to help me and I can't obtain cheaper credit elsewhere.

Help! I really want to sort myself out.

Thank you...

Hello,

The first thing I would suggest here is opening a basic bank account at a bank where you have no debts. The reason for this is, if they do try and cash your cheque the rest of your wage could be ‘swallowed up’ leaving you nothing for your priority bills and everyday living.

The ideal situation would be for payday loans to come to an arrangement rather than taking it in full. However this may not be possible.

If your bank does allow the cheque to be cashed, it means that you would then owe the bank rather than payday loans and then you could offer an affordable reduced amount based on your budget.

If you need any help completing a budget or you have other debts your are struggling with, CCCS have a free online debt advice system called Debt Remedy – once you have inputted your income and expenditure the system will let you know exactly where you stand and the best way forward. This link will take you directly to Debt Remedy and it only takes a few minutes to complete.

jd87

Hi. You say you can't obtain cheaper credit elsewhere. What other credit have you tried applying for so far? I just want to understand how bad your credit rating is exactly because I have an idea that might help.

WestWalesWannabee

Well no reputable banks or loan companies will lend to me. Even Provident who are very high interest won't lend to me. I am in serious debt and have defaulted on everything which is why I now can't obtain credit elsewhere.

ExNicotineQueen

Is it possible to sell a few things on eBay to get some quick cash?

Have you considered having a quiet word with your employer to see if they can help you out/give you some form of loan or extension on your wages?

Are you positive that your family/friends are not able to help you out? Even if you ask for small amounts from a lot of them rather than one lump sum from one individual? Perhaps if they knew the real extent of your situation they would be more willing to help?

Sending some (((hugs))) your way, it's a tough situation to be in.