Welcolme have my card details, what am i to do?

mikey178

Right here it goes,

I got a loan for £2000 with Welcome finance back in March. For a couple of months I missed payments, I had cancelled my direct debit as I was struggling to afford the £170 they wanted off me every month.

Not wanting to miss a third payment I rang my local Welcome branch to come to an arrangement, the man, well sorry boy I spoke to said I would not be able to set up a new direct debit and that they would have to take a payment of £190 by card. Me, being the naive fool I am, gave them my card details and the payment left my NatWest bank account, that day.

I was unaware at the time that this was going to be the monthly arrangement it has now become, but accepted it for what it is. To add confusion to the matter I have since changed bank accounts and stupidly gave Welcome my new card details (I know, I know, I'm a fool)

Now that I am entering a Debt Management plan I have been told to stop all payments to my Credit Card/Loan companies. Unfortunately I have been informed by friends that now Welcome have my card details this is going to be impossible and they can take as much money from me as they want, when they so please. The bank I am with now, being Halifax have also confirmed this, saying even if I change my card details, Welcome will still be able to take money from my account because I have gave them authorisation by giving them my card details.

I have also been told by people, based on their own experiences, that if I tell Welcome that I am entering such a plan, they will take more money from my bank account in a flash. I make my first payment to the debt management company this month on the 27th, Welcome will take their monthly payment on the 24th, my pay day, something else I also stupidly told them.

Now I am getting myself so stressed out as I feel trapped. I fear I am going to be left with no money next month, as money is going to be coming out of my account from all angles, (I also have a pay day loan which is paid by my card, making it impossible to stop) My debt management company will not write to my creditors until they receive my first payment on the 27th, Welcome and Paydayuk will take their money off me on the 24th.

Is there nothing I can do, and where do I stand legally, i mean what happens if I have no money in my account and these companies authorise payments, will I be charged by the bank also pushing me into more debt.

I would be most grateful if anyone could help me

Cheers
Michael

jonesMUFCforever

It is blatently obvious that you were in financial difficulties as soon as you took out the loan so why did you do it?
The only way possible to stop Welcome finance completely is to close your account down lock stock and barrel and apply somewhere else for a new account.

Extant

You've given them a continuous authority, basically.

As for what happens, it depends on the kind of card you've got. If it's something like a Visa electron, Halifax should, of course, decline payment due to lack of funds. If it's a Visa debit, then it'll likely count as a guaranteed payment - so yes, the payments would go, and you would be liable for them.

Also, bear in mind that Welcome are under no obligation to pay any attention to your debt management company.

As for asking what you can do, the question is a little late. It should have been asked before taking out a loan with Welcome - and even more so - a payday loan.

CHR15

I don't understand why the OP thinks people will think him stupid for giving Welcome his details

Take a loan out and tell the loan company where to get the payments..... Isn't that what is SUPPOSED to happen??

MrsTinks

You say "debt management company" - please tell me you haven't made an even bigger mistake and gone with a pay debt company instead of one of the free debt charities?? Because if you have then you need to change NOW!
As for the card then you could report the card stolen in the short term... that might cease the payments. Then close that account ASAP.
And go on the DFW board for some advice about what to do moving forward...

harveymail

Despite what the Halifax have told you, if you have only given Welcome your card details and not your account number and sort code, I would report the card lost/stolen as it surely then shouldnt go through. They can, I would have thought, only debit a card that is valid.

Please check again with the Halifax as I still cant see that they can authorise a payment more than once if you only said "Take one payment" if that makes sense.

Please people, dont be unsupportive to the OP, I would suggest he goes to the DFW board where you will be given a much warmer, supportive welcome.

mikey178

Well thank you for making me feel even more incredibly stupid, and depressed then I already did.

I thought this site was supposed to help people in my situation not make them feel even worse then they already do. Yes, I've made some stupid decisions in my life, how many of you on this forum can say you haven't.

I'm not condoning someone taking money that is not theirs to begin with and not expecting to suffer the consequences, all I want is a way out of this mess, to pay the money back that I owe and to be in a half as stressful situation as i'm in now.

I see people take the p*is every day where money is concerned and get away scott free.

When I got myself in this mess I was severely depressed and I know this might sound like a sob story but I don't want your sympathy, I just want some advise, to help me out of this hole I am in.

How many of you have not been told the full story and then found yourself in a situation like mine, so don't judge me!

So am I wrong to go into a debt management plan with Firststep, the company I have chosen to help me out of this mess, at least tell me that without sounding condescending, jonesMUFCforever:mad: in particular!

Sorry but I'm so pent up at the moment!

Michael

mikey178

also thank you harveymail for being on my side.

CHR15

I simply don't understand why you think people will consider you stupid for taking out a loan and arranging to pay it back.

Your question seems to be more about the circumstances of you getting in debt, in which case, the advice to go over to the DFW board is the best option.

Welshwoofs

mikey178 wrote: »

So am I wrong to go into a debt management plan with Firststep, the company I have chosen to help me out of this mess, at least tell me that without sounding condescending, jonesMUFCforever:mad: in particular!

Oh eeek, no, no, no! These people aren't your debt management company are they?

Please don't take on debt to get out of debt - step back and look at that statement logically and you'll see it makes no sense whatsoever. Cancel these people immediately and get in contact with the Consumer Credit Counselling Service who are a charity.

carroger

I think that a couple of the opinions given to the op are a little judgemental but we are all struggling and I agree that is not a great choice to take a loan that you clearly couldn't afford that aside ....What on Earth are the Loan company doing just giving money without checking that you had the income to more than cover the payments !!! When the kids went to school I started work with Royal mail after having several years of benefits as my husband was ill within 6 Months of working my bank gave me a credit card my first ever with a £6000 limit loan and credit companies were just throwing money and cards at me all with out any regard for what I spent out of my wages and if I had enough to pay them at the end of the month ...I think it should be far harder to obtain money type credit because the lenders just don't seem to see past the lovely APR they are going to charge ....OP I really hope that things improve for you and that it's a lesson learned for all