Payday Loans - Plan required!

MBOBE

Hi guys,

Just hoping for some advice. Like many others I foolishly took out payday loans and have paid thousands of pounds to not pay back the original amount borrowed and now it's too much to cope with!

I have:
Quickquid £1000
Wonga £600
PaydayUk £450
Payday Express £350
The Money Shop £250

Therefore I am paying £550 approx a month, for the last 6 months, but only extending the loans, never actually paying them off!

Now it is time for a change, I've paid more in charges than the original amounts and just want rid of them. However, I'm not sure about the best way to go about it....

I could afford to pay one off a month if I didn't have to pay to extend the others, and that's my pickle! For example I could pay Payday Express and The Money Shop from June's wages but I'd then still have to come up with £450 to extend the others which I can't afford to do!

Any ideas?

Ps you guys are awesome!

jonjamie1970

Please post what the interest rates are on these loan and an SOA for further suggestions. The normal plan would be to pay off the higher interest amount first, but it may be more physcologically beneficial to clear, for example, the Money Shop loan in one go ?

MBOBE

Ok 3rd attempt to post this!

My net income is £1900 (maybe a little more if I can get more OT but this includes 48 hours already)

(I work 110 miles away from home so stay for four nights whilst at work, hence the fuel costs and 2nd rent!)

Rent at home all inclusive of bills - £450
Rent at work address all inclusive of rent, gas/electric, council tax and water - £200
Fuel - £200
Payday loan charges to extend - £550
Loan from credit union through job - £200
Unsecured loan - £127 (£900 outstanding which I was hoping to pay off early but couldn't afford to)
Capital One minimum payment - £10 (£200 total)
Barclaycard minimum payment - £20 (£800 total)
Vanquis Visa minimum payment - £25 (£500 total)
Food - £120
General eg cinema etc - £50
Car Insurance - £67
Phone - £50 (contract cancelled, PAYG as of 30th June)
Littlewoods - £120

Total Outgoings - £1989

Plus I owe my mum £200 which I need to pay back asap!

I feel like I'm throwing away £550 a month on these charges, if only I could clear them then I could start on the credit cards and then the catalogue bill but at the moment I feel like I'm never going to get anywhere!

rainbowfairydust

i have been in the payday misery boat. Cancel your debit card & try to arrange a payment plan with them. I don't see what else you could do really.

I hope you have more luck with QQ than me.. both they & Mackenzie Hall are awful to deal with. I'd expect bullyish tactics , rude & agressive behaviour from both companies. I'd rather gouge my eyes out with a rusty spoon than deal with these muppets again.
Don't give up though & pay what you can afford to them not what they demand of you.

I can't speak for any of the companies as i have had no dealings with them.

I wish you all the best of luck :)

rainbowfairydust

Also if i were you i'd probably pay off the Payday express this month , and just extend the money shop cheques. The interest is much less with the money shop.
At least you have one of the payday loans then crossed off your list..

MBOBE

Thanks for that, any suggestions as to how I tell the other companies I'm not going to extend anymore and that I just want to pay off the existing debt... eventually....

I have visions of them knocking on my door in the early hours!

Triggles

Okay, I have to ask a few questions here. Why live in two places? A huge chunk of your income is being swallowed by two living expenses and fuel. Are you single? What specifically are these living arrangements? Can you live at the place near your work and cut out some of these expenses and use them towards your debts??

rainbowfairydust

MBOBE wrote: »

Thanks for that, any suggestions as to how I tell the other companies I'm not going to extend anymore and that I just want to pay off the existing debt... eventually....

I have visions of them knocking on my door in the early hours!

Yes i would write to each company & explain the situation to them. Make sure you cancel your debit card so the payday loan companies don't take the full amount from you as they will probably will try.Do you make minimum payments each month to your other debts (the mainstream ones ie credit cards/loan etc).

If you visit this website http://www.makesenseofcards.com/soacalc.html & do a SOA (statement of affairs) to see where else you can make cuts in your outgoings then post a copy on MSE.

I would then sit down & decide how much you can afford to pay off to each creditor on a monthly basis and go from there. Don;t give up & stick to your guns. If they keep telling you no we are unwilling to accept your payment then try to find out their paying in/bank details so you can make token payments to them.
I know with QQ they will continually refuse your offers & the debt will be sent to Mackenzie Hall (they are DCA) .

They may also offer you with court action but as long as you are making token payments to them and you can prove that this is all you can afford then a judge will not take them seriously.

I would also advise on any communications by email/letter only as if it does go to court then you have evidence. There is a template somewhere on MSE that you can send asking them to communicate only by post/email.

I don't mean to seem all doom & gloom as things will get better. I am just coming out of the other end of a payday mess. Its took 8 months but i now have only 2 left (one of which will be finally cleared at the end of this month) .

rainbowfairydust

are there no cheap B & B's that you could stay in on the 4 days you are working?

Would you be prepared to sell your car and perhaps travel by train to your work? would this be do-able?

Where do you live & where is your workplace?

david.l_4

Quick question do you care about your credit reating as i have has dealings with most of them companies and ive found the best thing to do is stop paying all of them change banks and set up payment plans with them.

for an example i had a 300 loan with the money shop stoped paying them they charged me 25 per cheque so 375 debt in total i now pay them 30 per month better then the 45 i was paying them to extend them.

any questions let me know.

MBOBE

I live near manchester and work in the lakes on a 4 on 4 off shift pattern. Basically I'm paying £450 to my partner towards the bills and rent at home and £200 is for a double room in a shared house close to my place of work, unfortunately my partner won't move any closer. Sometimes if I'm on overtime the day before my day off I stay up here too.

My wages will increase quite steadily and I should be taking around £2500 net in 6 months or so.