Pay Day Loans

lap1970

I have read a few stories about Wonga here emptying bank accounts if you have not paid them back. I have a Wonga, PayDay UK and Lendingstream pay day loans that I am unlikely to be able to pay as it is coming in at more than I am earning and although I could probably keep extending for a couple more months I am not going to be able to sustain this. I have read that people say cancel your debit cards, but I can't remember if these companies took a direct debit as well but they do have my account number and sort code for paying in the money. Does anyone know what they normally do if the transaction is declined when it is due to be collected. I can't think of another way they can take money from your account if the card they have registered is cancelled other than by direct debit or standing order. I have about £1480 with Wonga, £425 with PDUK and £300 with Lendingstream. Got caught in the trap when on SMP. I am just not sure if it is worth the the amount paying to extend is worth it as I can't see my suddenly getting £2000 that I can pay it off with.

Any advice would be appreciated. Thank you.

RAS

Your have to get a new bank acount now and get your salary paid into that immediately. Then you can look at defaulting on the PD loans. They will wail but do it

regret70

Hi, yes wonga will take money from your account, and im the voice of experience. even if they dont recieve the full amount they will take several odd amounts of £10, £20, etc. i defaulted on a wonga loan of £195. i now owe £430 and they have been a complete night mare to be honest.

although i defaulted in march and they have chased me since, i have a feeling it has been empty threats. they tend to send emails demanding payment and then letters to your home address. they also threaten legal action. i believe you are able to set up a repayment plan with them as long as it is within 7 days before your due date, but they will only accept a repayment plan over 12 months, so your 1480 would be about £125 a month. they are a nightmare to speak to and will send letters demanding payments by a certain day and time, howver i ignored all of these and they just kept moving the date. they also passed me onto their solicitor, who funnily enough use badly printed letter heads and when your ring their phone number it goes directly to wonga, so im thinking maybe its a phony solicitor.

I dont want to scare you, they can be dealt with, but stand your ground with them as they use bullying tactics. i have been verbally abused and called stupid by a man at quick quid. (yes he was probably right i was stupid to use a payday loan) but when you are desperate it seems like there is no where else to turn.

louie31

Im in the exact same possition. Currently owe wonga £1338. Desperately want to get out of this awful situation and get it paid off asap.

If i thought wonga would agree to monthly plan even of £200 a month i would go ahead even if it cost me more money just to get there.

I havent defaulted with them and really dont want to but if anyone else has any luck with a repayment plan please let me know.

David_Brent

Cancel your card, ring your bank cancel any direct debits that you set up with them, check you have no standing orders set up and they cant touch your account.

"although I could probably keep extending for a couple more months I am not going to be able to sustain this"

I wouldn't pay them anything, don't talk to them on the phone.

Send them a letter stating your financial circumstance and how much you can afford to pay them back each month (realistic amount) and to freeze and further interest or account charges, send recorded delivery (keep a copy of your letter).

Await their response....

If no response it will most likely get sold on to a debt collection agency again if you follow the steps as with the payday loans just deal with them via letter (see letter templates in the DFW thread) and tell them what you can afford to pay each month (don't get conned into giving your card details over the phone) ask them for their sort code and account number so you can telephone/internet bank the money over to them each month.

David_Brent

alencooper wrote: »

Short term loans are the answer to serious, short-term emergencies such as these. Legislation regarding payday loans and various countries, widely among different states within the United States between the changes. A payday loan it is also referred as a paycheck advance is known as small, short-term loan that a borrower until his or her next payday is intended to cover expenses. </span></span></span>However, when you are stuck with your back against the wall and don’t know what to do for money, these kinds of loans may be for you.

These pay day loans are real scum they give loans to people that obviously cannot afford to pay them back and charge ridiculous interest and charges they need to be regulated properly.

hullight

David_Brent wrote: »

These pay day loans are real scum they give loans to people that obviously cannot afford to pay them back and charge ridiculous interest and charges they need to be regulated properly.

But then people would have a tantrum because they aren't allowed a loan, it's 'discrimination'.

louie31

do you mean cancel all my direct debits and standing orders or just check with bank for payments to wonga?

I would be scared to do this incase wonga take payment via pre-authorised card payments then they would end up clearing all wages from bank.

im hoping to pay extra off before next payment is due this month and reloan again but it has to be paid in full by 25-26th August and payday is not until 27th August.

Really wish i could stop these payments and arrange a repayment plan

lap1970

Some wrote elsewhere that they can reconnect to any new debit cards issued as they have your bank account sort code and account number but wouldn't the bank decline any attempt to take money out of your account by visa debit if there wasn't any money in there - if you do not have an overdraft?

Toe-Jam

Wonga are one to watch out for. They will "ping" your bank account for money every day until they find some then they will take all your money.
Cancelling your card and getting one with a new card number is sufficient to stop them from taking more from you because they don't have a recurring payment instruction where you are paying monthly instalments by visa debit. They just have a record of your card number and are manually trying their luck with it.

Change your card number and watch out for them setting up a direct debit on your account behind your back, they really will try anything.

Kevin0147

lap1970 wrote: »

Does anyone know what they normally do if the transaction is declined when it is due to be collected.

They will write to you, within a few days, to request new card details. When you fail to provide this, they will phone you 5 - 6 times a day on every phone number they have for you, including your work. Horrible. I know, but so is the nightmare of trying to fork out hundreds of pounds to keep them off your back. They can be financially ruinous especially if you owe a few thousand. I know, as I stupidly kept increasing mine to stay afloat.

As RAS has mentioned, open up a new bank account for wages ASAP. But if you dont want to do this then follow Davids advice.

You mentioned being able to sustain these loans for a few more months. Maybe use that 'roll over' money (I'm guessing it is about £500pm) to pay off the smallest Lendingstream one first. At least thats one out of the way whilst you negotiate with the others.

Good luck. I aint no expert and wish I could offer better advice. I really hope you and louie31 get out of this now- I feel for you guys.

Kevin