Please Help! I need a loan ASAP but dont know where to turn.

Rose_Red_3

Quite some time ago i took out a Payday Loan from a company called Wonga. It started out small but has now escalated to around £1200 (the same as my month income). It may seem silly but it was just a vicious cycle that i now cant get out of.

My main problem though is that my mum and sister gave me permission to take a few in their name and now they have nearly gotten as high as mine. I also have a credit card that i owe £2000 on. I feel like im on the downwards spiral and its not just me im taking down with me. My idea was to get a loan and consolidate all the debt, which would be fine if my credit was good but apparently its not (i think ive had a few late payments) so that option isnt looking so good. I cant just go to debt management places as i have to sort out the loans in my mums and sisters name which they wont do for me.

What shall i do???? Please help im really quite scared and cant keep going through this horrible cycle.

Mikeone

Hi Rose

Welcome to DFW!

I would advise against a debt consolidation loan to resolve your situation. It will end up costing you more, especially if your credit rating is already poor -you may only get a loan with massive interest.

Fortunately, there are better ways out of this position. The first thing you need to do is to fully assess your current situation, looking at incomings, outgoings, assets, debts etc. Fill in the form at the link below and it will help you to see precisely where you stand. If you post it here (click 'format for MSE'), the forum members will be able to guide you and advise you through it.

The main thing to do is not to fret. It may seem impossible now, but there is a way out of your situation. Most people here can tell you that because we've been through it ourselves.

Chin up!

Statement of Affairs (SOA) calculator:
http://www.makesenseofcards.com/soacalc.html

Fang_3

I think your priority has to be to sort the loans out in your mum's and sister's names. It will affect their credit ratings.

Rose_Red_3

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 1200
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1200
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 200
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 30
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 0
Clothing................................ 200
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 70
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 550

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
credit card....................2000......30........17
payday loans...................1200......1200......0
Total unsecured debts..........3200......1230......-

Monthly Budget Summary
Total monthly income.................... 1,200
Expenses (including HP & secured debts). 550
Available for debt repayments........... 650
Monthly UNsecured debt repayments....... 1,230
Amount short for making debt repayments. -580
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -3,200
Net Assets.............................. -3,200



thank you for the support, its nice to have in a situation like this
this is what came up, is that right?

Rose_Red_3

Fang wrote: »

I think your priority has to be to sort the loans out in your mum's and sister's names. It will affect their credit ratings.

yeah i totally agree, thats what im most worried about. if i mess up ny own thats my fault for being stupid but not theres. i dont kno what to do though. i dont know how i can pay both of theres, and then afford to live. its impossible.

also im really really worried now as i was just recently paid and so i would have paid off my paydy loan or theres even, but i cant as i had bills come out that i hadnt realised so i cant afford to pay any of the three =/ i have till monday to pay all of them

redpete

£200 a month on clothing! That's a seriously daft amount for someone who's got no money.

Don't buy any clothes for a few months and you could clear large amounts of the debt.

£50 a month on entertainment gives plenty of scope for cutting back.

Are you sure your numbers are right? You say you owe £1200 on the loans which are costing you £1200 a month to pay.

Are you staying with your mum or similar, cheap rent and no food spending is also unusual. There's lots of other things that you don't spend any money on that most people do.

Rose_Red wrote: »

...i was just recently paid and so i would have paid off my paydy loan or theres even, but i cant as i had bills come out that i hadnt realised so i cant afford to pay any ...

If you have bills to pay they should appear in the SOA. It's meant to show how much you spend and where on average each month, not just a snapshot.

Fang_3

Rose_Red wrote: »

yeah i totally agree, thats what im most worried about. if i mess up ny own thats my fault for being stupid but not theres. i dont kno what to do though. i dont know how i can pay both of theres, and then afford to live. its impossible.

also im really really worried now as i was just recently paid and so i would have paid off my paydy loan or theres even, but i cant as i had bills come out that i hadnt realised so i cant afford to pay any of the three =/ i have till monday to pay all of them

What bills? According to your SOA you don't have any.

£200 A MONTH on clothes? That can go completely straight away. Who do you live with? Do they not work? Do you not eat? Have a TV? Heating? Electricity? Water?

Rose_Red_3

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 1200
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1200
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 200
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 30
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 0
Clothing................................ 200
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 70
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 550

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
credit card....................2000......30........17
payday loans...................1200......1200......0
Total unsecured debts..........3200......1230......-

Monthly Budget Summary
Total monthly income.................... 1,200
Expenses (including HP & secured debts). 550
Available for debt repayments........... 650
Monthly UNsecured debt repayments....... 1,230
Amount short for making debt repayments. -580
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -3,200
Net Assets.............................. -3,200



thank you for the support, its nice to have in a situation like this
this is what came up, is that right?

redpete

£200 a month on clothing! That's a seriously daft amount for someone who's got no money.

Don't buy any clothes for a few months and you could clear large amounts of the debt.

£50 a month on entertainment gives plenty of scope for cutting back.

Are you sure your numbers are right? You say you owe £1200 on the loans which are costing you £1200 a month to pay.

Are you staying with your mum or similar, cheap rent and no food spending is also unusual.

podperson

Don't mean to be critical but from your soa you have 1200 and spend 300 on bills, cut out the clothes and entertainment until the loans are paid off, that leaves you £900 a month for the debts so they will be cleared in a few months. Problem solved! Or am I missing something here??

Happiness6500

RE payday loans. they are a debt and no more a priority than your rent or bills. THEY DO NOT COME FIRST.

Note I had them too, what to do is to stop the cycle of paying everymonth and costing you an arm and a leg.

Speak to you bank about cancelling your debit card , like its been lost or stolen. They will then reissue a new card with a new 16 digit card number. Thereafter Payday do not have your card number !!

This will stop the Payday loans taking your money. Call them and or write to them with an arrangement to pay . If your SOA is right you could pay 240 a month and have it settled in 6 moths.. No more payday. Main rule is continue contact, they might be stroppy but if you pay them monthly they will cool off .

Hope it helps