Ending my payday hell - took drastic measures this week

lil_chicken_legs

Hey there, I am in the unfortunate position of falling into the 'payday spiral' - started out with one payday loan then kept deferring it and getting out others. At one point I had 6 but Ive managed to get it down to three, but the interest payments were nearly clearing out my wages every month and then I was falling behind with rent and bills etc.

I owe-

£500 to payday uk
£500 to payday express
£340 to lending stream


So...

I rang CCCS and completed their debt solution thing, and followed their advice. I wrote a letter to each of the payday companies saying i was in financial difficulties and until further notice i couldnt keep up the payments and would be paying £1 a month from now on. I also requested in the letters that all future contact is via writing and not telephone. I cancelled my debit card and changed the bank account my wages are paid into. I also included my budget plan and list of creditors.

Im pretty scared, but I felt like it was my only option. For the first time in forever all my wages (it was my payday today) can be used on essential things and not payday loans. I had about 6 missed calls from pduk today, presumably they havent received my letter yet.

Anyone else in the same boat or got any advice?

Morty_007

Couldn't read and run. Well done you. Keep strong x

pmduk

You've taken the first, most difficult step to sorting it out. Well done and good luck.

Footiemad_2

Hello

This caught my eye so thought I would pop along just to say WELL DONE :T.

You have taken the first steps in tackling the debt. I am no expert and I was in a similar situation. Others may be along later to give you some valuable advice but what they all seem to say is post your SOA (statement of affairs) list of all outgoings and incomings and they will be able to advise you on how to tackle paying them off.
The interest is ridiculous and so you need to get rid as soon as you can.

If you have any other debts then prioritise and look after the most important first. Not sure if your up to date with your rent, so apologies if you are but if not...get that sorted so you have a roof over your head then think about sorting the rest out.

Not much advise but hope it helps.

Good luck and hope all goes well.

Mr.Mulla

You did the right thing. Well done. You've taken the first step to getting out of your debt.

Keep focus on achieving your goal of getting out of debt. Best of luck to you.

yorkshire-lad

Aslong as you keeping making a token payment,they can't do a thing.
They may threaten you with court but the judge will side with you,but court action is very unlikely.
They can't have what you haven't got.

You need to keep upto date with the most important things mortgage/rent,gas/elec,council tax, these are much more important than payday loans.

When you circumstances change,increase your payments to get rid of the debt quicker,but no need to worry about them sending baliffs or whatever.

lil_chicken_legs

Thankyou everyone for all of your support, what a great community!

I was a little behind with rent and coucil tax, so now I have freed up my wages I can get back on track

I had my first response from paydayuk, they wrote to me today sayin that they will consider a payment plan if they receive my last two payslips to prove my wages have decreased, or proof I am now unemployed, or a lettr from a Dr if I am off work for an illness..

Trouble is I cant really provide any of those things, Im not even sure if I have kept my payslips but even so, the fact is I havent recived a reduction in wages, I just simply have too many debts and other payday loans. Also when I applied for the loans I said I earned more than I did, I know thats bad, but I was desperate.

What should be my next step? I dont want to '!!!!' them off because it seems they are willing to help me, but I cant really provide the evidence tht they need.

jonesMUFCforever

Go over to the debt free wanabe boards.
They could do you for fraud because of what you have done so be careful.

lil_chicken_legs

Oh no the loans are all from last year. Sep/Oct time..so they wouldn't really have proof that I lied, would they?

Im even more worried now..

GEEGEE8

Can't you just make the token payments anyway, and ignore their letters.. In the meantime try and save up to pay each one off one by one?