loan repayments

ubersquiz

I have a loan that requires me to pay 175 a month.
Due to my circumstances changing, this will be too much for me to pay.
Would I be within my rights be able to cancel the direct debit and offer to make smaller payments?
I have done this once before. I only need to do it for a few months so I can get my budgeting sorted out.
But what with the laws constantly changing these days I just wondered if it was still possible to do this.

Also I have ppi on the loan, can I stop paying it altogether?

ChopperST

ubersquiz wrote: »

I have a loan that requires me to pay 175 a month.
Due to my circumstances changing, this will be too much for me to pay.
Would I be within my rights be able to cancel the direct debit and offer to make smaller payments?
I have done this once before. I only need to do it for a few months so I can get my budgeting sorted out.
But what with the laws constantly changing these days I just wondered if it was still possible to do this.

Also I have ppi on the loan, can I stop paying it altogether?

Always speak directly to the lender directly first and see what they say. They may allow you to make a reduced payment for a period, then again they may not.

With regards to the PPI what does your agreement say that you signed?

balmk

Ensure that you speak to the lender about reducing your payments before cancelling the direct debit - if you go into arrears without agreement they may refer your debt onto a collection agency.