I owe £3000 in payday loans and cant pay, please help

JordanT

Hi,

I am in a world of trouble with money. I owe around £3000 this month in payday loans, I have had to ditch the HSBC card I am using as the account is ruined. It is around £500 overdrawn with £200 charges pending. I have around 4 creditors who are giving me final notices on loans of around £500-600 each. I physically cannot pay them so have opened a top-up credit card to put my wages into. I am leaving that address, and for one second I pondered just leaving it all and letting the blacklisting commence, but I am scared bailiffs will come to the house as it is is private and shared.,

I really need some help on what to do. I cannot afford an IVA/bankruptcy, and there is no way in a million years I can afford to pay any of them back. I need to know also if these creditors (wonga, paydayloans UK, Quickquid etc) can access the top up credit card I have? It is imperative that my wages are not touched, and I have no other way of opening an account. Can they access the account and take money out?

I really do not know what to do and last week I went to hang myself, but did not go through with it. This is not a sob story, just the truth, that's why I took out all the pay-day loans as I was in so much debt anyway.

I really need to know what to do on the whole situation, but the main points are is my top up credit card safe for me to use for my wages, and will these pay day lenders be contacting my work as I gave their details when applying and I am worried they will phone here. My job is the only thing I have right now, I cant afford for work to know what I have done.

Please can anyone help with the

- accessing top up credit card account query (are my wages safe?)
- contacting work issues (will they contact my work?)
- Will they send bailiffs round as of missed payment date?
- as well as what the bets route for me is know seeing as I can never pay these people back. Do I write to them, tell them new address?
Thank you.

downsizer3

There are many people on here better placed with the technical stuff than I am but one thing I know is that if you are communicating with your creditors, they are much less likely to start chasing you ( at work or home).
Fisrtly you need to write to all the companies and give them a statement of account showing your debts and outgoings. Then you can get to a position where you can start to repay at an affordable rate.
If you go onto makingsenseofcards website and fill out the SOA and post it here we can all see your incoming and outgoings - maybe be able to help more.
None of this is worth taking your life and people have managed their way out of debts like yours ( and worse) - it is achievable. You've made the first step - now let people on here help you through it.

speeddial

First of all you need to post up an SOA (Statement of Affairs) so we can see an overview of all your debts not just the paydayloan companies.

I would suggest opening up a CO-OP Basic Cashminder Account and have your wages paid in there. Just give them a call on the number on their website and they will be able to help.

The Payday loan companies are likely to contact your work if they have your work number, however if they do just politely ask tell them that it is a work number and you do not want them to contact you there. In fact it is best to ask that all contact be in writing, there are template letters on this site that you can use requesting the phone calls to stop.

If you cannot afford to pay them back at this time at least offer a token payment even if it is just a pound, however don't pay it by Debit Card or your new top up credit card, ask for account details and set up a standing order from your new CO-OP account.

With regards to Bailiffs it may come to that but not in the short term and ususally not if you make efforts to make some sort of regular payment towards the debt.

Aprt from that well done for coming on here and trying to tackle your debt problems, there are many great people on here who will help you through :-)

sarahs999

Jordan, take heart. I can't help with the details but I can repeat Martin lewis's observation that that is no debt problem he has yet seen that doesn't have a solution. You've made the first step by coming on here. Keep posting. More people will be here shortly.

DS4215

Have a look at the CCCS website. They can help you sort things out and point you in the right direction. And if that direction is bankruptcy then it is only money...

ampafc

Hi Jordan,

Well done for coming on here. It's important to face up to your debt rather than simply run away from it - as earlier poster pointed out, there is always a solution to debt problems.

You really need to post up your SOA, so that people on here can give you some advice. Personally, I would suggest contacting the payday loan companies to explain your situation, and they might be able to offer you affordable payment plans. Some are much easier to deal with than others, but that's life I'm afraid. I have alos struggled with payday loan debt, but I have contacted all the companies and am paying the money back each month.

All the best.

rubytob

Hi Jordan,
I was in the same mess, I had 18 payday loans and owed approx £3k at the end of each month I was left with nothing and had to reborrow to eat. My rent etc was becomming effected. I have epilepsy (stress related) and my seizures began to get worse. I ended up also contemplating suicide. At which point my mother stepped in and wrote to each creditor describing my health and the fact that I would leaving work (which it was beginning to look like). Long story short I went on here and read about CCCS and I contacted them immediately. I had my Debt Management plan set up today. Strangely enough I haven't had any more seizures so it looks like I can keep my job after all. I may even be paid at the end of the month as I opened a new account with the CO -OP.
What I can say is that they do phone your work, they also leave scary messages on voicemail, I am still a bit afraid but CCCS say not to worry. One company even told me they refuse to deal with CCCS but all I can do now is wait.
On a happier note I feel so much more positive for admitting I was struggling and CCCS seem very helpful and I would recommend them - so far.
I will keep you informed of my progress but please do not think of suicide I did and I am sooooo glad I didn't. It is a mess but you (and me) will get out of it at some point.
pps if anyone can advise me what to do with creditors not accepting CCCS please do, cccs have said just to keep paying the plan. I also dared to look at a few unread bills last night and realised I have about another 1k of debt can you add to a DMP?

Just_Plain_Jane

Hi Jordan, just wanted to show you this thread which has a lot of info on payday loan companies:

https://forums.moneysavingexpert.com/discussion/2735257

It might contain some useful info for you.

RAS

Jordan

You do not need to go bankrupt.

You do need:

1. A new bank acount that is not in any way related to your existing bank account provider. If that top-up card is provided by a company that has any relationship with your exisitng bank provider, the bank and the Payday loan companies can charge their debt to that account.
2. To contact one of the debt charites and ask their help. They may suggest a debt management plan.
3. To write two letters to these companies. One stating that you are taking advice from a debt charity and making a £1 token payment. The other requiring them to remove ALL phone numbers from their records, including work. You need to give them an address to which they can write.
4. Read the excellent thread by saltnvinegar to which Just palin jane linked above.
5. Just in case they try to panic you; they cannot send bailiffs. Only courts can sanction bailiffs and you will get a number of chances to argue your case before that happens. And even if bailiffs are appointed, then can only enter the house if you or others let them in or through an unlocked door or window. Most of the time, they get fed up and give up.

poppasmurf_bewdley

Debt Relief Order might be for you. Check if you come within the rules.

Nurse1978

I myself are in a utter mess with payday loans most of them are on my debt management plan they really are cruel ways of lending vunrable people money. stupidly i kept one on with wonga on iv been paying it off re borrowing for the last year. paid 1100 off it this month unfortantly they will not tooch me and lend me it back so i,m now 1100 down luckily had anuff money to pay off mortgage and thats about it. I advise anyone to avoid them