Payday Loan - Reclaiming Charges

jonnyd281

asbokid wrote: »

4214% APR == "slightly inflated"..

Isn't it a fixed fee?

Stevie_Ramone

I think it is worth mentioning that in my case, I was suffering from severe depression when I entered into multiple payday loans. 6 months on, following a lot of treatment, I am still trying to sort out the fallout, including just having had £1550 taken from my account for a £200 loan that I defaulted on.

Whether people say it or not, there is always the scope for reasons outside of an individual's imagination for why people use payday loans in the first place and some of the responses on here aren't exactly encouraging to people who may be in a similar situation.

Please play nicely!

jonesMUFCforever

Stevie_Ramone wrote: »

I think it is worth mentioning that in my case, I was suffering from severe depression when I entered into multiple payday loans. 6 months on, following a lot of treatment, I am still trying to sort out the fallout, including just having had £1550 taken from my account for a £200 loan that I defaulted on.

Whether people say it or not, there is always the scope for reasons outside of an individual's imagination for why people use payday loans in the first place and some of the responses on here aren't exactly encouraging to people who may be in a similar situation.

Please play nicely!

I have not read the rest of this thread.


A few questions - did the payday loan company know you were depressed - did you tell them?
Do you think all lenders should get customers to complete a medical questionnaire when applying for credit?

opinions4u

Stevie_Ramone wrote: »

I think it is worth mentioning that in my case, I was suffering from severe depression when I entered into multiple payday loans. 6 months on, following a lot of treatment, I am still trying to sort out the fallout, including just having had £1550 taken from my account for a £200 loan that I defaulted on.

Whether people say it or not, there is always the scope for reasons outside of an individual's imagination for why people use payday loans in the first place and some of the responses on here aren't exactly encouraging to people who may be in a similar situation.

Please play nicely!

Depression is an evil that I wouldn't wish on my worst enemy.

Decisions made when depressed can often be poor.

But it doesn't mean a depressive should escape from their commitments. So in what way should people be more encouraging?

Beyond saying "don't take a payday loan, ever" I'm struggling.

nyc_451

jonesMUFCforever wrote: »

A few questions - did the payday loan company know you were depressed - did you tell them?

If someone is applying for a loan and says to me, 'oh I have a severe depression, can't think clearly', I would ask that person again if he understands all terms and conditions, and if he says yes, I process the loan. If I were to call any of my bosses and say, look this person says he is depressed, I don't know if I should give him a loan - 100% sure none of them would tell me to reject it just because he SAID he had a depression, I might as well think I have depression while I'm in a bad mood.

I know there are some rules about not giving a loan to people with mental health issues, but who the hell am I to assess whether they have it or not?????

jonesMUFCforever

blue_mango wrote: »

If someone is applying for a loan and says to me, 'oh I have a severe depression, can't think clearly', I would ask that person again if he understands all terms and conditions, and if he says yes, I process the loan. If I were to call any of my bosses and say, look this person says he is depressed, I don't know if I should give him a loan - 100% sure none of them would tell me to reject it just because he SAID he had a depression, I might as well think I have depression while I'm in a bad mood.

I know there are some rules about not giving a loan to people with mental health issues, but who the hell am I to assess whether they have it or not?????

EXACTLY !!
IMO It is an excuse to avoid paying - you don't see anybody on here who has paid their loans back complaining about illness do you?

tripinit

I also do not agree with the claiming / litigious culture that has come to roost in this country.

That said, some, not all, payday lenders do not play fair. Some of them do use extreme bully boy tactics with customers that are either unable to repay at the point in time they have agreed to and / or just need an extra few days.

I don't think it's good enough to simply say "don't use payday lenders" either if someone is already stuck in the payday loan cycle.
Although I would agree, that they should be avoided and really carefully think about it if you think you need to use them. I would also question if they actually provide a much needed service - the rates are extortionate - they don't need to employ loads of people and I hate the fact they are all advertising on telly these days - just shows how much they're making. For those that think they'd rather pay them then have bank charges, well, in many cases they are funded or owned by banks so think again I would say.

A rule of thumb, assuming you are stuck with payday lenders and cannot repay tell them that, agree a repayment plan that you can afford, and the amount payable in total should not be more than the original loan and 30 days' interest.

From my knowledge the lenders that will come to a reasonable agreement with you are Wonga, QuickQuid (although they want to use card transactions only which might not be helpful if you're overdrawn / others are trying to take funds from your account etc), Towers Credit (PrimePayDay), PayDay Express and I think PDUK (not sure on the last one, I have never used them and I don't know anyone that has).

WageDayAdvance (PDL) aka loads of other names are a little unfair as they effectively seek increasing interest for each month you cannot pay in full, but their charges are not as excessive as some, and on this basis they are not quite in the "play dirty" category

The ones that play dirty are Toothfairy, Mr Lender and Minicredit - try to avoid. If you are already using them, pay them off and never use them again. If you are at a point where they are using their threats / bailiff action (yes they threaten that without a CCJ in place - see they play dirty) etc etc then stick to your guns and only pay them if/when they agree to accept one month's interest and the original loan amount. This could go on for 6 months or more with them hassling you by phone, email, letter etc - but stick to your guns and respond to written correspondence only. If they do decide to take you to court, submit a defence and only agree to pay one month's interest and the loan amount - they court won't agree to their costs and definitely won't agree to more interest.

tripinit

Sorry and back to the original question - yes, if you have paid or have had charges of £25 (failed payment) - £72 additional one week's interest, £350 legal fees!!!! etc automatically taken from your account (these are real examples folks) following communication with them that you could not afford to pay them, then I think you should seek to reclaim as these are unfair. Whether you'ed win I have absolutely no idea - be interested to find out