MSE News: Payday loan firms claim unfair treatment

jon1965

It is however totally irresponsible to lay the onus on the debtor to contact them to make the full payment before a certain time on a certain day . This could lead to rollovers for months on end. There are several payday loans that are almost impossible to get hold of on the phone. I was given payday loans of several hundred ponds when I had defaults galore on my file.
Even if they didn't do full credit checks but had a database that they could access just for PDL's it would be a start. Again there are people with over 2K of PDL's active.
I have only come across two payday lenders that have acted responsibly and have continued to when I lost my job. Even when I had 0 income, 0 housing benefit and 0 ESA coming in they still harrased me daily for money.

jamesd

It's not totally irresponsible, it's how normal credit like a credit card works unless you choose to set up a direct debit, standing order or timed payment. I do think that it's appropriate to offer the facility to take the full charge on the due date instead of assuming an extension of credit, though.

I don't mind someone having £2k of payday loans but I think you're suggesting that people can have 20 payday loans each of £100 and could work around limits that way. I agree that it's desirable to limit the scope for doing that if they aren't affordable for the borrower.

I hope that you reported any payday lenders that didn't follow the fair debt collection guidelines to the OFT.

jon1965

OFT is not the right place to report them unless you use the special form for the investigation and that was part of a consultation. Howevere yes I did.
What I also did with one was follow the complaints procedure, didn't get satisfaction so took it to the Fos, Awaiting results now.
Yes there are people with many payday loans all for maybe 400-600 and they end up robbing peter to pay paul.
Normail credit cards do not work like that unless you have set up a DD to make a minimum repayment.
What I was talking about was the way some (and I an not remeber which now) actually did work, citing some regulation or other as to why they could not take the full amount. I was inexperienced then but not now. I will not make guesses as it would be unfair of me although I did have particular problems with cash genie (for which I have documentary evidence)

jamesd

Glad that you both complained to both - I did mean the OFT because it's a license breach and the OFT needs to know about those, particularly during consultations about conduct.

JoshBee25

Respect can be meant in so many ways;

Fair, reasonable, understanding...

None if them really apply to payday company's I've had one before went drone £50 upto £700 because they make it sound like nothing... After saying I could only pay the roll over fee they kept trying to pushe to take more out... I fiannaly cleared it in one... This was from a small one in Newcastle god knows what wonga & quidco are like...

Anyone that uses them must he desperate I was just young & dumb.