MSE News: Payday loan customer charter to launch

Former_MSE_Helen

"Borrowers could be better protected against payday loan companies, after lenders agree to improve Codes of Practice ..."

Read the full story:
Payday loan customer charter to launch

jamesd

I suppose the leaving of the trade association will be as devastating a penalty for a company as it was when Zopa chose to leave the Finance and Leasing Association in early 2009. Since when their business has grown substantially.

Not being a member of a trade association is not an effective sanction, as Zopa has amply demonstrated with their performance.

martintwin

In my opinion, this is in fact a step in the right direction - the direction of educating customers about payday loans. I think education is always the best option to try when it comes to choices that people make. Applying to and taking out a payday loan is a choice in a free society so just like with other free choices that may not be beneficial in the long run, education works best.

jean35

Please can you urgently help me. I currently have outstanding debts to a number of companies which i am trying to sort out. I went to my bank yesterday when my wages were paid in and found that of the 1068.00 pounds that had been paid in there were only available funds of 25.00. I queried this with the bank and initially they could not give me an explanation and everything was pointing to fraudulent misuse. On further investigation and numerous phone calls i was advised that 13 seperate transactions of totally different random amounts had been requested from my account from a payday loan company that i do have an outstanding debt with. The payday loan was taken out initially through a different bank account. I have never given this company details of my current bank account or my debit card linked to this account. I have had no correspondence from them and am currently trying to sort my debts ouit with the help of a debt management company Payplan who are the only people that have these bank/debit card details. The bank have advised that they can not stop the payments even though they are unauthorised which i really cannot understand. I contacted the company in question when the bank told me who they were and was advised initially that i could set up a direct payment plan with them and they would stop the payments. The bank then advised me that the company would need to fax to them authorisation/refund codes and they would sort this out. After approx 7 phone calls to the company in question yesterday and 2 this morning i have hit a brick wall. They are now refusing to stop the payments saying that the original phone call with an advisor didn't exist even though i had a name and extension of the person i spoke to. They have promised to phone me back on at least 5 occasions after they have looked into it and havn't and have also cut me off on a number of occasions. They have continually told lies on the phone. How can a company access my bank account and request funds when i have never made a payment to them from this acoount and have never given my card details to them. How did they know that my wages went in yesterday and why do i have no rights to stop this. Where have they obtained my details from. This has now left me in severe hardship as you can imagine with no money at all for a full month to pay priority bills and buy food or generally exist. This has now made my current situation even worse than it was originally. I am now in a desperate situation and need advice please as to how this can be allowed to legally happen. The original debt was for approx 400.00 and with interest and charges they have now taken over a thousand pounds from me. This surely cannot be legally allowed. There must be something that i can do. Please help.

dealer_wins

jean35 wrote: »

Please can you urgently help me. I currently have outstanding debts to a number of companies which i am trying to sort out. I went to my bank yesterday when my wages were paid in and found that of the 1068.00 pounds that had been paid in there were only available funds of 25.00. I queried this with the bank and initially they could not give me an explanation and everything was pointing to fraudulent misuse. On further investigation and numerous phone calls i was advised that 13 seperate transactions of totally different random amounts had been requested from my account from a payday loan company that i do have an outstanding debt with. The payday loan was taken out initially through a different bank account. I have never given this company details of my current bank account or my debit card linked to this account. I have had no correspondence from them and am currently trying to sort my debts ouit with the help of a debt management company Payplan who are the only people that have these bank/debit card details. The bank have advised that they can not stop the payments even though they are unauthorised which i really cannot understand. I contacted the company in question when the bank told me who they were and was advised initially that i could set up a direct payment plan with them and they would stop the payments. The bank then advised me that the company would need to fax to them authorisation/refund codes and they would sort this out. After approx 7 phone calls to the company in question yesterday and 2 this morning i have hit a brick wall. They are now refusing to stop the payments saying that the original phone call with an advisor didn't exist even though i had a name and extension of the person i spoke to. They have promised to phone me back on at least 5 occasions after they have looked into it and havn't and have also cut me off on a number of occasions. They have continually told lies on the phone. How can a company access my bank account and request funds when i have never made a payment to them from this acoount and have never given my card details to them. How did they know that my wages went in yesterday and why do i have no rights to stop this. Where have they obtained my details from. This has now left me in severe hardship as you can imagine with no money at all for a full month to pay priority bills and buy food or generally exist. This has now made my current situation even worse than it was originally. I am now in a desperate situation and need advice please as to how this can be allowed to legally happen. The original debt was for approx 400.00 and with interest and charges they have now taken over a thousand pounds from me. This surely cannot be legally allowed. There must be something that i can do. Please help.

The clue is in the name of the company.

It was a PAYDAY loan, and it was your payday!!!

gizmo111

I have no idea how they got your bank details but if the transactions were unauthorised then the bank has to pay the money back to you. Check out the FSA knowyour rights on bank accounts.
You will probably need to open another bank account as well - as they have these details and are likely to try and take money again.
Did you make a token payment to these people with this debit card?

DCFC79

jean35 wrote: »

Please can you urgently help me. I currently have outstanding debts to a number of companies which i am trying to sort out. I went to my bank yesterday when my wages were paid in and found that of the 1068.00 pounds that had been paid in there were only available funds of 25.00. I queried this with the bank and initially they could not give me an explanation and everything was pointing to fraudulent misuse. On further investigation and numerous phone calls i was advised that 13 seperate transactions of totally different random amounts had been requested from my account from a payday loan company that i do have an outstanding debt with. The payday loan was taken out initially through a different bank account. I have never given this company details of my current bank account or my debit card linked to this account. I have had no correspondence from them and am currently trying to sort my debts ouit with the help of a debt management company Payplan who are the only people that have these bank/debit card details. The bank have advised that they can not stop the payments even though they are unauthorised which i really cannot understand. I contacted the company in question when the bank told me who they were and was advised initially that i could set up a direct payment plan with them and they would stop the payments. The bank then advised me that the company would need to fax to them authorisation/refund codes and they would sort this out. After approx 7 phone calls to the company in question yesterday and 2 this morning i have hit a brick wall. They are now refusing to stop the payments saying that the original phone call with an advisor didn't exist even though i had a name and extension of the person i spoke to. They have promised to phone me back on at least 5 occasions after they have looked into it and havn't and have also cut me off on a number of occasions. They have continually told lies on the phone. How can a company access my bank account and request funds when i have never made a payment to them from this acoount and have never given my card details to them. How did they know that my wages went in yesterday and why do i have no rights to stop this. Where have they obtained my details from. This has now left me in severe hardship as you can imagine with no money at all for a full month to pay priority bills and buy food or generally exist. This has now made my current situation even worse than it was originally. I am now in a desperate situation and need advice please as to how this can be allowed to legally happen. The original debt was for approx 400.00 and with interest and charges they have now taken over a thousand pounds from me. This surely cannot be legally allowed. There must be something that i can do. Please help.

Jean you would be better off starting your own thread,

Apples2

DCFC79 wrote: »

Jean you would be better off starting your own thread,

Breathing would help too.

If I were a guessing person, I would guess you have applied for "yet another" Payday Loan with the same company running under a different name.
Once they had your details, their sister company swooped in and took the money you owed them.

Payday Loan companies are very good at getting what is theirs. It is no surprise your £400 debt has risen to over £1,000. That's what that horrific APR emblazoned on the front page of the website suggested would happen,.