Loan/Bank Account Advice.

lexusuk3

Hi all,

Just looking for some advice. I have fallen foul of an unfortunate sequence of events that has jeopardised by financial situation.

I am about to begin a DMP with Payplan today which covers all my outstanding debts with 7 creditors one of which is Wonga.com. On the 26/07/12 Wonga took payments from my Natwest account totaling approximately £700. My Natwest account balance was nil and was at the credit limit (this overdraft is also included in my DMP and I have moved all my funds to my new Halifax account on Payplan's advice). It appears that this is standard process on Wonga's part. Unfortunately they had not been notified by Payplan in time to advise that the debt was being included in my DMP and so preceded to take payment as normal. I had assumed that as the balance was nil and was at the limit the payments would be declined by the bank.

Unfortunately by the time I had my new Acc and Sort for Halifax my works payroll had run and there was no way that they could stop my wages from going in to my Natwest account. As such I have now lost the ~£700 of my wages which not only voids my monthly budget but also jeopardises my DMP with Payplan.

The bank will not chargeback the payments and Wonga will not refund the payments. I just want to get my DMP underway and start on my way to being debt-free but i've been scuppered at the final hurdle.

Can anyone suggest a way that I can retrieve my wages? I suspect the solution is going to via Natwest.

Any help is appreciated.

Tixy

Very unlikely you can retrieve them based on what you have said.
Just the same as anyone who wants to default on a payday loan - you have to ensure your income is safely in a new bank account first.

Even if Wonga had been informed by Payplan of your DMP in time chances ar they would still have taken the funds.

Have you been able to withdraw any remainder of your wages from natwest and presumably take yourself back up to your overdraft limit?

Ask Payplan to defer starting your DMP for a month - and just send token payments or holiday letters to your creditors this month.

Then they'll need to recalculate your DMP to reduce the money owed to Wonga or remove them completely from your DMP (if they are now fully paid off).

lexusuk3

As previously stated, it was simply not possible to ensure my wages had been moved to my new account as by the time I had received my confirmation letter from Halifax my works payroll had already run.

My wages took my Natwest account approximately £700 over my overdraft limit and I have moved these funds from this account to ensure these are safe. This leaves my Natwest account back with a zero balance and at the overdraft limit as before. However, £700 doesn't even cover my rent and bills. I really need my full wage to be able to operate this month.

Is there really no way I can chargeback these transactions? Could I report the transactions as fraudulent? I just need some way to get that money back in to my account so it can be safe.

fwor

lexusuk3 wrote: »

Is there really no way I can chargeback these transactions? Could I report the transactions as fraudulent?

The problem here is that the transaction was not fraudulent. Wonga will say that they had not been advised of the DMP at the time, and were due the money that they took.

As above, contact Payplan about the change in circumstances.

Tixy

They are not fraudulent though - they are in accordance with the T&Cs.

One option might have been to sit up the night you are paid and tried to move your money via online banking as soon as the money went in (and before Wonga tried to take the funds) - this has worked for some people. Or to have asked your employer for pay by cheque this month. Its obviously too late for these to help you (but might be useful to others reading in the future).

I think you will have to accept that money is gone - maybe you'll need to postpone starting the DMP even further and have 2month of token payments to get you back on track. And then speak to your landlord or other bills to see if you can pay half this month and catch up next month.

lexusuk3

I have contacted Payplan and they have said that there is nothing they can do regarding the payments Wonga have made as expected.

I know they will help me with regards to my DMP with them. The problem I have is that now that £700 has gone to Wonga, in the next couple of days I will have absolutely no money until the my next payday 31/08/12. Now that my DMP is underway all my lines of credit have been frozen.

Edit:

One option might have been to sit up the night you are paid and tried to move your money via online banking as soon as the money went in.

That's what I did but Wonga took payments on 26/07/12. Paid 31/07/12.

Tixy

Is your salary around £1400 - and you've lost £700 but still got £700?
What is that £700 going on in the next few days? assuming its rent and bills - can you not cancel DDs etc and then contact your landlord etc to offer reduced payment this month and catch up next month?

Failing that have a hunt round for anything you can sell to help get through the month. Consider looking for your local foodbanks if you don't have a supply of food in and have no friends/family who could help you out.

lexusuk3

Yeah that's right, approx £1400/m. I have paid my rent and all my DD's went through this morning (1st of the month). £500 rent + £277 in DD's. As such i'm pretty much done for the month money wise. I have just over £10 left.

Tixy

What other essential outgoings do you have this month - aside from what is paid and excluding debt repayments?

Might be worth posting on the debt free wannabe section or the oldstyle money saving sections for some practical advice - who will be able to suggest ways you can live on virtually nothing for a month (especially food wise etc).

If you have travels costs these can often be an issue in this situation if you can raise funds by selling things - would your employer consider a small advance if you have travel costs to be able to get to work?

lexusuk3

I only have a few things to come out of my account for the remainder of the month. Total ~£30.

Payplan just called. Deferred first payment to 01/09/12. Will cancel the debit card to prevent any further transactions. They have provided me with a letter confirming the DMP with them. Will speak to Wonga this evening to see if they will refund the transactions given the situation. Otherwise i'll speak to my bank in person in the branch tomorrow to see if they will chargeback the payments given the situation.

Fingers crossed.

andria_53

Hi there

I'm sorry to hijack but trying to avoid starting another thread if I can get some answers here.

I have just discovered my son, who is 20, owes Wonga.com over £500, this has been referred to a debt recovery agency.

At the time, he was lodging at a friends, unofficially, with nothing with his address on it etc when he must have applied for it, and they have given him the money. He was also not working at the time, again why lend him the money with no means of proving income?

Anyway, my question is, is there any way that we can perhaps pull them on this and challenge their obvious lack of due diligence?

Of course I want him to learn his less as he is now working and earning (not much I might add) but as he is already paying of a penalty fare notice from the railways (yes, I know!!!!!!) if we can get this debt removed it would ease things. If he has to pay, then he just has to get on with it.

Any advice much appreciated and apologies again lexusuk for hijacking.