Payday loans are financial Russian Roulette!

Progress2

Dear All

I've been in a mess for most of the year with having been tied to payday loans (PDLs) for most of 2012. I have managed to pay them by rolling them over but now really need to pay them off. Yesterday a message and missed calls showed up on an old mobile number I used from the Money Shop. Basically as I had lost and cancelled my debit card while seeing family in South East England. To my horror this caused my payment to the Money Shop to be rejected. I called the Glasgow branch of the Money Shop, where I usually stay and they told me it would be sorted out if I paid the minimum £65 I had agreed upon if I went into a branch tomorrow.

The Money Shop Glasgow gave me a 0800 number to call to confirm the arrangement to pay. Now these women I spoke to on the phone were pretty rude and unscrupluous and seemed to want to go for the jugular. I eventually understood that they could not take my payment out of my bank out because I had cancelled the lost Visa deit card. (I thought they were taking direct debits). Now they say they have to charge me £25 extra for failure to repay on time.

Please help me to understand how I can get out of paying extra fees. I'm supposed to be on holiday and really am in quite an inaccesible place in Berkshire. The Money Shop are expecting me to take a round trip out of my way to pay them at least £75 tomorrow.

Boris_Allen

Hmm tricky one. At the end of the day it's not their fault that you cancelled your card and can't get them payment on time so I don't really see how they're being unreasonable charging a late payment fee.

Boris_Allen

Also, where in Berkshire is "inaccessible" lol

Firewalker

Sorry, I wish I could be sympathetic but...You took a payday loan; then instead of paying it off you took another one to pay the first...and so on. The fact that you had to go for payday loans tells me that your credit rating is not great to begin with.

After all that you cancel your card etc. Forgive me but how are payday loan like Russian Roulette. It sound to me that you are like a 'loose cannon' financially.

Firewalker

Progress2

I don't want your sympathy. I want to get out of the PDL debt trap. Don't patronise me.

Progress2

what's OP mean?

Adoremouse

Progress2 wrote: »

what's OP mean?

OP means original poster.

Am I missing something here? Why is this poster being jumped on like this? So many people have fallen into the trap of payday loans, I thought this board was meant to be non judgemental?

Maybe there's more to this than I've realised, because the replies seem overly harsh to me!

happycamel_2

Adoremouse I think it was the "inaccessible Berkshire" that did it, although to be fair to the OP some bits of West Berkshire near the Oxfordshire border are quite rural.

The point is, OP, the charges are fair enough given that you haven't paid them on time so I don't think you can "get out" of them. Your credit rating will have been shot by now anyway but I suggest one of the following, preferably the first:
1) tell your family and ask for an interest free loan to get out of the PDL cycle then rebudget to live within your means and pay the loan back

2) ask for a repayment plan which means you will get a default in your file for 6 years but they should freeze the interest. Then you repay what you owe by installments (whilst living within your means)

Progress2

Boris_Allen wrote: »

Also, where in Berkshire is "inaccessible" lol

I don't drive and have a disability which makes it hard for me to get public transport/

happycamel_2

Progress2, it means opening or original poster, in this case you. It allows the post to be clear they are addressing you directly without them having to memorise and retype your name.

DireDebts

Pls remember Debt-Free Wannabee's for support and help not judgement
Dear MoneySavers.... Debt Free Wannabee is one of my favourite boards on this site. It's also one which runs a delicate balance. Many people who have serious debts have hidden them for a time, been scared to confront them, suffered depression or have even had suicidal thoughts because of them. While elsewhere on the site robust discussion is welcomed, in Debt Free Wannabee may I politely ask MoneySavers to err on the side of kindness. Of course many are in debt due to over-spending, financial illiteracy, or mismanagement of money (and some through no fault, only due to change of circumstance). Yet the fact they are here means they're looking for help, guidance and to take charge of their finances - and that in itself is admirable Please use your knowledge and kindness to help rather than to berate. This board often has the power to move me to tears with the sheer power of the community that's grown and I hope it will continue. If you feel it’s important to point something out that the poster may find negative but needs to understand, then it's not a problem, but do think carefully about your phrasing - people can be very sensitive and nuances may mislead when it’s in an online Forum. I love this forum. Many have been and seen through their debts. Yet as it gets larger it's easy for the 'anonymity' of posting to mean as well as protecting users, it's easy to 'post and leave'. I hope this note may act as a wee reminder what it's all about. Martin