MSE News: Payday lenders must comply with new rules from today

marksandsparx

BillJones wrote: »

Yes, I believe absolutely that it is the right thing for them to do. You are trying to hold on to their money, of course they have the right to recover it like this. It staggers me that you believe otherwise.

As to using some life lessons off me, you were probably being sarcastic, but the sad truth is that you probably could. You've managed to make enough bad decisions that you've gone to this sort of lender and then defaulted on your debts, yet you still seem to believe that you know best.

Don't you understand that it is this ridiculous attitude that has lead to your life being the current mess that it is?

To answer your first point, no, I don't want congratulations. I'd hoped to see a glimmer of personal responsibility, the slightest of understandings of what a wreck you are making of your life, and a suggestion that you are ready to take the decisions needed to turn it around, but you obviously know far better than anyone else...

What current mess? I am in no mess what-so-ever. In fact I am very well off, that isn't the point.

I have made this past mistakes and have learnt, seeing as you have never made the mistake, I don't see how you can comment. By your own admission, you have never defaulted on a payment. People do default and these lenders only compound the problem.

The post above shows it perfectly, they shouldn't take money out like they do and leave nothing for priority payments.

BUT seeing as you have no experience with this matter...

marksandsparx

camelot1971 wrote: »

What would you have done if payday loans didn't exist?

I honestly can't answer that question, I just don't believe that recovery method is unethical, clearly I am not alone in thinking that, seeing that the regulation is now in place.

corbyboy

There's a lot of talk about rolling over loans. How does this work exactly? Does the PDL company approach the customer asking if they would like an extension or does it require the borrower to actively seek it themselves?

marksandsparx

corbyboy wrote: »

There's a lot of talk about rolling over loans. How does this work exactly? Does the PDL company approach the customer asking if they would like an extension or does it require the borrower to actively seek it themselves?

Normally the customer requests the extension to the loan. But one PDL company I once had sent a text saying (roughly) "Need to extend your loan? Text back YES to extend your loan by 30days" or very similar to that, it was quite a while ago now! And literally all you had to do was text back YES and they then processed it. Another text would arrive and the money would be in your bank in 15 minutes.
Having said that, the company I refer to was offering fairly low values such as £100-£300 repayable over 30 days.

fozmcfc

There are rights and wrongs on both sides. Both the customer and payday loan companies, need protection.

In the payday loan companies case, they should be limited to extra charges levied. They should not offer customers rollover without first contact being made by the customer. Their advertising should be strictly controlled, so it is not seen as a bit of fun or easy money.

On the customer side of things, anyone who does not pay back a payday loan on time for WHATEVER reason, should not be allowed to take out a further loan for at least 1 year, until after it is finally cleared.

Payday loans do serve a purpose, when used responsibly, but people have forgotten the concept of saving, making do and mend and going without non essential items, they can't afford to buy or maintain.

Butterfly_Brain

BillJones wrote: »

You did not get "stung", they took money that you had agreed to pay but then tried to avoid doing.

Why, when people,such as you renege on your promises, do you turn it around and paint the company that you had over as the party in the wrong?

Do you work for one of these pernicious sharks by any chance?

Butterfly_Brain

Alot od States in America have banned them or severely restricted them, that is why most of these companies can be traced back to US owners.

A list here of all the sanctions are here:

http://www.ncsl.org/research/financial-services-and-commerce/payday-lending-state-statutes.aspx

BillJones

Butterfly_Brain wrote: »

Do you work for one of these pernicious sharks by any chance?

No, and I consistently warn people not to use them.

Stevie_Palimo

If used as they are intended and this is borrow only what you should be able to pay back as and when agreed then a payday loan can help out of diar situations.

BillJones

Stevie_Palimo wrote: »

If used as they are intended and this is borrow only what you should be able to pay back as and when agreed then a payday loan can help out of diar situations.

I'd agree with that. As we see on here, though, all too many people use them for the most ridiculous reasons, without appearing to ever consider what will happen the following month.

Some on here also seem a bit confused by the overly complex view that they can be a mistake to take, but that if you do then you ought to stick to the terms of your freely entered-into contract.