PayDay Loan Troubles

Rorik

Hi, firstly sorry if this is in the wrong section.

Just over 3 years I was student and stupidly took out quite a few payday loans. I started off with 2 but then ended up with 7 so that I could pay previous ones off as I wasn't working.

Over the past 3 years I've been struggling to pay them off but have brought the number down from 7 to 2 (one of them was a Wonga loan that was wiped clean thankfully). I also have a credit card, 3 phone debt with Lowell and a student over-draft that I'm currently repaying and have been repaying for the past 6 months.

At the moment I have 2 PayDay loans but I have not had ANY contact from the lenders in the past year. There have been no e-mails, calls or letters and I'd like some advice on how to deal with them. The amount I owe as well as who I owe it to are below.

Minicredit (Opos Lts now) - £1098.90 - Original Loan £80 - Original Repayment £130

Toothfairyfinance (Digital Finacial Services UK now) - £2815 - Original Loan £400 - Original Repayment £600

I'm currently still a student and don't work at all, though I can pick up a part-time job to start earning. What's my best course of action here? The last time I spoke the both companies a year ago they refused a monthly re-payment of £5 which is all I could (and still can) afford.

DCFC79

Write to them offering £5 but start looking for a job then a full time 1 in the summer.

Well done on getting them down from 7 to 2 and for wanting to repay what you owe.

[Deleted User]

What are you asking?

Are you wanting to pay loan + interest only?

The companies you mention have all but ceased, you do know that, probably good news if you didn't already know.

Off to the FOS they will write anything off apparently and no waiting, despite making a mockery of PDL defaulters pre 2011/2012

Rorik

Deleted%20User wrote: »

What are you asking?

Are you wanting to pay loan + interest only?

The companies you mention have all but ceased, you do know that, probably good news if you didn't already know.

Off to the FOS they will write anything off apparently and no waiting, despite making a mockery of PDL defaulters pre 2011/2012

I guess I'm asking what is the best course of action. The original companies may no longer exist but when I phoned OPOS Ltd and DFS a few days ago they said the loans were still active and I owed them still.

Do I offer them both £5 a month or sit back and wait for them to make a move.

PeacefulWaters

Bankruptcy?

sourcrates

Don't do anything just yet, these companies would of had large numbers of bad loans on there books, they will all end up been sold on at some point, remember, these are sold in bulk, to debt collection agencies, who will then decide which ones to chase up.

Don't make yourself a target by contacting them, if they write to you, then fine, deal with it when/if it happens, in the meantime, I would suggest putting money aside in order to pay these down, should they attempt collecting on them.

There is a good chance here you will not hear anything from them again, and if you ever do, you can challenge them on the basis that the interest and charges were deemed to be unfair by the FSA hence the wide ranging changes made to the pay day loan market.

patman99

Op, as sourcrates has already stated, do not make any contact with them. If you keep quiet and make no payments, then after 6 years the debts become statute barred.

If you find that in the near future these companies do start trying to recover the debts, you could try using one of the debt charities to arrange a DRO. If accepted, then your debts included in the DRO become non-recoverable and are deemed cleared.

Be aware though that you can only have 1 DRO every 6 years, so make sure that you include all your debts including the PDL & mobile phone ones.

[Deleted User]

[QUOTE=Rorik;68211104

Do I offer them both £5 a month or sit back and wait for them to make a move.[/QUOTE]



Sit back, put the fiver aside if it means something.

These lenders both aren't strictly in operation to your fortune
I did think after posting what happens when these lenders close which is sadly why I don't thinks claims against won't last long either...


Forgive my rant; let sleeping dogs lie if no problem, shall be interesting to see the future of these short term loan lenders, I'm considering making a thread although it's difficult to know where to put it there isn't an appreciation of the payday loan board!

sourcrates

Deleted%20User wrote: »

Sit back, put the fiver aside if it means something.

These lenders both aren't strictly in operation to your fortune
I did think after posting what happens when these lenders close which is sadly why I don't thinks claims against won't last long either...


Forgive my rant; let sleeping dogs lie if no problem, shall be interesting to see the future of these short term loan lenders, I'm considering making a thread although it's difficult to know where to put it there isn't an appreciation of the payday loan board!

Personally I think payday loan use has now peaked, the "bad" lenders, who were responsible for the worst breaches, seem to of shut up shop since the FSA clamped down on them, also people realise there a bad thing, as many have been trapped in the payday loan spiral.

For the most part, one month loans have gone away, they now let you pay over a much longer period, which, if you have to use this service, is a lot better than the full amount out of your wages come payday, so things are improving.