Money not coming soon enough

journeyrock

I took an unsecured loan out around January for £2200 with Royal Bank of Scotland but unfortunately quit my job in March. Since then ive slowly been eating into my savings and my overdraft has been put up numerous times to accommodate it. Ive missed about 3 months of loan repayments but finally made Augusts payment. I started a new job on the 13th of this month which was great but the problem is i dont get paid till the 31st and the bank are looking to cut my overdraft by £190 on the 29th. Basically this is non-negotiable as ive been forced to scrap previous agreements because i thought i had a job lined out, but ultimately never got. If i dont have the money in my bank basically my months wages will be wiped out by the bank cancelling my overdraft and ill probably be referred to a debt collectors.

My question is what solutions do i have here? My work has a no-advance policy on wages, so i was thinking of applying for a crisis loan from the job centre but i got through and was basically passed back and forth between them and the budget loan people 3 times before i was hung up on twice because it was close to 5.

Any advice would be appreciated.

dmg24

Your post doesn't really make much sense ...

Where has the money from your loan gone?

Are you only getting £190 in wages?

journeyrock

The loan money has been spent. I have a o/draft limit of £1100 and am at
-£1093. I get paid roughly £500 after tax on 31st. The bank is wanting to cut my o/draft limit by £190 on the 29th. Basically they told me have this money in the bank by then or else. I previously told them that was fine because i had been told i would be paid on the 25th but this is incorrect. My dilemma is that they are taking away money that is not there until 2 days later.

Hapless_2

budgeting loans are only for people on Income support or JSA or other benefits and are only paid after 6 months claiming

dmg24

Then you will get charged for being over your authorised overdraft for two days. Once you are paid you will then be back into your authorised overdraft.

journeyrock

So would my situation merit a crisis loan? The people i was talking to on the phone didnt have a clue. Do i have any other options in getting money by the 29th to put in my account which i could easily pay back 2 days later.

journeyrock

ok so then they wouldnt ask for the whole odraft back straight away?

dmg24

The bank is wanting to cut my o/draft limit by £190 on the 29th.

You said they wanted to cut it by £190, so you would still have the rest of the overdraft facility.

journeyrock

Its a repayment plan and they told me that i had to have at the very minimum £190 available in the bank when they were to take it off. Im currently at -£1093 with only £7 available. They are going to lower my overdraft by £190 on the 29th of every month in this repayment plan and have basically told me that i should have that amount available until the overdraft is down to £500.

Sorry if this doesnt make much sense, i understand it in my head but finding it difficult to put into words.

dmg24

So they are going to deduct £190 from your overdraft limit each month until it is at £500.

This month, you will be over your overdraft for two days, so you will incur charges there. However, if you contact them first, and make them aware that money will be in your account two days later, hopefully this will stop them from taking further action at that time.

You will only be left with £300 to live on for the month, but believe it or not you can do it if you have to. Just know what money you have, and don't spend a penny more.

The problem you will have is in future months, if they continue to reduce your overdraft by £190 on the 29th of the month. Assuming that you will always be paid on the last day of the month, you need to request that they change the overdraft reduction date to either the same day, or the 1st of the month. This will mean that your salary will cover the reduction, and stop any further problems.

If they are not willing to change the date, then I would advise you to contact CAB. It is amazing how much more co operative banks can be when there is a more 'official' part involved.

Hope you get it sorted x

journeyrock

Thanks very much for your advice. Gives me a bit of hope!