Up to my neck in it

amyhill

Hi everyone. As the title suggests im up to my neck in it and really wanted some advice. Has anyone ever had any dealings with the moneyshop? I made the mistake of getting a payday loan with them about 6 months ago and Im stuck in a rut. It costs me 86 pounds per month just to pay the interest and roll them over to the nxt month, which is a lot but I knew this in the first place. However I now have 6 cheques of £100 each due to be banked next week and I have no money left to pay the interest. I really dont know what to do as they will bounce incurring charges from both the bank and the moneyshop.

Has anyone else been in a similar situation with one of these payday companies? My credit rating sucks so I have no option of raising further credit with a reasonable apr in order to get rid of these things. Would it be easier to let them pass it to a debt collector and deal with it from there? At least then I would be paying something off the actual amount each month as the interest will freeze. Please any advice would be very welcome

Amy

HairyHandofDartmoor

Hi Amy. I don't have any experience that could help you I'm afraid but just wanted to say hello. I'm sure someone else will be along soon to help

CCCS_Sarah

Hi Amy,

The first thing to do is change you bank ASAP. This will break the cycle of charges and all your money will not be swallowed up in charges. If you are having financial difficulties you need to put together a Financial Statement, this will detail all your incoming and outgoings. Once you have done this it will show you how much money you have left over after paying your priorities (rent, food, utilities etc) this then would be the money to pay all your creditors.

If you need any help completing a financial statement CCCS do have a free online debt advice facility called Debt Remedy where you can be provided with best advice and a way forward to deal with you debt problem. This link will take you directly to Debt Remedy

Once you have put together you financial statement if you post it on here and all the brill people will be along to help you save money!

Good luck and feel free to ask any questions

Sarah

amyhill

The problem is that I have an overdraft on my current account so if I was to change banks I would have natwest chasing me for £1000 plus any of the cheques that they let go through. Im terrified of telling my bf about this as he has no idea about this debt and wouldnt be impressed im sure! I really dont know what to do.

CCCS_Sarah

If you haven’t got the money to pay you need to try and make an arrangement with your creditors. If the cheques are cashed is this going to take you over you agreed overdraft? If so you will be charged for this. So to stop these charges affecting your priorities i.e. rent etc you will need to move your money to another account. I know you’re in a difficult position at the moment but you need to tackle the debt head on or the same thing is going to happen time and time again.

Sit down and separate your priorities from your debts then you can offer reduced payments to your creditors – this would then be an affordable amount for you and will help ease the pressure.