Never Take Out Payday Loans

[gordie1]

Hi there I have got into debt with payday loan lenders and I am worried about one called texloan who at day 46 of no payment (tomorrow will be 1st no payment they transfer it to a collection partner?... Can they come round and threaten me or do they have to go to court to get an order. I am with christians against poverty an organisation that negotiates with creditors on my behalf and come to an agreement but I am really edgy now. Do you think I am worrying unneccesarily? Never take out payday loans they are really bad I was stupid and will never do it again, the crazy thing is I am unemployed they should not be giving out loans to unemployed people but I should not be taking them!!

[bednobs]

gordie, i wholeheartedly agree with you. Although i hate people who say "told you so" if only you had listened to the advice of ab'ers when you took these loans out, and i hope other people do.
i'm afraid i don't know the answer to your question about collections

[stokemaveric]

you really are responsible for you own actions gordie1 however its not a nice position to be in...they charge an extortionate amount of daily interest,as you probably know, so id call the loan company direct and explain your situation or else you will end up deeper and deeper in debt..why not try the c.a.b??..sorry not much advice given i know but do try and steer clear of these loan sharks...

[Vivkins3]

I think they will have to get a Court Judgment before they can send in Bailiffs. I've never been involved with such people but I would bet my bottom dollar you had to sign a contract which would be loaded in their favour and allows them to charge extortionate rates of interest.

So you're unemployed and applied for a payday loan? Your "defence" seems to be "they should not be giving out loans to unemployed people". So who approached who first and did they kneel on your neck to take out a loan?

Take responsibility for your own actions - I'm afraid you don't get any sympathy from me.

[factor-fiction]

Do you have other debts as well, gordie. You should probably pay off the one with the highest rate first, and that's probably a payday lender

[NOX]

what will happen is they will transfer it to a debt collection agency who will then write you nasty letters or threaten to send as 'collection agent' round. They have no power whatsoever to do anything or take anything without a court order. Do not reply to them and the worst that will happen is you will get a default on your credit file. I have never known one of these companies actually go to County Court because the courts have little sympathy for them and without that there is nothing they can do to harm you, so please stop worrying, they just sound aggressive.

[gordie1]

Thank you Nox you have reassured me. I really appreciate it. I know I should not have taken them out and I will never do it again and it was my own fault but I do think that payday loans should be for people who get a pay day rather than a benefit day. I think people here are a bit hard especially vivkins and judgemental I fully accept I made a mistake. But Nox was very gentle and reassuring.

[Electrochem]

Let CAP deal with it. They are a great organisation and will take care of everything for you. You are not alone in this. We have all made mistakes and you are doing the right thing by going to CAP.

[factor-fiction]

NOX may be right in this case but it does make it sound as if taking out a payday loan and then defaulting is an easy option. If that is the case it's hardly surprising they charge so much since they need to make up for all the money they can lose to such defaulters.
I would still take advice from a free debt advice organisation- maybe starting with CAB

[themas]

f30 CAP is a free debt advice outfit. gordie shouldn't be using CAB as well as them.

As NOX says, if anyone comes to the door they have no rights or powers. Don't let them in; tell them CAP are acting for you & will be in touch.

If you are issued with a Court claim make sure (with CAP's help) you put in a financial statement & payment offer by the deadline on it (normally 2 weeks).

A lot of these payday outfits get something called a continuous payment authority at the outset. This entitles them to take money from your bank account more or less whenever they wish. If they have such an authority from you & it is causing problems (eg the bank rejecting their demands due to insufficient funds & then charging you for doing so) then you can cancel it. You have to write to the bank giving them the details & telling them you have cancelled the authority; & send a copy to the payday outfit telling them not to attempt to take any more money.

[Electrochem]

Sound advice from themas.

[Vivkins3]

Yes I was judgemental - you are failing to take responsibilty for your own actions.

Even YOU said "I do think that payday loans should be for people who get a pay day rather than a benefit day". So why did you take a loan when you did not have a job?

[gordie1]

I think Vivkins works for the financial industry or an energy company

[Vivkins3]

Vivkins is actually retired. She has a small pension from a grateful government and an even smaller personal pension. By not spending money she didn't have she never got into debt and actually has savings.

Unfortunately, the mentality nowadays seems to be I WANNIT AND IT WANNIT NOWWWWW.

[Vivkins3]

And no, she never worked for a financial institution or an energy company :-) - she worked in the REAL world.