When you are struggling with payday loans, it can be quite a stressful time. Not only are you worrying about paying back your payday loans, you also have the added stress of your lenders contacting you by letter and phone demanding repayment. They may threaten things such as a debt collector or taking you to the County Court. Either way it is not a nice time.
In this post I provide links to all of the available help here on Debt Advice Blog. That way you can start to put together a plan to sort out your payday loans once and for all. If you are looking for immediate advice then I would recommend the debt advice page as a good starting point.
At the end of the post I also provide some insight into what it was like when I defaulted on all of my payday loans.
When you want to Stop Payment to your Payday Loan
If you are in the situation whereby you simply cannot afford to repay your loan then there is something you can do to stop payment. If your payment is made by direct debit you can cancel the direct debit to stop any future payments being made. If your loan is repaid using your debit card, you can also cancel continuous payment authority. Check out my post on How to Cancel Continuous Payment Authority on a Payday Loan to find out more.
When you would like to set up a Repayment Plan
I never had much luck setting up repayment plans for my payday loans. However it does depend on how long it will take you to pay your loan back. If you can afford to pay off your loan in three months then you might have better luck. You should take a look at my guide on How to Set up a Payday Loan Repayment plan to see what this involves.
Lenders should at least try to work with you but in my experience this isn’t always the case and you may get the run around. What typically happens is after a few months the lender will transfer the debt to a debt collection agency, who are usually much easier to deal with.
You are considering taking out a new payday loan to pay off an existing one
My advice is not to do this because you will only make things worse. Have a look at my post about why it is bad to take out payday loans when you are in debt. This is from my own experience and if you have a read through this blog you will see why I don’t recommend this.
When you are looking for ideas on how to pay back your payday loan debt
I did write a post about this, some of the ideas you may have already thought of but it could be worth looking at in any case. Have a read of my post that looks at ways to pay back your payday loan.
Avoiding Payday Loans in the future
I have also covered this topic as well. Whilst this may not be relevant to you now it is probably still worth a read for the future. Have a look at my post about avoiding payday loans to find out more.
When all of the above is too complicated
If the above sounds like something you are not comfortable with then I would recommend getting some professional help. Head on over to the Debt Advice Page to see a list of organisations who can help you.
My Experience with Payday Loans
As I say above I really struggled to get any payment plans set up with the lenders I borrowed from. In the end all the debts ended up with Debt Collection Agencies. I found most of them easy to deal with once I made an offer of repayment and sent an Income and Expenditure Form.
In terms of being chased for payment, I was chased by phone and letter and got chased quite a lot. However I ignored this because I was trying to sort my debts out but wasn’t getting anywhere with the original lenders. I have since repaid three of my payday loans in full but still have a few of them left to pay, as well as all my other debt.
Whilst things may seem really bad now, so long as you start to do something about it things will get better for you soon. Good luck.