Recently I had trouble with a Wonga Payday Loan and arranging a Wonga repayment plan.
I e-mailed the Wonga collections team to advise that I could not afford to repay my loan, and made an offer to pay back the account over six months.
I did not want to extend my loan as the interest meant I could never repay it. I had borrowed £1000 and had £1458 to repay.
Going Round in Circles
It was a difficult experience setting up my Wonga repayment plan. This was because no matter what I did, I was always asked to call the Wonga collections team, which I did not want to do.
In any event I had put everything Wonga needed into the e-mail. I even included an income and expenditure form so Wonga could see all my income, expenses and other debts I had.
All I needed was their bank account details so I could setup a standing order and forget about it.
Taking things Further
After going round in circles I got fed up of getting nowhere and found the e-mail address for the CEO of Wonga. Once I found the address I wrote another letter to him and to my surprise he responded and everything was sorted.
I was advised that this is not how Wonga would normally operate and that my repayment plan should have been set up.
Setting up a Wonga Repayment Plan
If you are struggling with repaying your Wonga loan then the first thing you should do is to contact Wonga to see if they can help.
If what Wonga propose is not possible then you should write back with an offer of repayment: –
– Send an offer of repayment letter, click here for an example letter.
– You should also complete an income and expenditure form, click here to get one.
You should also consider changing your Bank Account and or cancelling your debit card. I moved to another bank account as I had heard that Wonga could try to empty my account. I also made sure that my salary was paid into the new account as well.
When you don’t get a response from Wonga
If you don’t get anywhere then do what I did and search Google for the CEO’s e-mail address. That way you might be able to get a repayment plan in place.
I would hope that you don’t have to do this as I had been assured that things would change.
Update on Wonga Repayment Plans (June 2013)
Having recently helped a friend set up a Wonga Repayment plan, it seems that this is now a lot easier to set up than when I had to do it.
When you log into your Wonga account, there should be a link on the page that talks about repayment difficulties. When you click through this link you will be asked a series of questions. For example why you are unable to pay your Wonga loan and information about your income.
Next you are asked to complete an income and expenditure form, so for example you are asked about how much your rent is, how much you spend on gas or electricity for example.
Once you complete the income and expenditure form, you are asked about your other debts. After that you should be left with an amount you can pay towards your Wonga Debt. In my friends case this amount was £100 after paying everything else. This means my friend could pay £100 per month to clear the account over 12 months so in effect the payment plan with Wonga is a 12 month repayment plan.
The last step was to select the date of the first payment. After that the set up of the Wonga Repayment Plan was complete.
My friend hasn’t had any debt collection calls and things have been quiet. The plan was set up through the Wonga website and an e-mail confirmation arrived shortly after with a break down of the payment schedule. The Wonga website also reflects that this payment plan is now in place.
How do Wonga take payment on this Repayment Plan?
Wonga do still take payment via your debit card using continuous payment authority. My friend has decided to move to a new bank account and transfer the money for the repayment the day before its due just in case. However according to the Wonga site, so long as payments are maintained there won’t be any issues. Interest has been frozen and collection activity stopped. Not bad and a massive improvement from when I was experiencing problems setting up a Wonga Repayment Plan.
The Wonga Repayment Plan and your Credit Rating
One more thing to keep in mind is that because the account is defaulted, an entry will be made on your credit report and this will impact on your ability to obtain credit in the future. If you can pay your Wonga Loan then I say do it if you value your credit rating. If you have no other option then you should find setting up a repayment plan with Wonga is quite straight forward. Good luck.