My TXTLoan debt is currently my second smallest debt and the balance as I write this stands at £35.25.

The original balance was £249 after all the charges were added on. The loan amount was a mere £100. Not a bad way to make a living.

What happened with my TXTLoan?

My TXTLoan was one of the last loans I took out. I can’t exactly remember why I took it out, suffice to say that I had probably been gambling and needed the money.

I did not repay the TXTLoan because I had moved Bank accounts so when they came to collect the payment, it failed. The charges started being added on after that and the balance grew.

I also received a lot of e-mails asking for repayment but I don’t recall getting any phone calls.

At the time, I made no attempt to enter into an arrangement to pay because I had encountered difficulties setting up repayment plans with other payday loan companies.

I took the attitude of, why bother? It won’t get me anywhere. I could have repaid this loan, but surrounded by £45,000 worth of debt, I couldn’t think straight.

Looking back, I should have just repaid the £110. I didn’t so here I am today writing about it.

How long before the TXTLoan went to a Debt Collection Agency?

I think it took three months for the account to be sent to the Debt Collectors. In that time, a lot of charges had been added on, and then when the debt collection agency got the account, they also added an extra £49 making the balance £249. The name of the debt collection agency is Fredrickson International.

What are Fredrickson International like to deal with?

They are alright I suppose. I have already dealt with them in the past, when I had the first debt disaster so I knew what I was up against anyway.

They called me whilst I was at work, presumably because they had my number from TXTLoan. I explained to the person calling me that they had called my work number and asked them to remove it, which they did.

Whilst we were discussing the account, I was given various options to settle the account in full at a discounted rate. I was not going to do this due to all the charges and said I would send an offer of repayment through the post.

I haven’t heard from them since I started my repayments and I only ever contact them to request a balance update and list of payments they have received from me.

How much do I pay?

I sent my repayment offer along with my Income and Expenditure form. The repayment amount was accepted and I currently pay £10 per month. I have also made some extra payments along the way.

It is my second smallest debt and settling it will give me a little satisfaction although it will be a drop in the ocean compared to what I owe. Every little helps though and it will be one less company to deal with.

When will it be paid?

Rather than settling the £35.25 in full, I am just to going to let it run through monthly until the final payment of £5.25 is made. I possibly could pay the extra money, although my budget is so tight that it may possibly cause me problems. It will certainly be repaid by January 2013 and I will then be able to take it off my list.

Debt Balance update

At the time I am writing this post, my total debt balance is £41868.07. I have a very long way to go and I am aiming to finish the year owing £41,000.

Have you got any small debts? If so have you repaid them in full or have you chosen to repay them monthly?