Payday Loans can quickly escalate into an unaffordable mess.
In this post I provide some payday loan help along with some ideas on how to escape the payday loan trap.
My Payday Loan Mess
Part of the debt I am in is made up of Payday Loans. I have several of them in fact.
The problem was that I kept on taking out more and more payday loan debt, and it got to the point where I could no longer repay what I owed.
I was faced with two choices, try and raise the money to pay off the payday loan debt or default. In my case I chose to default on my Payday Loans.
You can read more about my Payday Loan situation by clicking on the links below. It might make you feel better to know that you are not alone.
Payday Loan Help
So what can you realistically do to try and sort your payday loan problems? Well that depends on what your current situation is.
For example, if you have only one payday loan outstanding it should be possible to pay it back. You could: -
- Sell Some items on eBay. Click here to find out more about selling on eBay.
- If you have old mobile phones lying around, sell them to Mazuma Mobile. I have written a review about Mazuma Mobile here if you would like to find out more.
- Work some overtime at work to try and cover the extra cost.
- Try to negotiate with your payday lender and offer a three month payment plan.
- Try to reduce your expenditure for a month.
Payday Loan Help for when you have several payday loans outstanding
If you have a large number of outstanding payday loans like I did, then your only option might be to try and negotiate a repayment plan with all the payday lenders you owe money to.
However based on my own experience don’t expect to get anywhere with some of your lenders.
What you may find happening is that your payday loan debt will be transferred to a debt collector. Once that has happened I found that setting up a repayment plan was relatively easy. However this is not always the case.
If you find that you are struggling then you may be better off speaking to one of the debt help charities. Their details can be found on the helpful links section of this blog.
If you feel confident enough to try and negotiate with your payday lenders you need a couple of things to do so. You would need to complete an income and expenditure form as well as sending an offer of repayment letter. The two links below provide these documents for you: -
The effect on your Credit Rating
Please remember though that your Credit Rating will be affected if you don’t make the required payments. Even if you do set up a repayment plan there will still be damage done to your credit report.
If you want to avoid this the only thing you can do is to repay the loans. My advice would be find some way to pay off those payday loans and then never ever use them again.