Problems Paying Back a Payday Loan
If you are struggling to pay back your payday loan then there are ways that you can tackle this problem.
Contact Your Payday Lender
If you find that you need help with a payday loan then just know that you are not alone. It is important that you contact your payday lender.
They need to treat you fairly and allow you a reasonable amount of time to repay the loan. This could include freezing the interest and suspending charges or suspend the recovery of the debt for a reasonable period if you are with a debt advisor and making a repayment plan.
They will also accept small payments temporarily.
You should keep copies of all correspondence that you have with the lender and write down important details from phone conversations.
Cancel the Recurring Payment
If you are unable to afford the loan repayments then call your bank and cancel the recurring payment so that the lender is unable to take the money directly from your account.
You should do this at least one day before the repayment is due and also inform the lender that you have done this.
Keep a record of when you instructed the bank to cancel the recurring payment.
You will still owe the debt and the lender can still charge interest so it is a good idea that you seek out free debt advice.
Refuse to Roll Your Loan Over
Your payday lender might recommend that you roll over the loan to another month, but this is a bad idea. You will end up having to pay more charges and interest.
Rather get debt advice and agree upon a repayment plan that you are able to afford.
If you are struggling with your bills or finding it hard to deal with the lender then contact a debt advice service.
They will be on your side and help get your debt under control.
Inform your lender once you start to work with a debt advisor.