Payday loans are increasingly popular these days and due to some matters of irresponsibility there are some people who contract these little loans without thinking that they must have the financial stability to pay them back – after all, payday loans are still loans and you have to pay them back.
Well, this can cause a high amount of debt accumulation, but it isn’t something that you should try to cover with other loans, as you’ll only increase and snowball your problem. The best thing you can do here is to take some informed decisions, and throughout this article we will give you some tips, tricks and suggestions to help you out when you’re having some trouble with Payday loans, payday loaners and other payday loan related stuff, so read on.
What happens if I can’t pay back my payday loan?
Easy there, it’s not the end of the world and you don’t have to declare your bankruptcy or anything like that. There are actually some measures you can take to deal with this recurrent problem of the payday loan industry.
First thing you should do is to talk to your lenders. Don’t hide the problem under the carpet and instead be frontal and explain your situation to the payday loan firm that supplied you with the loan. Good, ethical and legal companies are obliged to treat the subject with respect and to provide realistic solutions – maybe even freezing the interest rates and allowing you to pay in periodical payments that are accorded between you and them.
The second thing you should do is to check your payday lender for whether it is regulated or not. If the payday loan provider is regulated then check the regulation he has to operate by and see what the regulation points out as a solution to those cases, you are entitled to be treated as per the regulation and they usually protect people that are in financial trouble, especially because it is the responsibility of the lender to make sure that you can pay back your loan, not yours.
How do I get help if I can’t pay my payday loans and how do I get debt collectors off my back?
Well, this is something you should have thought it would happen before you contracted such loan, but now that you are in the situation you must sort things out – don’t worry, we’re here to help you and we have the right solution that you should think of applying if you feel it will help you out. Just remember that there is no way that debt is forgiven and that no matter what you do you still have to repay your debts, so if you were looking for a way to run away, know that you can’t run away from your financial responsibilities.
Now, the tip to help you here is to get the help of a debt advisor.
A debt advisor will not only help you to get back on your feet but he will get the debt collectors off your back.
Simply inform the payday loaner that you have a debt advisor helping you out and planning with you the best way to repay your debts. Your payday lender will then stop bothering you or sending debt collectors after you. If he keeps on doing that you’ll have to send them a letter explaining that the Official of Fair Trading states that according to its policies that payday lenders have to stop all of the debt collecting endeavors if the client has started to work on the repayment of such debt and is preparing a proposal to repay the current debt in a realistic manner, since he is struggling financially.
Payday loaning firms are obliged to be responsible for their customers’ loans and to be so they have to give you room to think how you can pay back your loan, since you can’t do it by the traditional terms anymore.
The Payday loaning firm that I work with has charged me with hidden fees… now what?
Hidden fees are still a common practice, but fortunately for you they are illegal. So, what you have to do here is to check the regulatory system that applies to that specific payday lender and to write a letter to your lenders where you say they are in direct breach of that regulatory system and that you are waiting for them to credit the value that was taken from you back with all the interest it accumulated.
If the payday lender refuses to comply then you can submit a written complaint to the regulatory system in question and the payday lender will get in big trouble and you’ll get your refund, but they always give you the refund first because they don’t want any trouble, so it is as simple as that – the hidden fees’ problem is one of the easiest to get fixed, since it is as we said before – Illegal.
So, bottom line, you can see that there are a lot of tips, tricks and suggestions you can apply to make your problems with payday loans and payday lenders become substantially easier to solve. Not being able to repay a loan or getting charged with hidden fees is not something that can end your life and the only thing you need to do is to stay informed and to be clear when you are communicating with your lender.
Now, even though the payday loaner is responsible to filter out people that can repay their loans and people that can’t, you have the civic responsibility to answer to their questions accurately so that they can do a proper judgment. If you lied in the screening phase about your income or your job you can be in big trouble, so always stay truthful and remember to compare each offer and if you decide to borrow, then doit only if you can payback. This is the golden rule when it comes to payday loans or any other kind of loan.