23 May 2015

A question about : Back again.... And in even more trouble.....

Hi all

I have been on a DMP with step change for the last 4-5 months. Things were going very well at the start, my finances were getting back in order and the stress from debtors contacting me constantly was gone.

About 2 months back my car had to have major repair and i had to take out a payday loan to cover the cost. I had to do this as i need my car for work and i would not be able to work without it.

Now this really messed me up and i started taking out more payday loans out to help me cover old ones and help with bills, but now i cant cover all my bills and the repayments on the loans (there are 4 in total). The other problem is that Step Change do not know about any of this so far and i cant face up to tell them in case they throw me off my DMP (which i thoroughly deserve to be honest).

I should have known better after having a similar experience at the back end of last year. Money is getting tight and i haven't got anything to service the debt at the moment. I have got important payments on my child's nursery and to my girlfriend to pay her bills at the end of next week, and i just will not have enough money to cover all this.....

i am in such a mess, haven't slept properly for weeks now. I can barely afford to put food on the table, petrol in my car to get to work or anything anymore. I cant even smile anymore as i am just constantly thinking about what is gonna happen to me.

i hate my life at the moment, its all my fault and i just dont know where to turn now.

Best answers:

  • Tell Stepchange. They're a debt charity, I can't see them throwing you off the DMP. It's more likely that they'll try to include the PDL companies in the DMP.
    You need to try and figure something out though so that you have some emergency money available, because otherwise what are you going to do the next time your car needs repairs, or any other emergency that might show up? Payday loans aren't the answer at all, especially when you have no way of paying them back, with their high levels of interest.
  • Hi Leigh, I didn't want to read and run.
    Some one I'm certain will be along to give advice .
    My suggestion , could you loan the money from family to pay off the payday loan ? Don't be worried, debt is one of these things we don't talk about until it's crisis , I've learnt that
    If not, car boot , cash cov3rt3rs to sell unwanted/ used things.
    I'm not going to say don't use them again , I think you know that .
    Try supercook website type in what you have food wise/ store cupboard and they generate a recipe for you
    Take care x
  • Hi Mattye
    thanks for your reply
    I want to tell them as i know they are very good at what they do, and if i could add the new debts to my dmp then evrything would be ok. I just dont want to tell them for them to throw me off as this would set me back even further.
    What i have done breaks their terms and conditions of the DMP. You are 100% right about the payday loans, they are NOT the way to go. I just had to use first one to pay for my car. Thats when things got out of hand for me and now i am in big trouble as i dont have money that i really need.
    Ive fallen behind on council tax payment for last month aswell....
  • is there anyway to borrow the 160 off of your gf and then sell it and give her the money straight back?
    you need to work in an emergency fund to your budget maybe putting an SOA up here some us may be able to help with that.
    have you checked you are claiming all the benefits you are entitled to?
  • Talk to stepchange.
    Worst case scenario if they cancel your DMP is to do it yourself and add the loans.
    Have you/are you going to cancel the CPAs on the payday loans?
  • Yes i completely agree mattye, it is very hard to accept that i will not be able to make the repayments on everything.
    Im hoping to get money to pay back my ps4 and then sell that, as i have a week to find the money to pay my gf.
    Then i can get on to step change after the bank holiday and see what they say about adding new debts to dmp. And if they throw me off then i will have to go it alone. My only worry about that is if my creditors start to phone me at work then this will really jeopardize my job, my boss was not pleased with the amount of calls coming in before my dmp, so for it to start again could be disastrous.
    Im relying on selling my ps4 this week as i will not have ANY money for shopping otherwise....
  • Lots of ridiculous advice about borrowing money from your family to pay payday loans. Ignore it.
    Stop paying all debts except those essential ones like rent, council tax and utilities.
    What are they gonna do? Send you letters. When they send you letters you rip them up without reading them.
    Getting stressed out and borrowing from your family will likely make things worse for your family.
    Think about your family first, not payday loan companies.
    Get a new bank account and start fresh.
  • Regarding the calls, you could write to your creditors now asking them to remove your work number. If they need a number, get a free PAYG sim on your current network and give em that number. You can then check it when you want.
  • and, even more ridiculous is the debt charity that didn't clearly, set a reserve or educate someone about building an emergency reserve? no?
    Begging SC - forget that - you ask them to re-assess you and question them as to how come you have ended up in this position OP
    To many think it is an easy way to just blame PDL's the charity should have done more IMVPO