What are the consequences for me not paying back payday loans? I am already starting to call my loan companies where I took these payday loans, but I don’t answer the phone yet, because I don’t know what to tell them.
Do you provide any help with paying debts? I did not expect to lose my job and did not put off anything for a rainy day, I lived on a regular basis. I have no income overnight. How to proceed? How to talk to creditors? Is it possible to negotiate the distribution of payday loans into smaller installments?
Will it be possible to get help in obtaining a consolidation loan to pay back payday loans? I must admit that converting all payday loans into one smaller installment could make it easier for me to get out of debt. I will be grateful for any help!
Help in paying out payday loans
Debt in payday loans is characterized by the fact that penalty interest for failure to pay the payday loan on time increases very quickly, and very often the debtor receives paid reminders reminding of timely repayment of debt.
So in this part of the article I will recommend you read these two entries:
- What is penalty interest and how much can it be?
- What is the prompt from the loan company and how much does it cost?
Therefore, debts in payday loans are one of the worst types of debt the debtor can deal with. That is why it is so important for you to act quickly to prevent rapidly increasing interest, prompts and finally the termination of the temporary contract.
Because if it happens, then the loan company usually gives the debtor a maximum of 30 days to repay the entire outstanding amount, together with interest and other charges that accompanied the payday when it was incurred.
Dividing payday installments into installments
Know that some loan companies agree to divide the payday loan into installments, while others just the opposite. To find out which loan company will allow you to break down payday loans into more smaller installments, you would have to submit an application for payment of payday loans into installments for each of them.
Here I encourage you to read the guide: how to spread the payday loan in installments, where you can also find a sample application form for download.
It is now very fashionable among loan companies to allow the borrower to refinance payday loans. This can be done by logging in to the customer panel on the website of the loan or telephone company.
Unfortunately, the refinancing of payday loans is quite expensive, because the whole process is based on the principle that the debtor having a problem with repayment of the installment on a given day prolongs its maturity for another week or month – incurring quite high costs, which are determined individually by the loan companies.
The effect of refinancing the payday loan is such that, having no full amount to pay the payday installment, we postpone its payment by paying a percentage of the amount we should pay, then the debtor gains another week or month to pay the entire amount of payable payday.
Is such help in debt for payday loans worth attention? well, not completely, because the debtor incurs not small costs of extending the payday payday payday, but gains little … while gaining the bank account of the loan company …
Help in obtaining a consolidation loan
I am not a financial advisor and do not mediate in obtaining consolidation loans. However, I can tell you that obtaining a consolidation loan or a consolidation loan will not be possible in your current situation.
First of all: having no job and no systematic income – you have no creditworthiness, all banks and most loan companies will refuse you a loan to pay payday loans. If this is a poor credit history, then practically the chances of getting funds to consolidate payday loans are almost zero.
Therefore, being in your place, I would postpone consolidation for as long as you do not find a job and build decent creditworthiness because it is the key factor determining the granting of a loan or consolidation loan.
Consequences of non-payment of payday loans
Failure to pay the payday loan in time, as I wrote, will result in increasing penalty interest, costs of reminders, and after the termination of the payday agreement, the debt collection company will enter the game, followed by a bailiff.
I wrote about the costs of operating a debt collection company borne by the debtor in the entry: What will the debt be borne by the debtor? if the debt collection company cannot collect your debt, the loan company will take the case to court to obtain a payment order and be able to have the debt collector bailout later.
What to do? How to get help paying back payday loans?
Answering your question: who can help pay the payday loan – unfortunately, I will have to disappoint you with my answer, because only you can help yourself and I’m not talking about taking further consolidation loans, just about reorganizing your household budget, finding a stable source of income, building a good history credit and attempts to spread the existing payday loans into more installments.
In addition, there is no such thing as financial help for indebted or help in debt, the only help you can get is to hit you with another loan that will not help you much, except that you will deepen your debt even further. You have to take care of your own interests and your future.
All other companies that supposedly offer help in paying off debts, or debt relief companies, will try to spend even more and more money from you, often offering their services at a very low unsatisfactory level.
Let me put in a saying that fits perfectly with your message in the situation you find yourself in, it is a saying: ” can you count? Count on yourself! ” I also encourage you to study our blog, you will find here a lot of valuable tips on getting out of payday loans.