Payday loans can be a viable option for you if you are trapped in midst of monthly emergency expenses and you have already spent your monthly income on other day to day expenses. But failure to pay the payday loans on time can trap you in an even more complicated situation. In such condition, payday loans can become too pricey to help you. Quiddi Compare can help you in obtaining payday loans from reliable companies.
Being trapped in payday loan debt can be scary. If you rely on payday loans to meet your emergency expenses, you should know how to deal with payday loan debt.
If the repayment date is looming you and you are struggling to find out a way through which you can pay back the payday loan, the worst thing that can happen to you is to get panic attacks. Don’t panic! You are not alone, as many people fail to pay back their loans, but they get out of debt because they plan smartly.
Contact the Lender
You should not struggle in silence and contact your payday loan lender as soon as possible. Your payday loan lender has your signed bank cheque and if he or she goes to the bank to get it cashed and it gets bounced, then your bank and loan lender will charge you additional fee.
Payday loan lenders must abide by the law and give you a reasonable time to repay the loan. They may also freeze any interest or suspending charges. Some lenders may even accept small token payments from you if you are totally broke.
Roll Over Your Payday Loan
Your lender may give you the option to roll over the loan if you are unable to pay back the money on due date. Rolling over the loan means that the lender will offer you more time to payback loan against a fee or interest. Rollovers usually last for the same time as you originally agreed with the lender.
There is no law to determine how many times a loan can be rolled over. Rollover limit varies from lender to lender, but loan rollover further increases the debt on the borrower.
Cancel the Recurring Payment
Recurring payment or continuous payment authority allows the lender to take money from your debit card when they are owed or when the due date has reached.
If you have money in your account, but paying back the loan will render you unable from paying for necessities like food, mortgage, utilities, etc., then you should call your bank and cancel the recurring payment authority of the lender. Make sure to tell the lender that you have done so.
Get Help of a Specialist Debt Adviser
Get help of a specialist debt adviser who can give you free advice, such as the National Debtline. A specialist debt adviser can talk to the lender on your behalf and persuade him or her to stop charging more interest.
Payday loans are convenient short-term loans that can help you in time of need, but it is important to plan your repayment schedule to save yourself from debts. There are many fraudulent payday loan companies in the market, so make sure to keep yourself away from them.