Pay Day Loans... the blight of poor people?

#41
Ah fair one! The other thing I've noticed is they try to sell literally everything on Facebook local selling pages, I'm talking boxes of teabags or half used bottles of shampoo etc or toys they bought their kid a week previously :scratch:
I had to turn that ‘feature’ off because it was too disturbing.
 
#43
My first few years in the mob were blighted by this sort of thing - straight from school into a first deployment that included every main holiday destination in the Med and Adriatic multiple times. Had I been on 2k per month I'd still have been skint by week two... same with my then peers. You could "smash a cheque" at the ship's office safe in the knowledge that - it wouldn't have been received by the bank until after next payday.

When alongside in Plymouth - you could smash a cheque in the Avondale pub, so long as you wrote your service number on the back and showed your ID card. They'd then cash in the cheque on or around payday. You had to buy a drink in there to do so - so on an average day - the place would be chokker for about 15mins whilst everyone smashed cheques... bought one drink then moved on - until the next "run ashore" arrived.
All this of course added up. Lloyds bank ere very accomodating and I think by the time I was 20 I was running a 3k overdraft - taking home about 1100 pm around then. Until November came: "Sorry Mr Matelot...we are withdrawing your overdraft facility now but - we can offer you a small load to clear the default plus- maybe a bit extra to tide you over...10k should do it....Nice one Mr Lloyd!

There was a clothing wagon that sold branded clothing at an extortionate rate that used to come on the jetty - Jack Blair menswear and Louis Bernards also. Everything was on tick so long as you signed up for the monthly payments and payment protection fee. They also sold things like Seiko kinetic watches, aftershaves and Playstation. Quite common for skint blokes to get themselves a playstation on tick then flog it straight away down the mess for pittance.

Phone companies - I had a mobile phone from about 1994 - some Nokia on Metrodigital, cost about £2 a minute in roaming charges abroad - hardly worked anywhere in England! That lasted long. Went pay & go...received a random call offering me a contract with Orange...put my details in the system..."computer says no!"..."You don't have a middle name by any chance do you?"...Cue pay monthly contract with Orange under my surname as firstname and a bullshit middle name...

Quite common also to apply for loans from places like Lombard that advertised in the back of newspapers. Get a 10k loan...3rd payment bounced cos skint again due to living like a millionaire - no big deal- go on draft a month later, by the time any mail has been forwarded on to the then correct BFPO address you've finished whatever course and joined whatever ship... There are probably thousands of letters from bailiff type companies circulating the postal system chasing people who have now completed their 22 years and since left, probably still addressed to ships that have been long decommisioned. If they do by chance catch up with you - its probably way past the statute of limitations 6 years rule anyway...nice try but - no cigar!

I came into some rather spectacular PPI payments in later years because of all this.

I put it all down to having never known the real value of money - forever chasing the next pissup.
 
#44
If you're creditworthy enough to get a 13% loan from Nwide then you're equally creditworthy enough to get a 0% 2 year credit card so I'd suggest your Nwide loan isn't as excellent as you think it is.
I use the Bank of Mothman. This is a Zero percent lender. It works like this:

I don't piss every penny up the wall on shite I don't need, and anything I want I save up for. I avoid all forms of credit except my mortgage (repayment, currently overpaying £110 a month to shave 7 years off the term) and have anything between £4000-7000 in my bank balance at any time. Paying cash up front, using ebay or other auction sites and online price comparitors saves a surprising amount of money quite quickly. Cash has a buying power worth as much as 35, even 40% in some cases, making credit unnecessary or obsolete.
 

MrBane

LE
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#45
Meh. 0% credit cards are the way forward as long as you can plan your savings to pay it off in time.

Although I was guilty of running a double bubble book in camp. One particular scrote for marched to an ATM after he failed to meet his commitment. Also netted me an Xbox 360 and a ton of games.

I'm sure I've told this one before in fact, but get your bedtime clothes on for it's time for a dit.

My book in camp was known in the right circle (scrotes). You could come and ask for a tap and if it was your first time, it'd generally be double bubble until you'd established a good credit rating, and then I'd look to do far less on return of payment. I was also an NCO, so, well, whoops, but it meant I had a bit of clout.

I was also known as being able to get things, because I liked to keep a stock of useful kit.

One day this lad, a scrote, but of the higher caste, approaches me and asks if I have any spare magazines. I note that I do (about 30 if I recall) and he says that someone is looking for four because his have gone missing. I was about to let him have them, when this lad says "He's offering £40 for them."

Hang a ******* duck.

I'm both bemused and surprised that someone wants to pay at all, these things are lying around all over the place (hence why I had such a stack of them - plus other unit training, there's would join my stock). I decide however, to be a dick and see how far I could push it.

"Not enough. Tell him I want more."

Lad agrees and bimbles away, returning later the next day.

"He says he'll pay £60."

I take the deal, hand over four shiny magazines and cherish my new found beer tokens.

I later bump into another lad who asks if I want to buy an Xbox and a ton of games, two controllers, headset, etc. I ask how much, he says £150. By this point, I have the £50 from the sale of the magazines and £50 of my own.

I bring out the money, rub it together with a resigned look and say,

"Ah, I've only got a ton, I can't stretch any further."
"Deal" says he.

I hand over the cash, whip the Xbox 360 back to my room - he helps me, and I ask him conversationally, why he's so skint.

"Oh, some **** nicked my magazines, so I had to pay ***** £80 to get me a new set."

My jaw couldn't have hit the floor harder, and I recall having to dry the Xbox over my radiator after my tears of laughter nearly short circuited it.

Never did tell him.

Moral of the story is - squaddies are mugs when it comes to money and they need better support and help to manage it,
 
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#46
Had this through the door whilst sifting for mail, now I'm quite content with my finances and even If I do need to buy something on credit I've got an excellent deal with Nationwide building society anyway at 12.9% APR.

So it appears Provident are going around littering the whole of the UK with these pay day loans/cash advances at stupidly high interest such as illustrated 535.5%, and than you wonder why people promised an easy cash advance are getting into trouble because they need it that badly?

Should these kind of things be regulated or banned outright, I did post a thread the other day regarding mongs of the UK who are sh*t at managing their own money including benefits such as UC, ESA, PIPS and housing benefit and these lovely chaps are giving you a grand in your hand on your doorstep and they make it so easy they even come to you!

It's simply going to get people who can't manage their own money into further trouble if you as me...

View attachment 377283

I wonder how stringent their enquiries are.


Possible to lag £500 in the spirit of "**** you, robdogs"?
 
#47
Had this through the door whilst sifting for mail, now I'm quite content with my finances and even If I do need to buy something on credit I've got an excellent deal with Nationwide building society anyway at 12.9% APR.

So it appears Provident are going around littering the whole of the UK with these pay day loans/cash advances at stupidly high interest such as illustrated 535.5%, and than you wonder why people promised an easy cash advance are getting into trouble because they need it that badly?

Should these kind of things be regulated or banned outright, I did post a thread the other day regarding mongs of the UK who are sh*t at managing their own money including benefits such as UC, ESA, PIPS and housing benefit and these lovely chaps are giving you a grand in your hand on your doorstep and they make it so easy they even come to you!

It's simply going to get people who can't manage their own money into further trouble if you as me...

View attachment 377283
Wouldn’t it be easier to just not be poor in the first place?
 
#51
I use the Bank of Mothman. This is a Zero percent lender. It works like this:

I don't piss every penny up the wall on shite I don't need, and anything I want I save up for. I avoid all forms of credit except my mortgage (repayment, currently overpaying £110 a month to shave 7 years off the term) and have anything between £4000-7000 in my bank balance at any time. Paying cash up front, using ebay or other auction sites and online price comparitors saves a surprising amount of money quite quickly. Cash has a buying power worth as much as 35, even 40% in some cases, making credit unnecessary or obsolete.
£1100 in last (LAST -- VERY LAST) payslip,£400 in a month or so ago and £1600 in today (cheque) all from Mr Taxman(they've probably feked up again,and I'll have to repay some)--

New phone/trainers/watch/car/tv/-----Nah.shoved it in the bank.
Mac,whose wallet moths have died of starvation.
Girl pal lives off credit cards(Raspberry)---4 or more hols a year plus decent home. ------HOW?!
 
#52
I'm sure I listened to a show on BBC Radio 4 were they interview a bishop who had been a city banker. He reckoned that "payday" loans could be done at 98% apr on a not for profit basis. The 98% would cover the risk.
 
#53
I use the Bank of Mothman. This is a Zero percent lender. It works like this:

I don't piss every penny up the wall on shite I don't need, and anything I want I save up for. I avoid all forms of credit except my mortgage (repayment, currently overpaying £110 a month to shave 7 years off the term) and have anything between £4000-7000 in my bank balance at any time. Paying cash up front, using ebay or other auction sites and online price comparitors saves a surprising amount of money quite quickly. Cash has a buying power worth as much as 35, even 40% in some cases, making credit unnecessary or obsolete.

I've got £15k in the bank at the moment and that's where it stays earning interest. My 0% credit card is used to smooth out my cash flow month to month.
 
#55
Especially if you here claiming asylum, always a good start
Some people claiming asylum will be able to become wealthy the same way as lots of ‘Brits’ won’t.

If you have some brains about you and are willing to work hard for a while then you can make more money than you need. Sone people can do that. Some can’t.
 
#59
Had this through the door whilst sifting for mail, now I'm quite content with my finances and even If I do need to buy something on credit I've got an excellent deal with Nationwide building society anyway at 12.9% APR.

So it appears Provident are going around littering the whole of the UK with these pay day loans/cash advances at stupidly high interest such as illustrated 535.5%, and than you wonder why people promised an easy cash advance are getting into trouble because they need it that badly?

Should these kind of things be regulated or banned outright, I did post a thread the other day regarding mongs of the UK who are sh*t at managing their own money including benefits such as UC, ESA, PIPS and housing benefit and these lovely chaps are giving you a grand in your hand on your doorstep and they make it so easy they even come to you!

It's simply going to get people who can't manage their own money into further trouble if you as me...

View attachment 377283
I believe that there are web sites that you can use to deal with issues like this.

Get "James" and his mobile number up on Grindr. Add a photo of an improbably handsome bloke (e.g. my avatar) and a brief spiel about being into every form of sexual depravity that you can imagine. If you lack imagination, PM @jarrod248 .

Before you know it, James' voice mail will be bursting with stomach churning messages from gay water sportsmen, guys who use their fists for activities other than boxing and dyslexics who claim to enjoy shopping at M&S.

Of course, if James turns out to be a gay pervert, you'll have wasted your time. To guard against this, throw in a few words like "chemsex" and "Rohypnol". This will ensure that James gets a visit from the police and his subsequent court appearance should make it in to your local paper.
 

TheresaMay

ADC
Moderator
DirtyBAT
#60
Payday loans are a negative indicator for credit. If you want to start a credit history it is better to have a loan of £500.00 over 6 months.
On the subject of Credit Scoring it all boils down to a couple of major factors, which tend to outweigh all the other minor factors combined:

Major:

Available Credit - this is a huge one. If you think you're being sensible by only having a small limit on your cards think again. If you're balance is £900 and your limit is £1k, the credit searches won't care that it's only 900 quid - they'll simply see you're using 90% of your available credit. Far better to have a 10k limit (only using 9% of your available credit in this case) and be disciplined enough not to go over 25% of it. And definitely not over 50% or your score will start freefalling.

Electoral Roll - being present is one thing. Being there for 2 years+ is another. A problem with Armed Forces and RAF types is they move about a bit. Far better to have all your accounts (and electoral details) registered at one place.

Number of Applications for Credit - try to keep it down to 1 per 6 months. Any more than that will count against you. "Soft search" by all means (use Capital One Quick Check, Barclays pre-check, etc) - you can have a million of these and the lenders will never see them. They only see the "Hard" searches.

Minor:

How long you've had your bank account, short term loans, the odd missed payment, all will crank it up a notch or down a notch - but like I said, will always be outweighed by the three above.

And if you have any CCJs, IVA entries etc - forget it for 6 years. Sit tight and shop at Lidl.

Edited to add:

I have 2 credit cards, both Tesco - one is interest free, the other is 5.25% APR

They are generally kept beneath the 50% limit, but every time I make a major purchase it makes far more sense to stick it on one of these and pay 0% or 5.25% as opposed to some 11+ % HP or loan. The only issue of course, is now and again it takes me over the 25% and 50% marks at which point I get "Moose" in my head asking "What doing?" and log on to Clear Score to find I've gone down a few points.
 

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