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

@Ancient_Mariner I like your ideas, especially against unsolicited loan offers, but more practically, for those desperate enough to take out such loans, first go to: Loan repayment calculator or some similar site. This will cost you nothing, but if you take care to enter the variables correctly, you will see exactly what the loan will cost you.

A similar calculator is available for Australia: Payday loan calculator | ASIC's MoneySmart Comparing what the free calculators will tell you as against what the lenders are trying to sell you would be a good first step I'd think.
 
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.
Should we be concerned at your knowledge of this sordid world?
 
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.
Oh Kay
 

SWJ99

War Hero
....... some parking invoice (it's really not a fine or official ticket, despite the legalese) that I'm resolutely not paying on principle.
Parasites the lot of them.

I should add that court action really depends on whether the creditors or debt recovery firms reckon it's financially worth dragging the debtor into court.
Exactly.
If they do issue proceedings, defend it and keep going. Then see if they back down before you do. (and if necessary, go on the parking cowboys website to find a few ideas for the most appropriate wording for a defence).
Most standard money claims in the county court go on the small claims track so each side pays their own costs. As a defendant acting in person, you won't have any unless you lose, and the only costs they can have you for are the claimant's issue fee, hearing fee and maybe solicitors fixed costs on entry of judgment so you're at an advantage straight away.

A solicitor will charge them a few hundred just to appear in court on the day and conduct the case, so unless it's a dead cert for them, or a matter of great importance or principle, they might just leave you alone and pick on someone else who doesnt' fight back. If their claim was for say £350, and their solicitor was going to charge them more than that to appear on the day, it's not economically worth it to them as you won't be liable for their solicitor's (or barrister's) appearance fee.

Tick the box on the allocation questionnaire to say you're happy to use the mediation service, you score a few points with the judge for that, and even if the mediation fails, the judge won't have been told why, or any other details about it.
The good news is the claimant (any coporate claimant) doesn't like people who defend claims, because they have to do some work prepping the case for the court hearing, and eventually, they or their solicitor has to leave their comfortable office to go to court, so unless they've got a rock solid case or an extremely good reason for carrying on, you're in with a chance they'll drop it once they know you're not going to fold. They much prefer people who ignore the summons and let them get a default judgment against them. That's over 90% of recipients of a county court default summons.

Litigation departments and solicitors love the easy pickings, because it's a numbers game for them. All they have to do is fill in a form, send it to the court (of click the mouse on money claim online) apply for an entry of judgment in default, and job's a good un.

I remember a road traffic claim I did once and the defendant's insurers counterclaimed for about 5x more than the initial claim. So I sent in a defence to counterclaim, and the badwagon rolled on. Until it got to the stage where the court wrote to both parties to the action with an order to disclose to each other evidence upon which we intended to rely on at the hearing. I sent mine off. They didn't. So I knew they weren't going to go all the way with it. They sent a cheque the same week with a letter saying they'd been instructed to settle the matter informally, and enclosed a copy of their notice of discontinuance of the counterclaim.
 
Parasites the lot of them.


Exactly.
If they do issue proceedings, defend it and keep going. Then see if they back down before you do. (and if necessary, go on the parking cowboys website to find a few ideas for the most appropriate wording for a defence).
Most standard money claims in the county court go on the small claims track so each side pays their own costs. As a defendant acting in person, you won't have any unless you lose, and the only costs they can have you for are the claimant's issue fee, hearing fee and maybe solicitors fixed costs on entry of judgment so you're at an advantage straight away.

A solicitor will charge them a few hundred just to appear in court on the day and conduct the case, so unless it's a dead cert for them, or a matter of great importance or principle, they might just leave you alone and pick on someone else who doesnt' fight back. If their claim was for say £350, and their solicitor was going to charge them more than that to appear on the day, it's not economically worth it to them as you won't be liable for their solicitor's (or barrister's) appearance fee.

Tick the box on the allocation questionnaire to say you're happy to use the mediation service, you score a few points with the judge for that, and even if the mediation fails, the judge won't have been told why, or any other details about it.
The good news is the claimant (any coporate claimant) doesn't like people who defend claims, because they have to do some work prepping the case for the court hearing, and eventually, they or their solicitor has to leave their comfortable office to go to court, so unless they've got a rock solid case or an extremely good reason for carrying on, you're in with a chance they'll drop it once they know you're not going to fold. They much prefer people who ignore the summons and let them get a default judgment against them. That's over 90% of recipients of a county court default summons.

Litigation departments and solicitors love the easy pickings, because it's a numbers game for them. All they have to do is fill in a form, send it to the court (of click the mouse on money claim online) apply for an entry of judgment in default, and job's a good un.

I remember a road traffic claim I did once and the defendant's insurers counterclaimed for about 5x more than the initial claim. So I sent in a defence to counterclaim, and the badwagon rolled on. Until it got to the stage where the court wrote to both parties to the action with an order to disclose to each other evidence upon which we intended to rely on at the hearing. I sent mine off. They didn't. So I knew they weren't going to go all the way with it. They sent a cheque the same week with a letter saying they'd been instructed to settle the matter informally, and enclosed a copy of their notice of discontinuance of the counterclaim.

That's very informative. I did pay previous invoices from the same firm (I got whacked with a series of them after the parking rules changed without my being aware of it). However, for the current one I have evidence and documentation showing the firm's in the wrong.
 

SWJ99

War Hero
That's very informative. I did pay previous invoices from the same firm (I got whacked with a series of them after the parking rules changed without my being aware of it). However, for the current one I have evidence and documentation showing the firm's in the wrong.
Yes, the private parking ones use the law of contract and the Protection of Freedoms Act (registered keeper liability bullshit) but the rules of who's going to bottle out first still apply. There's a load of useful info on parking cowboys about when the Beavis argument does and doesn't apply.
Fighting the Beavis argument
 
Yes, the private parking ones use the law of contract and the Protection of Freedoms Act (registered keeper liability bullshit) but the rules of who's going to bottle out first still apply. There's a load of useful info on parking cowboys about when the Beavis argument does and doesn't apply.
Fighting the Beavis argument
Is that Beavis thing the completely irrelevant case law they quote on invoices to intimidate the recipient?
 
I haven't seen this suggested here yet, and it might seem a little old-fashioned to some, but why not keep a plastic container just for small change? You'd be surprised how quickly that can accumulate.
 
The worst thing is people take these loans out for things like nights out on the piss or teeth whitening treatments or lip fillers etc, or replacing a perfectly fine sofa because they've seen one they like more in TK Maxx. Hardly essentials but they get it in their heads that they "need" it and there's no talking them round or suggesting saving up for it.
I presume you live in a castle you daft disconnected auld prick. Have you seen the in work poverty figures for the U.K.
get yourself down your local food bank and start punting your clichèd and factually incorrect statements around see how you get on
 
Some sites on afternoon TV offer short term loans at 1990% APR.
I'm sure a lot of "poor" people could be taught to prioritise their funds.
Rent, Food, Electricity, Gas etc then what you have left, if any, is available for other things.
I get the impression some of them have massive commitments: phone contracts involving top of the range iphones, Full Sky Packages, Huge TVs for Brighthouse etc then they try to pay the essentials from what is left.
Show your workings, not your preconceived dailymail rhetoric
 
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.
Interest on 15k. Must be stacking up.....:mrgreen: which bank is this? I’ll have to swap over.
Despite 15 k in the bank and you still need to use a credit card to “smooth out”

If you have no cash, a negative household budget and no access to a 0% credit card what’s your plan.
 

endure

GCM
Interest on 15k. Must be stacking up.....:mrgreen: which bank is this? I’ll have to swap over.
Despite 15 k in the bank and you still need to use a credit card to “smooth out”

If you have no cash, a negative household budget and no access to a 0% credit card what’s your plan.

I'm not in that situation so I don't have a plan. If you want to start an argument choose somebody else. I'm not biting.
 
I presume you live in a castle you daft disconnected auld prick. Have you seen the in work poverty figures for the U.K.
get yourself down your local food bank and start punting your clichèd and factually incorrect statements around see how you get on
Angry man today aren't we? I actually work with the people I described, can't afford school uniforms for their kids or to replace the bald tyres on the car that they drive their kids around in, but still booking botox treatments and going off to the sunbeds on their lunch break.
 
Angry man today aren't we? I actually work with the people I described, can't afford school uniforms for their kids or to replace the bald tyres on the car that they drive their kids around in, but still booking botox treatments and going off to the sunbeds on their lunch break.
Well case closed. Your statistics are impeccable:mrgreen:
 

SWJ99

War Hero
Is that Beavis thing the completely irrelevant case law they quote on invoices to intimidate the recipient?
It's probably relevant in some cases, but as with many legal disputes, claimants and potential claimants sometimes attempt to convince people to pay by quoting case law they assert gives them an absolute legal right to payment, when it's not always so. I suppose many people don't look beyond the name of the precedent case and actually read what the judges interpreted it to mean.
 

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