Kerry Katona

[in-a-mess-indeed]

its very scary to see how easy these loans are get and no real regulation.

[plasticdaft]

They are regulated. Not as firmly as the banks and look at the mess they achieved!!!

Paul

[size5]

She has been dropped as the face of Cash Lady after going bankrupt again this week apparently.

Regards.

[North East Derbyshire CAB]

Hi Mike

We have just seen this, a few wry smiles

I cant see this being much of an endorsement for the payday loan industry myself.

The comments from the PDL company are standard workman like.

Nothing seems to be changing, but hey, no surprises there.

It surely cannot go on much longer like this, can it? -the payday loan industry I am talking about

Paul

NED-CAB

[Tina Shortland]

It is a shame the government didn't decide on a cap for interest rates especially as some have gone over the 5000% mark. Payday loans should only be for the very few who have a cash flow issue but can rectify it the next month. Unfortunately though they have served a widespread need to supplement income on an ongoing basis resulting in more people having multiple loans and getting into an even bigger mess. No wonder the number of payday loan companies have doubled in the last 4 years. Its allowed people to carry on being in denial for a lot longer while at the same time increasing the debt they had in the first place. I agree the marketting of these companies - especially with cute oldies who have become almost as popular as the meerkats, should be stopped. They should have the dangers made very clear, like the pictures on cigarette packets - that said it wont put everyone off so the interest rates should be capped to prevent the hideous repayments asked for.

The only way to deal with it as things currently stand is through education on why to avoid them and the dangers of using them. Hopefully over time further action will be taken against them but until then we can live in hope.

[size5]

Quick internet based search reveals that Cash Lady isn't even a lender, but a broker, part of PDB UK Ltd. One of 25 brand/domain names currently registered as active on its CCL. It boasts on its site as to its expertise in generating huge volumes of high quality leads, over 15,000 each week so it says. Apparently, affiliates that refer in can earn up to £50,000 per month.

Whether things will change is a good question and my own opinion is that they won't, not in the long run anyway. Any victory achieved by regulatory body/legislation in the short term is likely to be trumped in the long term with new tactics or strategies by these firms. Any attempt to curtail those new practices are likely to be very lengthy again. Sadly, there is too much money to be made for these people to just roll over.

I make no apology for posting part of a creditor e-mail, from Wonga (who are supposed to be one of the better ones!!!) here.....

"Dear *****,
I am writing with reference to the debt outstanding under the Loan Agreement dated between you and wonga.com Limited in the amount of 1044.88.
You agreed to repay this loan in full on 2013-03-28 and as of today the debt has remained outstanding for more than 90 days."

That was sent to my client by e mail and received at 6 08 am on June 26th. I have an actual letter on file dated 2nd April from Wonga which includes the following:

Original loan amount £88.50
Default fees and interest £177.63
Current amount you owe £637.63

We can safely conclude from this that the original loan was probably re-financed or topped up once or twice prior to default, but notwithstanding my clients undoubted foolishness, or desperation, or both, in this matter, to get to that level from £88.50, assumedly at some point early in March if you rewind the timeline, to over £1044 as it stands now is quite staggering in its naked, unadulterated greed.

I truly, genuinely hope my cynicism as to the future is misplaced, but I very much doubt it.

Regards.

[Skippy]

I was under the impression that Kerry Katona hadn't been discharged from her first BR. Is it possible to be made BR when you are already BR.

I did have to smile at her occupation being listed as singer!

[North East Derbyshire CAB]

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by size5

Quick internet based search reveals that Cash Lady isn't even a lender, but a broker, part of PDB UK Ltd. One of 25 brand/domain names currently registered as active on its CCL. It boasts on its site as to its expertise in generating huge volumes of high quality leads, over 15,000 each week so it says. Apparently, affiliates that refer in can earn up to £50,000 per month.

Whether things will change is a good question and my own opinion is that they won't, not in the long run anyway. Any victory achieved by regulatory body/legislation in the short term is likely to be trumped in the long term with new tactics or strategies by these firms. Any attempt to curtail those new practices are likely to be very lengthy again. Sadly, there is too much money to be made for these people to just roll over.

I make no apology for posting part of a creditor e-mail, from Wonga (who are supposed to be one of the better ones!!!) here.....

"Dear *****,
I am writing with reference to the debt outstanding under the Loan Agreement dated between you and wonga.com Limited in the amount of 1044.88.
You agreed to repay this loan in full on 2013-03-28 and as of today the debt has remained outstanding for more than 90 days."

That was sent to my client by e mail and received at 6 08 am on June 26th. I have an actual letter on file dated 2nd April from Wonga which includes the following:

Original loan amount £88.50
Default fees and interest £177.63
Current amount you owe £637.63

We can safely conclude from this that the original loan was probably re-financed or topped up once or twice prior to default, but notwithstanding my clients undoubted foolishness, or desperation, or both, in this matter, to get to that level from £88.50, assumedly at some point early in March if you rewind the timeline, to over £1044 as it stands now is quite staggering in its naked, unadulterated greed.

I truly, genuinely hope my cynicism as to the future is misplaced, but I very much doubt it.

Regards.

Hi Mike

Thanks for the in depth analysis

Interesting take too:)

I also more or less agree with you here

What is happening to us Mike??

Paul

NED-CAB

[Loads a Debt]

I took out some pay day loans around Dec 2011/Jan 2012 and it finally made me take my head out of the sand and deal with my debt problems and started my IVA Apr 2012! Many thanks Wonga......

[size5]

Paul,

Haven't a clue, save to say that there were only certain things we ever disagreed on the first place, and even then that was probably only due to looking at the same problem from different perspectives. It may also explain why most of my time these days seems to be taken up with DRO's....

Regards.

[North East Derbyshire CAB]

Hi Mike

Maybe so!

I think we had a bit of a discussion on those Debt Relief Orders at the MALG last year, can you remember?

I personally believe that Debt Relief Orders will be on the increase or at the least steady.

Paul

NED-CAB

[rosie_percy]

I've just read that Kerry Katona has been dropped by Cash Lady after filing for bankruptcy for the second time in 5 years..
Why they took her on in the first place is an absolute mystery to me! Although I suppose anyone choosing to market payday loans in the first place top vulnerable members of the public isn't on the best moral high-ground to begin with..!

[Hyperdrive]

About a year ago I made a complaint to the Advertising Standards Agency when a payday loan company had an advert aired during the Corrie break - when the storyline was Cilla was contemplating an IVA to sort out Karl`s gambling debts. You couldn`t make it up [:(!]

[lem]

I still don't understand how she could possibly go bankrupt again when it's not even 6 years since she last went bankrupt, how has she been able to run up debts again?, how have the courts agreed a bankruptcy when she is still bankrupt? Talk about one rule for celebs and another for the plebs

[MelanieGiles]

You mean Stella - not Cilla Hyperdrive!

You can be made bankrupt a second time for post-bankruptcy debts which may have been incurred, but in any case I am sure she was actually discharged from the first bankruptcy in any case.