Wonga were on Watchdog recently as they had been taking payments for loans from people who'd not even heard of the company.The question asked was "How can you possibly verify a credit-worthyness in 15 minutes?" & the reply was "We use electronic means" and then burbled on about fraud only accounting for a minute percentage of the total business Wonga did.They did promise to refund everyone who'd been wrongly debited for loans but that will be little consolation for anyone who'd had Wonga take payments wrongly & left them insufficient funds to pay direct debits,morgages etc.As is said in the linked article,these payday loans might look like a solution but they simply increase the likelyhood of the person falling into deeper debt further down the line.
Well, would you credit it! Well no I wouldn't, as tighter financial constraints lead some hard-pressed consumers to take out loans with this and other cash loan companies. Hoping desperately to pay back this short-term loan in time to avoid, as in this case, an eye-boggling typical annual percentage rate (APR) of 4,214 per cent! money lenders
I remember my daughter years ago getting into problems with credit cards. She was using each card alternatively to pay off the other but her debt figures always increased month on month. We were obliged to settle up her debts with the stern proviso that she tore up her cards and would pay us back as she could afford. Taught her a severe lesson in the pitfalls of getting into unaffordable debt.
What is happening to some now far exceeds the situation my daughter was in all those years ago. I do hope the vast majority manage to pay back their loans on time, possibly with the help of family. I hope too that their circumstances change where they become financially self-supporting again. TC.
The type of adverts they use on TV should be banned completely. I am not just talking about Wonga either.
Another thing that should be banned on TV are the stupid telephone competitions with an A, B, or C choice. People are paying thousands of pounds and I suspect it is mainly the old and senile people.
Do you work for one of these companies?
No, what makes you think that?.
The fact that your the only person on these forums that has a good word to say for Wonga et al...
Wonga is, at least, a Company that works within recognised parameters.
If one takes out one of their Loans, you know where you stand, how much you will need to pay-back and when.
A definite improvement on the Baseball Bat Brigade, who still stalk many of the Estates that cover our land.
Apologies for the non posting.
This site is getting unusable.
After writing a reply to the Wonga posting, I submitted the post, only to be told to log-in.
3 attempts to log-in and it still came up with the log-in register headings. Yet the submit box * post* was still there, so I just pressed the post button and it went but with no text.
It still says I am not logged in and I don’t know what will happen to this comment.
Apologies for going off subject, but just wanted to explain why no reply was submitted to the box.
Very unsure if this will get posted, fingers crossed.
Not a great advert for a top notch computer site.
Wonga is not the only one by far,a lady friend of went to Brighthouse to take get a television,the tv was £270 and over three years the total paid would be £750.I'm lucky told them to cancel agreement ,this they did i went down to argos and got a tv/dvd combi at £150 and let them have it on an interest free loan.
I'm not a user, or a fan, of Wonga, but to be fair every advert of theirs I've seen is entirely up front about the interest rate and show it in large figures, unlike many others who tuck extortionate rates down at the bottom of the small print, or gabble it so fast you can't comprehend it.
The way I see it, so called 'Pay Day Loans' are somewhat self defeating.
If you borrow say £100 till payday you then have to pay back about £125 say, so then you are £125 shorter on your next months budget, and so it escalates, unless you cut back on things for a while to get back on track. Unfortunately for some people it becomes a bit of a habit and they get more and more into debt.
The same applies to those people who live on their overdraft and never manage to get ahead. In my younger days overdrafts just weren't available to most people, and it was a bit of a stigma to go into the 'red', something I have never done in all my life. If we didn't have the money we went without until we could afford it. We were never well off but always had enough through prudent budgetting, and in later years managed to put enough away to now have a retirement with no money worries.
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