Payday loans: Get Your Refund
Due to the negative perception of payday loans among the general public and all the critics opposing it, all of us have formed our own opinions regarding the payday loans. However, in many instances the regulations of payday loans offer ample protection to the borrowers; it was only their lack of knowledge and the exploiting nature of the lenders that these loans came to be seen as flawed ones. In many cases where one had a bad experience with payday loans, we could have easily blamed the sinner instead of this sin as it wouldn’t have happened in the first place if not for the lender.
Not many people know that they have the right to claim their refund if they find the payday loan unsuitable for them. In order to create awareness and save people who feel like the loan would be unaffordable to them, we have compiled a list of instances and scenarios in which the borrower can ask for a refund and get compensated.
In either of the following cases, you can demand to be compensated:
1. When you had to borrow to pay the money you borrowed:
Imagine for instance that you took $1000 of payday loans. On your next payday, you paid the amount back to the lender with the interest rate from your own stash of money with no trouble whatsoever. Then you do not have the right to claim any compensation. .But let’s or example take the same scenario but instead of being able to pay the money in full, the borrower to retort to other means of borrowing to pay the borrowed money then you can claim a refund.
2. Ask for help:
We human beings are very hesitant to share our problems. But if there have been a research, it would have proved that upon asking for help from the right person, most people had their problems solved a lot quicker. Same goes for the payday lending. Know that if you have trouble paying for the loan then you must inform your lender as they are restricted by regulations to give you a fair treatment and help you out in every way possible.
A lender cannot exploit you for this and must not–at any cost–offer you more loans.
3. What will you get back?
Upon applying for the refund, you have the right to ask for all the interest, added fees, extra charges and any statuary charges to be paid back. If the loan has appeared as unaffordable on the credit history, then one can ask the lenders to remove that too.
The interesting part is, you can actually claim back any of your payday loans that you had already paid even up to 5 years after the loan has been paid off.
Make it a habit of calculating your entire paid amount in writing; keep all the proofs of payment with you as well. In case the payday lender refuses to compensate you then you can easily go to the Financial Ombudsman Service and present your case. So if anyone of you feels like you are going down the debt spiral, you know what to do.