Recent research by Citizens Advice suggests that catalogue debts are now a bigger problem than payday loans; and this trend is only set to grow. The main problem with repaying catalogue debts appears to be their ‘buy now – pay later’ schemes, and the ease in which people can qualify for these. And whilst these catalogue schemes can be a great way to get what you want, catalogues often have very high interest rates, which means if you simply make the minimum repayment each month, you are soon going to have an unpayable catalogue debt.
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Can’t Pay Catalogue Debts?
It seems like a good idea at the time, get a new outfit for the weekend and spread the cost over a few months. However, with their often extortionate rates of interest (Littlewoods is currently (as of April 2018) a shocking 44.9% (https://www.littlewoods.com) APR), if you just repay back the minimum payment you could quickly find yourself in difficulty, particularly if you order a new outfit just once a month you can end up in a position where you can no longer afford to repay your catalogue debt.
Change Your Mind?
If you have ordered something from a catalogue, and then you have realised that you can no longer afford the repayments, you have the legal right to return them. You can cancel the order for up to 14 days after you have received the goods. You will obviously have to return the goods (and in the condition that you received them), and you might have to pay for the delivery. However this will be much cheaper than paying for something you don’t actually want, or can’t afford.
What Happens If You Don’t Pay Your Catalogue Debts?
Should you find yourself unable to repay your catalogue debts, the company will start chasing you for payments to catch up on your arrears. If you are still unable to pay, your account will default and the catalogue company could take further action against you.
The company may take the decision to pass your debt onto a debt collection agency, who will contact you (sometimes to distressing levels) to get your payment. You may also be taken to court. However, despite all of this, catalogue debt should still considered a low-priority debt, meaning that you should pay your utility bills and living costs before considering repaying the catalogue company.
Catalogue Debts Written Off
If you are struggling to repay your catalogue, or if you have any other debts, please don’t hesitate in contact Debt Assist UK. Our trained advisers can help give you information on how best to deal with your particular debt trouble. In some cases you could write off up to 80% of all your debts! Best of all, there is absolutely no obligation to use any of the services we may suggest!
So what have you got to lose? Contact us now by filling in the form, or call us on 0800 048 9555 now!