I can’t pay back the loan – how can I get along with a loan company?


The popularity of payday loans online is growing and although it is now cheaper than ever, many Poles still have problems paying their debts on time. Inability to pay back the loan on time is due to various things, however, it can always have unpleasant consequences. The fact that many loan companies provide different lifebuoys for borrowers is encouraging. How can you handle it if you don’t have enough money to pay back?

Extension of the repayment period

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There is freedom in this matter and it depends on the policy of the loan company. In some companies, the repayment deadline can be extended only once, and in others many times, as long as the relevant fee is paid before and the loan is overdue.

The cost of renewal depends primarily on the amount of the loan and the number of days for which it is extended. The most common practice is an extension of 7, 14 or 30 days, and in some companies you can extend the time you originally borrowed. Information on the possibility of extension should be included in the loan agreement. If they are not there, then it is likely to be late if you pay back late.

Loan refinancing

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Refinancing a loan is simply taking another loan to pay back the previous one. However, it does not take place arbitrarily, but through a loan company that receives repayment from its financial partner. In this way, one client commitment disappears and another one appears – with a new lender. This option should be used before the repayment deadline expires and an additional fee should be paid for it before launching a new loan. With this solution, you usually get the same number of days to pay back as you took out the first loan.

Dividing the payday loan into installments

Dividing the payday loan into installments

There is such a possibility, although one obstacle may be the fact that it is most often treated by lending companies as a last resort when other ways to avoid debt collection fail. It is also not a guaranteed possibility and in each case it is only the good will of the lender. The first company that introduced such an option to loan agreements was Vivus, and shortly after that other loan companies followed. Fortunately, this practice is becoming more and more popular and with a little luck it can succeed.

The payday expenses after the repayment deadline are rising very quickly – not only penalty interest, which amounts to only 14% per annum, but above all fees for recovery, i.e. reminders, payment requests and finally for field debt collection. For this reason, it’s best to contact the loan company as soon as possible. Unfortunately, in some companies the possibility of spreading the arrears into installments is possible only after at least a dozen or more days, and sometimes even several dozen days after the repayment deadline – this is how LendOn works, for example. It is good to learn how to write an application and what it should contain to increase your chances of getting a positive answer.

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