Pay day loan during chapter 13

[Ziggy]

I know that I'm not supposed to get a payday loan during the chapter 13, but I am desperate. If I get one and pay it off in 2 weeks, will it be a big issue? I need to pay my gas bill, otherwise it is scheduled to be disconnected in 2 days. I've tried everything I can as far as borrowing from family, etc and haven't had any luck. If I get it today, it would be due on July 8th. I will receive my child support payment by then, so will have no problems paying it off. My bankruptcy is almost over (last payment scheduled for January next year), so I don't want to mess things up, but I am desperate. Any advice?

[keepmine]

Well, you do what ya gotta do. If there is no other alternative, get the payday loan and hopefully you can pay it back and won't get stuck in a cycle.

[tobee43]

call the state and see if you can get some help. you have kids, the power companies are SUPPOSE to help when you are broke. call them. tell them you will send them something by such and such date. work it out with them, tell them you have kids are in bk and are broke and just give a bit of help. go to your church see if you can talk to your pastor or priest or whomever and see if they can help. shoot! come on, you had more notice than this especially when and if it comes down to a threat of shut off.

payday loans are really bad. and maybe it's time to get in touch with your atty and get your 13 adjusted because you can't continue like this. you should have money in your 13 budget to pay your utilities!! best of luck!

[murph996]

From experience, I can chime in to say if there is anyway possible to avoid the PDL, avoid it. It's hard to get out of the cycle. And once you go in there and take one loan out..it's easier to take out more, and they offer you more money. Sell something on Craigs List. Anything but a PDL. If you are this tight now, it will be worse next month when you are out the fees.

[LadyInTheRed]

Your are not allowed to incur debt while in a Chap 13 without authorization.

Please stay away from payday loans. They are designed to put you in an endless loop.

Have you tried calling the gas company and telling them exactly what date you'll be able to pay? tobee43 and murph996 also make good suggestions. Here's a link to a list of possible resources: http://portal.hud.gov/hudportal/HUD?...ng/energyprgms

[bminet]

Take personal experience from me AVOID payday loans at all costs. One little loan can wind up being 2 years and several other loans. They know how to get you and keep you in the loop. I know, I was in that loop for years. The amount of money I have paid to those places over the years is astronomical. I always considered myself as in control every time I began one of those and it turns out one loan always leads to another. I would pay off then it may only be a month laster and I'm back, because it was easy and it was quick cash. Then it just led to every 2 weeks and then 2 or 3 different places at a time.....ugh...I could go on and on....please take some advice from above and stay clear of these.

[frogger]

Your are not allowed to incur debt while in a Chap 13 without authorization.

That sums it up.

[TXskyblue]

Everything I've read says you absolutely cannot incur new debt while in a chapter 13, period, without express approval.

As others have said in this thread, payday loans are a trap. Congratulations on being so close to completely your plan. I think I'd sell my TV and anything else I could around my house before I'd take one out, especially so close to completing the plan.

After you get past this emergency with the gas bill, I wonder what you're going to do when the next emergency comes up. Money's always right, but emergencies are going to happen. Are you going to look at payday loans when you've completed your plan in January if another emergency comes up? A big part of going through bankruptcy seems to be learning how to deal with financial problems without making the same poor decisions that we made prior, such as using payday loans or using a credit card. I know it has been a major adjustment to me to not have the ability to just charge it when I need or want something.

Good luck!