Dealing with your non-priority debts

​Extra help

In this section, we give information and advice on some non-priority debts that can be more difficult to deal with. They are:

  • charge cards;
  • payday loans;
  • catalogues;
  • personal debts to friends and family; and
  • non-priority business debts.

Charge cards

You may have a debt on a charge card such as American Express, where you have to pay the full balance off each month rather than in instalments as with a credit card. It can be more difficult to negotiate reduced offers of payment on charge cards as they are not ordinary credit agreements. You should still include them with your other non-priority debts. If your charge card company is threatening to take further action, contact us for advice.

Payday loans

See our fact sheet:

Payday loans.

This includes sample letters you may find useful.

A payday loan is a short-term loan, usually for a small amount of money. Many people use these loans to help them if they have run out of money before their next payday. The interest rates on these types of loans can be very high. Charges will also be added if you cannot pay the loan back on payday. This means that the debt can build up so you end up owing a lot more than you borrowed.

A payday loan is a non-priority debt but it can be difficult to deal with as you may have given what is called a 'continuous payment authority' to the loan company. This means that you have given permission to the loan company to take money from your bank account. You may not realise you have given this permission, but you can get a continuous payment authority stopped by telling the bank or the payday loan company. Contact us for advice.