Lowell Financial

Are Mail Order Catalogues Worth It?

Mail order catalogues are an easy and convenient way of making purchases without having to pay the full amount upfront. Spreading the payments over a number of weeks or months is tempting when money is tight. Replacing broken household items or ordering birthday presents from online catalogues such as Very, does not have an immediate effect on your bank balance.

Unfortunately, many catalogue customers do not take into consideration the long-term effect that such purchases can have on their finances. High interest rates make the actual cost of your purchase much higher than the cost of the original order. Companies like Very will request a monthly minimum payment that covers only the interest added to your account. This means that you are making a payment each month but the cost of the item/s you ordered remains unpaid. They work with debt collection agencies such as Moorcroft Debt Recovery.

 

What Happens If I Can’t Pay My Debts to Catalogue Companies?

Missing payments or going into arrears on your catalogue account will undoubtedly result in numerous calls and letters. If payment is still not made, your account will be passed to a debt collection agency that will use various tactics to pressure you into making payments you cannot afford.

Once ordered and received, the goods you owe money for are your property and the company cannot demand that you return them. It is also worth remembering, that catalogue debt is classed as non-priority debt – they cannot force repayments if this would leave you unable to pay priority bills such as rent, gas and electricity.

If you have found yourself with catalogue debt and you are unable to manage the repayments, get in touch by completing our online form. We will advise you on how you can reduce monthly payments or even wipe off the debt completely.

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