Paying back a payday loan

Usually you’ll be given up to a month to pay back the money you borrowed, plus interest.

The most common way to pay back a payday loan is through your bank debit card. When you get the loan you agree to let the lender take the money from your bank account. This is called acontinuous payment authority (CPA).

CPAs can lead to problems because the lender will take the money from your bank account even though you may need it for rent, food or other bills.

If there isn’t enough money in your account to repay the loan on the agreed date, the lender may keep asking your bank for all or part of the money. Charges will be added for late payment.

Remember that missing payments on a payday loan will affect your credit rating and your ability to borrow in the future.