What Happens If You Have Missed a Zilch Payment?

If you’re wondering what happens if you have missed a Zilch payment, the answer is simple. You should try to settle what’s owed as soon as you can.

I explain how it’s all too easy to fall behind with payments on a Buy Now Pay Later scheme in my post. 

A missed Zilch payment could end up being very costly if not dealt with promptly.

Check out my post for more on dealing with missed Zilch payments so the outcome is more positive!

How does the Zilch payment scheme work?

Zilch offers you the option to buy now, pay later (BNPL) for items from thousands of online retailers and in-store shops. That said, some retailers charge a fee for using Zilch whereas other retailers do not.

You’re obliged to download the app and then search for stores you’d like to visit when using Zilch to buy things.

The scheme lets you choose various payment options when using Zilch which is:

• Pay in one go at the checkout
• Pay in four instalments
• Pay 25% upfront using a Zilch MasterCard and pay the balance over 6 weeks
• Pay in one go and earn cashback when you use the Zilch MasterCard

Plus, Zilch Anywhere can be used at any retailer although there’s a £2.50 fee attached to the purchase when you do.

If things go well and you make all the payments, Zilch can be handy. It’s when you miss payments that the problems start!

Check out the message one person posted on a popular forum:

Source: Moneysavingexpert

When you can’t make a payment, the missed instalment is reported to the Credit Reference Agencies (CRAs).

After this, if you don’t pay and get an account back in order, your details could be passed to a debt collection agency.

Do you have to pay?

There are ways to have debt written off in the UK.

If you genuinely can’t afford your debt repayments then looking into whether you could have your payments lowered or written off might be just what you need. 

If you want to find out whether you qualify for having debt written off or payments lowered then fill out the short form below.

What happens when you can’t afford to pay Zilch?

When you can’t keep up with your payments, Zilch puts your account on ‘hold’. If you can’t get your account back up to date within 14 days, you risk having your account cancelled.

It’s best to contact the Zilch support team as soon as you can if you’re struggling financially. The sooner you speak to their team, the quicker the matter could be resolved.

Zilch has a dedicated team and they could set up a new payment plan, one that’s more affordable.

That said, there are other things that the support team at Zilch may be willing to do. I’ve listed some here:

• Change a payment option for you
• Change the repayment dates you currently have

What happens if you don’t contact Zilch?

If you don’t contact Zilch when you can’t make a scheduled payment, they could take the matter further.

Rather than not telling the support team that you’re experiencing financial difficulties, contact the team and let them know your situation.

The key to a successful outcome is to stay in touch with Zilch at all times!

You may want to get some independent debt advice from one of the UK charities if you’re not sure what to do. Charities provide free debt advice on how to deal with debt and get your finances back on track.

Can you lower your repayments?

If you’re struggling to pay back your debt, then you might qualify for a debt solution.

Some solutions lower your monthly payments while others write off a portion of your debt. 

To find out whether they could work in your situation, hit the button below.

Get Started

Will Zilch report a missed payment?

Yes. Zilch will report a missed payment to the Credit Reference Agencies. According to their website, the following process happens when you miss a payment to them:

• They send you an email to say payment is overdue
• Once you get the email, you have 14 days to put things right
• If you don’t pay within 14 days, your account could be closed

How does Zilch deal with late payments?

The Zilch team follows a set procedure when dealing with late payments which I’ve listed here:

• They attempt to take the missed payment from your registered account a second time after 24 hours
• They try to get in touch with you to discuss how you’re going to settle the missed payment

A report is sent to the Credit Reference Agencies if the Zilch team can’t get hold of you and the amount owing remains outstanding. It will negatively impact your credit score and make it hard or impossible to borrow money later on.

Can I speak to someone at Zilch?

Yes. There are various ways to get in touch with someone at Zilch which I’ve listed in the table below:

Can I Delay a Zilch Payment?

Provided you’re eligible, you can snooze a Zilch payment. However, it’s best to check whether you can delay a payment well before it’s due.

It’s also worth noting that you can only ‘snooze’ a payment for 4 to 7 days and you can only do it on the first 2 instalments without incurring a fee. If you delay payment on any 3rd or 4th payments, you’ll have to pay a fee which I’ve detailed below:

• Delaying 4th payment incurs £1.50 fee
• Delaying any further payments when more than one will incur a £1.50 fee

How do you check if you can snooze a Zilch payment?

You can check whether you can snooze a Zilch payment by going online and checking payment options on the purchases you made.

However, if you don’t check soon enough and the due date arrives, you may not be able to delay payment. In short, make sure you do this well in advance of the due date!

Does a missed Zilch payment affect your credit score?

Yes. When you miss a payment to Zilch, it will affect your credit score when you don’t get your account back in order within 14 days of missing a scheduled payment.

Once this happens, you’d have trouble getting a credit card, bank or another type of loan. It may even affect your ability to get a mortgage!

If you let things go too far, you could be faced with dealing with a debt collection agency!

Lastly, what happens if you have missed a Zilch payment (recap)

You should contact the Zilch support team as soon as possible when you’ve missed a scheduled payment. If you don’t get in touch with their dedicated team, the missed payment could be reported to the Credit Reference Agencies.

You should try to avoid this from happening because the consequences are far-reaching.

Instead, contact the support team at Zilch and tell them about your predicament. You may find they are willing to listen and help you resolve things so the outcome is more positive.

Not getting in touch with Zilch when you miss a payment or knowing you can’t make a payment will only amplify the problem. It will make it that much harder to resolve.

“It will only get worse” 😩

It’s cliché to say, but with debt it’s true; the longer you leave it, the worse the problem gets. 

There are straightforward and effective ways to deal with debt, but you have to know your options. 

Fill out the short form to find out about the debt solutions that could reduce your monthly payments or even write off some of your debt.

Get Started

Do you need further debt advice?

If you’re struggling with your finances and finding it hard to keep on top of things, you might like to read my post on how to beat debt collectors.