A 19-year-old from East Yorkshire is warning others against using payday loans after a debt spiral left her owing more than £15,000. Lucy Firth, a trainee dispensing optician, said her financial difficulties began in her early teenage years when she spent money erratically, and she has now spoken out to help others avoid the same trap.
Lucy said her problems stemmed from having no savings. She explained: "I was spending irresponsibly as a younger teenager, and wasting my wages on clothes and shoes. I realised earlier this year the extent of the situation as I couldn't afford to buy a new car, fix my car, or go away with my partner."
How the debt grew
Her difficulties worsened while she was trying to refurbish an annexe at her partner Jordon's family property, having already spent £1,400 on a holiday for the pair. Lucy booked the holiday in December 2025 for October this year to celebrate her fifth anniversary with Jordon, 20, before grasping the full extent of her debt.
In February, she realised her debts had amounted to £10,000. She said: "I tried to consolidate them using payday loans, and that's when it became a huge problem. I took out three loans, totalling £5,000, to pay off as much as I could, thinking it was the right thing to do. But my monthly repayments went from £150 to £500. I accumulated more interest charges and put myself in a worse position. So, even though I paid off so much with the loans I'd taken out, my debts then totalled £15,000."
Holiday decision and warning
Realising the extent of her debt, Lucy contacted the holiday firm to see if she could cancel her trip, which she had almost paid off, to use the funds to clear the sum. She said: "They came back to me saying our trip was only partially refundable, and I'd lose around £1,200. I thought, 'Absolutely not.' I would much rather take a month or two longer to pay my debt off and keep the holiday than not have the holiday, lose £1,200 and pay it off a month or two sooner."
Lucy, who has since been on the vacation, says she will not go on any more holidays until she has cleared her debt. She added: "I still don't know whether it is the right decision. I feel an immense amount of guilt for going, but I want to remember that I can still try and live. This debt has consumed me for the last eight months."
She has now successfully cleared £1,000 and has set herself the goal of becoming debt-free before the age of 21. Issuing a warning to others, she said: "Payday loans are dangerous because of the high interest amounts you pay – and they are fairly easy to get. I would warn every single person to stay away from payday loans. The interest is almost always double what you borrow, so it isn't worth it. Yes, short-term cash is nice, but in the long run you set yourself back so much. All credit should be harder to get – especially for young people. It is irresponsible lending."
MSE guidance
Martin Lewis' Money Saving Expert (MSE) also urges caution with payday loans, stating: "Payday loans are a financial nightmare, and you should avoid them entirely if possible." The loans are designed to help people for a brief period, typically with relatively small amounts of cash. However, MSE cautions they can require you to permit the lender to collect its payment directly from your debit card when your next wage arrives.
Instead, the MSE website suggests using alternative methods, including a 0% credit card, a government loan, assistance from family, help from a credit union, or even increasing your overdraft.
