Newbie to Debt-Free Wannabe... All help or advice welcome

d_brat81 · 14 August 2008 at 9:22PM

Hi everyone.

Recently joined the site and was looking for debt advice.

Finances were fine up until my maternity leave ended as I was unable to go back to work due to PND. On both incomes everything was great but with a new baby and new mortgage and new car (because of the area we live in we need 2), the pressure was soon on.

We thought that consolidation would be the key but now with the rise in the cost of living and petrol we are struggling.

My first point of contact was visiting Debtline. I used the template letters and sent letters to all our Creditors informing them of the financial difficulties; however instead of working with us to reach an amicable solution, interest rates tripled, threatening letters are being received daily and even though the debts are all unsecured we are receiving threats of a Court Order.

Total debt is around 30,000 and we are determined to get back on track.

Being in debt hasn't helped much as my depression is worse in addition to anxiety and backpain, migraine etc. It has also taken a toll on the relationship.

I have just finished watching the video and know that I am not alone in this and hope that I can advice and support needed.

NUFCnutter · 14 August 2008 at 9:41PM

If you do a statement of affairs and copy and paste it up here then people can see what kind of help you need.

Follow this link : http://forums.moneysavingexpert.com/showthread.html?t=806277

Secondly send a request for anyone you have a debt with (not water, gas or electric) for a copy of your Consumer Credit Agreement. By law every company has to supply you with one on request within 12+2 working days or the debt is unenforcable until they do. Copy and paste this letter, DON'T sign it just print your name and send them all recorded delivery with the £1 postal order.

I DO NOT ACKNOWLEDGE ANY DEBT TO YOUR COMPANY.

Ref xxxxxxxxxxxxxxxx

Dear Sir,

With reference to the account above I would be grateful if you could send me a copy of the signed credit agreement.

I understand that under the Consumer Credit Act 1974 (sections 77-79); I am entitled to receive a copy of the credit agreement on request. I enclose a payment of £1.00 which represents the fee payable under the Consumer Credit Act.

I understand that a copy of the credit agreement should be received within 12 working days.

I understand that under the Consumer Credit Act creditors are unable to enforce an agreement if they fail to comply with a request for a copy of the agreement under these sections of the Act.

I look forward to hearing from you.

Yours faithfully,

Don't panic, have a cuppa and rely on the people here for advice. Refuse to deal with people on the phone, if they insist send them another letter asking them to deal only in writing. If you need it shout up and someone will put the template letter up for you.

Maybe consider Relate too, for a help with your relationship. A new baby, debts and all is a huge strain. It may be that you just need to be able to talk freely about what is happened, and PND is horrific, I had it 3 times after my children and it shouldn't be underestimated. Make sure you are getting the support from your doctor and health visitor.

Good Luck!

d_brat81 · 14 August 2008 at 10:06PM

Thank you very much. I will send off the letters first thing tomorrow and do the statement.

I am getting counseling for the PND but had to insist on it as my doctor doesn't thing its serious!

Will try relate but the 15 per session is alot right now.

NUFCnutter · 14 August 2008 at 10:08PM

With relate you can always ask for a reduction of their fees due to financial hardship. If you need any more help then just shout. That's what we are here for.

NUFCnutter · 14 August 2008 at 10:10PM

Oooh another quick thought, anything you are finished with babywise, then ebay it. Its a way to make some cash.

d_brat81 · 14 August 2008 at 10:12PM

NUF!!!!ter wrote: »

Oooh another quick thought, anything you are finished with babywise, then ebay it. Its a way to make some cash.

I have tons of stuff for ebay but I am despondent because they never sell...

New stuff, nearly new and used... Can't seem to shift them at all. I saw there is some information on ebay on the site so will have a read later.

Thank you all the same

Numpty_Monkey · 14 August 2008 at 10:15PM

:hello: Hi d_brat
Welcome to a great place :A
as NUF!!!!ter (one day i'll get that wrong:o )
post your SOA as soon as you and the great people here will try to help you as to where you can save money. and make a bit aswell:shhh:

we give great help and support here
but have you thought of calling and talking to one of the debt charities
Going to "borrow" fermi's sig i know he won't mind:rolleyes:
Free/impartial debt advice: Consumer Credit Counselling Service (CCCS) | National Debtline | Find your local CAB

keep posting

d_brat81 · 14 August 2008 at 10:29PM

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 1800
Benefits................................ 260
Other income............................ 0
Total monthly income.................... 2060

Monthly Expense Details
Mortgage................................ 812
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 106
Electricity............................. 26
Gas..................................... 33
Oil..................................... 0
Water rates............................. 24
Telephone (land line)................... 24
Mobile phone............................ 30
TV Licence.............................. 12
Satellite/Cable TV...................... 17
Internet Services....................... 17
Groceries etc. ......................... 150
Clothing................................ 35
Petrol/diesel........................... 155
Road tax................................ 30
Car Insurance........................... 73
Car maintenance (including MOT)......... 12
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 18
Medical (prescriptions, dentist etc).... 7
Pet insurance/vet bills................. 0
Buildings insurance..................... 15
Contents insurance...................... 15
Life assurance ......................... 32
Other insurance......................... 25
Presents (birthday, christmas etc)...... 0
Haircuts................................ 7
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Gas maintenance......................... 19
Car Loan................................ 142
CSA .................................... 65
Total monthly expenses.................. 1901

Assets
Cash.................................... 0
House value (Gross)..................... 123995
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 128995

Secured Debts
Description....................Debt......Monthly...APR
Mortgage...................... 127300...(812)......6.79
Total secured debts........... 127300....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Mbna...........................8200......68........0
Natwest........................2200......0.........0
Natwest Credit Card............1700......65........0
Kwik Fit.......................255.......10........0
Capital One....................1600......64........0
Virgin.........................2100......20........0
Lloyds Tsb Loan................17000.....383.......0
Total unsecured debts..........33055.....610.......-

Monthly Budget Summary
Total monthly income.................... 2,060
Expenses (including secured debts)....... 1,901
Available for debt repayments........... 159
Monthly UNsecured debt repayments....... 610
Surplus(deficit if negative)............ -451

Personal Balance Sheet Summary
Total assets (things you own)........... 128,995
Total Secured debt...................... -127,300
Total Unsecured debt.................... -33,055
Net Assets.............................. -31,360

Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

d_brat81 · 14 August 2008 at 10:31PM

Numpty_Monkey wrote: »

:hello: Hi d_brat
Welcome to a great place :A
as NUF!!!!ter (one day i'll get that wrong:o )
post your SOA as soon as you and the great people here will try to help you as to where you can save money. and make a bit aswell:shhh:

we give great help and support here
but have you thought of calling and talking to one of the debt charities
Going to "borrow" fermi's sig i know he won't mind:rolleyes:
Free/impartial debt advice: Consumer Credit Counselling Service (CCCS) | National Debtline | Find your local CAB

keep posting

Thank you for the warm welcome. I am currently seeking advice via my local Law Center as CAB wasn't of much assistance.

Its been a bit much to cope with but we can't run from it forever so I will contact the CCCS as I need some sleep.

NUFCnutter · 14 August 2008 at 10:33PM

Try selling baby clothes in "Bundles". They seem to go better than individual items.

Ok, I would send the CCA letters off to MBNA, Natwest Credit Card, Kwik Fit, Capital One, Virgin and LLoyds TSB loan. Is there any chance that you could have charges that you can reclaim back from any of them?

betti911 · 14 August 2008 at 10:37PM

Hello (waves) Welcome!

What do other childcare expenses include?
Could you cancel sky and get freeview?
Any chance of reducing your mobile phone bill?
Your car expenses seem high. Any chance of getting rid of the car?

Newbie to Debt-Free Wannabe... All help or advice welcome

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