Home » Forums

[lolly_896]

We are in arrears with both gas and electricity. We are currently paying £120 a month Gas and £80 a month electricity which includes the debt.

Im trying to work out, whats the currently monthly charge and how much debt i am paying off a month, we are trying to clear all debts asap but it doesnt say anything on the bill which explains this to me.

Also i would like to reduce the amount we pay of the debt each month to pay more of the higher apr credit cards etc we owe. Would any one know if this is possible?

Thank you in anticipation of your advice, also i really don't want to change to prepayment meters (As i read they charge more) So if i reduced my debt repayment will they insist on these?

[imindebttoo]

Hi lolly_896

Your home energy bill should be treated as a priority over your unsecured debt, so it is important to offer more to these arrears, than it would be to your unsecured credit.

You can always offer more to the credit cards once you're back up-to-date with the gas and electricity bills.

IIDT

[Tixy]

You need to phone them and ask them for details on how much you are paying back for arrears and how much the arrears are.
I think usually the longest they will let you repay arrears for is over 1year (although it may vary for different suppliers).

Unfortunatley as gas & elec are priority bills and credit card debt is not they will be unlikely to let you reduce it just to pay more on your CCs.

[lolly_896]

Thank you, I feel pretty naive asking this but why's that? I have a CC with high interest rates where as Swalec ae not adding anything onto my debt with them so my logic told me to try and pay my CC first and then clear debts with Swalec

Hope that doesnt read as stupid as it sounds! lol x

[Tixy]

Its just that certain items are classed as priority debts and gas & elec are included in that as if you don't pay you can be cut off.

Others are rent & mortgage & any other secured debts (as you could lose your home if you don't pay) and council tax (as you could be imprisoned for non-payment). Always make sure these (and food of course) are the first priorities before any unsecured credit is repaid.

Do understand about the interest though - but unfortunately is just one of those things.

[imindebttoo]

I feel pretty naive asking this but why's that?

Don't feel naive - but it's simply that if your home energy arrears increase and you fall behind with payments further as a result - the chances of having your supply cut-off increases (although it can take some time to reach this point - and most providers don't want to cut you off without first giving you the opportunity to clear arrears).

You/your family won't go cold by not paying a credit card bill !

IIDT

[lolly_896]

Thank you all, just fished out there telephone number and they close at 2pm today So can't work that out today