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  • FIRST POST
    • julie237
    • By julie237 7th Dec 17, 8:50 PM
    • 19Posts
    • 7Thanks
    julie237
    Very catalogue - ridiculous unaffordable interest, what should I do?
    • #1
    • 7th Dec 17, 8:50 PM
    Very catalogue - ridiculous unaffordable interest, what should I do? 7th Dec 17 at 8:50 PM
    Hi everyone,

    I currently have a few small debts, which i have been able to handle until i got my latest statement from Very.
    I am currently out of work and a single parent.
    I owe Capital One about £900 which they have frozen the interest on and i am paying them £25 a month.
    I owe Very £1,100 and my buy now pay later period with them is about to end on a total of £660. The estimated interest on this is over £100. Theres no way i will be able to afford it.
    Should i get in touch and explain my financial situation to them?
    I have had a DRO more than 6 years ago and have been considering if i should apply again. I have been doing ok with paying things off until i got the statement from Very. I didnít realise the interest would be that much, and will no doubt steer clear of catalogues in the future.
    Thanks for any help
Page 1
    • FTBuyerGlasgow
    • By FTBuyerGlasgow 7th Dec 17, 10:19 PM
    • 17 Posts
    • 13 Thanks
    FTBuyerGlasgow
    • #2
    • 7th Dec 17, 10:19 PM
    • #2
    • 7th Dec 17, 10:19 PM
    Hi, I'd give Very a call to explain the situation. I've seen some other posters talk about getting a positive response out of Very.

    Failing that, could you sell the things you bought from Very to help repay the debt? Or better yet, could you return the items to Very to cancel the agreement?
    Started out with nothing, still got most of it left.
    • sourcrates
    • By sourcrates 8th Dec 17, 12:32 AM
    • 12,682 Posts
    • 12,027 Thanks
    sourcrates
    • #3
    • 8th Dec 17, 12:32 AM
    • #3
    • 8th Dec 17, 12:32 AM
    You can contact very, but it won’t stop the interest been added.

    You are informed how much interest you will pay if you don’t settle the account before the BNPL period ends.

    But as you are out of work now, that is bye the bye, the debt will just default if left unpaid, go through the collections process, and eventually get sold on.

    Do you qualify for a debt relief order still ?

    As that may be a better option whilst unemployed, the money your paying the other creditors should stop ideally, as you don’t want to be seen favouring one creditor over another, if you still meet the DRO criteria, save up the £90 fee and crack on with it.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
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  • National Debtline
    • #4
    • 8th Dec 17, 9:21 AM
    • #4
    • 8th Dec 17, 9:21 AM
    Hi Julie


    Unfortunately interest does tend to be high once a buy now pay later period has ended. You may have a couple of options available, including the DRO you mention. Are the credit card and catalogue your only debts? And do you think when you get back into work you will still meet the DRO conditions? This is important to consider as you need to meet the conditions for the 12 months the DRO lasts otherwise it could fail.


    Your other option is to try and negotiate a reduced payment and a freeze on interest. Your starting point is a statement of affairs (SOA) to work out how much (if anything) you can afford to offer. You'll find a SOA here http://www.stoozing.com/calculator/soa.php. You're welcome to post it back on here to get more advice on your best options.


    Negotiating over the phone can sometimes be tricky so it is an option to send your SOA in the post, along with a letter asking your creditors to accept your offer. If you need more detailed advice this is available from one of the free debt advice agencies.


    Good luck


    Susie
    @natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
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