Struggling with debt? Ask a debt advisor a question

Former_StepChange_Richard · 25 April 2016 at 10:29AM

maryapple1993 wrote: »

If I admit it, I am in debt.... and I need to get out!

I have just paid £2 online for a copy of my credit report, as I don't even know all of my debts......

What do I do now, how to do I go about clearing them. I haven't spoken to the companies for years and I just buried my head in the sand being a young student and all that stupid I know.

Hi there

Thanks for your message and thank you for contacting us today. I know how hard it can be to say or even write these words for the first time, but you've taken a good first step in resolving your debt and we can help you the rest of the way.

The next thing to do is to make a budget and work out what you can afford to pay back to your debts. This is also perhaps the most important step for anyone in paying their debts back. Your creditors can only expect you to pay what you can afford and you can't be expected to pay out money that you don't have.

Our online Debt Remedy tool can help you to make a budget. You'll need details of your income, expenditure and the debts that you have. Once you have completed this, the tool will then present you with a copy of your budget and the best solution(s) to help you pay your debts back. If you want any help in making the budget or to discuss any of the solutions, you can contact us here.

If you don't get your credit report back in time you can try using this free website that should show the debts in your name: www.noddle.co.uk

I hope this has given you a starting point and the confidence to proceed. If there's anything else you'd like to ask, please let us know.

Take care for now.
Richard.

emc4444 · 28 April 2016 at 4:34PM

to stop any bailiff any court appointed enforcer ever coming to your house again, infact they would be 100% braking the law if they ever contacted you again, and are liable to arrest
just make sure you use the following form and pay your 50 pence per month
make sure you send each letter recorded so they have to sign for it and KEEP THE RECIEPT OF POSTAGE SAFE AND A COPY OF THE LETTER SENT TO THEM

THE FORM IS A DEBT AND MENTAL HEALTH EVIDENCE FORM (V3)

YOUR DOCTOR NEEDS TO SIGN EACH ONE
A GOOD HONEST DOCTOR WILL NOT CHARGE YOU, IF SO GO TO MENTAL HEALTH IN A AND E

THEY WILL ASSIST YOU YOUR MENTAL WELL BEING IS IMPORTANT AND IF DEBT COLLECTORS SENDING YOU DEPRESSED TO THE VERGE OF SUICIDE................. THEY HAVE TO SIGN FORM

markomarkovic · 29 April 2016 at 12:23AM

Hello there,

Your advice seems really good so I was wondering if you could help me out with a situation.

I moved away from the UK in 2008. A few months later letters started to arrive (at my parent's house - where I hadn't lived for about 8 years anyway, I just had core things sent there ie bank statements and the like) saying that I owed about 2000gbp. As I was away, I never really gave them much thought, and was also dead broke (and a dead beat if truth be known), and had other fish to fry. The letters and calls continued with sporadic regularity, my mother constantly informing the various people that I had gone abroad and that I didn't live there any more. The letters and calls were from a variety of different companies - presumably the debt bing sold on each time.

Fast forward to about 2 weeks ago where - after about a gap of 1.5 years, another letter from another DCA came. The debt is now a little less than 2K, although they're willing to make a 'huge discount' if I cough up.

I'm not hugely worried about it but it is annoying for my mother, and I'd like to get it sorted out. There are two main issues here:

1. I have no idea what the debt is actually for. Should I send a 'send me proof' letter to the DCA asking about this? At least asking for some kind of proof/something?

2. This was a good 8 years ago now. I've never acknowledged the debt in any form at all - I haven't been there to answer the phone, and I've never sent them a letter. They've been given my foreign address several times but I have never recieved a letter. Surely this is now past its 6 year statute of limitations and can be written off (if it was even ever valid)?

Does asking for proof count as 'recognising' the debt? Should I just skip that and go straight for the Limitation Act 1980 route?

Your advice on how I tackle the above would be invaluable. I thank you kindly for any help you're able to give.

StepChange_Allen · 29 April 2016 at 10:18AM

markomarkovic wrote: »

Hello there,

Your advice seems really good so I was wondering if you could help me out with a situation.

I moved away from the UK in 2008. A few months later letters started to arrive (at my parent's house - where I hadn't lived for about 8 years anyway, I just had core things sent there ie bank statements and the like) saying that I owed about 2000gbp. As I was away, I never really gave them much thought, and was also dead broke (and a dead beat if truth be known), and had other fish to fry. The letters and calls continued with sporadic regularity, my mother constantly informing the various people that I had gone abroad and that I didn't live there any more. The letters and calls were from a variety of different companies - presumably the debt bing sold on each time.

Fast forward to about 2 weeks ago where - after about a gap of 1.5 years, another letter from another DCA came. The debt is now a little less than 2K, although they're willing to make a 'huge discount' if I cough up.

I'm not hugely worried about it but it is annoying for my mother, and I'd like to get it sorted out. There are two main issues here:

1. I have no idea what the debt is actually for. Should I send a 'send me proof' letter to the DCA asking about this? At least asking for some kind of proof/something?

2. This was a good 8 years ago now. I've never acknowledged the debt in any form at all - I haven't been there to answer the phone, and I've never sent them a letter. They've been given my foreign address several times but I have never recieved a letter. Surely this is now past its 6 year statute of limitations and can be written off (if it was even ever valid)?

Does asking for proof count as 'recognising' the debt? Should I just skip that and go straight for the Limitation Act 1980 route?

Your advice on how I tackle the above would be invaluable. I thank you kindly for any help you're able to give.

Hi Marko

Thanks for posting.

It's very common these days for debts to be sold or passed on, and this can lead to uncertainty of what a debt is for or where it originated from. You can certainly contact them and ask for more details and a copy of the credit agreement if you'd like to see that.

From what you've said it sounds like the debt could be statute barred. This is where no payments or written acknowledgement of the debt have been made by you, or anyone with permission to act on your behalf for a period of six years at any time.

For more information on this you could read further on our MoneyAware article, which includes a link to a template letter you can send to a creditor when you believe the debt is statute barred.

I hope this is helpful.

Allen

tyrna · 5 May 2016 at 11:39AM

hello
ive recieved a letterf rom the dwp saying that i havent repaid a crisis loan which i took out in sept 2009, although im 100% sure i paid this, they are already threatening me with debt collectors, i obviously dont have paperwork from that long ago, are there any steps i can take to resolve this please as i cant prove that i paid it, it is a long time as well to all of a sudden resucitate a debt.
thanks

StepChange_Rachael · 5 May 2016 at 2:34PM

Hi Tyrna

Welcome to the forum and thanks for your post.

Firstly it’s important to provide evidence that the debt has been paid if you’re looking to dispute it. It’s your right to have a copy of any personal information that is being held for you. The department of work and pension (DWP) should have on file the history of any loans taken out and payments made to it. You have a right to that information so although you don’t have this information you can contact the DWP directly and ask for this. This should then prove the status of the debt.

If you can remember what payment method you used this could help as if you paid by card, direct debit, cheque etc. you should still be able to get a copy of the those transaction.

When disputing a debt I’d suggest following the official channels. If you want to make an official complaint you can follow this link to the website. It also explains how you can take the complaint further if you’re not happy with their response to your initial complaint.

If you take this route explain to the DWP you’re disputing the debt and see if they’ll stop the collections process while the dispute is on going.

If you have any other debts or if the debt does need to be re-paid and this would cause you to struggle then you can contact us at StepChange for free and impartial debt advice tailored to you.

I hope this helps and the situation is quickly rectified.

Thanks
Rachael

tyrna wrote: »

hello
ive recieved a letterf rom the dwp saying that i havent repaid a crisis loan which i took out in sept 2009, although im 100% sure i paid this, they are already threatening me with debt collectors, i obviously dont have paperwork from that long ago, are there any steps i can take to resolve this please as i cant prove that i paid it, it is a long time as well to all of a sudden resucitate a debt.
thanks

samanthafriend · 6 May 2016 at 10:40PM

Hi,

After 3 Pay Day loans i have suddenly found myself in a huge amount of debt. I have been paying the interest every month but not actually paying any of the debt off. I'm now struggling to get through each day.

Total Debt equals = £3,931.87
Total Income after deductions = £1737.24

My credit rating is now very poor and i don't know what to do. My initial thought is a consolidation loan. What do you think? I need to sort this debt out ASAP as the debt interest is eating way at my monthly income and making me borrow more and more. I can barely stay afloat.

Please help!!

Laura

StepChange_Allen · 9 May 2016 at 1:04PM

samanthafriend wrote: »

Hi,

After 3 Pay Day loans i have suddenly found myself in a huge amount of debt. I have been paying the interest every month but not actually paying any of the debt off. I'm now struggling to get through each day.

Total Debt equals = £3,931.87
Total Income after deductions = £1737.24

My credit rating is now very poor and i don't know what to do. My initial thought is a consolidation loan. What do you think? I need to sort this debt out ASAP as the debt interest is eating way at my monthly income and making me borrow more and more. I can barely stay afloat.

Please help!!

Laura

Hi Laura

Thanks for posting.

I come across a lot of people that have got into difficulty with payday loans, so I can understand how tough it is for you at the moment, but there are ways to get them under control.

There are a number of different solutions to clear debts but the best one for you depends on your financial situation. Without knowing your household bills and living costs, plus other relevant information, it's not possible to advise for definite what's best at the moment.

We'd be very happy to help you to work out the best way forward though, so if you'd like to register with us free of charge we can do that for you. You can find out how to contact us on our website.

I hope this helps, and we hope to hear from you soon.

Allen

cateuk · 9 May 2016 at 8:52PM

Hi,

I really don't know where to start. I have debt, about £20,000 over 2 credit cards and a mortgage reserve account. I can afford (just!) minimum payments but they leave me in the overdraft each month incurring fees.

Some of the house account was to bail my partner out of debt but it's in my name. One of my credit cards is where he used it without permission and withdrew cash. We are currently separated.

I am struggling to get out of debt as no one will help me because I can afford the monthly payments.

I currently don't claim any benefits as only recently seperated.

How can I try to reduce the debt when my credit score is so bad I can't get 0% cards yet no one can help as I can 'afford' it?

StepChange_Rachael · 10 May 2016 at 8:41AM

Hi

Thanks for posting.

It sounds like you’re going through a difficult time at the moment and I can see how it must be frustrating when you’re paying the minimum amounts but not seeing the debt reduce.

Firstly you mentioned that you’ve looked for help unsuccessfully as you’ve been able to keep up with the monthly payments. However, the overdraft even if agreed is a debt and if every month you’re being left in your overdraft and occurring charges it sounds like you’re struggling with debt and could benefit from some further help and advice.

Secondly you’ve mentioned you don’t claim any benefits as you’re recently separated. It could be that you're able to get some financial help to support your living costs so you'd be in a more financially stable position. To find out about what benefits you could be entitled to you can follow this link to our benefits calculator.

I’d suggest contacting us for free and impartial advice. We’d look to get a good idea of your financial situation and tailor our advice and help to you. We can also help with budgeting advice as well.

You can find our contact details here.

Thanks
Rachael

cateuk wrote: »

Hi,

I really don't know where to start. I have debt, about £20,000 over 2 credit cards and a mortgage reserve account. I can afford (just!) minimum payments but they leave me in the overdraft each month incurring fees.

Some of the house account was to bail my partner out of debt but it's in my name. One of my credit cards is where he used it without permission and withdrew cash. We are currently separated.

I am struggling to get out of debt as no one will help me because I can afford the monthly payments.

I currently don't claim any benefits as only recently seperated.

How can I try to reduce the debt when my credit score is so bad I can't get 0% cards yet no one can help as I can 'afford' it?

Struggling with debt? Ask a debt advisor a question

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