Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • MSE Andrea
    • By MSE Andrea 18th Nov 16, 1:05 PM
    • 8,133Posts
    • 20,183Thanks
    MSE Andrea
    Struggling with debt? Ask a debt advisor a question
    • #1
    • 18th Nov 16, 1:05 PM
    Struggling with debt? Ask a debt advisor a question 18th Nov 16 at 1:05 PM
    If you need help with your debts, this is the thread for you.

    Trained advisors from StepChange Debt Charity (formerly CCCS) are here and waiting to answer your debt questions. Theyíre a friendly bunch so please donít be shy!

    There are three ways to get in touch:

    1 - Simply post your question below and Richard, Allen, Rachael, Linsi or Kirsty will reply. If your question is about bankruptcy, then pop over to the Bankruptcy board.

    2 - If you would prefer to ask a question in private, feel free to send a message to StepChange Private Messages.

    3 Ė StepChange Debt Remedy is a free and confidential online debt advice tool. You can put a budget together at your pace, and you can also talk it over with an advisor through online chat.

    If you're a StepChange Debt Charity client already, please contact its Aftercare team rather than posting in this thread (their contact details are in your Welcome Pack).

    This is discussion thread part four, see parts one, two and three.

    Finally, follow @MSE_Forum on twitter for debate and discussion on all things MoneySaving and more.

    If you havenít already, join the forum to reply!
    This Forum tip was included in MoneySavingExpert.com's weekly email!

    Follow MSE on other Social Media:
    MSE Facebook, MSE Twitter, MSE Deals Facebook, MSE Deals Twitter, Forum Twitter, Instagram, Pinterest
    Join the MSE Forum
    Get the Free MoneySavingExpert Money Tips E-mail
    Report inappropriate posts: click the report button
    Point out a rate/product change
    Flag a news story: news@moneysavingexpert.com
Page 11
    • Sleepyhead1906
    • By Sleepyhead1906 3rd Mar 17, 3:55 AM
    • 3 Posts
    • 0 Thanks
    Sleepyhead1906
    Hi , I have just joined the forum and because of worrying about debt have not slept. Husband confessed last night to hidden £53k of credit card debt that has built up over many years. We have a mortgage of £39k on a house worth sound £170000 (only 9 years to go). My question is should we ask our mortgage lender to add debt to mortgage which I have calculated we can afford easily afford, or ask for a DMP? Sorry if posted in wrong bit but so tired and confused I'm not functioning properly. Please help me as I'm trying to deal with this without worrying my husband even more.
  • StepChange_Linsi
    Hello

    Thanks for getting in touch and welcome to the forum.

    Iím sorry to hear your debts have been keeping you up at night. Youíve definitely done the right thing to ask for advice and weíll be able to help you and your husband deal with these credit cards going forward.

    Thereís lots of ways to deal with debt from a DMP to using equity to refinance debts. Before we can recommend the right solution for you weíll need to know a bit more about your financial situation.

    Iíd recommend using our online Debt Remedy tool to create a budget online. To do this youíll need information about your income, living costs and debts.

    After youíve completed your budget youíll be able to access your personal action plan. This will contain our tailored advice and recommended debt solution for you and your husband.

    As a charity our advice and support is free, confidential and impartial. You can also find more information about the debt solutions we recommend and the services we offer on our website.

    Hopefully you wonít feel as worried once weíve got a plan of action in place and youíll be able to get a better nightís sleep. If you do need any additional support though, you can always talk to your GP or the Samaritans.

    All the best,

    Linsi


    Hi , I have just joined the forum and because of worrying about debt have not slept. Husband confessed last night to hidden £53k of credit card debt that has built up over many years. We have a mortgage of £39k on a house worth sound £170000 (only 9 years to go). My question is should we ask our mortgage lender to add debt to mortgage which I have calculated we can afford easily afford, or ask for a DMP? Sorry if posted in wrong bit but so tired and confused I'm not functioning properly. Please help me as I'm trying to deal with this without worrying my husband even more.
    Originally posted by Sleepyhead1906
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • Sleepyhead1906
    • By Sleepyhead1906 3rd Mar 17, 11:23 AM
    • 3 Posts
    • 0 Thanks
    Sleepyhead1906
    Thank you Linsi,, trying to get through a working day but my head is somewhere else. I have told my manager who has been extremely helpful as well. I'll take your advice and fill in the debt remedy tool when I get home.
  • StepChange_Linsi
    Youíre very welcome and Iím glad your manager has been supportive.

    The Debt Remedy tool is available is available 24 hours a day. You can also log in and out as many times as needed, so donít feel you have to do everything all at once.

    Take care,

    Linsi

    Thank you Linsi,, trying to get through a working day but my head is somewhere else. I have told my manager who has been extremely helpful as well. I'll take your advice and fill in the debt remedy tool when I get home.
    Originally posted by Sleepyhead1906
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • Luciasc
    • By Luciasc 3rd Mar 17, 3:32 PM
    • 7 Posts
    • 0 Thanks
    Luciasc
    10 years in DMP - 3rd paid off
    Hi, Me and my partner got in to a mass of debt when we purchased our first home 11 years ago. 100% mortgage, credit cards etc, pay day loans..... but we started a DMP with Payplan in August 2007 and its worked well to keep creditors at bay. Our mortgage has been up to date for 2 full years and we are managing well, recently clearing a £15,000 10 yr secured loan we had. However, we still have a lot of unsecured debt to clear and if we continue as we are, we'll be in a DMP until 2029! We are looking to move home but struggling to get a mortgage with a DMP in place. As all the debts are over 6 years old, they are no longer showing on our credit files. We have paid them all around a third of the original amount owed. My question is, would it be likely that any creditors (some range from £300 - £3,500) would now write off the rest of our debt??? Had we been in an IVA, they would have potentially have been written off 4 years ago!
  • StepChange_Kirsty
    Hi,

    Thanks for your post.

    It sounds like youíve done very well so far in reducing the debt you have outstanding. Iím afraid I donít think itís very likely your creditors will agree to simply write off the remaining balance. Usually youíd need to declare yourself insolvent or you may be able to offer a lump sum in full and final settlement for the balance to be written off.

    If your expected debt free date is 2029, that means your debt management plan (DMP) term will be 22 years in total. That is a very long time to be in a DMP and there may be better options for your circumstances.

    You can find out more about the options available by using our online Debt Remedy tool where you can enter details of your income, expenditure and debts and we will provide you with further advice in the form of a personal action plan.

    Alternatively you may wish to contact us and speak directly to one of our expert Debt Advisors. You can find our contact details here.

    All the best,

    Kirsty

    Hi, Me and my partner got in to a mass of debt when we purchased our first home 11 years ago. 100% mortgage, credit cards etc, pay day loans..... but we started a DMP with Payplan in August 2007 and its worked well to keep creditors at bay. Our mortgage has been up to date for 2 full years and we are managing well, recently clearing a £15,000 10 yr secured loan we had. However, we still have a lot of unsecured debt to clear and if we continue as we are, we'll be in a DMP until 2029! We are looking to move home but struggling to get a mortgage with a DMP in place. As all the debts are over 6 years old, they are no longer showing on our credit files. We have paid them all around a third of the original amount owed. My question is, would it be likely that any creditors (some range from £300 - £3,500) would now write off the rest of our debt??? Had we been in an IVA, they would have potentially have been written off 4 years ago!
    Originally posted by Luciasc
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • downnotout78
    • By downnotout78 8th Mar 17, 2:06 PM
    • 5 Posts
    • 1 Thanks
    downnotout78
    confused as to what to do
    5 years ago I split up with the father of my children, at the time we had in excess of 28k debt. I made payments to all parties with no help from my ex, After a number of months and working 2 jobs I approached step change and set up a DMP with them, I have now managed to get the debt down to 11k, however in February 2016 my expartner took out a DRO and included the loan we had which meant payments to the loan account were being bounced back, NatWest did not contact me I contacted them after it happened twice, they couldn't advice me why, I found out through my children that their dad had taken out a DRO, this also resulted in a DRO being added to my credit file. The moratorium period is up now, does this mean he is now free and removed from the debt? I have been gifted 3k by my parents and want to offer a settlement to NatWest as I can't continue to make regular payments, is it unreasonable to offer them 3 k off an 11k debt? can I ask for removal of the default, and can I ask that this be marked as full and final payment, the lady on the phone advised me this morning that they will mark it as partial payment and chase my ex partner but surely they can't if he has taken out a DRO
    thanks in advance
    • boxesgirl33
    • By boxesgirl33 8th Mar 17, 7:21 PM
    • 6 Posts
    • 0 Thanks
    boxesgirl33
    Im a single mum disabled and live in a rented propety and im aprox £8grand in debt I have been advised by action credit to have an IVA id be paying back £105.54 a month for five years so over a grand would be wiped is this the best thing to do.
  • StepChange_Richard
    5 years ago I split up with the father of my children, at the time we had in excess of 28k debt. I made payments to all parties with no help from my ex, After a number of months and working 2 jobs I approached step change and set up a DMP with them, I have now managed to get the debt down to 11k, however in February 2016 my expartner took out a DRO and included the loan we had which meant payments to the loan account were being bounced back, NatWest did not contact me I contacted them after it happened twice, they couldn't advice me why, I found out through my children that their dad had taken out a DRO, this also resulted in a DRO being added to my credit file. The moratorium period is up now, does this mean he is now free and removed from the debt? I have been gifted 3k by my parents and want to offer a settlement to NatWest as I can't continue to make regular payments, is it unreasonable to offer them 3 k off an 11k debt? can I ask for removal of the default, and can I ask that this be marked as full and final payment, the lady on the phone advised me this morning that they will mark it as partial payment and chase my ex partner but surely they can't if he has taken out a DRO
    thanks in advance
    Originally posted by downnotout78
    Hi there

    Thanks for your message. Sorry to hear of your separation. We can certainly help with this.

    A DRO (Debt Releif Order) is a formal method of insolvency. If your ex-partner has completed the moratorium period and there have been no issues during this time, his liability will now be removed from the debts that he was named on and that were included in the DRO. If the two of you were jointly named on any these debts, you will now be solely liable for them.

    As you mention you are on a DMP with us, I would suggest calling us so we can discuss the settlement offers with you. In short, you are able to offer whatever amount you feel you can afford, but they are just as able to accept or refuse this. If you call and speak with our advisors we can discuss this and look at the liklihood of success.

    You can also ask for a full and final settlement and for the removal of the default notice. Again, they don't have to agree to this. If you feel that they have treated you unfairly then you would be best putting this in writing and making a formal compaint. Follow the organisations complaints process which can be found here.

    I hope this helps.

    Take care,
    Richard
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Richard
    Im a single mum disabled and live in a rented propety and im aprox £8grand in debt I have been advised by action credit to have an IVA id be paying back £105.54 a month for five years so over a grand would be wiped is this the best thing to do.
    Originally posted by boxesgirl33
    Hi there,

    Thanks for getting in touch and welcome to the forum.

    To give you advice on your debts we need to build a budget with you first so we can see a full picture of your finances. I imagine that Action Credit will have done something similar to be able to offer you a formal, leagally binding method of insolvency such as an IVA.

    You can build a budget and get advice from us in two ways:

    Use the Debt Remedy tool on our website. This is a self-help tool that you can use in your own time. Once it is complete you will be presented with the best advice for the details you have entered.

    Alternatively you can call our Helpline and speak with an advisor who will make the budget for you. They will then arrange a debt advice session where an advisor will explain the options you have available.

    I hope this helps and we look forward to hearing from you.

    Richard.
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • CatherineB
    • By CatherineB 9th Mar 17, 3:10 PM
    • 1 Posts
    • 0 Thanks
    CatherineB
    schizoaffective disorder and debt
    Hi
    My sister, now in her 50's, has struggled with mental illness since her teens. She has been sectioned 3 times whenever she gets over stressed due to difficulties such as debt. My parents have always been supportive and helped her and paid off her debts. Over the past year she decided to stop taking her long term antipsychotic medication and has since managed to get thousands of pounds back into debt again using 3 store cards and 5 credit cards. My mum has been helping her and so far has repaid over £5000 with still just over £4000 outstanding. My sister has promised that this time she will never get into debt again but she has said this before. Barclaycard have just written to her and now doubled her credit limit from £4000 to £8000! How can we stop her being offered 'credit' in the future so we can avoid all this mess? Shopping and gambling are part of her illness
  • StepChange_Richard
    Hi
    My sister, now in her 50's, has struggled with mental illness since her teens. She has been sectioned 3 times whenever she gets over stressed due to difficulties such as debt. My parents have always been supportive and helped her and paid off her debts. Over the past year she decided to stop taking her long term antipsychotic medication and has since managed to get thousands of pounds back into debt again using 3 store cards and 5 credit cards. My mum has been helping her and so far has repaid over £5000 with still just over £4000 outstanding. My sister has promised that this time she will never get into debt again but she has said this before. Barclaycard have just written to her and now doubled her credit limit from £4000 to £8000! How can we stop her being offered 'credit' in the future so we can avoid all this mess? Shopping and gambling are part of her illness
    Originally posted by CatherineB
    Hi CatherineB

    I'm sorry to hear of your sister's struggle with mental health. I know how hard this can be. It's great to hear that there is such a supportive family looking out for her though.

    Stopping a person being offered credit is not as easy as you would think. There are companies that are specifically looking to provide credit to people with low credit ratings and as you may have read elsewhere on this forum, having a high or low credit score is no guarentee that you will or won't be offered credit.

    It is certainly worth contacting the organisations she has credit with to see if they will agree to not offer anymore. There's no gurantee of this working, but it is worth asking.

    Methods of insolvency (such as bankruptcy) usually come with restrictions designed to limit a person's ability to obtain credit, however, this doesn't last forever and only limits, but does not prevent this.

    There is somthing that you may want to explore with your sister which is known as becoming a Deputy of the Court of Protection. You can read about this here. With this in place, you can contact the credit reference agencies to request that they set an arrangement where by if your sister were to apply or be offered credit, the person nominated as Deputy would be contacted before hand to approve it. Again, this won't prevent your sister from being offered credit (and you'll only be notified if a credit check takes place) but it would act as a barrier in most cases.

    I hope this gives you some ideas and helps a little. Please let us know if you need anything else.


    Richard
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • Missmich73
    • By Missmich73 10th Mar 17, 10:47 AM
    • 3 Posts
    • 0 Thanks
    Missmich73
    Help with IVA in deceased sisters name
    Looking for some help and advice please
    My sister passed away in April 2015 suddenly in her sleep, she had an IVA running with £36,000 of debt.
    I have contacted the IVA company and they have frozen the IVA until I carry out some investigations and look into the best way forward.
    They have provided a list of creditors so I have contacted them individually, 2 of the debts have gone to Max Recovery so as you can probably imagine they aren't budging with the debt, another company has confirmed that my sisters balance with them is zero so this information has been sent to the IVA company and hopefully that will reduce the debt down a little.
    My sister left a house that has been paid for through insurance but we really don't want to sell it.
    On looking into the IVA only 0.18p out of every £1 paid by my sister has been paid to the creditors....is this legal or fair? People that turn to IVA's must already be in a bad situation and I can't see how an IVA would be a good option?
  • StepChange_Linsi
    Good afternoon,

    Thanks for getting in touch and welcome to the forum.

    Iím sorry to hear your sister passed away. Weíll be able to give you some general advice about your sisterís IVA and debts. If you need any additional support you can also contact an organisation such as Cruse Bereavement Care who provide counseling and support for those dealing with bereavement.

    An IVA can be a good option for people in debt, as it allows them to make affordable monthly payments over a set period of time. After this set time the creditors will write off any remaining debt.

    The fees charged for setting up and running an IVA vary depending on the provider, but itís not unusual for a creditor to accept 18p out of every pound paid through an IVA.

    The IVA should have ended when your sister passed away. If the debts included were just in your sisterís name then you wonít be liable for them now. However, the creditors may expect to receive a payment from your sisterís estate.

    An estate is made up of cash (including insurance pay outs), investments, property and possessions.

    For help managing your sisterís estate and settling these debts weíd recommend seeking legal advice from organisations such as Civil Legal Advice or the Law Centres Federation.

    I hope this helps.

    Linsi

    Looking for some help and advice please
    My sister passed away in April 2015 suddenly in her sleep, she had an IVA running with £36,000 of debt.
    I have contacted the IVA company and they have frozen the IVA until I carry out some investigations and look into the best way forward.
    They have provided a list of creditors so I have contacted them individually, 2 of the debts have gone to Max Recovery so as you can probably imagine they aren't budging with the debt, another company has confirmed that my sisters balance with them is zero so this information has been sent to the IVA company and hopefully that will reduce the debt down a little.
    My sister left a house that has been paid for through insurance but we really don't want to sell it.
    On looking into the IVA only 0.18p out of every £1 paid by my sister has been paid to the creditors....is this legal or fair? People that turn to IVA's must already be in a bad situation and I can't see how an IVA would be a good option?
    Originally posted by Missmich73
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • AliceBanned
    • By AliceBanned 14th Mar 17, 7:06 PM
    • 2,273 Posts
    • 1,046 Thanks
    AliceBanned
    Credit union short-term loans
    I have two questions re 2 different credit unions. I am trying to get debt free but it will take me at least another 2 years. As part of this I am repaying the 2 credit union loans.


    CU1: I repayed the loan using the savings in the same credit union by increasing payments to the CU until they matched the savings. This is logged on my account but they haven't actually moved the funds over. Should I ask them to do this asap as it has been about 2 weeks and the debt is still sitting there, with enough money in the savings to pay it off? The debt was £1300 so it isn't helping my credit file on top of all the other debts.The interest wasn't particularly low and I'm a bit disillusioned with the whole credit union thing really. Are they really all that ethical?! I get that they are there when often no one else will lend but they are still encouraging borrowing after all, and profiting from it.


    CU2: I took out several short-term loans from this credit union as they were very competitive and I couldn't manage my money any better at the time. The last one I took out was Nov 2016 but looking on MSE credit club I realise I took out far more than I realised - about 10 over 2 years! These were mostly between £150-£300 and I repaid them all within 1 or 2 months. It just became a regular pattern but now I have a larger overdraft and use that though I'd rather not have that either. Will the CU short term loans affect my credit file as badly as usual payday loans? I want to increase my mortgage towards the end of this year as I am in shared ownership and I tried a few months ago and was declined. I was told the credit card debt was the reason but am now worried these short term loans made it worse and it will take a while for them to leave my credit file.


    I've never defaulted on anything but still struggling to make ends meet as I have high outgoings due to living in the southeast and taking on a first mortgage late in life (age 46).
    DFW - goal December 2019
    Bank of mum and dad: £1600. Debt at LBM: £14,418. Current: £10,415 Total debt repayment: £500pm
    _________________________
  • StepChange_Rachael
    Hi

    Thanks for posting.

    Firstly to answer your first question, if you have enough in savings with this Credit Union to pay back the loan then it makes sense to use this to clear the debt. Although itís not advisable in general to prioritise your creditors itís different with savings and loans with a Credit Union unless you have houshold debts such as mortgage/utility arrears as these always take priority over unsecured debts.

    Credit Unions run differently from most in that members run Credit Unions in a not-for-profit way. This means they use their membersí money to run their services and reward their members instead of paying outside shareholders; however they work in a similar way to a business.

    Secondly itís difficult to say exactly what impact regularly borrowing small loans from the Credit Union will have had on your credit file. As youíve not defaulted on the loans this is positive as defaults will have a negative impact on your file.

    Itís important to remember that there are many things that can affect a credit file. Creditors use a credit file to see if itís a good business decision to lend to that individual. Paying a debt back in full and making the creditor money from interest will be seen as positive.

    Itís more likely when it comes to mortgages that youíd be successful in your application if your debt level is minimal.

    As youíve mentioned having a few debts Iíd suggest speaking with a debt advisory service like ourselves for free and impartial advice.

    By knowing your full financial situation a debt advisor would be able to advise you on the best way forward to become debt free and discuss your options with you.

    If youíd like to explore your options you can find our contact details here.

    Thanks
    Rachael




    I have two questions re 2 different credit unions. I am trying to get debt free but it will take me at least another 2 years. As part of this I am repaying the 2 credit union loans.


    CU1: I repayed the loan using the savings in the same credit union by increasing payments to the CU until they matched the savings. This is logged on my account but they haven't actually moved the funds over. Should I ask them to do this asap as it has been about 2 weeks and the debt is still sitting there, with enough money in the savings to pay it off? The debt was £1300 so it isn't helping my credit file on top of all the other debts.The interest wasn't particularly low and I'm a bit disillusioned with the whole credit union thing really. Are they really all that ethical?! I get that they are there when often no one else will lend but they are still encouraging borrowing after all, and profiting from it.


    CU2: I took out several short-term loans from this credit union as they were very competitive and I couldn't manage my money any better at the time. The last one I took out was Nov 2016 but looking on MSE credit club I realise I took out far more than I realised - about 10 over 2 years! These were mostly between £150-£300 and I repaid them all within 1 or 2 months. It just became a regular pattern but now I have a larger overdraft and use that though I'd rather not have that either. Will the CU short term loans affect my credit file as badly as usual payday loans? I want to increase my mortgage towards the end of this year as I am in shared ownership and I tried a few months ago and was declined. I was told the credit card debt was the reason but am now worried these short term loans made it worse and it will take a while for them to leave my credit file.


    I've never defaulted on anything but still struggling to make ends meet as I have high outgoings due to living in the southeast and taking on a first mortgage late in life (age 46).
    Originally posted by AliceBanned
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • AliceBanned
    • By AliceBanned 15th Mar 17, 10:35 AM
    • 2,273 Posts
    • 1,046 Thanks
    AliceBanned
    Thanks Rachael. I've spoken to debt charities before and found it helpful though the calculations often suggest a DMP. As I am managing without one I have continued without this as this might affect the mortgage situation in the future. It is hard going though but the debts are reducing and the interest I'm paying now is low. The psychological impacts are difficult but my GP is aware and I'm awaiting counselling.
    DFW - goal December 2019
    Bank of mum and dad: £1600. Debt at LBM: £14,418. Current: £10,415 Total debt repayment: £500pm
    _________________________
  • StepChange_Allen
    Thanks Rachael. I've spoken to debt charities before and found it helpful though the calculations often suggest a DMP. As I am managing without one I have continued without this as this might affect the mortgage situation in the future. It is hard going though but the debts are reducing and the interest I'm paying now is low. The psychological impacts are difficult but my GP is aware and I'm awaiting counselling.
    Originally posted by AliceBanned
    Hi there

    Thanks for replying.

    I understand that problem debt can cause pyschological impacts so it's good that you've been to your GP to get some support.

    With regards to being recommended DMPs, if you are close to the borderline between being able to afford the contractual payments and not, this is in most cases likely to be one of the recommended solutions. If you feel you can just about manage and the minimum payments slowly come down as interest reduces then that's great.

    If you haven't used our online Debt Remedy tool before, you could give that a go. It's available 24 hours a day and allows you to fill in your budget and get advice at the end. You're welcome to just use it as a budgeting tool should it help. It can be found here.

    Best wishes.

    Allen
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • rainedays
    • By rainedays 18th Mar 17, 9:06 AM
    • 3 Posts
    • 10 Thanks
    rainedays
    Good morning all. I really hope someone can help regarding debts to the HMRC I had someone leave a card regarding a debt yesterday so I rang them, and it turns out I owe HMRC about £2000 for not paying self assessment, I am oblivious how any of this works as I have always been employed by an employer. This has come from a spell I was out of work so filled in doing a few hours work for less than 3 months which I declared on the day to tax credits and the day I finished I told tax credits again I paid for my stamp for the three months I worked but it worked out as less than £120 a week so I wouldn't have hit any tax thresholds to pay etc and I took it as read that when the tax credit fella said I didn't need to do anything further that that was it. Now I owe thousands and the collectors said the minimum I could pay back would be £400 a month which they have no chance of getting as I don't have that in a pot. Anyone know where I need to start please??

    I am spending 2017 trying to deal with outstanding debts I was doing so well sorted out lots of minor debts into payment plans, clawing down the credit cards then this jumps into the mix and throws my anxiety through the roof ... We reap what we sow I guess
    Saving for a housebut first £1076 cc got to go.
    • sidewayslook
    • By sidewayslook 18th Mar 17, 12:10 PM
    • 3 Posts
    • 0 Thanks
    sidewayslook
    County Court Claim Form - MBNA/PRA
    Hello,

    Please help! I have received a Claim Form for a debt which I defaulted on in 2010. The debt was on a credit card for £7600. I tried to negotiate with them at the time until I got myself back on my feet. Since then I have paid them £1 a month so I believe this does not make the debt statute barred as this is seen as me admitting to the debt - is that correct?

    The claim form is saying that the debt was assigned to PRA in 2014 and that since then I have paid them £1300 - which I have not!

    My situation is that I am a single parent, working but receiving benefits.

    I need to respond by Monday - please advise what my best course of action is.

    Many thanks
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

4,235Posts Today

6,529Users online

Martin's Twitter
  • As I've said before - energy price cap sounds good, and will likely be popular, but there's a big risk of making th? https://t.co/ubeV9vnmU7

  • Just seen @IvoGraham doing stand up in a comedy club. Superb, witty, self depricating, clever stuff. Go see him if you get the chance

  • RT @ChrissyNunn: New one from @Tesco today.. "The sale of Goods Act is just legislation, it's like a guideline, it's not law" @MartinSLewis?

  • Follow Martin