15k debt...need a way out. Advice please

catsta2001

Ok, in 2003 i went to the CAB office to ask for help as my debt was getting on top of me.
The debts were all with credit cards. Basically i was living off them and using one to pay another, etc etc etc they had all defaulted and i was getting letters from debt collection agencies.
They wrote to the individual companies and gave them a statement of incomings and outgoings.
We arranged with all of them to pay £20 a month each as this is what i could afford.
Now 5 years later, i am still paying them £20 but it is just getting to me that i am never going to be free. I know it is £100 which i can just afford, but i HATE the burden of it.
For each of them now I owe between £700 and 4 k.
The companies are:
Link Financial
BLS Collections
Barclays Bank
Credit Solutions
Regal Credit

All the companies are fine..i dont hear from them. Credit Solutions are a bit pushy. But i just tell them my circumstances havent changed(which they havent)

I also hate the fact that i cant get a bank account. I have a savings account with Halifax. Does anyone know if it is possible to get a bank account. I dont necessarily want a debit card butt he chance of having Direct Debit would be a great help.

Basically, i would just like someone to tell me of any options that are open to me as this has been drifting on for 5 years and i really dont want it drifting on forever. I would love to start saving for a house as at 32 i feel that is what i should be doing. But with my debt as it is i just cant see anyway around it. I realise 15K isnt a huge amount of money..It would just be good to hear from people in the know on how to treat my debt from now on.

I was speaking to someone the other day that said "just go bankcrupt"...and i was thinking.well I am already black listed so what harm would it do.....

Arg....decisions decisions

~Beanie~

Can you up the amount that you pay each one? This is really the only way to get rid of your debt any quicker. Can you up your income at all? Get a second job, sell stuff on EBay, become a Mystery Shopper? Anything that brings in a bit more cash will help you get rid of these debts faster.

Can you post an SOA? Maybe people on here can help you save money in some areas so that you can throw more at your debts.

catsta2001

No, at the moment it is a struggle to find the £100 a month. My hours have been rubbish at work and i have been taking home £700 a month which is crap!

I cant pay them this month as i just dont have it and unfortunately have no way of raising £100 fast. I have e mailed them so hopefully they will be understanding.

If i just stopped paying what happens. Do i go to court. I am not intending not to pay..far from it...just wondered on worst case senarios.

What is a SOA?

When one day i clear them, will i still have really poor credit history......does anyone know if i will be able to look at Morgages and bank accounts?

~Beanie~

An SOA is a statement of affairs. A list of your incoming and outgoings basically, there is a link to one at the top of the page somewhere I think.

If you just stop paying then the chances are that you will end up with CCJ's against your name. They will stay on your file for 6 years and seriously hinder your chances of getting a mortgage during that time. After that though, you should have no problem.

Maybe speak to one of the Debt Charities, like CCCS, to see what they advise.

catsta2001

Ah i dont want a CCJ.

If when i pay the debts off is my file wiped clean straight away.
I am not sure how it works, it is done on points or levels.........

GeorgeUK

SOA link seems to have been removed.
https://www.makesenseofcards.com/soacalc.html

Are all the debts still with the original creditor or have some been passed on to a debt collection agency?

Edit: All the late payments and defaults will remain on your credit file for 6 years. They will have less impact on your credit score as time goes on, but you won't just get a clean slate once your last debt is paid off. You will need to get a credit card or something (probably at a stupidly high rate) and continue to pay it off monthly to rebuild your credit history. After a while, other creditors will see a nice row of green meaning that payments are made on time and may then start offerring you credit or a mortgage.

catsta2001

GeorgeUK wrote: »

SOA link seems to have been removed.
www.makesenseofcards.com/soacalc.html

Are all the debts still with the original creditor or have some been passed on to a debt collection agency?

They are with 5 diff companies as listed in original post.

catsta2001

GeorgeUK wrote: »

SOA link seems to have been removed.
www.makesenseofcards.com/soacalc.html

Are all the debts still with the original creditor or have some been passed on to a debt collection agency?

Edit: All the late payments and defaults will remain on your credit file for 6 years. They will have less impact on your credit score as time goes on, but you won't just get a clean slate once your last debt is paid off. You will need to get a credit card or something (probably at a stupidly high rate) and continue to pay it off monthly to rebuild your credit history. After a while, other creditors will see a nice row of green meaning that payments are made on time and may then start offerring you credit or a mortgage.

So this month becuase i have made a late payment, it will last 6 years from this month??

GeorgeUK

It will be 6 years before that late payment drops off your credit file. Unless there are defaults or CCJ's, these payments after a certain amount of time will have less and less impact on your credit rating. Some creditors ignore late payments that are more than 2 years old if everything else is ok with the history.

This does not mean you will not get any credit or mortgage offers at all - just not very good ones. You will probably need to pay higher interest rates until your credit history recovers enough that you are not seen as a high risk.

RAS

Hi

have you got your credit checks?

And as for bank accounts try coop cashminder. There are several others that escape me right now. Ensure that you as for a basic bank account.

RAS

Heres the link I wanted for you.

http://www.moneymadeclear.fsa.gov.uk/products/bank_accounts/bank_accounts.html