£7400 overdraft & £17300 loan - doomed

Flower08

If you dont have any of these expenses maybe you should start a spending diary to see where you are spending the extra money, it seems from your soa that you have £1539 left over after expenses and your repayments are only £1000 per month so there shouldnt be a problem, unless i am missing the point? sorry i am not being much help!

RAS

Trajan wrote: »

I live my parents so I don't pay for the food shopping. No mortgage, no rent. No car.I work for Transport for London, no travel expenses.

Given this situation, exactly how have you manged to spend £22,000?

What do you have that can be sold to start re-paying your debts?

And I would very strongly recomened that you open another basic bank account as a matter of urgency.

bank_of_slate

Absolutely agree with RAS,
When you default on the loan they will just add to the overdraft and the charges will go through the roof!

You need an account at a bank that is NOT linked to Natwest in any way and have your wages paid into that.
...Linda xx

Trajan

bank_of_slate wrote: »

Are your parents aware of your situation at all?

Can you do more overtime at work?

And what about daily spending? like a sandwich here, a coffee or a newspaper there, this is where many people find unaccounted funds literally disappearing every month!
...Linda xx

They don't know anything. Unfortunately, I have been a victim of my friend. I gave it to him for musical purposes. I don't know when or If ever I will have my moneyback.

I can do overtime but I already included some overtime on top of my wages, but I still can get a bit higher.

Since I work for London Underground, drinks and papers are free. I bring my lunch from home, so I don't spend much.

I only have a bank account with Natwest.

I have got to make a repayment of £700 at the end of this month but I don't have money. My overdraft limit is £7500, and I used £7400 of that. So I have to use the natwest credit card this money and pay it off, otherwise I will go into unauthorised overdraft. I receive my wages every 4 weeks so my next wages will be on 8/10/08

I thinking of opening an account with another bank but If I start receiving my wages into another bank account would it not cause any problems for my loans and overdraft.
Would it count as a salary If I were to transfer the salary into another bank account online every month?
What bank do you recommend?

Flower08

What exactly have you spent all this money on? Is there anything you can sell in order to raise the funds. But you definatly need to open a new account - through quidco if possible to raise some more money - as a matter of urgency. You need to find out where all this extra money from your wages is going as according to your soa you have over £1000 every month to pay your debts

bank_of_slate

Right, you are going to have to open a basic account with another bank and get your work to pay your wage into it ASAP.
http://forums.moneysavingexpert.com/showthread.html?t=474254

Look at the above thread, you can open any of the accounts without them running a credit check.

You are going to have to default on the loan, there's no way you can pay that realistically is there?

Do not let Natwest talk you into taking out a high interest consolidation loan to cover the old loan AND the overdraft.

Contact CCCS for professional advice ASAP!
They do not charge any fees and they have helped many people on here.

In the meantime, write to Natwest saying you cannot make the payment this month but include a 'token payment' anything as little as £1.
I'm sure one of the other regulars has a template letter you can use.
...Linda xx

RAS

Right now, the minute your salary goes in, natwest can use it to pay your loan, stop you taking out any money from you current account or from your credit card and you have no money for the next 4 weeks.

There is a very real risk they will do this.

The other thing is that the only way that you pay off your loan is by increasing your debt. If you were to go bankrupt and have to talk to an Official Receiver, you would be in deep doo doo, because a reasonable person would realise that you have reached the point where your debt managment is out of control.

What are you spending this money on? OK - seen the comment above which explains how you got in this mess.

However, you have enough money coming in each month to pay off this loan and make inroads into the overdraft - where is it going, as it appears it is not goign on the OD?

RAS

here are the contact for the debt charities http://www.moneysavingexpert.com/loans/debt-help-plan#help

bank_of_slate

Trajan are your parents aware of your situation?

We may sound a little serious and harsh here but please be assured that we really want to help you.
...Linda xx

RAS

Trajan

Is there any way to turn that "friend" upside down and shake him till he coughs up?

Or do you have to accept that the money is never going to be returned?

have you any paperwork or was this just done on friendship?