What do I do next?

tjs1

I have an unsecured personal loan with a highstreet bank that I am unable to meet the repayments for. Currently my only source of income is JSA. I have contacted the CCCS and they provided me with a budget sheet which I have sent to the bank in question and they have rejected my offer. The CCCS say they can not make an offer on my behalf. I will be making a payment to the bank each month as layed out in my budget, even though we have no official agreement. This is literally all I can afford. The bank has served me with a default notice.

It seems to me that there is nothing I can do if the bank refuse my my maximum possible offer. What will happen if the bank refer my debt to a collection agency? What happens if the bank applies a CCJ? How does the court determine what I am able to pay? I am only able to pay the amount I have offered so I assume they must reach the same conclusion. The bank in question is my only creditor and the loan is not secured against anything.

In short, what do I do next?

GeorgeUK

Can you post up a statement of affairs - we may be able to spot some areas to save from your current expenditure.
https://www.makesenseofcards.com/soacalc.html

Do you own your own property?

peb

One other point ; make sure the account that your JSA is paid into is not related to the bank you have the debt with. Theoretically banks are not allowed to take benefits from you but it is best to be as detached as possible financially.

fermi

If it goes to a debt collection company then continue to offer and pay only what you can genuinely afford.

Don't deal with them on the phone. In writing ONLY. They may try to bully/frighten you into paying more, but stick to your guns. If it did go to court you would then be able to show that you had been making fair offers of payment.

In most cases (eventually) you can get the courts to accept a fair offer based on your means.

The above applies just as much to the original bank if they hassle you.