Personal Debt and Financial Services staff

morgansdad

I need help! (Don't we all?)

My situation is this. My wife & I have quite good jobs, and although we earn a decent amount each month, we also are terrible when it comes to controlling our spending.

I get really annoyed, upset, embarrassed etc each month to see that even though we've managed to pay the bills, we are left with £100 a week to pay for shopping, petrol, clothes etc etc...

I have considered SO many times ringing CCCS to see if they can help, as we currently pay out £1800ish a month on loans & mortgage. We've also got £9000 on credit cards, which I'm trying to bounce around on 0% deals, but that costs around £260 a month.

My problem is that I work for a high street bank as a mortgage adviser. I am so scared that if I arranged a debt management plan with CCCS, this would reflect on my CRA file.

For those that aren't aware, being in a job which is regulated by the Financial Services Authority means you have to be squeeky clean on the personal finance front. If you have adverse info on your CRA file, you are not deemed to be "financially fit & proper" to perform your role, and basically would have to leave your job (walk or be pushed!) Obviously the flip side of this is that if I lose my job, I can't afford to pay anyone anything!

Does anyone know if a DMP with CCCS would have such an affect on our CRA file, and (I'm grapsing at straws here!) is there ayone on the forum who knows the FSA's policy on exactly what is acceptable?

I hope someone can help, because although I tell my wife all will be ok, I am really starting to loose sleep over this.

Thanks in advance for any advice.

ms_london

What I would suggest you do is list your SOA. If you are both on a good wage and STILL have £100 a week to spend on yourselves, then you may be able to throw a bit more at your debt BEFORE going to the CCCS, especially if there is the risk your job could be affected!!!

I owed £19,000 and that was my debt, I didnt have a partner to share the burden with, so to be honest, although it is debt, and until we know EXACTLY what you owe and who too, I dont think you should be having sleepless nights over it. Although I can appreciate it is a worry!!

Post your SOA and we'll do our best to advise you.

Ms_London

morgansdad

I'll post a summary of our income & outgoings later today - thanks.

YorkshireBoy

morgansdad wrote:

Does anyone know if a DMP with CCCS would have such an affect on our CRA file, ?

I'm not a debt/credit file expert, but I've seen there is a marker for "arrangement to pay" that could be applied. I don't know whether this would "affect" your job, although I wouldn't want one on my file - and I don't work in finance!

morgansdad wrote:

...and (I'm grapsing at straws here!) is there ayone on the forum who knows the FSA's policy on exactly what is acceptable?

The best people to ask are the FSA. They seem to have a handbook available, and have a 'contact us' section specifically for this...

http://fsahandbook.info/FSA/contactUs.jsp

...do it anonymously over the telephone, or write to them (get yourself a new e-mail address first - again for anonymity).

morgansdad

YorkshireBoy wrote:

The best people to ask are the FSA. They seem to have a handbook available, and have a 'contact us' section specifically for this...

http://fsahandbook.info/FSA/contactUs.jsp

...do it anonymously over the telephone, or write to them (get yourself a new e-mail address first - again for anonymity).

Thanks YB, I tried that - "chocolate fireguard" springs to mind!! They said I would have to ask my employer, as it is up to them, seeing as it's actually the employer "approves" me fit to do my job - don't think I'll be knocking on Human Resources door JUST yet...!!

wigginsmum

I work for an investment bank - essentially it depends if you are 'fit and proper' to perform a 'controlled function' (I presume your job as a mortgage advisor is a controlled function). The Handbook then simply says it can withdraw approval if you are deemed no longer 'fit and proper.'

Our internal Compliance manual simply says we need to inform Compliance if any of the info in our original submission to the FSA has changed in a way that affects our name, good reputation or character. So I'd be careful; even if the FSA might not have a problem with it, your employer might if they're over-zealous to avoid being slapped when visited by the FSA. In my previous job with another investment bank we were told we'd have to declare any CCJs etc. So you might well be better off moving what you can to lower rates etc rather than doing a DMP.

The issue really is your spending habits (as it is with me!). Unless that is addressed and got under control, you'll find yourself back in the same position. I would seriously recommend getting it all down on paper - monthly amounts, totals/limits, APR etc, and then putting it on a spreadsheet to work out what is best, where you can make savings. It's surprising how you can claw back a reasonable sum each month and put it towards a debt. I now have everything planned out to Dec-09 in terms of how I'm going to tackle repaying my debt, and there does seem to be light at the end of the tunnel - just got to get through the boring part of actually doing it.

Jules

southernscouser

Hi morgansdad,

Even without seeing a SOA I don't think you need to go down the route of the CCCS or similar. The reason I say this is in your first paragraph!

My situation is this. My wife & I have quite good jobs, and although we earn a decent amount each month, we also are terrible when it comes to controlling our spending.

This is what you need to address. Start a spending diary immediately noting down every single penny you spend each day!

Is your wife aware of the problems you are having? If not tell her! There is no point you saving and cutting back if she isn't!

Still, post a SOA as soon as you can inluding all APR's and credit limits then we will see what we can do!

I know this might be a daft question but am going to say it anyway! Do you currently have the best mortgage deal you can get?

Get yourself over to the oldstyle boards for tips to cut back on food and the utilities board for cheapest, gas, leccy and phone.

tomstickland

You are feeling the pain, so you must be in the correct mental state to address the problem. ie: you are earning quite good money but are spending it at an excessive rate. The good news is that if you get a control on your spending then the problem will pretty much sort it itself out. So get cracking on a spreadsheet of all your debts, rates, balance etc and see if you've got the most efficient arrangements. Next, get to work itemising your expenditure and seeing what you can cut back on.
Estimate what you could have available each month for debt repayments and then see how many months of paying off you have.

payless

good chance that "mortgage advisor" is not a controlled function, so might not be something to answer to FSA about...see http://www.fsa.gov.uk/register-res/html/prof_indiv_fram.html to see if you are listed ... but still may be part of your employment terms

homersimpson_3

i don't work in the finance sector but hr procedures in alot of companies frown upon ccj's and it could result in discplinary implications because you're seen as bringing co into disrepute. i do symathise but you're alot better off than most- both of you have well paid jobs and even £100 a week for 2 people can go along way. why can't you manage your own money- just treat the management of money/budgeting like any other work/college project.

jcr16

wow a £100 a week for 2 people for food , petrol and clothes is loads. don't worry about being embarrased , u have nothing to be embarrased about , most families live to their means anyway.
if you are finding it hard controlling your spending then why not ask for someone to help. ie give all your cards etc to a friend and ask them to let u have say £50 a week pocket money. and pay all bills on d/d. and do food shopping online. so u can't get tempted.
failing that write down every single thing u buy , and that my shock u into changing your habits.
but PLEASE don't be embarrased.
HTH , judie