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sal70

i need help i am up to my ears in debt i have 84 pound disposable income about to miss a mortgage payment and secured loan payment i have around 17500.00 pound in credit debt have been advised to offer reduced payments or bankruptcy but for me and husband to go bankrupt it would cost around a thousand pound which we haven't got think bank will close overdrafts soon mine and husbands wage will be gone because new bank account didn't open in time for payroll so how will i feed kids and pay bills this month feeling very suicidal at moment please help me

To_be_Free

sal70 wrote: »

i need help i am up to my ears in debt i have 84 pound disposable income about to miss a mortgage payment and secured loan payment i have around 17500.00 pound in credit debt have been advised to offer reduced payments or bankruptcy but for me and husband to go bankrupt it would cost around a thousand pound which we haven't got think bank will close overdrafts soon mine and husbands wage will be gone because new bank account didn't open in time for payroll so how will i feed kids and pay bills this month feeling very suicidal at moment please help me

Hi,
Sorry cant help but didn't want to just read and run, I am sure someone with greater knowledge then me will be along soon.
Please don't despair.

NicciJB

I have two high interest credit cards and one store card, with a total debt of £800. I was declared bankrupt in 2004 and discharged in 2005.

I was recently offered a "pre-approved" low interest credit card at my bank and so went ahead with the application thinking I could balance transfer my existing credit cards (0%).

I was told the card was approved and it would arrive in the post within 5-7 days.
However, I subsequently received a decline via letter for the supposed "pre-approved" credit card.

I now want to clear the cards and am bamboozled by the options available. I want to do this as cost effectively as possible and now the bank credit card is no longer an option, I am left with the following:

1) Upgrading my account to “Additions” paying £14 a month account fee for a £1400 overdraft. The first £300 of overdraft is interest fee. The rest is charged at 12.9%

2) Not upgrading my account to “Additions” – hence no account fee, and having a standard £1375 overdraft charged at 19.9%

3) Taking out a loan of £1375 or £1400 over three years at a rate of 22.9%

Help!! What would be the best for me in terms of paying interest? My instinct was to go for a loan but the bank clerk was trying to convince me that an overdraft would be more cost effective.

rachel4331

Hi CCCS cousellors,

I found out last night that my husband of 8 years has run up £7,500 worth of debt in another persons name all conected tho to our home address.

It has come to light now cos he faces loses his job (very high possibility) through redundancy on Friday and will therefore not be able to maintain the minimum monthly payments until he finds other work atleast.??

To say I am angry, upset, and very frightened is an understatement but after a sleepless night, I am going to stand by him and try and help. I also don't understand how he has gotten away with it, from the credit card companies point of view?

My question is tho, where do we go from here. A so-called friend is just telling him to ignore the debts cos it isn't in his name anyway? DH is also frightened to get CAB or any other debt organisation involved cos they will go to the police?

We have two young children and we are already just keeping our heads about water money wise but now this, it will tip us over the edge.

You have kindly helped us with our own debts in the past and so we need some advice of how to sort this mess.

Please help me.

Rachel

CCCS_Sue

di3004 wrote: »

Hi there

We are under CCCS but no DMP, as there is not enough for a plan at this time, but will be under review when the financial situation improves, for example when my husband is successful for new employment.

We have only missed one repayment on the loan earlier this month but they had accepted the token payments, today we received a default notice from Lloyds TSB with a leaflet in what to do, such as contact a debt organisation which includes the CCCS, however they know we are already with the CCCS, as we enclosed everything possible with the token payments, including the token payment template letter that were sent from CCCS for us to complete and the expenditure sheet, even a copy of the mortgage arrears letter, the mortgage with with lloyds as well (C&G) and critical.

They did still take the loan repayments last week, and we even cancelled on the Direct debits.
However, they did refund them back in when we complained.

But they still take the token payments for the loans etc.

We did open a new bank account but its taken some time for everything to be moved over, such as the priority Direct Debits, and payments being made into the account.
And as there is an overdraft as well, we cannot close the account at lloyds.

We did also notice by checking online banking this morning that lloyds taken out £25.00 personal loan charge, and have checked back on statements and it normally states "account charge £25.00" not that of personal loan charge.

As all this is new to us we have not got a clue from here in what to do, any suggestions here please as they are threatening legal action?, thanks so much.

Hi di3004 and thank you for your email

If you have sent all your creditors a copy of your budget, a list of creditors and your token offer of payment, then you are doing all you can. Do not be pressured into paying more than you can afford.
Have all your money paid into your new basic account as soon as you can, so that you are back in charge of your finances.
Offer the token payment for the overdraft the same as your other creditors.
It is entirely at the creditors discretion whether they stop the interest and charges and they may continue to charge to begin with.
If they are threatening legal action, then they may be looking at a possible county court judgment in the future. You would normally not need to attend court. You would fill in the claim and return it with your offer of payment, copy of the budget and list of creditors. If the offer was accepted, the CCJ would show on your credit reference file.
Sometimes, they just threaten legal action to try and get you to pay more.
So continue as you are for now and when your circumstances change, then contact us again so that we can review your situation and look at other options for you.
If you need any further help in the meantime, do not hesitate to contact us.

Regards
CCCS_Sue

CCCS_Sue

laurasbump wrote: »

I really need some advice in relation to mine and my partner's finances.

He's about £38k in debt. I am £15k in debt.

We have a 1 year old and another on the way in October. I returned from maternity leave in February and go off again in October.

Our monthly outgoings come to £3900. £1600 are repayments to cards and loans. £1300 on household bills inc mortgage. We then have food, childcare and transport costs on top of this, which adds an extra £1000 to our outgoings. Currently we can manage with a joint income of £4400. However, my OH has a gambling habit which continues to haunt us, and we frequently end up spending more than our income. After December my maternity pay will be almost gone and our income will be down to only £2300 a month.

We will be quite a bit short on our commitments. Even before then we'll be in trouble but it's really difficult to work out exactly how much I'll be bringing home each month while I'm on maternity. It is also unlikely that I'll return to work as childcare costs will be £70 daily for the 2 babies (I am trying to think of other ways to bring in an income).

My questions are:

Can we go into a DMP jointly or are they individual agreements?
Ideally I'd like to get out of my debt by lending £15k from my dad. Is this advisable, could he be added as one of my OH's creditors or does he not count because there's no formal agreement?
How will CCCS react to the gambling habit? Will they still take us on?

Thanks,

Laura

Hi Laura and thank you for your email

A DMP is not always the best option for everyone, but after completing your income and expenditure, if it was the best option, then you could do it in on your own or as a joint plan.
It would depend entirely on your circumstances. Generally speaking, as a couple who share all the bills etc, it would perhaps be best to do it jointly.
Borrowing from family is fine, if it does not cause financial stress to them and they are in no hurry to get the money back.
Any repayments to family would be classed as a priority when doing your budget.
Is your partner receiving help for his gambling addiction?
We can still assist him but, he really does need to get advice and support, as otherwise, our assistance is not going to help. I have attached a link to Gamcare which may be useful. www.gamcare.org.uk
If he was offered a DMP, it would be on the understanding that he cut up any credit cards and did not take out further credit.

Hope this answers your queries.

Regards
CCCS_Sue

angelflower_2

Glasgow office specialist mortgage advisor was meant to call me this afternoon but called this morning and I missed the call because I was in a course. She didnt leave a number to call her back on.

Should I wait or can you give me a number to call them? (Private message ok if you are not meant to make public). Yesterday, they were unable to transfer my call from the main number.

Thank you

CCCS_Sue

songbird2 wrote: »

Dear Sarah
I have spent over a month trying to complete the on-line DRF. Wiht the new tax year and one thing and another my income and out goings have kept changing. I have numerous qeustions, I am at a loss and wil do my ut most to keep questions to a minimal. Here goes:
On-line DR has suggested: eihter token payments or AO - the bulk of my debt is tot he Halifax (mostly bank charges which i am trying to reclaim on the basis of hardship. I phoned direct recieved a letter saying not excepting responsibility but to fil in budgeting form etc)
I have fallen behind with United Utilities Water. They have sent me a form from the Unitied Utilities Trust Fund. They rquire you to fil in their incoming and outgoing forms. Are you familiar with how they operate. Should I enclose a copy from the CCCS DR form.
I donot have a fridge or frezzer or washing machine. Therefore my expenditure for food and laundry is above the recommended amount suggested by the CCCS. Wil they take this into account.
I am regisetered disabled and recieve DLA. In both situations i.e is this taken into account when assessing yr situation.
I owe Southern Electric nearly £450.00, they except they are part at fault and have offered to reduce this amount by 10% big deal. Stil have to pay £80.00 per month for gas n elec. Tried to leave they put in an objection.
I Should have started treatment last year but haven't been able to because of current situation. I have several letters from Consultatn, Drs etc. Should I include these to Creditors and UU Trust Fund Oh and the re-claiming bank charges. Theres so much more but I dont want to take up all yr time. Any advice wouls be much appreciated.
Thanks Sarah

Hi songbird2 and thanks for your email

As long as you mention on the budget the reason for any high expenditure for food and laundry, then this will be taken into consideration.
DLA is for use for your disability, so you need to put it down as income and then show on the budget what it used for.
You can use the copy of the DR budget to show the trust fund your current situation.
As you seem to have lots of other queries you would like to discuss, you can call our DR support team to discuss these in more detail. If you have not got their number let me know and I will PM it to you.

Regards
CCCS_Sue

CCCS_Sue

auntsally121 wrote: »

I hope someone can help! I have completed the Debt Management Recovery Plan and in the booklet produced, it states that I have 207.00 left over each month after all priority expenditure.

But what I don't understand is whether this is used to pay off the debt, whilst continuing to make payments on for example minimum payments on credit/store cards etc. I am currently paying out 409 per month on credit cards, store cards, catalogues and HP agreements (and that is only making minimum payments). This does not include 200 per month HP for car and I also have a latge 2950 overdraft, that I am regularly going over the limti for and getting charged interest. So essentially what I would like to know is whether I have to continue with these above payments and then use the 207 to make 'extra' payments to my creditors?

Would be grateful if someone could answer, as I am ever slightly confused....

Hi auntsally121 and thank you for your email

The reason for completing your budget is to show how much money you need each month to pay all your priorities such as rent/mortgage/council tax/utility bills/food etc. Priorities would include any HP.
HP is usually for purchase of a car .You do not actually own the car until it is fully paid off so if you defaulted on payments, they could repossess the car. So this needs to be on your budget not creditor list.
You need to check your agreements carefully to see whether they are just loan agreements or HP.
Any surplus left after paying all your priorities is the amount you can afford to pay the unsecured creditors.(credit cards/loans/store cards/catalogues/overdrafts etc)
This surplus is worked on a pro rata basis as explained in the booklet so that each creditor gets a fair share of what you can afford. So you would be making REDUCED payments to the creditors from the surplus of £207 not the minimum plus extra. You would need to cancel any DDs for the debts and cut up any credit cards, but you would need to keep paying the full amount of the HP as this should be on your budget as a priority
If you have debts at the bank you are paying money into, then you need to get a basic bank account elsewhere and have your money paid in that account. This puts you back in charge of your finances and enables you to pay back the overdraft at an affordable amount.
It is difficult to give you detailed advice via email but if you need further clarification on any of the above, then we do have a Debt Remedy support team who can assist you further.
The telephone number should be on your booklet, but if you need it, let me know and I will send you a PM

Regards
CCCS_Sue

CCCS_Sue

auntsally121 wrote: »

I hope someone can help! I have completed the Debt Management Recovery Plan and in the booklet produced, it states that I have 207.00 left over each month after all priority expenditure.

But what I don't understand is whether this is used to pay off the debt, whilst continuing to make payments on for example minimum payments on credit/store cards etc. I am currently paying out 409 per month on credit cards, store cards, catalogues and HP agreements (and that is only making minimum payments). This does not include 200 per month HP for car and I also have a latge 2950 overdraft, that I am regularly going over the limti for and getting charged interest. So essentially what I would like to know is whether I have to continue with these above payments and then use the 207 to make 'extra' payments to my creditors?

Would be grateful if someone could answer, as I am ever slightly confused....

Hi auntsally121
I have replied to this question. But let us know if you require further assistance!
Regards
CCCS_Sue