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samantha3101

Hi i tried private messaging but it didnt work

Im in a bit of a mess and this is an essay so sorry in adavance!:p

I am currently on a DMP with Gregory Pennington for £125 per month for about 11k of debt started that end of last year Sept 08 ish. In April 09 took out a log book loan on my car for 1.5k as i was living beyond what i have. As LBL has high intrests i pay £294 per month so I stupidly took out a Payday loan with MEM to pay off some late payments with LBL. I am able to pay off the payday loan each month but then i dont pay some of my payments with LBL. I went to Debt Remedy and they suggested i did a token payment or DRO. I have sent a letter today to LBL to say i can only pay £75 per month using a Debt Remdy template.

I have worked out that each week i am left with £24.77 as below:

PER WEEK
Income - 269

Ougoings
Gregory Pennington - 31.25
LBL - 53.60
Car insurance - 12
Rent - 75.75
Food - 30
Petrol - 30
Pet insurance/ food/ vet - 11.63

total outgoings - 244.23
left with 24.77

Would i be able to have a DRO? My car isn't worth more then 1k and i dont own a house, etc. I would be intrested in a DMP with CCCS and i would be able to pay £200 per month. But rather a DRO?

Any information would be great and thanks.

CCCS_Sarah

Debthelp79 wrote: »

Hi CCCS team,

and repeating many other posters who have used this for a first time - Thank you for such a useful, and in many cases, essential service.

I am in currently in aprox 35k of debt over 5 creditors (1 x loan, 3 x CC and my parents- this is excl my mortgage) and contacted a financial help company for advice.
As part of the money was being paid to my parents they recommended I should start an Informal agreement with the other creditors.
I started the process and was about to send the relevant letters but my parents have since said they are willing/able to remove more savings to help me.
It will leave me short by nearly 10k against the creditors and I cannot afford to pay both my parents and the creditors, and this actually got me into the original spiral of debt.
I have heard (only via a friend) that I can make an offer to the creditors to clear a final one-off payment at a percentage of what I owe.

Is this true?
If it is, and they agreed, would it affect my credit rating in the future?
And, would i contact them to see what they would accept or would i just make an offer explaining circumstance?

I am also waiting to hear from the financial company, but only heard news today and thought i would ask.

Many thanks,

You would be able to offer full and final settlements or depending on your situation, you could look at a lump sum IVA. If you would like an appointment to discuss these our helpline number is 0800 138 1111.

Generally most things would stay on your file for six years i.e. if you paid the full and final settlements then this would show that the debt has been satisfied.

mani99

mani99 wrote: »

Hi,

I wanted to know whether it would be a good idea for me to consolidate my debts (I know, it's never the best option!). Currently I am just paying the minimum each month which is not making much of a dent in the debt itself and am struggling to survive the rest of the month with what I have left over.

A quick overview:

Income: £2093
Mortgage: £1000
Credit Cards: £342
Loan: £212
Travel: £150
Remaining: £389 (£30 for mobile, £17 for insurance)

This doesnt leave me with much at all to shop for grocieries etc and I dont even go out as Im very concious that I will end up spending money that I dont really have.

Would a consolidation loan be a good idea, if so are there any recommendations as I dont have a good credit score (no idea why as I've always made payments on time). Or would it be an idea for me to ring and ask for a holiday payment?

Any advice would be more than appreciated.

Thanks,

Mani

Here is my SOA.

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 5
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 2093
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2093
Monthly Expense Details
Mortgage................................ 1000
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 20
Gas..................................... 30
Oil..................................... 0
Water rates............................. 15
Telephone (land line)................... 0
Mobile phone............................ 20
TV Licence.............................. 11
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 180
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 150
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 15
Contents insurance...................... 0
Life assurance ......................... 17
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 60
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1518

Assets
Cash.................................... 0
House value (Gross)..................... 450000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 450000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 280000...(1000).....5.75
Total secured & HP debts...... 280000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Vanquis........................1904......95........54.19
Virgin.........................5332.65...108.......16.6
BarclayCard....................4218......95.04.....14.9
Halifax........................4044......52.65.....15.94
A&L Loan.......................8750......212.00....7.5
Total unsecured debts..........24248.65..562.69....-

Monthly Budget Summary
Total monthly income.................... 2,093
Expenses (including HP & secured debts). 1,518
Available for debt repayments........... 575
Monthly UNsecured debt repayments....... 562.69
Amount left after debt repayments....... 12.31
Personal Balance Sheet Summary
Total assets (things you own)........... 450,000
Total HP & Secured debt................. -280,000
Total Unsecured debt.................... -24,248.65
Net Assets.............................. 145,751.35
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

CCCS_Sarah

missslc wrote: »

hi CCCS team
please help me! I am in the process of getting my paperwork together for an IVA. I have received a letter from Natwest saying if i dont pay £15k in 14 days they will issue a CCJ. How does this stand with the IVA? I am aware that the IVA wont be set up before the 14 days? I hate being chased all the time I am trying!!! thank you x

Hello,

Sounds like Natwest are just defaulting the account. A default would stay on your credit file for 6 years. A default is basically a legal requirement that ends the contract between you and the creditor, so they can choose to pass the debt on to a collection agency.

Creditors often say they will go for a CCJ, you will know if they are if you receive blue and white county court claim forms from either your local court or Northampton.

If they did manage to get a CCJ, this should not effect your IVA as the debt would still be included.

ronnie_2

CCCS_Sarah wrote: »

Hi Ronnie,

Thank you for your post.

They can’t have what you can not afford to give them, so pay them what you can to catch up and just make the overpayments.

If the debt does get passed to a collection agency, they don’t have anymore power than the original creditor so it’s nothing to be worried about.

It may help if you put it all in writing to them rather than speaking to them on the phone, and if possible back your offer up with a copy of your budget.

Hope this helps
Sarah

Good news, not long after I posted this I got the usual phone call from Egg so I decided to answer and tell them why you phoning again etc bloke was very good. Told me to phone back the next day and speak to a special department, loan modifications.

Just off the phone there to them and they have simply redone my loan over the initial period bringing monthly payment down from £270 to £132 so this frees up cash to put towards other items plus I dont need to pay the outstanding payment. I know interest wise I am paying more over a longer period, also they reduced the apr from 7% to 4%

Hoping Lloyds will offer a similar item

CCCS_Sarah

21flames wrote: »

Hi

I really need some advice.

I've been unemployed for over a year now and I'm really struggling with money.

I have an overdraft with Natwest for 1600, which I'm always maxed on.

I receive just under £65 a week in jsa

Every month I'm paying either £20 or £26 and have been for years.

I can't take a loan to pay it off as I wouldn't be able to meet the repayments and I doubt the bank would offer me one anyway as I'm unemployed.

It's a vicious circle I'm stuck in

Any advice would be really appreciated

Thank you

Chris

Hi Chris,

You will need to open a basic bank account where you have no debts; this will help you keep control of your money. This link will take you to a booklet that lists basic bank accounts available.

http://www.moneymadeclear.fsa.gov.uk/pdfs/bank_accounts.pdf

Once you have your new account opened you need to put together a detailed budget so you know how much money you have available to pay towards the debts. If you need any help completing a budget, you could use our online debt advice facility Debt Remedy. Debt Remedy will also let you know what your best options are of how to clear the debts. This link will take you to Debt Remedy. If it is just a temporary situation you not working, you could always look at making token payments until you are back in work and then increase your payments.

Sarah

CCCS_Sarah

costaerer wrote: »

say your on a dmp with cccs, and you make f&f offers to the majority of your creditors and are left with one or two left, is it possible to revert back to your original payment plan with the creditor and not pay a reduced payment on dmp, purely for the sake of cleaning up your credit file sooner ?

thanks

Your debt management plan would need to include all remaining debts, and your surplus would need to be split between all your creditors fairly on a pro rata basis. If you have enough surplus to pay your debts, you could cancel your dmp as you’re not in a contract ands then revert back to your contractual payments. Sometimes if the payments are increased and this takes you over your contractual payments, the creditors may start to charge interest again.

CCCS_Sarah

LolaCola wrote: »

Hi,
Another extra stress to my already stressful situation
I am trying to set up a basic bank account (starting my DMP in Sep). I tried applying over the phone with the one that most people have suggested, Co-op cashminder. I've discovered a major problem in that they require Photographic ID. I do not have any as I do not have an up to date passport, nor do i drive. This has caused me trouble in the past, but as it isn't a legal requirement to have a UK passport I have never forked out the high cost of replacing my expired one. Co-op said I can go into the branch and fill out an "exclusion" form for people like me wihout photo ID. However I live in Edinburgh area and my nearest branch is Glasgow :eek:. Just wondered if you have experienced people in same position as me and if there are any banks that don't require photo ID or maybe banks that offer basic accounts that have a branch nearer to edinburgh area (but not Lloyds TSB or Clydesdale as they are my creditors)?
many thanks

Hello,

Each bank does work differently and they do have different policies. I have attached a link to a booklet that lists basic bank accounts for you. If you have no luck with coop then you may wish to choose another on off the list.

http://www.moneymadeclear.fsa.gov.uk/pdfs/bank_accounts.pdf

CCCS_Sarah

CCCS_Sarah

samantha3101 wrote: »

Hi i tried private messaging but it didnt work

Im in a bit of a mess and this is an essay so sorry in adavance!:p

I am currently on a DMP with Gregory Pennington for £125 per month for about 11k of debt started that end of last year Sept 08 ish. In April 09 took out a log book loan on my car for 1.5k as i was living beyond what i have. As LBL has high intrests i pay £294 per month so I stupidly took out a Payday loan with MEM to pay off some late payments with LBL. I am able to pay off the payday loan each month but then i dont pay some of my payments with LBL. I went to Debt Remedy and they suggested i did a token payment or DRO. I have sent a letter today to LBL to say i can only pay £75 per month using a Debt Remdy template.

I have worked out that each week i am left with £24.77 as below:

PER WEEK
Income - 269

Ougoings
Gregory Pennington - 31.25
LBL - 53.60
Car insurance - 12
Rent - 75.75
Food - 30
Petrol - 30
Pet insurance/ food/ vet - 11.63

total outgoings - 244.23
left with 24.77

Would i be able to have a DRO? My car isn't worth more then 1k and i dont own a house, etc. I would be intrested in a DMP with CCCS and i would be able to pay £200 per month. But rather a DRO?

Any information would be great and thanks.

Hello,

To be eligible for a DRO you would need to have a monthly surplus of less than £50, so if currently you have £200 surplus does not sound like a DRO is your best advice. I think it maybe better for you to have a telephone appointment and let a counsellor look at your budget and discuss the options with you in detail as some of the figures don’t seem to add up and we need to make sure your budget is sustainable.

If you would like an appointment, please call 0800 138 1111.

Sarah

KATTY

Well I have done it and spoke to CCS who were much more reassuring than payplan. My DMP should be up and running soon