Ask a CCCS counsellor a question

Newbie23

Hi Guys, This is my first post so please be gentle, Ive been struggling with debt pretty much all my adult life in verying degrees, but the last 12 months since i split with my girlfriend has been terrible, she was in alot of debt herself and loved to spend and at the time i went along with it, she's moved onto greener pastures and im now stuck with a house (in my name) paying interest off the mortgage only as thats all i can afford, and stuck with aprox 30K of unsecured debt, in the form of 2 loans and 3 credit cards all now maxed out as ive gone from joint income paying the bills to my single income of £1600 p/month but, my outgoings are £2400 p/month and i was using the credit cards to make up the difference, paying bills, food, petrol etc. Its now come to a head, as the i cant get no more credit. Ive taken the first step of contacting the CCC'S and they are very heplful and i have a appointment booked to speak to a counseller on thurs, ive filled out the pack the've sent me and worked out my income and expendature although im very worried that they won t be able to help me as just my priorty debts alone are £100 p/month more than my income before i start paying back money to my creditors, ive had my house valued and its only worth what i payed for it at a push, but i cant even afford the legal fees to sell it!! I really dont know what to do, as ive got no money to pay back what i owe, i want to get myself out of this but doors keep shutting in my face, can anyone give me some advice pls???

CCCS_Alan

Newbie23 wrote: »

Hi Guys, This is my first post so please be gentle, Ive been struggling with debt pretty much all my adult life in verying degrees, but the last 12 months since i split with my girlfriend has been terrible, she was in alot of debt herself and loved to spend and at the time i went along with it, she's moved onto greener pastures and im now stuck with a house (in my name) paying interest off the mortgage only as thats all i can afford, and stuck with aprox 30K of unsecured debt, in the form of 2 loans and 3 credit cards all now maxed out as ive gone from joint income paying the bills to my single income of £1600 p/month but, my outgoings are £2400 p/month and i was using the credit cards to make up the difference, paying bills, food, petrol etc. Its now come to a head, as the i cant get no more credit. Ive taken the first step of contacting the CCC'S and they are very heplful and i have a appointment booked to speak to a counseller on thurs, ive filled out the pack the've sent me and worked out my income and expendature although im very worried that they won t be able to help me as just my priorty debts alone are £100 p/month more than my income before i start paying back money to my creditors, ive had my house valued and its only worth what i payed for it at a push, but i cant even afford the legal fees to sell it!! I really dont know what to do, as ive got no money to pay back what i owe, i want to get myself out of this but doors keep shutting in my face, can anyone give me some advice pls???

Hi Newbie23

Sorry to hear about your situation. It is a difficult time because the important thing is being able to survive on what you have coming in, and to stop the use of credit. If you are relying on credit to survive some dramatic changes may be required.

It may be possible when you speak to the counsellor to make reductions to allow you to possibly balance your budget, possibly taking out non essentials like satellite TV etc. But then this may make your debts repayable over an unrealistic timescale.

Can you possibly take a 2nd job or possibly a lodger to increase your household income as things like this will normally be discussed on your appointment. The house will also be discussed in more detail because this is normally a household’s biggest expenditure.

I would say though approach the appointment with an open mind as the advice may not be what you are wanting to hear, but at the end of the day it is up to you if you wish to take the advice or not.

Hope things go well

Regards

CCCS_Alan

Newbie23

Thank You CCCs_Alan for your advice.

nova

Hello All!
I wonder if anyone could answer my query please, I've had sort of conflicting views about this, but if a debt has been passed to a debt collecting agency i.e. Moorcroft, are we suppossed to have a credit agreement with moorcroft ?or just the fact that the debt has been passed to them is enough, as somebody said that if we dont have a signed agreement with them that its not binding. If somebody could clear this up that would be great thanks x

CCCS_Matthew

nova wrote: »

Hello All!
I wonder if anyone could answer my query please, I've had sort of conflicting views about this, but if a debt has been passed to a debt collecting agency i.e. Moorcroft, are we suppossed to have a credit agreement with moorcroft ?or just the fact that the debt has been passed to them is enough, as somebody said that if we dont have a signed agreement with them that its not binding. If somebody could clear this up that would be great thanks x

Hi nova,

As long as the agreement is regulated by the Consumer Credit Act 1974, then there should always be a signed credit agreement for the debt. It's unlikley that the debt collection agency would physically hold the agreement, as it's likely still to be with the original creditor. They should however be able to access a copy if you should request a copy of it.

If they cannot produce a copy of the agreement, then the debt collection guidelines set by the OFT say that the debt cannot be enforced until a copy of the agreement is produced. This is useful for people being chased for debts that they feel they don't owe, or chased for debts that are not in their name.

Hope this helps,
CCCS

nova

CCCS_Matthew wrote: »

Hi nova,

As long as the agreement is regulated by the Consumer Credit Act 1974, then there should always be a signed credit agreement for the debt. It's unlikley that the debt collection agency would physically hold the agreement, as it's likely still to be with the original creditor. They should however be able to access a copy if you should request a copy of it.

If they cannot produce a copy of the agreement, then the debt collection guidelines set by the OFT say that the debt cannot be enforced until a copy of the agreement is produced. This is useful for people being chased for debts that they feel they don't owe, or chased for debts that are not in their name.

Hope this helps,
CCCS

Thank You so much for that Matthew,its not that we dont want to pay what we owe we just need to gather as much info as poss,lm sure some of these companies just think we cant be bothered to pay, when its that our cicumstances have changed. Today l have learnt that we should have been paying our council tax as a priority and not heavy handed debt collecting agencies first, as they'll say they can only accept a certain amount and we've been pressurised into paying our CT money over to them, but now l know different l feel much more in control, which is a great feeling, It's so easy to put your head in the sand,but no more.!!
Thank You Very Much, you've been a great help.
nova x

HarryFlashman

We have just set up a DMP with CCCS and everything is being taken care of wonderfully; we've already had responses from some creditors accepting our DMP payments.

However, one creditor (Barclaycard) has passed the debt onto a company called Mercers Debt Collections. I'm assuming this is the DCA that BCard use? When I spoke to them to discuss the DMP, they maintained they had not received any correspondence fromm CCCS regarding the DMP, were refusing the amount that the DMP specified, and were insisting I set up an agreement directly with them for a much higher repayment amount.

I politely declined, stating that I would continue with the DMP as set up with CCCS, explaining that if they hadn't already received the DMP information, they would do shortly, and quoted my CCCS DMP reference. They then used what I felt to be unnecessarily aggressive language, though not tone, stating that whilst they would put a temporary hold on the account, I would still be subject to doorstep collections(?). I refuse to be intimidated by this but is this standard behaviour from a DCA, when other creditors have been fine?

[Deleted User]

Hi, I have a question re the provision of statements. I have a couple of old debts, over 5 years, I am making small payments. One to a solicitor acting on behalf, One to the company direct - HFC, on a revamped interest free loan, the other intrest free to a company which bought the debt.

Anyway, non provide me statements, not in over 2 years despite asking and asking. I only know what I owe by phoning and lots of hassle.

I was just searching and found this http://www.opsi.gov.uk/ACTS/acts2006/en/ukpgaen_20060014_en.pdf which says if they dont provide statements they have no right to collect the debt or charge interest!!!!

Is this right? Could I challange them and wipe the debt as in this Act?

Miggie

My oh and I are in a dmp and it is going well. Howver, I've just found out that one of my credit cards has been cloned and used several times over the last 6 weeks. I didn't notice earlier because I didn't owe any money on the ac and didn't check it. I've contacted the ccard co and they are looking into it. I'm so worried as it now looks as though we've broken the terms of our dmp - even though the ccard co are confident that they will clear the a/c (and close it).

If my creditors pick up on the fact that the ac was used and then paid off will they cancel my dmp?

I'm so scared and mad as we've been doing really well and should be in a position to increase our payments when we have a review in 3 months.

CCCS_Sue

HarryFlashman wrote: »

We have just set up a DMP with CCCS and everything is being taken care of wonderfully; we've already had responses from some creditors accepting our DMP payments.

However, one creditor (Barclaycard) has passed the debt onto a company called Mercers Debt Collections. I'm assuming this is the DCA that BCard use? When I spoke to them to discuss the DMP, they maintained they had not received any correspondence fromm CCCS regarding the DMP, were refusing the amount that the DMP specified, and were insisting I set up an agreement directly with them for a much higher repayment amount.

I politely declined, stating that I would continue with the DMP as set up with CCCS, explaining that if they hadn't already received the DMP information, they would do shortly, and quoted my CCCS DMP reference. They then used what I felt to be unnecessarily aggressive language, though not tone, stating that whilst they would put a temporary hold on the account, I would still be subject to doorstep collections(?). I refuse to be intimidated by this but is this standard behaviour from a DCA, when other creditors have been fine?

Hi HarryFlashman and thank you for your email

Have you sent a copy of the letter from Mercers Debt collections to us?
If you send us the letter, then we will contact them with your offer of payment and a copy of your budget and list of creditors.

Do not pay them any extra on top of your payments to us,as the whole point of doing the budget in the first place is to show them what you can realistically afford!

The debt collection agencies are not allowed to harass you when trying to collect money.

If they continue to be aggressive when they phone you, after you have explained that you are on a DMP with us, then keep a log of what is being said, and take names of the callers and tell them if they continue with their harassment, you will report them to Trading Standards.
If they do send a collector to the door just politely tell them that you are on a plan with us and paying through your plan. Do not pay them any more.
It is rare that they actually send a collector as it is costly for them arrange this.


If you receive any other collection letters, we would need these as well.

Hope this helps!

Regards

Sue