Friend in Trouble

Sobewannabe

Hi Guys,

I have been watching this website with some interest and am posing a question in order to assist a very confused friend.

I need some advice.

He has been rather stupid with egg money to the tune of £75,000 and the debt has been sold onto a third party who are threatening him with baliffs orders.

He owns a property with not much equity in it.

Can the baliffs force him to sell the property the debt was not secured on his property.

What are his rights and also what advice would one give him.

Any information would assist before he makes some rash decisions.

Thanks very Much

Percy_Vere

It is possible for whoever owns the debt now to take him to court and secure the debt against his home and for a large debt like that it is quite likely they will. That of course does not mean that he will lose his home, just that the debt is secured against it. He needs proper advice from the CAB or similiar and needs to make payments based upon what he can afford using an income and expenditure form which the cab et al will help him prepare.

Debt_Free_Chick

Egg are the one company that are likely to go for a charging order - this is a court order that secures the debt against the property. More about charging orders here.

Your friend needs advice & help and he needs it NOW.

He should contact the National Debtline and/or CAB as soon as possible. ND can give advice over the phone - he may have to wait for an appointment with CAB.

He should draw up a robust affordable budget and work out how much he can afford to pay to Egg every month. This must be an amount he can afford and not, necessarily, what Egg want him to pay. He must make sure he can keep up the amount he offers.

Again, ND have more information about negotiating with creditors and a self-help pack to download here.

He must get onto this straight away as Egg will not let go of this one!