Littlewoods IBC?

calmgirl

Hello, its me again. to cut a long story short I owe Littlewoods catalogue £2464.38 and have been paying their finance company 65.00 each month towards the debt, setting this up every three months(cos thats how they do it) and paying a fee each time. They have now contacted me and said their policy to debt has changed and they want me to start paying £400 a month instead. as my husband is self employed and doesn't always have work we have a variable monthly income which makes it hard to set an agreed instalment for each month. I told them I can't afford 400 each month so would have to go to the cab or somewhere and then she said I could have an IBC with them instead and pay off a lower amount over a longer period of time. I said do you mean a new credit agreement with higher interest charges and she said yes. Obviously I am reluctant to take them up on this because I don't want to end up owing them even more. My husband has had a job interview which will be for a full time job so we are wating for an answer to that. Does anyone have an idea of what we can do in the meantime? Thanks
Suzi

Harassed_2

No, don't do it. Tell them that you have £65 available, which you MAY be able to increase later. Basically, tell them to like it or lump it. If they go to court they won't get any more, probably less.

Also point out it is against the Office of Fair Trading guidelines to suggest further credit to someone in credit difficulties - and that you are inclined to report them for suggesting it.

bonnie_2

exactly, they wanted £100 a month of me but only ended up with £28 after going to cab, which cooked their goose.paid them of last year

calmgirl

thanks, trouble is i dont know if i can afford 65 cos hubby isnt always working

maforduk

What they said is wrong, they can't do that. Like above, inform the Office of Fair Trading.
When you entered into their agreement, you agreed to the rates at what you have now, they can't just increase it willy nilly as they see fit.

calmgirl

how do i get in touch with them

maforduk

calmgirl wrote:

how do i get in touch with them

Here you go:
Office of Fair Trading, Fleetbank House, 2-6 Salisbury Square, LONDON, EC4Y 8JX
Phone : 020 7211 8000, Fax : 020 7211 8800, E-mail : enquiries@oft.gov.uk
https://www.oft.gov.uk

calmgirl

thanks very much will try that

laidee

I have just got off the phone to Littlewoods having tried to set a reduced payment arrangement and them offering me an IBC. I don't think i am going to accept it but write a letter especially as £85 of my balance (£183.50) is charges.
Thanks for the tip about the OFT against offering further credit!!