Un-requested loan

squeak24

Further to the last post, I did actually breakdown last night due to this issue and was very close to doing something very stupid, but no one seems to care about this. I don't know what to do anymore, I just want this to end now

squeak24

also what is an SOA?

thmaga

An SOA is a Statement of Affairs, it shows your monthly income and outgoings along with your debt repayments.

Here's a link

http://www.makesenseofcards.com/soacalc.html

CLAPTON

your affairs seem quite complicated.

-as far as the loan(s) themselves are concerned, as you have already gone to the Ombudsman the it would seem sensible to await their verdict

-as far as the minimum monthly acceptable payment is concerned the situation is basically as follows.
The only legal situation is that you need to pay that which has been contracted. Obvioulsy you can't afford that so its basically a negotiation between you and the bank.
If you can't agree then they have the option to take you to court (CCJ) and a judge will decide.
So basically just tell them you can only afford xx and if they won't accept that then they can go to court... Presumably you have explained your income situation.

-lastly it does seem odd to me to work for £600 and spend £300 on travel... perhaps you should consider doing a more suitable job.

squeak24

basically regarding travel, it is either pay over £500 a month to live in London, or commute from my parents where I live rent free, no bills and the cost of travel is £300, I am better off doing the travelling. In my line of work there are not many jobs where my parents are (if any) I have applied for more local work in shops but they just aren't interested. I only work two days a week at the moment due to the lack of work, which lets face it, if a company does not want to spend moeny then they won't hire you, not just me I know a lot of people in the same position at the moment in the same line of work, and because it is so specialized the skills are basically worthless anywhere else. Where I live during the week they are laying staff off everyday to try and keep costs down. There are hundreds recently who have worked in retail that have just lost there job, who will have a better chance of getting a job in a shop, a sound engineer or someone who's company has made lay offs in an effort to cut costs. Like I say I have tried, I just haven't got anywhere, hence why I have carried on with a commute that requires a recovery day.

squeak24

I can afford the monthly repayments (at the moment) it is the extra payment the bank are demanding that I can't afford, this is not contractual, I have not agreed to any further repayment to pay the rest.

justruth

With regards to your question about what the legal minimum is, as far as I am aware there isn't one. You demonstrate where your money goes on an SOA that you send to the collection agency and anything left over is split between the creditors. This is your token payment, but it does not mean that the banks will keep hold of your debt and will probably default you and pass the debt onto a collections agency who you will then have to repeat the process with. The worst they can do with unsecured debt is take you to court and issue a CCJ. Then the judge will look at your SOA and rule how much you can afford, and if you have been making regular token payments that were reasonably decided upon from the SOA then the judge will often rule that is how much you will pay.

Do an SOA type thing for the bank and show what you can afford. If you can afford £50 a month then pay it and get rid of the debt, if you try to blow them off with £1 minimums without any justification then the judge may look unfavorably upon you when this goes to court.