Please Help - Running out of time!

chevalier

medologyrich wrote: »

Whats likely to happen if I dont pay the minimum payments on the cards and unsecured bank loans? Will my house be reposessed? will they make me bankrupt?

No the won't reposess the house for unsecured debt. That is why Ras said to cancel the DD for everything BUT the mortgage, (to keep a roof over your head), council tax (because you can get into a lot of trouble for not paying that), and utilities (to keep warm). For the credit cards and loans you can also send them a letter saying you have become unemployed and that you are getting debt advice, but as a gesture of good will, you are sending them a token payment of £1.

One thing you are going to have to accept is that your credit score is going to be trashed, so getting more credit is going to be unlikely.

Next can you get ANY job, to help tide you over? What field of work were you in? Have you got your CV up to date and in with agencies in the relevant field?

As Ras check you are getting all the beneifts you are entitled to aswell. Do you have payment protection on any of the loans/credit cards? If so then claim asap.

Good luck
chev

Fire_Fox

Also post a Statement of Affairs (link on sticky on main DFW page) so we can advise on any cutbacks you might make.

medologyrich

chevalier wrote: »

No the won't reposess the house for unsecured debt. That is why Ras said to cancel the DD for everything BUT the mortgage, (to keep a roof over your head), council tax (because you can get into a lot of trouble for not paying that), and utilities (to keep warm). For the credit cards and loans you can also send them a letter saying you have become unemployed and that you are getting debt advice, but as a gesture of good will, you are sending them a token payment of £1.

One thing you are going to have to accept is that your credit score is going to be trashed, so getting more credit is going to be unlikely.

Next can you get ANY job, to help tide you over? What field of work were you in? Have you got your CV up to date and in with agencies in the relevant field?

As Ras check you are getting all the beneifts you are entitled to aswell. Do you have payment protection on any of the loans/credit cards? If so then claim asap.

Good luck
chev

Thanks for the reply - It has been v helpfull.

Cheers Rich

aligerdie

medologyrich wrote: »

Thanks for the reply - It has been v helpfull.

Cheers Rich

Just caught up with this thread and wanted to say good luck. How are you getting on today?

SerenaGoode

medologyrich wrote: »

Thanks for the reply - It has been v helpfull.

Cheers Rich

Rich - good luck. The best thing is that you are dealing with the situation. Don't be scared of talking to your creditors, they may be more help than you expect, especially if they think it is a short term problem. And if they aren't the helplines (I use National Debtline) are brilliant, full of calm people who know exactly what rights you have.

For comparison, my house value and mortgage is similar to yours - looks like a bit of positive equity, a quick forced sale would destroy that. My debts are even higher than yours. I have gone for a self-negotiated debt management plan and so far so good. I have been able to hugely decrease my outlay. And if you really can't afford anything on the unsecured debt, then make sure you keep them informed, and make the token £1 a month payments. Remember that in the end the legal system respects and protects debtors who make sincere efforts to repay their debts - so keep records of correspondence and phone calls and give them the token payments while you try to deal with your other problems.

I hope it goes well for you.

medologyrich

thanks mate