Our Debts by a Newbie

vodkaqueen75

hi new here, myself and my husband have a lot of debts unfortunatly but thankfully we are able to pay them all off at once down to pure chance more than anything.

heres our debts:

EON Powergen 432.12

AIC 5,559.00 (for a rbs loan)

Water Rates 1,397.01

Mutual 447.00

Intrum Justicia 127.51

Clydesdale 387.99

Shopa chek 699.99

BT 692.00

NTL 234.16

Council Tax 597.00

Capital One 460.43

I dont know what we would have done if it wasnt for my husband selling a house he had with his ex partner, he has just accepted her solicitors letter offering him 14,000 to release his name from he mortgage. We have learnt our lesson big time, we have only just been able to up our accounts with Lloyds from a basic account to current accounts but not with a debit card!
I just want to say this forum has been a great for us as before he had the offer i realised just what was mounting up and that we have 3 young children and are abismal role models for them.
Hopefully i can give advice to people on here so that they dont fall into teh trap myself and my husband did.

Thanks for reading

las77

I'm certainly not an expert but is the council tax in arrears? if so this will have to be priority as at the worst scenario can result in imprisonment, I'm not say that to scare you, only to flag it up as a priority. All your utilities should be seen as priority, is Interim Justica a debt collection agency?. From seeing other posts ,can you provide your SOA. las77

kathfisch

Welcome to MSE!
It's great that you are able to clear your debts with a lump like that! The thing now, as you know, is to live in such a way that you don't get into debt again. You obviously realise this because you say that you want to be good role models for your children. I think this is a wonderful attitude, to think about the impact on your children as well as yourselves. Stick around and enjoy your debt free life!

vodkaqueen75

sorry should have said the council tac for now is up to date the arrears are being dealt with by a bailiff, we pay 30.00 a week into that, we are paying all theses debts off and have arrangements in place to do so, its just nice that we can pay them all off and just have regular household bills from now on with no more debts hanging around our necks. same as teh water we are paying that off 50.00 a month to a debt collector, we got into a lot of trouble but we havent shyed away from paying our debts to these people!

locohauled

If you are able to clear them all in one go why not offer those debts being handled by debt chasing armsholes (DCA's) a full and final quite a lot less than what they are claiming. Start off perhaps with 20-25% and move up towards the 55% as an upper limit. You never know they might accept.

Remember if they do accept your offer insist they mark the debt as satisfied with the credit agencies and get evrything in writing. You don't want them coming back, cap in hand, for more cash in a few months/years time!

vodkaqueen75

thank you locohauled that is a great idea, i will mention that to my husband, come to think of it i am sure we had a letter from one of our creditors saying that if we paid with in 7 days they could offer us a discount...
Thanks! :j