Bad times, cant pay off my credit card debts

never-in-doubt

anfieldroar wrote: »

is another option to call the credit card companies and explain my situation and ask them for a settlement that I can afford? That way, the debt is cleared and no bad credit info?

Is this possible? i.e. say I owe £40k and let them know I will probably be penniless in 6 weeks but I can offer them £10k now to clear it all - would they take it?

thx

That is making a full and final settlement (official legal jargon).

However, the same applies - this will affect your credit file.

The only option is to repay it, anything else will have an adverse affect for upto 6yrs. No other options, otherwise i'd have mentioned them to you already

---lee---

anfieldroar,

The best place to discuss this would be the debt free wannabee forum here. There are some sticky threads at the top of that page you wll be inerested in and many others there who have been or are in similar situations who can offer advice.

With the sort of figures your taking about, it's important that you consider all the options before making any decisions on how to proceed. You should seek free professional advice from your local CAB as well.

anfieldroar

ok thanks for the info....

never-in-doubt

sorry, just realised you mentioned 40 grand of debt!

Ok, if I was you then i'd probably reconsider and actually risk being debt free for 6yrs and write the lot off. Others will dispute this but if you're going to do it then do it and keep your ten grand!

if you have a mortgage then not good advice if anything is secured?

Rednoseranter

Sorry but I disagree with most of the replies here:

"legally writing off the debt" - fantasy land, if it was that easy we'd all do it. This relies on the credit card company screwing up the paperwork - it'll mean that either you'll have to take them to court or get one of the "no win - no fee" ambulance chasers to do it for you -either way it'll take months or possibley years.

What are the chances of you getting more credit to repay existing credit? If you've nearly maxed out existing credit and can't declare any income you may end up compounding the problem.

First you need to get proper free debt advice, try CAB or the National Debt Line, it is probably inevitable that your credit rating will be effected but thats not the end of the world - its infinately better to have arrangements in place than default entirely.

anfieldroar

yeah I have a mortgage - almost 100% though....

I'd feel happier paying of the debt with interest frozen (if possible) - regardless of how long it takes - its fair.

thx

never-in-doubt

Rednoseranter wrote: »

Sorry but I disagree with most of the replies here:

"legally writing off the debt" - fantasy land, if it was that easy we'd all do it. This relies on the credit card company screwing up the paperwork - it'll mean that either you'll have to take them to court or get one of the "no win - no fee" ambulance chasers to do it for you -either way it'll take months or possibley years.

Nah mate, try reading the thread and others like it again. It can be done and 90% of pre Jan 2007 CCA's were wrong, as i've said 100 times! They omitted the APR and compoundable MER.

Rednoseranter wrote: »

What are the chances of you getting more credit to repay existing credit? If you've nearly maxed out existing credit and can't declare any income you may end up compounding the problem.

you're out of date - replied saying i missed the amount. Obviously with 40k things change a little.....

Rednoseranter wrote: »

First you need to get proper free debt advice, try CAB or the National Debt Line, it is probably inevitable that your credit rating will be effected but thats not the end of the world - its infinately better to have arrangements in place than default entirely.

Good advice

ged1980

Cashpig74 wrote: »

apparently theres a guarenteeed income to be made somewhere in the gambling thread. why doesnt everyone just talk about that.

and that helps OP how

mintymoneysaver

I really think you need to head over to the debt free wannabee board. I think you've had one or two people on this thread who are not being particularly helpful. Over there people will appreciate the fact that you want to pay the debt back and will be far more helpful as they are in the same situation themselves.

POSSETTE

You cant make a F and F offer unless you are in arrears anyway. You would have to miss a few payments before offering 10k for a 40k debt.