Help!!!! First ccj

Culater_2

Today I have received paperwork from the courts for one of my creditors - Alliance & Leicster whom I owe 7k to. I owe in total £30k and was paying payplan £300 a month until I lost my job in Nov 2008.

Now I have no income whatsoever - only my wife's wage and tax credits and cant afford to pay my creditors anything other than token payments.

I am trying so hard to find a job with over 100 applied for and have some hopeful interviews - one last week and another next - which I tick all the boxes for so fingers crossed.

I really wanna work - but I digress here...

I have 14 days (?) to fill out paperwork inc SOA info but really at the mo cant afford much to repay.

What should I do? As obviously will have to pay something. AFter our mortgage and bills etc we only have £5 left over as we are being careful in all areas...

CCCS_Sarah

Culater wrote: »

Today I have received paperwork from the courts for one of my creditors - Alliance & Leicster whom I owe 7k to. I owe in total £30k and was paying payplan £300 a month until I lost my job in Nov 2008.

Now I have no income whatsoever - only my wife's wage and tax credits and cant afford to pay my creditors anything other than token payments.

I am trying so hard to find a job with over 100 applied for and have some hopeful interviews - one last week and another next - which I tick all the boxes for so fingers crossed.

I really wanna work - but I digress here...

I have 14 days (?) to fill out paperwork inc SOA info but really at the mo cant afford much to repay.

What should I do? As obviously will have to pay something. AFter our mortgage and bills etc we only have £5 left over as we are being careful in all areas...

Hello,

When you are completing the forms be truthful with what you can afford to pay, this figure does need to be based on your income and expenditure and also fair to all your creditors. So if all you can afford is £1 per month then offer this.

If you need any help completing a new financial statement, you could visit Debt Remedy on the CCCS website and then you would be able to just print off the budget along with the advice booklet. This link will take you directly to Debt Remedy

CCCS_Sarah

Culater_2

THANKS!!

I have completed my COA in accordance with my DMP COA via payplan - I could stretch to maybe 5-10£ per month taking this out of a shopping budget maybe but that's it. All of my other creditors are currently getting £1 token via payplan and if I offer them £5-£10 surely I am giving them preference???

I just think that they will reject the £1 token anyway as tghey are not happy with this as now and sold the debt to a DCA - Shoosmiths - who are taking me to court!

Surely I cant show them preference over other creditors??

CCCS_Sarah

Culater wrote: »

THANKS!!

I have completed my COA in accordance with my DMP COA via payplan - I could stretch to maybe 5-10£ per month taking this out of a shopping budget maybe but that's it. All of my other creditors are currently getting £1 token via payplan and if I offer them £5-£10 surely I am giving them preference???

I just think that they will reject the £1 token anyway as tghey are not happy with this as now and sold the debt to a DCA - Shoosmiths - who are taking me to court!

Surely I cant show them preference over other creditors??

You would need to treat all your creditors equally; it’s not a case of who shouts loudest gets more. When you send back your completed forms I would recommend that you also attach a copy of your payplan budget and write your claim number on it. From this they will be able to see that you are seeking advice and all your other creditors are also getting a £1 payment.

The court is not on the creditor’s side, they are there to set a fair realistic payment amount.

Culater_2

Just spoken to Payplan - they have advised me to fill out the forms and send them to Payplan to deal with by Rec Del post.

I said I will also include a signed revised SOA detailing that I am not working and all our commitments etc.

If I offer £1 and the court refuse this which I am sure they will - does that mean I have to increase my tokens to all my other creditors?

CCCS_Sarah

Culater wrote: »

Just spoken to Payplan - they have advised me to fill out the forms and send them to Payplan to deal with by Rec Del post.

I said I will also include a signed revised SOA detailing that I am not working and all our commitments etc.

If I offer £1 and the court refuse this which I am sure they will - does that mean I have to increase my tokens to all my other creditors?

No, you wouldn’t need to increase your payments to your other creditors. The most important thing is that you have enough to cover your day to day living costs.

Culater_2

But then surely I am showing them preference?

moneybuster

do you have to send bank statements as well for a ccj


many thanks moneybuster

Culater_2

It does not say anything about that no

CCCS_Sarah

Culater wrote: »

But then surely I am showing them preference?

Thank you for your reply. My advice would be to pay £1 pcm, if you chose to pay £5-£10 this would mean that you are treating this creditor preferential over others. So technically you should increase your payments to all, however you have all ready mentioned that you have no income so this would make your budget unsustainable therefore making it harder to stick to the arrangements.

rog2

Culater wrote: »

If I offer £1 and the court refuse this which I am sure they will - does that mean I have to increase my tokens to all my other creditors?

Not at all, Culater. You should realise that the Court is there to act in the interests of everybody, including you. The Court will see, by virtue of the fact that you are in a DMP, administered by Payplan, that you are serious about dealing with your debts, and that your offer is made based on good advice and reflecting what you can afford to pay.
The Court is unlikely to make a judgement that favours Shoosmiths over your other creditors and, although there is no absolute guarantee, will probably order you to continue paying the 'token payment' until such time as your circumstances improve.
It is, however, also possible that Shoosmiths, on seeing your soa will 'pull out' of this claim, since they are unlikely to get a better deal by going through the Courts.
In a way, a CCJ could be your best option as it will be just as binding on Shoosmiths as it is on you - as long as you keep to the terms of the CCJ any further attempts, by them, to contact you, directly, to attempt to make you pay more, would be seen as harassment and, therefore, illegal.