Finally facing my debt...

clairey*fairy_2

Hi - I'm new so bear with me and my awful spelling!!

I'm 27, a married mum of 3 who works 3 days a week - busy doesn't describe it!:D

I managed to get myself about £17,000 in debt when I was younger... a big mistake as I already know and then have spent the following years ignoring the letters I have been receiving.

Obviously.. now things are in a right mess, but I'm determined to sort it out and am looking forward to a debt free future - it may take years but it's got to be better than having cold-sweats every time the postman walks up my drive!:eek:

Does anyone have any tips on how to get started? Most my debts are with debt collection agencies who keep offering me amazing deals (for example - paying £600 over 3 months, and then them wiping the rest of a £1,600 debt!) - are these too good to be true because they sound it!

I'm determined to sort this out and finish this year in a better position than I started it - and who knows - in a few years I might just be able to start a new year debt free! :rolleyes:

Any help or advice would be wonderful - I'm determined to change my life.

Thanks!

Tixy

Hi Claire and welcome to MSE. I hope we are able to help you.

The first thing to do (before you start making payments to any of these companies) is to work out whether any of the debts could be statute barred.
If you do not make a payment for 6years (5 in Scotland) and do not acknowledge th debt in writing for the same period then the debt is legally statute barred and you do not need to repay it.

So work out whether this could apply to any of your debts - has there ever been a period of 6years where you have simply ignored the debt?
(This rule doesn't apply on any debts where you have CCJs (county court judgements)) or any debts owed to the crown (such as income tax, benefits etc).

Here is a factsheet as a starting point - http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=25_liability_for_debts_and_the_limitation_act