Token Payments

captainhaggis

Arfhurdaly wrote: »

So how much is your token payment, if you dont mind me asking?

Varies mate, depending on the level of the debt. I think that, technically speaking, a 'token payment' is considered to be GBP1.00 (foreign keyboard - no pound symbol) but my payments are all very much around the level you're talking about.

Arfhurdaly wrote: »

My debts are with Halifax, Egg, CapOne and Barclays.

Well you know how Egg can be. In terms of CapOne, never-in-doubt will, I'm quite sure, love to offer you his thoughts on this company. He's in the middle of an all out war with them. He's not a fan :rotfl:. Barclays, I think, have a habit of passing things on to DCAs but that's not always a bad thing. You can still negotiate reduced payments with them and they're almost always more willing to negotiate better Full & Finals.

Arfhurdaly wrote: »

I plan to move all essential (non debt) DDs, to another bank, so they cant DD for the CCminimums, esp barclays.

Who do you hold your current account with at the moment?

Remember to also move any savings accounts away from a creditor bank.

Arfhurdaly

captainhaggis wrote: »

Varies mate, depending on the level of the debt. I think that, technically speaking, a 'token payment' is considered to be GBP1.00 (foreign keyboard - no pound symbol) but my payments are all very much around the level you're talking about.

Well you know how Egg can be. In terms of CapOne, never-in-doubt will, I'm quite sure, love to offer you his thoughts on this company. He's in the middle of an all out war with them. He's not a fan :rotfl:. Barclays, I think, have a habit of passing things on to DCAs but that's not always a bad thing. You can still negotiate reduced payments with them and they're almost always more willing to negotiate better Full & Finals.

Who do you hold your current account with at the moment?

Remember to also move any savings accounts away from a creditor bank.

So if you are making token payments, are these marked as "defaults" on your credit record, even if they agreed to the token amounts?

Also, do they give you a time when you are reviewed? Eg 6months.

captainhaggis

Arfhurdaly wrote: »

So if you are making token payments, are these marked as "defaults" on your credit record, even if they agreed to the token amounts?

Also, do they give you a time when you are reviewed? Eg 6months.

No mate. If you've agreed to make reduced payments with the lender then they USUALLY won't issue a default against you. The only people who did that with me were Egg. They said they had to default me before they could arrange anything. All of the others issued no defaults at all until recently when I needed to drop my payments.

I basically wrote to them explaining the change in circumstances that meant I had to reduce my payments and at the same time changed my Standing Orders. So for about a month or two I was making payments at a lower level than the original agreement. So they defaulted me. Now that I'm back in agreements again it's all gravy.

So you might be able to avoid defaults with the other lenders (not Egg) if you keep making the payments you're making now until such time as they agree to the reduced amounts. But if you're really struggling you might have no option but to drop the payments before that has been agreed.

REMEMEBR also that most of these people will come back and say "your offer isn't acceptable to us". Well, that's not really for them to say, is it? You can afford what you can afford and they have to either take it, or leave it (and this usually comes with court/collection action - so not a route they'll often take).

EDIT : And yes, six monthly reviews tend to be the norm but I've had Egg and Coop go on for over a year without making contact.

Arfhurdaly

Thank you captain, you have been a great help.

So, with egg in particular, you write to them...they tell you to F'off etc. How many letters after does it take for them to agree to token payments?

Furthermore, did all your creditors freeze charges/interest?