What's the next step?

Ellieseleven

Hi Everyone

I'm trying to organise my own DMP as OH is self-employed. So far I have only written to MBNA to say that I am having financial problems and have offered a token payment of £50.

They have cashed the cheque and have now written back to me to say that they appreciate that we are having financial difficulties but in order to gain a better understanding of our position they require:

• our monthly income
• our monthly expenditure
• names of all our other creditors and balances outstanding

A restriction has been placed on the account (I haven't used this for around 18 months) and they have asked that I cut up the card and return it to them. I cut the card up long ago so no longer have this.

They have asked that I telephone to discuss but is it better to reply to them in writing? Do I also send them our SOA (I completed one on make sense of money and also on CCCs website)

I haven't missed any of our other credit cards but have been using credit cards to pay credit cards which has to stop so I understand that I need to write to each one individually to explain our situation?

Also I'm struggling to understand what I need to do about my hubby's business account which is with the same bank as our current account and if I move the current account will they then dip into the business account?

I signed the first letter to MBNA and read something about not signing but only printing our name... should I be doing this on any correspondance?

Stress is killing me and I am finding it difficult to take the step of writing to everyone although I know that it is the right thing to do!

Sorry for all the questions but need to understand what to do next

Thank you all

GeorgeUK

I think you are taking the right step by writing to your creditors. You don't need to give them a SOA, but likewise, they don't need to stop adding charges and interest. They usually want to see a SOA to make sure they are getting a fair share of the money available.

I would also mention that you have been advised by CCCS as to what is acceptable for each item of expenditure. Make sure you aren't making this very tight - prices go up and you need to give yourself a little leeway. Also to help you get through any emergency breakdowns etc.

The signing of letters is usually only if you are trying to get information from them such as a copy of the credit agreement - some companies have been known to scan signatures onto documents you have never seen before. I wouldn't worry about this in your case.

It might be worth phoning them, but make sure you don't fall for any sales lines and if they do get overbearing, tell them you are getting advice from CCCS and will be following that advice.

Have you posted up the SOA here anywhere?

Not too sure about how business accounts are dealt with in these situations. Might be worth checking with nationaldebtline.

Ellieseleven

Many Thanks George, I have already posted my SOA and cut back where I can.

I will give business debt link a ring to ask the position with OH's business account

Thanks again

Ellie