CCCS have cancelled our DMP

Nickeenoo

Due to our deficit as hubby currently unemployed, CCCS have cancelled our plan.

We are awaiting for the sale of our house to exchange and complete (within the next 3 wks) and from the equity we will be offering F&F settlements to our Creditors. But we wont have enough to pay them in full.

If we make some more cut backs then CCCS will re-open our plan, so that is what we intend to do and then pay £1 p/mnth token pymts.

Are we best to negotiate F&F settlements ourselves or will CCCS get more response of negotiating lower settlement figures?

Creditors and Balances

Abbey National Bank A/c OD £3562.76
Abbey National Bank A/c OD £ 957.17
Sainsurys Loan £2671.24
(DCA - Blair Oliver & Scott)
Sainsburys Credit Card £17651.44
(DCA - Blair Oliver & Scott)
Marks & Spencer Credit Card £ 734.06

Any help or advice will again be much appreciated,
Thank you

Tixy

So have CCCS told you to make token payments in the meantime?

I think usually people negotiate their own reduced settlements. How long have you been on your DMP? are all the debts defaulted?
This is a useful read - http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=24_full_and_final_settlement_offers

Don't specifically mention the upcoming house sale to your creditors (don't want them getting ideas about charging orders).

Nickeenoo

Thank you Tixy. No the CCCS have said they cannot advise us to pay £1pm token payments as we need to make cut backs first.

I definitely havent mentioned the sale of the house. We would like to make token payments as it will hopefully keep the creditors off our backs for a while, but maybe I should pay them off my own back rather than through CCCS?

We've been on our DMP about a year now and havent misse any payments with them up until now.

RAS

Hi

They are obviously of the view that your current income is insufficient to cover your essential outgoings.

Can you do a statement of affairs http://www.makesenseofcards.com/soacalc.html

We will be able to understand the situation better.

Nickeenoo

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 200
Benefits................................ 714
Other income............................ 120

Total monthly income.................... 914
Monthly Expense Details
Mortgage................................ 997.9
Secured/HP loan repayments.............. 250.00
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 160
Electricity............................. 80
Gas..................................... 80
Oil..................................... 0
Water rates............................. 54
Telephone (land line)................... 0
Mobile phone............................ 70
TV Licence.............................. 12
Satellite/Cable TV...................... 22.5
Internet Services....................... 22.5
Groceries etc. ......................... 200
Clothing................................ 0
Petrol/diesel........................... 100
Road tax................................ 15
Car Insurance........................... 29
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 43
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 33
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 20
Total monthly expenses.................. 2188.9

Assets
Cash.................................... 0
House value (Gross)..................... 245000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 0
Total Assets............................ 251000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(997.9)....0
Hire Purchase (HP) debt ...... 8500.....(250)......0
Total secured & HP debts...... 8500......-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Total unsecured debts..........0.........0.........-

Monthly Budget Summary
Total monthly income.................... 914
Expenses (including HP & secured debts). 2,188.9
Available for debt repayments........... -1,274.9
Monthly UNsecured debt repayments....... 0
Amount short for making debt repayments. -1,274.9
Personal Balance Sheet Summary
Total assets (things you own)........... 251,000
Total HP & Secured debt................. -8,500
Total Unsecured debt.................... -0
Net Assets.............................. 242,500

RAS

As a starting point, you need to ensure that you are getting all the apropriate benefits.

See www.entitledto.com.

Is hubbie registered for JSA? Do you have PPI on any of the loans or cards? Have you applied for council tax benefit, housing support and social tariffs for the gas and electric?

You HAVe to cut the mobile, satelite and internet services out of you budget, you simply cannot afford them.

And how are you spending that sort of sum on petrol when neithe rof you work long hours?

pepe2008

You haven't included the £27000 of CC debt which is mentioned in your first post on this thread. CCCS can only provide a Debt Management Plan if there is some available money to distribute to your Creditors.

I hope your house sale goes through soon. When it does, you need to negotiate F&F with each individual Creditor, CCCS will NOT get involved with this.

Remember, start low! ( 20%) as you can always negotiate UPwards. The longer you can keep your Creditors at bay by sending token payments, telling them that you are doing your best, hoping that the Employment prospects will improve etc,etc WITHOUT telling them that you are intending selling your house, the better.

Good luck.

Nickeenoo

Thank you for your reply. To answer you questions...
Yes he has applied for JSA and I think we can get income based as I work part time. We dont have any PPI's on loans and cards. We have applied for council tax benefit but as yet have not heard anything and I dont think they will pay our arrears (but if we do get it that will be a huge help). We're not entitled to housing support (i dont think) and we are in huge arrears with our gas and electric hence the high payments.

My job is internet based as I work from home and our mobile are our only form of communication, which is vital in my line of work. But I agree satellite could go as we are on the lowest package so its that or nothing.

Petrol is high because we have to drive everywhere and also hubby drives to job interviews and the job centre to sign on. But biggest thing for us currently is my 16 mnth old daughter is under Addenbrooks in Cambridge (100 miles away from our house) and so we have to travel there at least every 6 weeks. How are we paying it - we're not!! Its in my budget because we have to budget for it but because of our daughter, my father inlaw sends us tesco giftcards for petrol money every week.

Not good is it?!

RAS

Nickeenoo wrote: »

Petrol is high because we have to drive everywhere and also hubby drives to job interviews and the job centre to sign on. But biggest thing for us currently is my 16 mnth old daughter is under Addenbrooks in Cambridge (100 miles away from our house) and so we have to travel there at least every 6 weeks. How are we paying it - we're not!!

You need to speak to the Social Workers at Addenbrookes as they will refund your travel costs if you are on benefits.

You will get help with the mortgage after 13 weeks.

And if your FIL is sending you vouchers, they need to go into income, or you take the cost of the addenbrookes visits out of the SOA.

Nickeenoo

Ok, great advice thank you. Will definitely enquire.

I didnt include the vouchers on my SOA as I dont like to presume it will keep coming every week as FIL is retired and not much better off than us - he just budgets better!!!

Will update the SOA now...

RAS

IF FIl cannot really afford it, please please ring Addenbrookes and explain the situation.