Debt newby rant/hello

Dreama

Hi Guys

This is my first real DFW post...I have got myself into a mess with a few creditors, probably best if I list them below:

Open University

I began a course in October 2008 and completed my first assignment. Cost was £695. I agreed to pay monthly, and signed up at the last minute so payment information wasn't sent back until early November. No payment came out in November, however at the beginning of December I was made redundant and sent a letter to OU to advise I couldnt carry on and pay for the course. I didnt hear back and no payments came out so I presumed all was fine. Then a few months later I started to recieve letters that a balance was outstanding, and it had been passed to Geoffry Leavers solicitors. I advised them I was disputing the balance however OU insisted they hadnt recieved my cancellation letter and the balance was payable. This was all discussed on the phone, in the meantime whilst disputing a CCJ was placed on my credit file (from GL taking debt to CCJ was approx 4 months). I am now paying £50 pm to clear the £810 balance however wonder if there is any way the CCJ can be set aside? OU say as the debt was correct it cant be.

Secondly I have a problem with Barclaycard. At university (6 years ago) I obtained my first credit card (and last) for £500. Over about 3 years I managed this very poorly and did not make regular payments. Every now and again i'd make a lump sum payment and then use the balance again. I have tried on numerous occasions to set up payment plans, that have not been set up properly by them. I have not made a payment to this for approx 12 months as it is with Robinson Way and I am disputing charges through myclaimsexperts in the hope this will clear the balance. This is down to me not maanging the card correctly however I now need to know the best course of action as they are threatening with debt collectors at the door. The balance is £800. Should I agree a payment plan of £50pm and then await the charges? Or offer a one off payment (although any idea how much they reduce the balance by for one offs)

Thirdly is my Lloyds overdraft. This is a closed current account with an agreed overdraft of £1250 which I last used around 2.5 years ago. I had a low income back then and the charges were approx £130pm on the unauthorised amount it was going up by, which I couldnt clear. Ive seeked help form lloyds by phone letter and branch and the only response of help was for me to send them a SOA in late 2008 which they responded to by freezing interest for six months while i paid £36pm. This expired in early 2009 and since then I have only recieved debt letters from an agency, who now say they are going down the CCJ route. The balance has crept to £3000. Now I know anything above £1250 is charges as I havent used the account, but also much of the overdraft is charges (I suspect about 1/3 - rough guess). I requested statements which they didnt send, and I can reclaim through hardship as I have a job which pays ok, however whilst I want to clear it I only want to pay what is fair.


I know I sound like a rambling mess and my lack of money management has gotten me into this mess but I need to sort this, espeically the caredt card and lloyds debt as I cant rest with this on my shoulders. What is the best thing to do? Continue writing / offer payments? I really want to clear it over 12 months, but am I being dillusional to expect them to take off charges?

Any advice really appreciated

worried_jim

Don't panic-have a look at http://www.payplan.com/ for some good free help and advice.

Dreama

thanks for the link, i filled in the online form although they said they can only represent clients with over £8k of debt :-(

I am really interested in the full and final settlement idea, can anyone advise on if it is sensible to expect agreement of payment of the balances minus all charges? Esepcially considering a vast chunk of lloyds and barclaycard balances are charges.

Thanks

Dreama

Can anyone help? Or recommend a forum where I may get a reply?

Thanks

gonzo127

sorry this got missed sometimes posts do

now CCJ's can not be 'put aside' they can be queried if you did not receive all the information on them however the likelyhood is that they would just want to book another date, so if you can afford this you NEED to keep up payment - this is a priority debt

now the first thing to do when you have problems knowing what is happening with your money is to write up a SOA (statement of affairs) which puts down all your income and outgoing down in black and white and allows you to spot areas that you can make saving in http://www.makesenseofcards.com/soacalc.htmlnow if you can fill this in and post it back up here we can also try and help you budgetting and help you become more aware of your spending habits

as for Full and Final settlements the amount companies accept depends on many factors however a ROUGH guide on the values they have been known to accept is this

Debt still with original creditor NO default = 90% or more
Debt with original creditor but with a default = 75% or more
Debt with 'in house' debt collectors of the original creditor = 60% or more
Debt with external debt collector however still property of original credit = 40% or more
Debt owned by external creditor = 25% or more

please bare in mind these are rough figures and some people have managed to get lower settlement figures and some people have been told its 100% or nothing,

always remember ot make any offer in writing and send it recorded delivery, and also to put a respond by time limit on it - usualy 14 days