Struggling with debt? Ask a debt advisor a question

sammyboy70

Hi,
A wee bit of advice please, I have around £32 thou of unsecured debt that I have amassed over the last 10 years. All payments are made monthly and at the min I manage to live, just. monthly payments around £1,000.
In around 5 mths time I am being made redundant and will recieve enough to pay of the debt. I do have the offer of a new post though the salary is less than half that I am on at the present.

The question is this, is it worth going through debt manage before I recieve the funds to pay off the debt, my thinking is that if I do this the amount owed will be reduced (interest) enabling me to save possibly 5 - 8 thou. I need to replace the car and don't want to have take out a loan once I clear the debt. what would be the ramifications of doing this? Would it dog me and my credit rating for years? I think i know the answer? man up, pay the debt (I caused it) and start afresh with a lesson learned.

thank you.

silver_fox

Hi All,

As you can tell I've just signed up to the forum and was really impressed, this is my first post (so please be gentle!) I just want some advise & thoughts on how best to improve my credit file.

My Current Credit Score is: 538 which shows 9 Lenders with 6 defaults & understand that defaults will drop off every 6 years.

SHOP DIRECT - Satisfactory - Balance £0
REDCATS - Satisfactory - Settled
NATWEST BANK Loan - Settled
VODAFONE Communications - Default - Satisfied - Defaulted On 04/09/2005
CAPQUEST Default £3,086 - Defaulted On 06/12/2008
LINK FINANCIAL LTD Default £303 - Defaulted On 28/11/2008
BARCLAYS MASTERLOAN Default £2,630 Defaulted On Oct 2007
BARCLAYCARD Default £4,314 - Defaulted On 21/05/2009
NAT WEST CREDIT CARD Default £7,838 - Defaulted On 26/08/2006

My thoughts...

LINK FINANCIAL LTD Default £303 - Defaulted On 28/11/2008
This is a Debt collection agency which has issued this default, Should I contact them and ask them for the original credit agreement? & challenge the default to be removed?

Apparently I had a loan which started in Aug 2004 or In Oct 2004 I took out my BARCLAYS MASTERLOAN which could be the debt they brought)
I understand that if the default is removed this could be passed back to the original creditor which I will need to make payments.

VODAFONE Communications - Default - Satisfied - Defaulted On 04/09/2005
I didn't pay my Vodafone contact for one month as I was out oft he country! they issued me with a default which I paid them upon my return. The deafult is set to be removed Sept 2011 so I plan to wait until then,

In hope to improve my credit...

I have taken out a MEM payday loan as they mention that they report this to the credit reference agencies - I have done this and paid back yet nothing is showing on my file?

I have taken a NEXT directory account which I have been issued with £150 credit limit which Im making purchases and paying in full - This also isn't showing on my credit file (It shows a search was made via NEXT for my application tho)

I have taken out a my cash plus prepaid card with credit builder - again nothing is being shown on my credit file.

I just want some thoughts on ideas in which direction I can take moving forward.

Many Thanks!

B17c

i'm about to start a DMP with CCCS, my first payment to go out in a week, i'm just about to post off my template letters to my creditors, i had to open another bank account with a different bank as i have debt with my current bank... i'm scared shitless at what happens if the creditors dont accept the CCCS's offer... what happens if they dont? i really dont want threatening calls/letters or bailiffs or to have to go to court...

CCCS_Sue

trlnurse wrote: »

Any advice on this would be really helpful, I'm on the verge of seeking legal advice, but thought I'd try here first.

Where to start!! I basically owed Croydon Council £2600 approx an received letters from Jacobs in April stating various amounts that were owed. I emailled them and they told me to contact the bailiff it had been assigned to who eventually visited my home in May and left a letter. I contacted him, made an inital payment and arranged to meet with him to discuss the outstanding amount, as they various amounts he was quoting did not match the information I had received.

He came back to my home in May and we discussed and agreed what was owed. He levied some of my goods (noooooooooo I hear you cry!!) I realise now I shouldn't have done that. We came to an arrangement to pay off the debt. He did not leave me with a notice of seizure so I therefore was not aware of what there charges were.

The arrangement ended in October, when I made the final payment and to my knowledge that was the end of it. I then received a visit 2 months later from a different bailiff stating I still owed over £900!!!!

(Im sorry this does go on a bit!!!) I contacted the head office and request a breakdown of all payments made and charges. This is when I discover out of the £2600 I have paid they have taken £770 in charges, which means I stll owe Croydon Council £770. My query is regarding these charges. Firstly they have charged me for visits that just didn't happen. The days they are stating they visited are the days I called the bailliff to pay him. They never attended with a van and they charge me 3 times for visiting 1 day, this is apparently becuase it is 3 liaibility orders, but how can they charge you for visiting 3 times in one day!!

I have written to them, but they have written back basically ignoring all my points an stating it has been passed to another bailiff. What is m y next move on this???? Any help would be greatly appreciated.

Hi trinurse and thank you for your message

Before considering making a complaint or taking legal action, you need to request a breakdown of all the fees and charges that have been made to your account, so at least you do have managed to get this information

I have attached a link to the ‘bailiff’s advice on line’ website which will give you further help and advice regarding how to make a complaint


http://www.bailiffadviceonline.co.uk/bailifffeecomplaints_howtocom.htm

Hope this helps

Kind Regards
Sue

CCCS_Sue

katkins2 wrote: »

Hi,
I'm in a dmp with cccs at present and things are ticking along nicely. I am hoping to do a uni course in the future, initially I intended to do this once my dmp has ended (approx 7 yrs time). As things with my job are now uncertain and I fear I may face redundancy in the next 12 months, I am considering bringing my plans forward. If I was to proceed with the uni course, would I be unable to take out a student loan as this is further credit? I know student loans are treated differently to other debts when repaying but are they allowed as an income to live off through uni? Many thanks

Hi katkins and thank you for your message

If you are going to be on a reduced income after your redundancy, then you may need to consider other solutions as a DMP may no longer be your best option.
Your main priorities would be your rent/mortgage/council tax/utility bills and the funding for your education which the student loan would be used for.

I would recommend that you call our client support team as they will be able to give you further help and advice.

Kind Regards
Sue

CCCS_Sue

sammyboy70 wrote: »

Hi,
A wee bit of advice please, I have around £32 thou of unsecured debt that I have amassed over the last 10 years. All payments are made monthly and at the min I manage to live, just. monthly payments around £1,000.
In around 5 mths time I am being made redundant and will recieve enough to pay of the debt. I do have the offer of a new post though the salary is less than half that I am on at the present.

The question is this, is it worth going through debt manage before I recieve the funds to pay off the debt, my thinking is that if I do this the amount owed will be reduced (interest) enabling me to save possibly 5 - 8 thou. I need to replace the car and don't want to have take out a loan once I clear the debt. what would be the ramifications of doing this? Would it dog me and my credit rating for years? I think i know the answer? man up, pay the debt (I caused it) and start afresh with a lesson learned.

thank you.

Hi sammyboy70 and thank you for your message

Pavan has answered your question in private messages, but if you need further help, let us know.

Kind Regards
Sue

CCCS_Sue

silver_fox wrote: »

Hi All,

As you can tell I've just signed up to the forum and was really impressed, this is my first post (so please be gentle!) I just want some advise & thoughts on how best to improve my credit file.

My Current Credit Score is: 538 which shows 9 Lenders with 6 defaults & understand that defaults will drop off every 6 years.

SHOP DIRECT - Satisfactory - Balance £0
REDCATS - Satisfactory - Settled
NATWEST BANK Loan - Settled
VODAFONE Communications - Default - Satisfied - Defaulted On 04/09/2005
CAPQUEST Default £3,086 - Defaulted On 06/12/2008
LINK FINANCIAL LTD Default £303 - Defaulted On 28/11/2008
BARCLAYS MASTERLOAN Default £2,630 Defaulted On Oct 2007
BARCLAYCARD Default £4,314 - Defaulted On 21/05/2009
NAT WEST CREDIT CARD Default £7,838 - Defaulted On 26/08/2006

My thoughts...

LINK FINANCIAL LTD Default £303 - Defaulted On 28/11/2008
This is a Debt collection agency which has issued this default, Should I contact them and ask them for the original credit agreement? & challenge the default to be removed?

Apparently I had a loan which started in Aug 2004 or In Oct 2004 I took out my BARCLAYS MASTERLOAN which could be the debt they brought)
I understand that if the default is removed this could be passed back to the original creditor which I will need to make payments.

VODAFONE Communications - Default - Satisfied - Defaulted On 04/09/2005
I didn't pay my Vodafone contact for one month as I was out oft he country! they issued me with a default which I paid them upon my return. The deafult is set to be removed Sept 2011 so I plan to wait until then,

In hope to improve my credit...

I have taken out a MEM payday loan as they mention that they report this to the credit reference agencies - I have done this and paid back yet nothing is showing on my file?

I have taken a NEXT directory account which I have been issued with £150 credit limit which Im making purchases and paying in full - This also isn't showing on my credit file (It shows a search was made via NEXT for my application tho)

I have taken out a my cash plus prepaid card with credit builder - again nothing is being shown on my credit file.

I just want some thoughts on ideas in which direction I can take moving forward.

Many Thanks!

Hi silver fox and thank you for your message

Welcome to the forums

There are three credit reference agencies. These are Equifax, Experian, and Call Credit.
Creditors can add information to any of theses agencies, so you need to check them all. I have attached a link to a booklet called ‘Credit Explained’ which has the addresses and gives further information.
http://www.ico.gov.uk/upload/documents/library/data_protection/practical_application/credit_explained_leaflet_2005.pdf

I have also attached a link to this site which gives more information on how to improve your credit file.
http://www.moneysavingexpert.com/loans/credit-rating-credit-score

Kind Regards

Sue

CCCS_Sue

B17c wrote: »

i'm about to start a DMP with CCCS, my first payment to go out in a week, i'm just about to post off my template letters to my creditors, i had to open another bank account with a different bank as i have debt with my current bank... i'm scared shitless at what happens if the creditors dont accept the CCCS's offer... what happens if they dont? i really dont want threatening calls/letters or bailiffs or to have to go to court...

Hi B17c and thank you for your message

Try not to worry!

If any of your creditors do not accept your payments initially, then we would continue to send your payments anyway. You can’t pay them money you do not have.
The main thing is that your budget is realistic and you maintain the monthly payments.

With regard to threatening calls and letters,creditors can contact you if you do not pay your monthly payments. However, they should not harass you and they must keep to the rules set out by the Office of Fair Trading.
You may find it useful to read the Office of Fair Trading (OFT) guidelines which creditors have to follow.
If you feel that they are not keeping within the guidelines, then you can make a complaint

I have attached a link to our website which explains court action in more detail. You would normally not have to attend court yourself. It is paperwork sent in the post that you would need to fill in and return with a copy of your budget and an offer of payment.

If you fall behind on payments to a CCJ once it has been set up, then the courts can use bailiffs to collect the debt.
I have also added a link which gives you more information on bailiffs

http://www.cccs.co.uk/InfoCentre/EnglandandWales/Creditoraction/Courtaction.aspx

http://www.cccs.co.uk/InfoCentre/EnglandandWales/Creditoraction/Courtaction/Bailiffs.aspx

Hope this helps. If you need any further help, you can call our client support team.

Kind Regards
Sue

maganan

Hi,

A little bit of advice please im due to start a DMP with you next week. My old bank account closes tomorrow and i've just found out this months child benefit has gone into it, i need to withdraw a little bit to live on til pay day on friday however i dont know whether to withdraw more as the plan was drawn up with a overdraft of £800 and some direct debits will go out of the new account before my salary goes in to it. I don't want to get it wrong before it even starts and if i do withdraw more will i have to justify why even if it just goes into the new account?

Help

zillyboy

I have been trying to sort my finances and so far finding it very difficult. I went to the CAB and had a introductory meeting. This left me with hope but then I got a phone message saying they cant help me as I have business debts.
The thing is don't have problem with these debts it is the personal ones I went to see them about.
I have tried to do it myself but it is not going too well. I called Equita on the 11th and said I want to find out what level of payments they will accept. I said I need to work out what I can afford as I have a lot of debt but not a massive amount of income. I would get back to them within 10 days with a figure. This seemed fine, however Equita sent me a letter without a date or a time on it. (they did not knock either) Stating that
Payment is due within 24 hrs and No further arrangements are acceptable and I need to clear the amount owing or they will visit my home and remove my goods even if I am not there. This is for council tax so I suppose they can.

I have spoken to the bailiff handling the debt and he says I have to find all of the money and thats it. £630 or he takes my goods.

What can I do about this. My offer has been £100 per month for 3 months and a reassessment as the total I owe is £4K. They want to keep each case as a way of generating more charges.

I have tried to call equita but can get through as they just refer me to a message saying this bailiff is dealing with your case.

I am going to write to them today not really sure what to say.

Your advice would be welcome.

Also does CCCS have councilors in Kent for 1-2-1 counseling sessions.

Thanks