Struggling with debt? Ask a debt advisor a question

System

wighty30 wrote: »

Hi there, apologies, this is my first time, so a bit unsure what I'm doing!
I have a debt of £7300 and am struggling to make payments although I have not yet missed any payments. My bank, whom I have most of the debt with, will turn it all into a loan BUT I was also considering a debt management plan which means I will pay less per month. This obviously is more desirable as I don't have much disposable income per month. I don't know enough about debt management plans though to make a decision on what would be best, can anyone offer any advice please? Thanks

Hi Wighty30 and thanks for your post.

I’d recommend putting together an accurate income and expenditure budget to make certain exactly what you can afford.

You’re correct in questioning whether to turning this debt into a loan is a good idea, we wouldn’t usually recommend taking further credit.

A debt management plan is an unofficial agreement with your creditors, it would have an impact on your credit rating and there is no guarantee that creditors would accept a reduced payment.

You can find out more about different debt solutions by looking at our quick debt guide here.

We have a free and confidential online debt advice tool called Debt Remedy http://www.cccs.co.uk/ref/drcuwhich will take you through the budget process and to the correct debt solution.

You may find that you qualify for some debt solutions you where not aware of.

Debt Remedy will assist you in completing a financial statement with information on your household, employment, income, expenditure and debts. From this the service will automatically determine your options.

To help you fill in the form, it’s best to gather together information about:
• Your income
• Your expenditure
• The creditors you owe money to

You’ll receive a downloadable advice booklet providing a tailored solution for you based on your current circumstances and advice on ways you may be able to improve your situation.

If you’re not confident with computers or would like to speak to an advisor then you’re welcome to ring our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

If you phone us it may be possible to refer you directly to a counsellor for immediate advice. Alternatively, we will arrange for an appointment to be booked at a time convenient for you.

I hope this helps.

Kind regards,
Mat

System

canuhelpme wrote: »

Hi there,

Just wondering if anyone can give me some advice. I am currently 40k in debt and have fallen behind in payments over the last 3 months. All my debt is unsecured. I have my house up for sale and should generate about 30k profit after paying off my mortgage. I wish to try and make a lump sum payment to each creditor using this money. Does anyone know if I have to use all the money from my house sale or just a proportion of it. I dont qualify for an iva as I only have £100 disposable income so I feel this is the only way out.

Hi canuhelpme and welcome to the forum.

It might be possible to make lower payments in ‘Full and final satisfaction’ of the debts but this would be with the agreement of your creditors. We can give you advice on this.

There is a lesser known IVA called the ‘Lump Sum’ IVA, where a one off payment is made towards outstanding debts, again this would have to be with the agreement of your creditors and we would need to look at your full situation to make sure this is best advice.

I’d recommend that you contact us so that we can look at your situation as a whole.

You’re welcome to ring our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

If you phone us it may be possible to refer you directly to a counsellor for immediate advice. Alternatively, we will arrange for an appointment to be booked at a time convenient for you.

I hope this helps.

Kind regards,
Mat

System

andiw wrote: »

Hi, I'm lost. I don't know what to do. I think I am about 10 thousand in debt, I know that is not a huge ammount compared to some but it's really scaring me. Most of it is on credit cards, as I used to beable to cope moving it around on the 0% but over the last few months it seems to have escalated and got out of control and I'm so worried I daren't tell my hubby because he trusted me to keep the household finances under control, and I haven't _pale_
I have tried the budgets and I don't know where I am going wrong as it says we have money to spare each month, but before payday last month I had £13 left for food.
My gut wants to replace it by a loan and know that it is all being paid off, but I'm not sure if that is the way to go. My 0% on the cards run out in october, but panic mode is already setting in.
Some guidance would be greatfully recieved.:embarasse

Hi andiw and welcome to the forum.

It sounds like you would benefit from some free and impartial advice.

We wouldn’t normally recommend taking out further lending as this often causes more problems further down the line.

I’d recommend putting an accurate income and expenditure budget together and we can help with that.

The first thing to do is visit our online debt advice service Debt Remedy (http://www.cccs.co.uk/ref/drcu) to help you find a solution to your debt problem quickly.

You might be eligible for some solutions you are not currently aware of.

Debt Remedy will assist you in completing a financial statement with information on your household, employment, income, expenditure and debts. From this the service will automatically determine your options.

To help you fill in the form, it’s best to gather together information about:
• Your income
• Your expenditure
• The creditors you owe money to

You’ll receive a downloadable advice booklet providing a tailored solution for you based on your current circumstances and advice on ways you may be able to improve your situation.

If you’re not confident with computers or would like to speak to an advisor then you’re welcome to ring our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

If you phone us it may be possible to refer you directly to a counsellor for immediate advice. Alternatively, we will arrange for an appointment to be booked at a time convenient for you.

I hope this helps.

Kind regards,
Mat

andiw

Thank you very much for your time Mat. I will most certainly have a look at the advice you have given me.
Thank you

mrsdwhite

Hi,
I have recently set up a DMP with CCCS and made my first payment this month. I have not had anything back from any of my creditors regarding either my initial contact of sending the letters telling them I was setting up a DMP or from CCCS contacting them. All I have had so far is a letter from CCCS telling me that my bank wouldn't take a reduced payment on my overdraft as I had another account with them in credit (by 8 pence!!).
I would be interested in finding out what the situatin is with regrards to my reduced payments being accepted and interest being frozen, can CCCS tell me?

Thanks

wighty30

CCCS_Mat wrote: »

Hi Wighty30 and thanks for your post.

I’d recommend putting together an accurate income and expenditure budget to make certain exactly what you can afford.

You’re correct in questioning whether to turning this debt into a loan is a good idea, we wouldn’t usually recommend taking further credit.

A debt management plan is an unofficial agreement with your creditors, it would have an impact on your credit rating and there is no guarantee that creditors would accept a reduced payment.

You can find out more about different debt solutions by looking at our quick debt guide here.

We have a free and confidential online debt advice tool called Debt Remedy which will take you through the budget process and to the correct debt solution.

You may find that you qualify for some debt solutions you where not aware of.

Debt Remedy will assist you in completing a financial statement with information on your household, employment, income, expenditure and debts. From this the service will automatically determine your options.

To help you fill in the form, it’s best to gather together information about:
• Your income
• Your expenditure
• The creditors you owe money to

You’ll receive a downloadable advice booklet providing a tailored solution for you based on your current circumstances and advice on ways you may be able to improve your situation.

If you’re not confident with computers or would like to speak to an advisor then you’re welcome to ring our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

If you phone us it may be possible to refer you directly to a counsellor for immediate advice. Alternatively, we will arrange for an appointment to be booked at a time convenient for you.

I hope this helps.

Kind regards,
Mat

Thanks for your advice Mat, I filled out the debt remedy form and it came back with Debt Relief Order as being my best solution, I really don't want that, is there anything more I can do?

booby08

hey this is a little off topic from the debt situation but if you guys are having some money issues you guys should really check out websites that pay for quick easy tasks. this wont let me post a link but ill put spaces in it but type this in ur navigation bar and get started making free money without a credit card. website- extramoney4free.blogspot.com

PinkLaydee

Hi I have posted a longer question separately. Pretty desperate for advice: How long from when a Default Notice is issued from Nationwide for an overlimit overdraft will they Mark my credit file? Ie: notice dated 12 Aug, I can pay outstanding amount in full but need a week to get cash together. Thank you.

teacherneedshelp

Hi

I have the following debt - 7700 loan, 3100 mastercard, 2000 visa and 3000 overdraft. I can afford the min repayment but thats it. None of the balances are decreasing except the loan. i've now just found out I'm pregnant and wont be working soon. what can i do?

jackal28

Hi im 20k in debt which comprises of 1 credit card
1 loan with hsbc and 1 loan with nationwide and finance with blk horse on a car

the wife has finished work an we are now feeling the pinch and are struggling to cope with paying all our debts

can anyone help ?