Struggling with debt? Ask a debt advisor a question

joko_2

I have been paying HFO a regular monthly sum for some years now for a credit card debt, they have just contacted me with a figure to pay in full and final settlement of the debt with quite a big discount if paid in ten days. Has anyone got any advice on this.

whattodo1967

Hi

Just started a dmp with CCCS. I would just like to know how they calculate the payments to each of the creditors.

Hope you can help

Thanks

Justme2

Hi,
I have run up a debt of £1650, I called them and said I couldn't pay it but I offered £200 a month. They said they would send me a budget/ payment plan to fill in and send back, I've just got it and it's asking me about property and cars that I own. I only own a car but I'm scared they will make me sell it. I can afford the £200 a month to clear it although it will be hard. They are also asking for me to provide details of my benefit and details of my monthly spending. I'm scared that they'll say no to the £200 a month and I'll lose the car which I need to get my kids to school.

Any advice would be appreciated.

StepChange_Pavan

littlebigcat wrote: »

Hi I have massive joint debts with an ex partner. They have been passed over to the debt collectors. I'm currently not working and I have no contact with her so don't know her situation. I am currently making token payments on each of the debts. I need to do something to get back into control with this - is a IVA or similar an option? I don't know how this would work with a joint debt? Would I have to declare the whole debt or half? Would I be liable to pay the whole debt if it was an iva g? I'm very worried . Any advice - thank you.

Hi littlebigcat and welcome to the forum.

We’d need to know a bit more about your situation to say what options are available to you. As they’re joint debts you’re both joint and severally liable which means if you can’t afford to make the payments they can chase your ex for the full amount. You would need to include the full amount when you go through your debts though to make sure that we look at your situation as a whole.

If you’d like us to recommend a solution you can 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.

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 Helpline on 0800 138 1111 (free including from mobiles). We’re open Monday to Friday 8am - 8pm and Saturdays 9am – 3pm.

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.

You’ve taken the first step to sorting out your money worries and we can support you with free and impartial advice along the way.

I hope this helps.

Kind regards,
Pavan

StepChange_Pavan

Lizardwoman1 wrote: »

Hi I am in an IVA at the moment and have not yet completed the first year. I work full time at the moment and my husband stays at home with our 3 children.

My husband has the possibility of working abroad but it will mean that I will have to stop work as our childcare costs would be over 1200 a month and due to his income we would unlikely be entitled to any help with that but we would not really be able to afford that and we are struggling to find appropriate childcare.

I have read that his income would be taken into account even though he is not part of the IVA. As I will no longer be working would it not be better for me to apply for bankruptcy. The only income that I receive would be from any possible tax credits and child benefit.

Thanks

Hi Lizardwoman1 and thanks for your question.

An IVA is a legally binding solution, so if your circumstances are likely to change it’s best that you speak with your insolvency practitioner.

They will be able to advise you on your options and should discuss the possibility of bankruptcy too. If your IVA fails and you need more detailed advice about bankruptcy, you can come back to us at that stage.

I hope this helps.

Kind regards,
Pavan

StepChange_Pavan

joko wrote: »

I have been paying HFO a regular monthly sum for some years now for a credit card debt, they have just contacted me with a figure to pay in full and final settlement of the debt with quite a big discount if paid in ten days. Has anyone got any advice on this.

Hi joko and welcome to the forum.

If you have the money to pay them you can contact them for further information. Sometimes they use this as a tactic to get more money from you so it’s important that you get confirmation in writing that they agree to settling the debt in full for this amount. It would also need to state that they won’t chase or pass on any remaining debt on to another company.

You could also ask them to confirm that they will mark your credit file as settled so any future lenders will see this.

I hope this helps.

Kind regards,
Pavan

StepChange_Pavan

whattodo1967 wrote: »

Hi

Just started a dmp with CCCS. I would just like to know how they calculate the payments to each of the creditors.

Hope you can help

Thanks

Hi whattodo1967 and congratulations on starting your DMP

We use a pro rata calculation which means we distribute the amounts depending on how much surplus you have and how much you owe to each creditor. This way, the creditor that you owe the most amount to will get the largest percentage of your available money.

I hope this makes sense, but just give us a call if you need specific details about how much you will be paying to each creditor.

Kind regards,
Pavan

StepChange_Pavan

Justme2 wrote: »

Hi,
I have run up a debt of £1650, I called them and said I couldn't pay it but I offered £200 a month. They said they would send me a budget/ payment plan to fill in and send back, I've just got it and it's asking me about property and cars that I own. I only own a car but I'm scared they will make me sell it. I can afford the £200 a month to clear it although it will be hard. They are also asking for me to provide details of my benefit and details of my monthly spending. I'm scared that they'll say no to the £200 a month and I'll lose the car which I need to get my kids to school.

Any advice would be appreciated.

Hi Justme2 and welcome to the forum.

They can’t force you to sell your car, especially if you need it for school or work. I’d recommend that you fill the budget out as accurately as you can but don’t offer to pay any more than you can afford. Make sure it’s comfortable for you to live on because ideally you’ll need to try and stick to it until the debt is repaid.

If you need some help with your budget or offer of payment you can use our online debt advice service Debt Remedy (http://www.cccs.co.uk/ref/drcu) which will help you to work this out using your figures. Alternatively you can give us a call on 0800 138 1111 (free including from mobiles). We’re open Monday to Friday 8am - 8pm and Saturdays 9am – 3pm.

I hope this helps.

Kind regards,
Pavan

spookycookie13

hello,

Could you help me? I've got into a mess with PDL's and I ended up borrowing more to pay each one off. It all started because I have a poor credit rating and had to borrow from PDL's for an unexpected vet bill. I'm thining of taking out a Trust Deed but I don't know where to start. I have around £5k+ of debt all in my name. I really want to stop the letters and phonecalls and live again.

I'm just scared plain and simple.

I want to start a fresh but I'm worried that I'll never repair my credit rating and that my husband's will be affected too.

Can you help?

scream

Hi Can you please help and advise me, last year I lost my job because of managment bullying, this year I lost my home. Before I lost my job I was paying back my loan, I have used all my savings to help me to pay my bills, I found a part time job and get a little help from benefits, I unfortunalty turned to my credit card to help with food bills. I am struggling to pay my debts, I now have 3 part time jobs and dont know what else to do. I dont understand all the financial jargon like APR's and I dont understand the interest rates, so im not very good at judging what is the best deal. I have just done your money planner and im over £700 a month worst off! Your advise will be very much appreciated. Thank you for your time.