Struggling with debt? Ask a debt advisor a question

DearDebt

Hi there

May I initially say thank goodness for CSSS, just knowing that help is out there is a godsend but after completing the debt remedy you really do realise the way forward

I have completed the debt remedy and the best option for us is the DMP but before we proceed I am rather unsure as to how this will affect our bank accounts. My husband is an internet retailer and relies heavily on paypal and transfers money into our barclays account. I note in the advice that Barclays are quite willing to work with people but we do have an unsecured loan with them which will obviously be included in the DMP. We could open another bank account although to register the account with paypal it would have to have a debit card attached would this be an issue if on a DMP

Many thanks

chase08

It is ironic that car insurance has steep upfront payments and monthly premiums when employee income has not, making it hard to keep up for the common.


:beer:

bomechina

Hi, just a quick question, how much spare money per month would be the minimum amount I would need to go onto a DMP. I owe about £7000 in unsecured debts

flippetyflip

HI,
I am new and have yet to sort out my SOA, I am going to sit down and do it properly, but in the meantime I hope you can advise me?
I have debts of about £15000, made up from 3 credit cards and 3 bank overdrafts 2-3K each. The debts were small, but the charges on them and the interest have meant they are fully out of hand now. I work in the architectural business and there is no work! I was working in a supermarket until 6 months ago and since then I have been surviving on handouts and a couple of freelance jobs.
So I've decided to rent my house out and go travelling until prospects improve, because, amongst many other reasons, the cost of living will be cheaper. I am going to see my local CAB next week and I am hoping they are going to write to my creditors to freeze the interest. I want to pay the debts back but could not even manage the minimum amount with all the charges as well!
What I am wondering is whether I should tell them that I am going away? cant assess whether it will work in my favour or not!
Many thanks in advance for any advice you can offer!
(ps - am not really sure if this is in the right place? sorry if not)

Esoog

Greetings all, this carries on from; http://forums.moneysavingexpert.com/...819&highlight= , basically having made a F&F offer today we have received a letter that says;

"legal action will be taken against you if you do not pay immediately....CCJ may affect you....following legal action and the entry of judgement the following action may be taken:

1. Charging order against property
2. Attachment to your earnings
3. Visit by County Court Baliff to seize goods.....

YOU HAVE SEVEN DAYS FROM RECEIPT OF THIS LETTER TO AVOID LEGAL ACTION BY SENDING PAYMENT TODAY"



Now, I'm assuming they weren't too impressed with the fact they I suggested they were incompetent by sending three different replies to my F&F offer...anyway, what should our next step be? Obviously we don't have £3k stashed away.

What do you recommend we do?

spindle233

Hi,

I'm looking at my options for sorting out a severe debt problem. My question relates to an investment property purchase my Dad and I made some years back which turned out to be a complete con. The property is in Spain. We have a large outstanding mortgage with a UK building society, which we are currently unable to pay, and have not paid for some time. They have a facility in Gibralter and we think this is where the account is based. The society in question we believe to complicit in fraudulent activity and are currently trying to pursue this through other avenues not limited to but including the FOS. So far without success I might add. This mortgage is in Euros.

My own personal debts are a personal loan and some credit cards.

I'm considering using the CCCS debt remedy to sort out my personal finances. Since my Dad and I dispute the mortgage (which breaks the lenders own conditions and was setup by a third party prior to our involvment in this whole mess) I wondered what to do.

If I go for a CCCS debt remedy, can I leave this mortgage out, since we don't consider that we should pay it and are already looking at our legal options regarding this?

CCCS_Sue

LauraLou1985 wrote: »

Hi all,

Recently started my DMP with CCCS and not heard anything from my three credit card companies for about 3 weeks now- not even letters confirming my notification of DMP. Should I be concerned about this or assume that they're going to deal with CCCS directly in future? Before I started my DMP I was getting several calls a day from each company and around 2-3 letters a week and now nothing!

Thanks in advance! Oh and can I say- contacting CCCS was THE best thing I could've done and I can't believe how fantastic the team has been with helping me gain control of my finances! Big thumbs up to you guys!

Hi Lauralou

Thanks a lot ….It’s great to hear that you are making headway to being debt free!

Don’t worry about the creditors not contacting you.

You may find that, in the future, some of your creditors may get in touch and try to ask for more money.
You should not be pressured into paying anymore than you can afford.
If do you have some extra money you can pay towards your debts at any time, then let us know, and we will distribute it fairly amongst all your creditors.
But, in the meantime, if they are happy with your offer, and you maintain your payments every month, then there is no reason for them to contact you.

Enjoy the peace!

Regards
Sue

CCCS_Sue

DearDebt wrote: »

Hi there

May I initially say thank goodness for CSSS, just knowing that help is out there is a godsend but after completing the debt remedy you really do realise the way forward

I have completed the debt remedy and the best option for us is the DMP but before we proceed I am rather unsure as to how this will affect our bank accounts. My husband is an internet retailer and relies heavily on paypal and transfers money into our barclays account. I note in the advice that Barclays are quite willing to work with people but we do have an unsecured loan with them which will obviously be included in the DMP. We could open another bank account although to register the account with paypal it would have to have a debit card attached would this be an issue if on a DMP

Many thanks

Hi Dear Debt and thank you for your message.

I can’t see Paypal being a problem, but if you want to confirm this, you can contact our Debt Remedy team for further help and advice. The telephone number should be in the booklet you received.
If you are going on a DMP and you have your main bank account with Barclays you will be able to keep banking with Barclays without them applying the ‘Right of Offset’. (This is where the banks are able to take money from your account without your permission, to pay off your debts with them.)
So the fact you have an unsecured loan with them will not make any difference to you keeping the account.
You will need to exchange your ‘connect card’ for an ‘electron card’ and commit to running your new Barclays current account in credit.
I have attached a link to some other basic accounts you could consider if you wish to change.

http://www.moneymadeclear.org.uk/pdfs/bank_accounts.pdf

Regards
Sue

CCCS_Sue

bomechina wrote: »

Hi, just a quick question, how much spare money per month would be the minimum amount I would need to go onto a DMP. I owe about £7000 in unsecured debts

Hi bomechina

It depends on a person’s individual circumstances and whether there are going to be any changes in their circumstances in the future.
Obviously,it is better if a DMP can be repaid in a realistic time, otherwise other options would be explored.

If you would like to see if a DMP is the best option for you, you can call for an appointment to speak to one of our debt counsellors. The free helpline number is 0800 138 1111.

Alternatively you can visit our online debt advice facility called Debt Remedy. Debt Remedy would assist you in completing a financial statement and you would be provided with tailored advice on the best way to deal with your situation. This link will take you directly to Debt Remedy www.cccs.co.uk/ref/drcu

Regards
Sue

CCCS_Sue

flippetyflip wrote: »

HI,
I am new and have yet to sort out my SOA, I am going to sit down and do it properly, but in the meantime I hope you can advise me?
I have debts of about £15000, made up from 3 credit cards and 3 bank overdrafts 2-3K each. The debts were small, but the charges on them and the interest have meant they are fully out of hand now. I work in the architectural business and there is no work! I was working in a supermarket until 6 months ago and since then I have been surviving on handouts and a couple of freelance jobs.
So I've decided to rent my house out and go travelling until prospects improve, because, amongst many other reasons, the cost of living will be cheaper. I am going to see my local CAB next week and I am hoping they are going to write to my creditors to freeze the interest. I want to pay the debts back but could not even manage the minimum amount with all the charges as well!
What I am wondering is whether I should tell them that I am going away? cant assess whether it will work in my favour or not!
Many thanks in advance for any advice you can offer!
(ps - am not really sure if this is in the right place? sorry if not)

Hi flippetyflip

The creditors will be more interested in making sure they receive regular payments whilst you are away.
The important thing is to put together a budget and send this to them with an offer of payment, based on any surplus you have left after paying your main priorities.
Set up a standing order and make sure this is paid regularly each month whilst you are away travelling.
If you have debts or an overdraft at your current bank, you need to get a basic bank account elsewhere and have your money paid into this account.
This prevents the bank from taking money from your account to pay off the debts you have with them without your permission.
This is known as the banks ‘right of offset’.
The creditors do not have to stop the interest and charges. It is entirely at their discretion.
I have attached a link to our CCCS website which gives you further information regarding creditor and court action you may find useful.

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

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

Because you own a property and because of the legal action they could take, it may be an idea to have your post forwarded on, so you can check if there are any county court judgments issued.

Hope this helps

Regards
Sue