Struggling with debt? Ask a debt advisor a question

CCCS_Sue

NG7 wrote: »

Good Morning,
I've been a bit silly with my debt and i really need some advice on what to do first. I owe i little over £15k to 4 different creditors. I am not in contact with any of them after having a nervous breakdown and moving house. Its probably been 2 years since i've been in contact with them. Is it best to contact my creditors offering monthly payments before looking to a management plan? I have been offered a management scheme with debtfreedirect but i am a little unsure as they require £300 before it starts and £35 a month, is this usual?

Hi NG7 and thank you for your message.

It may be better to look at contacting a non fee charging debt advice charity for help and advice with your debts.
The money you are paying in fees could be paying off your debts quicker.
CCCS is a registered charity and all our help and advice is completely free.
If you would like to speak to one of our counsellors, you can call free on 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

Kidda87 wrote: »

Morning All,
I’m a first poster on the forums, although I do come on the website religiously! Il try and cover all the bases so you know the situation I have.

First off, I'm a complete and utter newbie in terms of debt and would like to point out its not me that is actually in debt its my girlfriend. She has stupidly taken out 2 yes, thats 2, pay day loans! These 2 payday loans have crept up and she now owes £950. She has a credit card (I think its Barclays) which she owes around £300. She cannot get another credit card. Also, she was just about to go with a debt management company which, I have told her not to after reading one of the guides on the website.

The main worry I have is the payday loans. I have told her I will try and get a credit card and pay them for her if it is possible. What I want to know is, is it possible and which offer do I look for? By that I mean is it the 0% interest on balance transfers? (see I told you I'm a newbie!)

I’m presuming I will be accepted for the credit card straight away as I have had absolutely no debt (I’m 23 next month) in the past, car is paid for, my car insurance is paid for (£1100 is just scandalous). I think I handle money quite well and have always been able to save very well, I do still live at home with my parents which helps, but I just bought my car for £5000 so in all my savings have virtually gone (car and insurance = £6100).

Basically what I'm asking is:
1) Can I pay someone elses debt by credit card (she will pay me £200 at least per month by the way)
2) If possible, do I look for a credit card with 0% balance transfer such as EGG with 0% balance up to August next year?
3) I do have some savings left but am reluctant to part with them over this, shall I bite the bullet and do it, rather then the credit card route?

Sorry for the long post but as I said, saving and money handling I’m good at..Debt I have no clue what so ever!

Hi kidda87

Welcome to the forums.:)

Thank you for your message

There are a few things you need to consider before you agree to take on this debt in your name for your girlfriend.

First of all, there are no guarantees you will be accepted for a card.

If you are accepted, remember there is normally a fee for transferring onto a 0% card, which is usually around 3% of the balance.
You would need to make sure that the whole of the debt was paid off within the 0% deal period, as the interest may be quite high afterwards.
You also need to think about what would happen if your girlfriend was unable to pay the £200 per month. Would you be able to meet the payments out of your own pocket? If not, then you could end up getting into problems with your own finances.
If you use your savings to pay off her debts, and you have an emergency in the future and need the money, you are going to be struggling.
I am just flagging up these points so that you are aware, and have thought things through carefully.
It may be better if your girlfriend contacted us for an appointment to speak to one of our counsellors about her situation as there may be other options she could consider.
CCCS is a registered charity and all our help is completely free and confidential.
If she would like some free advice before looking at taking out further credit, she can call for an appointment on 0800 138 1111.
Regards
Sue

Helen42

3431Anna wrote: »

My husband has a DMP and has today had a statement from Marbles card which is one of his creditors, although they have reduced his interest rate still when he makes a payment only 50.00 is going off the balance and the rest is in interest he has had his DMP for about 1 year does anyone no if marbles would transfer his account to DCA because then i don;t think the interest would be so high I know this wouldn't help his credit score but that's completely shot anyway

Anna we have a marbles card and they have started charging us interest too i think they are doing this to all their debtors who are paying a "reasonable amount" I spoke to the financial ombudsman about this and they have advised a letter of complaint followed by another and if you are not happy with the outcome after 3 months then you can take it to the Ombudsman and if enough of us do we may get this interest stopped as for the first 2 years of my hubbys dmp they stopped interest and then started charging it without even telling us. We do now only are paying very little off the balance as the interest is killing it and at the moment it feels like we will never be debt free. :j

brynthe_blade

Hi,
if I give a brief outline of my situation, I hope someone can help.
I have 2 loans, totalling £20,000. 2 credit cards totalling £12, 000 plus a £1000 overdraft.
Until now, paying them was fine (although I am always skint), but my fiance has had a baby and been made redundant, so I am now paying for everything (mortgage, utilities, sky, phone, everything) as well as £269 maintenance for my other kids.
I earn £2044 a month, which is a fair amount, but pay out just about that much in all bills.
I can't afford to buy any clothes, my car is a wreck and I spend nothing on myself.
There are 2 kids and 2 adults in the house, and my other 2 kids (and ex-step daughter) stay every other week for 2 nights.

I know this is a bit of a ramble, but I am living off my credit card at the end of each month and making my debts worse.
What, if any, is the best way out.

tovabb

Hi We owe mbna £2300 We have been making minium payments but now due to financial hardship have sent them & other companies a letter from CCCS, a budget statement & creditors letter also a token payment of £5. On their website they talk about a repayment plan yet We have had 2 people phone up saying We should get a secure loan on Our mortgaged flat to pay an unsecured debt. Do They seriously think We are stupid enough to get a secured loan. We are having difficulty paying for unsecured debts which do not effect home it would be absolutely riduclous to get a secured loan which if cant pay We will loose Our home. No way. How can We stop these stupid phonecalls & arrange a repayment plan like they say on their website. Also how does one go about getting a dmp? thankyou

suziq5001

suziq5001 wrote: »

Hi, I'm new to forums and am not sure if I'm posting this question in the right place! Sorry if I'm not!!

My question is about a CCJ that I have against me for a huge amount of money - £28,000. I went to court about this three years ago and my creditor (the RBS) suceeded in getting a charging order on my house. I have an agreement with them now to pay £124 monthly which I have kept up. My question is, will this disappear from my credit file after 6 years - even though the debt is unsettled? Or will it remain until the debt is paid off.

Thanks in advance for any advice!!

Hi, I was hoping to get an answer from the CCCS counsellor about this. Can anyone tell me if I've posted it in the right place or if I've done something wrong? Sorry if I'm being impatient!

Thanks.

emweaver

I need some advice regarding debts if a counsellor could please pm me

alexamasheto56

thank you.............

alexamasheto56

good day.,..........

CCCS_Amanda

lizzyydoll wrote: »

i am new to this, could someone tell me how i find out about dmp please:eek:

Hi lizzydoll,

A DMP is essentially paying what you can actually afford to your creditors on a monthly basis, rather than your contractual payment. It means that you fall behind on payments to your creditors; they are then free to start trying to collect your outstanding debt. It is useful if your outgoings exceed your income. If you want more information you can look on CCCS website: http://www.cccs.co.uk/

If you would like to find out if a DMP is an option for you, you could speak to us and see if it is an option for you in your circumstances.

You can either use our online debt advice facility called Debt Remedy, or call our helpline on 0800 138 1111 to speak to a debt counsellor.

Regards,
Amanda