Struggling with debt? Ask a debt advisor a question

MarkBTM

Hi, I am out of work and have fallen into arrears on my mortgage, personal loans, credit card payments and council tax. I am looking for a new job. I have quite high outgoings. Can you advise what's the best way to deal with this situation?

Also, I started a 3 month contract last week which was signed by my boss. After 5 days my boss advised that he had made a mistake with the timing of my appointment and couldn't keep me on. Am I entitled to claim all/some of the money from the 3 month contract?

MRS_A_3

Hi, I've just started my DMP with CCCS and would like to know if it's OK to offer some of my creditors a full and final offer.

I've just received a letter from Welcome to say they're going to refund my PPI payments (minus arrears I owe).

I was wondering if I could try to do F&F with the three smallest creditors I have or would this jeopardise my DMP?

CCCS_Sue

brokenmum wrote: »

My child has won a means tested scholarship to a specialised boarding school. My contribution will be relatively small compared to the overall fees. Is this an 'acceptable' expense? What about travel to visit her and very expensive school uniform?

Hi Brokenmum,

Thanks for your message.

Without knowing the full details of your income and expenditure, it is difficult to say.

If you are already on a DMP, you would need to contact our Client Support department for a review. They would be able to look at your full situation and give you further advice.

If not, you could call for an appointment to discuss this with one of our counsellors. You can call free on 0800 138 1111. Lines are open Monday to Friday 08:00-20:00. It would be helpful that when you call you have details ready regarding your income, expenditure and creditors, as this can help speed up the referral process. If you have this information ready it may be possible to refer you directly to a counsellor if one is available, otherwise we will arrange a time that is convenient for you to be called back for an appointment.

Regards,
Sue

CCCS_Sue

FlipsLDC wrote: »

Quick Question - Im currently in a DMP and Ive just realised that the car lease runs out in December, The 2 options given are to Give the car back (which Ideally I dont want to do as we need it for work) or pay a balloon payment of £3400. Which realistically means borrowing more money. This means as far as I can see i have 3 options

1) Give the car back and if possible enter a new lease agreement
2) Get a loan to cover the balloon payment
3) Give the car back, defer 3 months payment in order to buy a small
runaround.

In CCCs experiences are any of the above viable options or if you have any other suggestions please advise.

Hi FlipsLDC,

Thanks for your message.

It is against the terms and conditions of your DMP to take out further credit, so we would not recommend option number 2.

If it is possible to enter a new lease agreement which is at a similar expense to your current one, then that might be your best option.

It might also be a viable option to defer your DMP until you save enough money for a run around. However, I would recommend that you call our Client Support department to discuss this further.

Regards,
Sue

CCCS_Sue

MarkBTM wrote: »

Hi, I am out of work and have fallen into arrears on my mortgage, personal loans, credit card payments and council tax. I am looking for a new job. I have quite high outgoings. Can you advise what's the best way to deal with this situation?

Also, I started a 3 month contract last week which was signed by my boss. After 5 days my boss advised that he had made a mistake with the timing of my appointment and couldn't keep me on. Am I entitled to claim all/some of the money from the 3 month contract?

Hi MarkBTM,

Thanks for your message.

With regards to your debts, I would recommend that you call our free helpline on 0800 138 1111 to speak to one of our trained debt counsellors. Lines are open Monday to Friday 08:00-20:00. It would be helpful that when you call you have details ready regarding your income, expenditure and creditors, as this can help speed up the referral process. If you have this information ready it may be possible to refer you directly to a counsellor if one is available, otherwise we will arrange a time that is convenient for you to be called back for an appointment.

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

I have also attached a link to the Directgov website which will give you more information about breach of employment contract and who to contact if you are having problems: http://www.direct.gov.uk/en/Employment/Employees/EmploymentContractsAndConditions/DG_10027521

Hope this helps.

Regards,
Sue

CCCS_Sue

MRS_A wrote: »

Hi, I've just started my DMP with CCCS and would like to know if it's OK to offer some of my creditors a full and final offer.

I've just received a letter from Welcome to say they're going to refund my PPI payments (minus arrears I owe).

I was wondering if I could try to do F&F with the three smallest creditors I have or would this jeopardise my DMP?

Hi Mrs A,

Thank you for your message.

It would depend on your individual circumstances so I recommend that you contact our Client Support department to discuss this in full. They will explore all of the options that are available to you.

Regards,
Sue

DuskyC

Hello.

I need some advice about the best way to begin improving my credit rating.

I'm 22 and ran up about £10,000 in debt through sheer stupidity. These debts were things like loans, credit cards, payday loans, mobile phone bills etc. Around Christmas 2009 I worked out exactly what I owed, and I got a part-time job as well as my full-time job to start paying some of it off. All the smaller debts have now been paid, and the four that remain, including their balances and the amount I'm paying each month, are as follows:

AA loan (with debt collectors): approx. £2800. Paying £60 a month on a plan, but the monthly payment should be £140.77, so I'm in arrears.

MBNA credit card (sold on): approx. £1700. Paying £60 a month and the account was in arrears, but I think these must be about clear now.

Lloyds TSB overdraft: approx. £1500. Paying £60 a month and this account was also in arrears, which should now be cleared.

Lloyds TSB loan: approx. £700. Paying the agreed £30.26 a month. I have never defaulted on this account so it's healthy.

I'm about to receive £2500 from a personal injury claim and I need to find out what the best thing to do with this would be. I'm thinking the best thing would be to ask for a settlement figure for the AA loan, and see if I can pay it in full, because that account is in arrears as I'm not paying the full monthly repayment. Would this be the best way to have a positive effect on my credit rating?

As the arrears should almost be clear on the credit card and overdraft accounts, will my credit rating start to improve? Or will I have bad credit until the accounts are paid in full?

I applied for a high interest, credit rebuilding credit card to start repairing some of the damage, but I can't even get one of those.

I've ordered a copy of my credit report from Experian, and I'm going to phone my creditors this evening to check the exact balances of each account.

Any advice would be greatly appreciated.

Thanks.

3431Anna

Hi. hope everyone is o.k. just a quick question I have a DMP with payplan all of my creditors have accepted my offers except Next although my payment is still going to them , the balance is only about 55.00 today I have received the new directory from them which will be charged for on my account does anyone no why they would send this when the already no i am on a DMP also would it be o.k. to pay the balance off the account and close it or would I have to get a settelement figure from them and would it affect my DMP would they do a ful and final settlement

CCCS_Sue

DuskyC wrote: »

Hello.

I need some advice about the best way to begin improving my credit rating.

I'm 22 and ran up about £10,000 in debt through sheer stupidity. These debts were things like loans, credit cards, payday loans, mobile phone bills etc. Around Christmas 2009 I worked out exactly what I owed, and I got a part-time job as well as my full-time job to start paying some of it off. All the smaller debts have now been paid, and the four that remain, including their balances and the amount I'm paying each month, are as follows:

AA loan (with debt collectors): approx. £2800. Paying £60 a month on a plan, but the monthly payment should be £140.77, so I'm in arrears.

MBNA credit card (sold on): approx. £1700. Paying £60 a month and the account was in arrears, but I think these must be about clear now.

Lloyds TSB overdraft: approx. £1500. Paying £60 a month and this account was also in arrears, which should now be cleared.

Lloyds TSB loan: approx. £700. Paying the agreed £30.26 a month. I have never defaulted on this account so it's healthy.

I'm about to receive £2500 from a personal injury claim and I need to find out what the best thing to do with this would be. I'm thinking the best thing would be to ask for a settlement figure for the AA loan, and see if I can pay it in full, because that account is in arrears as I'm not paying the full monthly repayment. Would this be the best way to have a positive effect on my credit rating?

As the arrears should almost be clear on the credit card and overdraft accounts, will my credit rating start to improve? Or will I have bad credit until the accounts are paid in full?

I applied for a high interest, credit rebuilding credit card to start repairing some of the damage, but I can't even get one of those.

I've ordered a copy of my credit report from Experian, and I'm going to phone my creditors this evening to check the exact balances of each account.

Any advice would be greatly appreciated.

Thanks.

Hi Duskyc

I have answered this for you in private messages as you also posted this question there.
If you require any further help, let us know!

Regards
Sue

CCCS_Sue

3431Anna wrote: »

Hi. hope everyone is o.k. just a quick question I have a DMP with payplan all of my creditors have accepted my offers except Next although my payment is still going to them , the balance is only about 55.00 today I have received the new directory from them which will be charged for on my account does anyone no why they would send this when the already no i am on a DMP also would it be o.k. to pay the balance off the account and close it or would I have to get a settelement figure from them and would it affect my DMP would they do a ful and final settlement

Hi 3431Anna and thank you for your message

As your DMP is with Payplan, I would recommend that you contact them and ask them for further advice as they have all your details.
In the meantime,you need to contact Next and ask them to cancel the directory otherwise the debt will increase and it could affect your debt management plan with Payplan.

Regards
Sue