My Debt - Please help!

liamwolves

I have debt of £625 with capital one but have paid around that in charges and repayment but the late payment and none payment charges have pushed the account balance up and up. My agreed credit limit is £500 and they are saying if i do not pay £150 within 2 weeks then a CCJ will be put in process.
I also have a debt of £150 pounds with orange that has been passed onto moorcroft who also claim that if i do not pay £100 within 2 weeks then a CCJ will be processed.
I also have a debt of £318 with o2 which they say has to be paid in monthly installments of £40 a month which is not a problem only i cant make the first payment untill the end of the month and they wont wait.
I am at my wits end, none of my friends or family are in any sort of position to help me and i just dont know what to do.
Any help would be greatly appreciated, at 21 i cannot afford to have a CCJ against my name.
Im a complete newbie aswell so if any other info is needed just ask.
Thanks

Please help

Wolves

dancingfairy

It might help if you could give people an idea of your situation - ie living at home - unemployed/earning/at college or uni?
Have you got any spare money each month to pay these debts?
Have you anything you can sell at all? You have a short term problem in trying to raise the cash at the moment but long term you need a plan to meet the repayments.
Have you tried getting in touch with one of the debt charities Martin recommends at all? ie CCCS or National Debtline or your local CAB?
df

Tixy

Hi

As a starting point you could send a version of this letter to your creditors (which should give you a months breathing space) - http://forums.moneysavingexpert.com/showpost.php?p=21937969&postcount=52 If you can afford to its a good idea to send a token payment to each creditor for £5 or £1 with this letter to show you are willing to pay (just unable)

Then you need to work out what you can afford to pay each creditor. To do this complete a statement of affairs (which is like an income & expenditure account) to show what you have coming in and what you have to pay each month before debt repayments. Then what you have left is what you can pay to your creditors. The money should be split pro-rata between them based on the balances owed.
So if the above are your only debts then capital one would get 625/1093 of the total you can afford, orange would get 150/1093 and o2 would get 318/1093.

Then you should write a letter to them accepting that you owe the money but that you cannot afford to pay it in full at the moment but setting out your payment proposal.

That won't guarantee they won't take a CCJ out against you but at least you can prove that you are taking steps to repay the debts and are treating all creditors fairly.

This statement of affairs calculator might help you http://www.makesenseofcards.com/soacalc.html

liamwolves

Thanks for the advice,
I live at my brothers and have to pay 90 a month towards rent plus my car insurance which is 110, i currently only work part time and earn about 400 a month depending on any available overtime. I am lookin for a full time job but havent had any succes just yet. I have a loan which I am up to date with but that is 100 a month. so that leaves me with 100 spare a month untill i can find a full time job. What would a debt charity or CAB do to help me? thanks for the link.