Overdraft help? Please?

Baby_J_2

I have had a Lloyds TSB overdraft since I was 18. I was able to pay some back a month (OD limit is £1800). I had a baby in 2006 so stopped work to look after her but my husband still worked. Recently, things have taken a turn for the worse. Hubby was made redundant. When we knew of the redundancy coming up, I telephoned LTSB and explained the situation and told them it was becoming difficult to pay the OD as the interest alone is £30 a month. I was told there is nothing they can do to stop the interest so I am actually paying something off the balance (I am paying £30 per month to cover the interest so I don't get further charges).

Since my husband's redundancy has been in effect, he has been claiming JSA for us as a couple. I gave contacted LTSB again and told them we are on a benefit (even though he is desperately searching for work) and I can't afford to pay £30 per month to just cover the interest and not get anywhere but they don't care and won't help.

I don't know what to do anymore. This overdraft keeps me awake at night. Does anyone have any advice for me or experience?

Xx

DarkConvict

If you have been able to maintain a decent credit rating you could try a super balance transfer, but you MUST ensure you pay it off before the 0% rate ends otherwise it will be like 19%+ which costs more than the overdraft. http://www.moneysavingexpert.com/loans/cut-loan-overdraft-costs

Aside from that you need to increase your income/reduce your outgoing.

Up your income forum - http://forums.moneysavingexpert.com/forumdisplay.php?f=145
Job seeker forum - http://forums.moneysavingexpert.com/forumdisplay.php?f=141
Redundancy forum - http://forums.moneysavingexpert.com/forumdisplay.php?f=165
Benefits forum - http://forums.moneysavingexpert.com/forumdisplay.php?f=139
benefits calculator - http://www.turn2us.org.uk/benefits_search.aspx

Decrease your outgoings, post up this SOA in MSE format and we can recommend cuts to the budget. http://www.makesenseofcards.com/soacalc.html

Baby_J_2

Thanks for your reply.

I have worked out our income and changed things around as much as humanly possible, there is nothing else we could do apart from not eat, . As it stands, I can't afford to pay more than £10 a month off of the overdraft but with the interest being £30 per month, there is no point as it wouldn't be even covering that, let alone actually taking something off of the balance.

I guess I am looking for someone with experience of overdrafts? If I stopped making payments into the account to cover the interest, how long would it be until they took it to a debt collection agency? I don't want to incur a load of fees on top of what I already owe if that makes sense?