PLease help me :(

benashley

Im 19, male & i recently spent a year backpacking in Australia, the only debt i left the country with was a £300 overdraft with Halifax to pay back. When i got back i had tons of letters saying that my over draft aggreement expired while i was away and they charged me around £150 a month whille i didnt pay it back...The final letter i recieved this morning is a letter of Litigation and they say they will take me to court if i dont pay: £1121.93p !!:(

So i have occured nearly £1000 in bank charges since my overdraft ran out in March of this year.

I live with my parents, i have no job and no money, i rarelly go out anymore because of this problem and no money.

I have never been in debt before and very scared I have until the 16th, 5 days to pay this back. Makes me just want to run away from home.

I cant pay this, i phoned HAlifax and the wouldnt speak to me regarding this situation they just transfered me to Moorcroft Debt recovery who want £50 a month I cant even afford £10 a month let alone £50

£1000 in charges in 5 months is wrong very wrong

Marisco

Hi Ben welcome to the boards. You need to write to Moorcroft (never phone as you will have a paper trail to refer to) and offer a token payment of £1 and explain that you are presently unemployed and that is all you can afford. You could mention as well that you live at home with your parents, and when you get a job you will review the situation with the intention of increasing your payments. Enclose a SOA (statement of affairs) to include your JSA and any board you pay your mam and anything else you contribute to. You will be inundated with letters and phone calls to begin with, take no notice of the phone calls, and write back reiterating your first letter i.e "this is all I can afford at present" They could take you to court for a CCJ but the court will not make you pay what you don't have!!! It will mess up your credit file for 6 years though:( Good luck.
P.S you're right, it isn't right to charge all the interest and charges, and it's about time something was done about it!!:mad:

CCCS_Sue

benashley wrote: »

Im 19, male & i recently spent a year backpacking in Australia, the only debt i left the country with was a £300 overdraft with Halifax to pay back. When i got back i had tons of letters saying that my over draft aggreement expired while i was away and they charged me around £150 a month whille i didnt pay it back...The final letter i recieved this morning is a letter of Litigation and they say they will take me to court if i dont pay: £1121.93p !!:(

So i have occured nearly £1000 in bank charges since my overdraft ran out in March of this year.

I live with my parents, i have no job and no money, i rarelly go out anymore because of this problem and no money.

I have never been in debt before and very scared I have until the 16th, 5 days to pay this back. Makes me just want to run away from home.

I cant pay this, i phoned HAlifax and the wouldnt speak to me regarding this situation they just transfered me to Moorcroft Debt recovery who want £50 a month I cant even afford £10 a month let alone £50 £1000 in charges in 5 months is wrong very wrong

Hi Ben

Running away from home is not going to solve anything. You need to take control before the situation gets worse.

Open a basic bank account elsewhere, and have any money you receive paid into this account.
This stops the bank taking money from your account to pay off the overdraft without your permission and puts you back in charge of your finances.
I have attached a link to a booklet which gives you further information and a list of basic bank accounts:-
http://www.moneymadeclear.org.uk/pdfs/bank_accounts.pdf


Put together a budget and send a copy to the bank with an offer of payment you can afford. Even if you only offer £1 as a goodwill gesture, at least it shows you are not ignoring the debt. Do not be pressured into paying money you do not have.
Are you looking for work at the moment? Have you checked to see if you are entitled to any benefit help whilst you are looking for work?
Once you have some income, then you can start to clear the debt.

You could then make an appointment to speak to one of our debt counsellors about your situation.
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

I have attached a link to our website which explains the debt collection process for more information on what your creditors can and can’t do!
It may put your mind at rest!
http://www.cccs.co.uk/InfoCentre/EnglandandWales/Creditoraction/Debtcollectionprocess.aspx

Regards
Sue

happycamel_2

Hi make sure you are claiming any benefits you are entitled to. Check the Benefits board but I would have thought you can at least get Jobs Seekers Allowance.

Then see if you can make some money. For example, selling things on ebay, writing a travel article, cleaning cars, windows etc. Not a career enhancing move I accept but earning anything will help.

You could write to the bank, explain that you were aware, didn't know that the overdraft would expire, didn't expect and can't afford the charges etc.

Good luck