Please could you help me

Ellabelle

Hi everyone

I would be very grateful if you could help me. I have a bit of a disaster on my hands.

I am going to university in September to study nursing. I will get a £652 a month bursary. I was going to work a few hours a week perhaps 4 hours to top my money up but my employer won't let me do this now so I will have to leave my part time job.

I have the following debts (approx amounts)

£11500 personal loan
£3500 personal loan
£375 credit card
£560 gym membership.

and
£150 pay day loan.

I apologise, this is a long story.

I was having problems anyway paying my debts so a few months ago I wrote to all my creditors offering pro rata payments in a self managed DMP. All creditors apart from one accepted. I wanted to pay them as much as possible so I (stupidly) made my budget unrealistic. I couldn't live off it so to pay my bills and keep up with the prommised amounts I took out a series of pay day loans. I have one left of £150 that hasn't been paid back that I can't pay at all. Could I be accused of fraud here? Really worried about this. I did not tell creditors that I would not take out any more debt. It wasn't a condition of the DMP as it was self managed. Could I get into trouble?

Have just been on CCCS debt remedy budget calc online and doing an honest, realistic but not extravagant budget it came out with only a £5 budget surplus to pay creditors. So only £1 per creditor is available to pay them.

This situation is likely to go on for 3 years. I could pay back my debts when I start work after my course, as a nurse (all being well) but that is three years away.

What should I do? Any suggestions very much appreciated. Thank you so much in advance.

EB.

Hannah_10

No, you absolutly can't get into trouble Ok. It's a fear that's totally without foundation. You absolutly have not committed fraud in any way, just made a financial mistake, like half the human race at some point or another.

What you should do is go onto the sensible, sustainable DMP. Get CCCS to administer it if you prefer, but go onto a DMP until you finish your course or until you get more money comming in and don't feel guilty about that.

Sh*t happens, it's just the way it is, you can up the DMP repayments when you're qualified.

Your other option would be bankruptcy, but since student loans can be included in a bankruptcy it would make more sense to consider that after you've finished studying because although you're doing a diploma now you will have the option to do a degree year afterwards (and therefore accrue student loan debt).

Ellabelle

Thank you v. much for your reassurance Hannah.

I can't go into a DMP unfortunately as I only have £5 per month to pay at the moment. CCCS online recomended token payments so I'm going to try that untill I have some more money then I will def do a DMP.

EB. x.

Hannah_10

People have been on DMPs with £2 a month spare. Token payments is a DMP.

Ellabelle

Just bumping this up to see if anyone else has any words of wisdom for me.

Thank you

RAS

Hi

You definately need to get alternative part-time employment.

have you handed in your notice?

if not, then consider asking the university if you can defer for a year for financial reasons and get a chunk of the debt sorted out before you start the course.