Could I do this?

FavDaughter1

Thankyou for answering all those questions!

another one for you. we're in Lloyds tsb with a overdraft-over a thousand pounds as well as credit cards. i'm panic stricken that they'll freeze the account and then our mortgage,secured loan,council tax won't be paid. at the moment we are JUST up to date with the mortgage and secured loan,we don't want to loose the house if we can help it. we took some cash out for food and fuel yesterday-i keep expecting the machine just to eat the card! we've cut back drastically.

i haven't got hidden cash so i'm going to be in a mess if that happens. we've opened a basic bank account in co op and are waiting for our cards and account number to come through.

do the bank normally have a time frame for freezing the account? will we be told beforehand? if we just go ahead and change where our money is paid into do we need to inform them first? we're waiting to see a money adviser at CAB.
thankyou

Charco_2

I definitely would NOT inform my bank that I am moving my money to another bank... Make sure everything is changed over before Lloyds even gets a sniff that anything might be going on!

Just keep struggling on - looking after yourself and family first before debts... but obviously keep paying your secured debts!

There's no reason why you should have to lose the house unless it is unaffordable for you. You really need to sit down with an IP or other advisor and draw up an I&E to see your situation.

You're doing the right thing by ringfencing your earnings securely into a bank that you do not owe money to... then you can decide who gets paid what and when, without worrying that one bank will help themselves and leave you high and dry.

The next step is to decide where to go from there. You have options, even if you feel cornered!

IF you miss a payment to your mortgage or council tax then dont panic too much... you can easily sort it out when you retake control of your finances! No-one is coming to repossess your home the second your payment doesn't reach them.

Do take action now though!

FavDaughter1

Hi, thankyou for your reply. just wish these new account details would hurry up.

what does I&E stand for? my hubby took some more bills into the CAB today,the lady said we should be seen next week- no appointment yet though,so i assume that letters will go out following that meeting? hopefully we should have the new account up and running by then.

thankyou,it's been such a help finding this board.

dancingfairy

Income and Expenditure sheet? Basically a list of everything coming in and everything going out - a detailed budget - also called an SOA on here (statement of affairs)
df