Help please. what to do next.. in trouble!!!

ryuken21

Ok so natwest have filed a default notice on me, I have until the 28th of this month to either pay off the full amount of existing debt which is around 2600 pounds including charges or make a 'reasonable' payment plan with them otherwise they will take the matter to court.

Just being scared and inexperienced I have not contacted them about this and I am scared to do so as I know they are forceful and demand the full payment which of course I have not got, if I did I would have payed it by now.

I am starting 2 new jobs this week as well as being a full time student in my very important time demanding second year and I really do not know how to handle this, i've never been in this situation before, how should I go about this?

My overdraft is 1600 and i am approx 1000 over that limit so total is 2600, what should I offer them a month? and at the moment I cant even afford to make any payment other than token just to keep them satisfied for another month.

Please anyone help me, much appreciated.

ryuken21

Also, i did not mention, collections phoned me today and i picked up and soon as i knew it was them I hung up, i knew it was wrong but i was with my friends and i didnt want them knowing i was on the phone to them and seeing the difficulty i would be having.

should i just let the matter go to court and offer them token payments? i really dont want it to go that but i really only have about 200 pounds to my name atm until these jobs pick up and i get some regular cash in.

FTW

First things to do - you don't have to speak with them on the phone, keep everything in writing.

Then, set up a parachute account at a bank unaffiliated with Natwest, and use that one in future.

The validity of default notices and charges can be questioned later. You should find plenty of online info about Natwest and their charges.

eyeopener2

Does the default notice say they WILL take the matter to court or they MAY take the matter to court?

Write to them fully explaining your situation and make them an offer of payment you can afford and more importantly that you can stick to. No point in saying £100 a month then next month being unable to pay it.

Don't panic at this stage, or any stage for that matter its only money, but try and take control of the situation and that means writing that letter NOW, not tomorrow and posting it REGISTERED POST first thing Monday morning.

david_hellier

Unfortunately this is an example of the bank's irresponsible behaviour, allowing an overdraft limit to actually be exceeded. I suggest you write to them offering to repay with a fixed amount. Do NOT be fooled by them into accepting a loan to pay off the OD. That will be their next trick. Stick to the account as it is.

A careful budget is required which includes an amount to payoff the OD. This is the only way to reduce them

maidofrohan

Please try not to panic! First off, work out an SOA (statement of affairs) for yourself - if you haven't already. That's your income and outgoings. After the important stuff like rent, tuition, food, transport etc, see what you have left over as discposable income. If that's £10 a month, then so be it.

Like the others have said... make sure you have a parachute account (one with a different bank that isn't affiliated with your current bank) - and have all your wages/student loans etc paid into the new account. Keep all the communications between you and the Collections people in writing. Keep copies of anything you send them, and keep all your proof of postage/registered delivery slips. Let them know your situation, the amount you can afford and when you can make the first payment.

If you don't get a response from them, just pay them token amount that you told them you could afford, on the day you said, and do that each month....until your situation changes. If they get nasty, just re-iterate (in writing!) that you can only afford x amount, and refer them to your original letter. They can't have what you haven't got...and it's no good you bunking off paying rent or tuition fees or whatever so that you can pay the bank.

Also, if you have some good friends you can confide in, then sometimes it's nice to have the support. You'd be surprised how many people are in the same boat as you and too afraid to speak up about it.