Hit a wall. No way forward :-/

SimIsOnTheUp

Hi,

Any advice regarding the below would be most appreciated, as I can not think straight having lost my job two weeks ago, due to depression, anxiety and alcoholism.

I was on ESA last year until November, when I started work. December - January, I took about two weeks off in total due to severe depression (literally felt unable to get out of bed), anxiety and alcoholism.

On 10th January I was told I'd have to wait for a disciplinary, which I could not face and so I left my job. I wasn't thinking too straight at the time, and in hindsight I wish I'd tried to keep my job. The job was however making my anxiety / drinking 10 times worse.

On top of that, I did not tell my local Council (Housing Benefit / CT Benefit Dpt) back in November that I'd started work. Hence I now have a further £430 HB Overpayment debt on top of all my other debts.

I realise that I've been stupid not telling them straight away. However, I didn't tell the Council at the time, as I did not think I'd be kept on as they were waiting on an Experian Credit Check (which I did not think I would pass). The were still waiting on this Check / Referencing at the time I left on 10th January.

They wanted 4 references which I could not provide, and so I probably wouldn't have been kept on anyway, regardless of my illness / absence.

My Working Tax Credits started this time last week. They paid me £954 last week, and some of this was eaten up by my Santander Overdraft.

Santander then granted me a temp £470 O/D.

Sorry. Difficult to explain while I just can't think straight.

Last week, in my Santander account, I had £800 'available to spend' including the £470 o/d, so I was £330 in credit in my account.

I ended up drinking last week, and got through £300.

Sober since Saturday.

This morning I saw sense and paid £300 to my Housing Association for my Rent Arrears (I was £455 in arrears + £100 Court Costs from last year).

So, now my Rent Arrears stand at £155 + £100 Costs = £255 in total.

I have £122 in my Santander account left. I have £45 in cash at home.

This Friday I am due a refund back to my account of £110.

I will also have £103 in final wages this Friday.

Next Monday I will have my next Working Tax Credit payment of £100.

I know, I know, I need to tell WTC that I've lost my job two weeks back - I haven't told them as I don't think I'd be eligible for ESA. I've also found some other work, albeit self - employed from home.

I realise I might have to stop claiming WTC, and claim ESA / HB to try and start putting this mess right, but I'd rather go for this other job and just tell WTC about my change in job. Can I do that?

Sorry to go on here, but I'm trying to clear my head while working out the best way forward.

I contacted the CAB last year about a Debt Relief Order, and they were hopeless.

The CCCS on the other hand were brilliant. I have the pack, and due to having been feeling so low I've still not gone for the DRO.

My most pressing worries are obviously -

1 / My Rent Arrears of £255.

2 / The Council threatening (they've already sent me a Council letter) to bill my Housing Association for my Housing Benefit Overpayment (November - January) of a further £430 (Can they do this?), making me look bad in the eyes of the HA, and putting me into arrears with my HA by £685.

3 / My Council Tax Liability Order from last year of £460.

4 / A further Council Tax Overpayment from the last couple of months, of £140.20.

5 / The total Housing Benefit Overpayment (from 2006 - my being stupidly fraudulent at the time - drinking, working, studying and claiming HB back then) including the £430 from now, totalling £2,320.

6 / Getting into trouble with the Council again.

7 / Getting into trouble with the WTC.

8 / Having nPower cut my Electric off. My Electric Arrears of £704 is now with their DCA - 'Credit Solutions' and I know if I call them, they're not going to allow me to go back on my old arrangement of £11 per week. I now have a letter telling me that they are about to apply to the Court for a 'Warrant of Entry' to fit a prepay meter / disconnect me.

9 / Losing my flat and going to prison, due to my being in so much debt due to my being an alcoholic, and depressed.

At least the unmanageable darkness, that my depression and drinking have caused, has now spurred me into wanting to sort this out once and for all. I just don't know what to do first though, having not left my flat for four days.

I'd like to pay this all back, but there is no way in hell I can while also paying my current bills.

I'm embarrassed to admit that I went Bankrupt in January 2003 - Discharged January 2005, and now here I am seriously considering going BR a second time or a DRO.

The fraud aspects are what worry me to hell.

My SOA is below (Sole income now WTC) and it is all such a mess -

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 0

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 0
Benefits................................ 400
Other income............................ 0
Total monthly income.................... 400

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 295.48
Management charge (leasehold property).. 0
Council tax............................. 56
Electricity............................. 44
Gas..................................... 0
Oil..................................... 0
Water rates............................. 30.28
Telephone (land line)................... 12
Mobile phone............................ 10
TV Licence.............................. 23.75
Satellite/Cable TV...................... 0
Internet Services....................... 10
Groceries etc. ......................... 160
Clothing................................ 0
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 641.51


Assets
Cash.................................... 480
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 480

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Rent Arrears + Costs...........255.......0.........0
Council Tax (Liab Or)..........460.......0.........0
Electric Arrears...............705.......0.........0
Money Shop Loan................500.......0.........0
Santander O/D..................470.......0.........0
Ex - Girlfriend................1800......0.........0
Student Loans..................14000.....0.........0
Vodafone (DCA).................924.......0.........0
Next (DCA).....................109.......0.........0
O2 Mobile (DCA)................2126......0.........0
Shop Direct (DCA)..............1069......0.........0
Vanquis Visa (DCA).............358.......0.........0
Capital One Visa(DCA)..........688.......0.........0
TV Licence ....................145.5.....0.........0
DWP Social Fund Loans..........649.......0.........0
Housing Ben O/Payment..........2320.98...0.........0
Council Tax O/Payment..........140.2.....0.........0
Water Arrears..................220.......0.........0
Total unsecured debts..........26939.68..0.........-


Monthly Budget Summary
Total monthly income.................... 400
Expenses (including HP & secured debts). 641.51
Available for debt repayments........... -241.51
Monthly UNsecured debt repayments....... 0
Amount short for making debt repayments. -241.51

Personal Balance Sheet Summary
Total assets (things you own)........... 480
Total HP & Secured debt................. -0
Total Unsecured debt.................... -26,939.68
Net Assets.............................. -26,459.68

Created using the SOA calculator at https://www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using other browser.

Thanks,

Sim.

clearmydebts

Hiya,

Well done on not drinking since Saturday.

I'm afraid that I don't have any practical advice other than to go to CAB but I know you have done that already.

Would you consider ringing your local social services/social care department to see if you could allocated a social worker to help you to re-organise your finances. It sounds like you need a bit of support to keep up with things initially and to keep on top of things.

MIND are also a great organisation and can help you to deal with your depression. They are at: http://www.mind.org.uk/help
It might be worth giving them a call to see if they can provide you with some emotional and practical support.

I know it seems like you are a dead end at the moment, but you can get through this. You have done it before and can do it again.

I wish you the very best of luck

SimIsOnTheUp

clearmydebts wrote: »

Hiya,

Well done on not drinking since Saturday.

I'm afraid that I don't have any practical advice other than to go to CAB but I know you have done that already.

Would you consider ringing your local social services/social care department to see if you could allocated a social worker to help you to re-organise your finances. It sounds like you need a bit of support to keep up with things initially and to keep on top of things.

MIND are also a great organisation and can help you to deal with your depression. They are at: http://www.mind.org.uk/help
It might be worth giving them a call to see if they can provide you with some emotional and practical support.

I know it seems like you are a dead end at the moment, but you can get through this. You have done it before and can do it again.

I wish you the very best of luck

Thank You so much for your kind words of encouragement.

It's been my pride that's held me back from asking for some support with things, but I've felt at the end of my tether these last few days.

I'll give MIND a call tomorrow.

Thanks again,

Sim.

clearmydebts

SimIsOnTheUp wrote: »

Thank You so much for your kind words of encouragement.

It's been my pride that's held me back from asking for some support with things, but I've felt at the end of my tether these last few days.

I'll give MIND a call tomorrow.

Thanks again,

Sim.

No problem at all. MIND should be able to put you on the right track and find some support for you in your local area. I understand it can be hard to asak for support but you will feel relief when you do. They can help you to take control.

MooBag_2

Hi Sim

There's always a way out of trouble and sometimes the way is hard! I can appreciate you have it doubly bad because of mental health. Perhaps the first step is to discuss your money worries, alcoholism and depression with your doctor. This has got to a serious state but is recoverable. Your doctor can possibly provide you with a health statement to provide to those you owe a debt to and also put you in touch with someone that can assist with the alcoholism. If this isn't addressed, you will find yourself in this situation again and again.

I'm a single parent and have had to resort to drastic measures with my budget (for this year only) to pay off a third of my debt (11k in one year). My food budget I have brought down to £20 per week so this is an area you could cut down on? I've picked up some wonderful tips in the OS forum on things we buy but really don't need. Your water seems a little high. Is this because you're also paying off arreas in that amount? You could think about getting a water meter. Do you really need a landline and a mobile? Could you live without one?

There's no quick and easy win but the challenge is so rewarding whilst you're tackling it and see that you can manage it

I'm really sorry if this hasn't been much help....I try to think about the root cause, tackle that and go from there. Sometimes it's a case of one day at a time.

SimIsOnTheUp

clearmydebts wrote: »

No problem at all. MIND should be able to put you on the right track and find some support for you in your local area. I understand it can be hard to asak for support but you will feel relief when you do. They can help you to take control.

I've finally admitted to myself, that I do need help.

Will call MIND tomorrow, and as you say once I've asked for some support, it'll probably be a relief.

Thanks again.

SimIsOnTheUp

MooBag wrote: »

Hi Sim

There's always a way out of trouble and sometimes the way is hard! I can appreciate you have it doubly bad because of mental health. Perhaps the first step is to discuss your money worries, alcoholism and depression with your doctor. This has got to a serious state but is recoverable. Your doctor can possibly provide you with a health statement to provide to those you owe a debt to and also put you in touch with someone that can assist with the alcoholism. If this isn't addressed, you will find yourself in this situation again and again.
I need to have a chat with my GP anyway (review my medication), so asking him for a health statement is a brilliant plan. Thanks.
I'm a single parent and have had to resort to drastic measures with my budget (for this year only) to pay off a third of my debt (11k in one year). My food budget I have brought down to £20 per week so this is an area you could cut down on?For my food budget, I just put in an average. I was eating far too many takeaways. Expensive and unhealthy. My mate (sober two years, she's been there and is lovely) is a great cook, so I'll ask her for some recipes too. I've picked up some wonderful tips in the OS forum on things we buy but really don't need. Your water seems a little high. Is this because you're also paying off arreas in that amount?The water I'll have to double check on tomorrow, as can barely think straight tonight. Think it was for arrears as well. My most pressing worry is my Rent / Electric and of course my Council Tax / HB Overpayments. I just can't see a way to sort those out. You could think about getting a water meter.Will ask my Water company about a meter, thanks. Do you really need a landline and a mobile? Could you live without one?Good point, I don't *need* both a landline and a mobile.!However, I will need a landline if I go for this other job (home based). My mobile, I only ever put on £10 a month max, sometimes lasting me two months. It's the other priority debts that are much more worrying, especially Rent, Electric, CTax, TV Licence.

There's no quick and easy win but the challenge is so rewarding whilst you're tackling it and see that you can manage it Great to hear your positivity, and that you are getting ahead with it. I'm just finding it very tough to see any hope at the moment sorry

I'm really sorry if this hasn't been much help....I try to think about the root cause, tackle that and go from there. Sometimes it's a case of one day at a time.

You've been a great help thanks. Thinking about the root cause is spot on, and as much as I hate AA cliche's, 'one day at a time' is quite apt at the moment. Thanks again.

MooBag_2

Please, don't mention it! I didn't mention much in terms of your rent, electric and council tax as I think the statement from the doctor should assist with them. Have you joined up to many agencies? I notice you have student debt; are you able to utilise your academic studies in anyway with job agencies.

Hhhmm, you could personally go visit your council office and explain your situation to them in person and see what they suggest? If you've tried this, sorry for raising.

With regards to an electric meter, it's not so bad and actually prompts you to think about your electric expenditure so I wouldn't get too concerned by this.

Have you got a family member who could lend you the cash to pay off your rent arrears? Tax Credits can be very sympathetic. They do allow for overpayments to be clawed back through future payments or you can set up a repayment plan with them.

I know you lack in energy right now but just posting for ideas is a great first step Also saw the great advice you provided in another thread! Good luck with tomorrow and hope all goes well.

crafty*kate

I don't have a lot of advice - I'm new to all this myself. Well done for posting and starting to deal with all this.

Just wanted to say, re point 9 - no, you won't go to prison. And as for losing your flat, well, I work for a housing association and we don't even think about beginning legal proceedings until arrears hit £500. And there are lots of steps along the way where you can sort things out. You can do it!

Does your Housing Association have a Benefits Advisor? Do you have a Housing Officer that you deal with? I know this is something we help tenants with and it may be quicker to access help through your HA than ringing Social Services.

All the best.

Your

rhubarbarella

Hi there,

I don't really have much I can offer in terms of actual practical advice, we're in a right old mess ourselves.
I just wanted to say I think you are incredibly brave that you are confronting your problems.

I recall that a friend from years gone by used to work as a tenancy support worker, her job was assisting social housing tenants who had other issues, eg mental health, learning difficulties, drug or alcohol problems etc. She used to meet people at their home and help them go through things, I wonder if maybe your local area has such workers? Maybe you could ask your housing association, or ask at the CAB if there are such workers in your area?

Sorry I cannot offer more help.

I wish you all the best.

SimIsOnTheUp

crafty*kate wrote: »

I don't have a lot of advice - I'm new to all this myself. Well done for posting and starting to deal with all this.

Just wanted to say, re point 9 - no, you won't go to prison. And as for losing your flat, well, I work for a housing association and we don't even think about beginning legal proceedings until arrears hit £500. And there are lots of steps along the way where you can sort things out. You can do it!

Does your Housing Association have a Benefits Advisor? Do you have a Housing Officer that you deal with? I know this is something we help tenants with and it may be quicker to access help through your HA than ringing Social Services.

All the best.

Your

Thanks so much crafty kate.

My priority is indeed my Rent, and I'll call my HA in the morning to firstly, find out what the situation is (hopefully better, now I've paid them £300 instead of wasting it on booze and the arrears stand at £255..) and secondly, ask for some help in sorting out my benefits / HB with the Council.

There is a lovely chap within my HA's 'Income Management'!team who I get on very well with, so I'll give him a call.

I'm just praying that the Council haven't billed the HA with the extra £430 HB Overpayment Do you know if Councils can actually do this to a HA? (Surely they should be billing me?). If you could advise on that, it would be most appreciated.

Thanks again,

Sim x