Cant pay wonga & on dmp

losingbigtime

I have been on a DMP with CCCS which I have been managing (just) since April 2010. Anyway, my boiler broke in December and we had no water or heating for over a week, I had to have the whole thing replaced or have no water or heating at all for my famikly which in the middle of the snow and freezing temperatures we had was unbearable, especially for my children. I had nobody to borrow money from and no emergency fund whatsoever, so ( *gets ready for criticism here* ) I borrowed from Wonga. I borrowed £500 to get the boiler fixed and thought I would be okay next month but I wasnt, I had to roll it over again in January and I am supposed to be paying it back on the 13th february but I will not have enough money to do this or I wont be able to pay the mortgatge (I am already 2 months in arrears with the mortgage) :_(

I dont know what to do, can I roll it over a third time? ( I know this wil incur more interest but I am desparate) or can I add it to my DMP? I know this is against the rules of a DMP (ie taking on more credit) but this was a desparate situation and I had no other option, will CCCS stop the DMP if I tell them I got a payday loan? IM not here to be judged, I know i was stupid but I didnt know what else to do. I am scared to ring CCCS in case they cancel my DMP but |I am also not prepared to pay WOnga instead of the mortgage as I could potentially lose my home here. I have cancelled the debit card (told the bank I lost it) and I have a new debit card as I understand this is how WOnga take their money, with the card and not the account details (?).

Will Wonga agree to a payment plan if I contact them to explain? I simply cannot pay this at all, when I have paid the mortgage I have £68 for the whole month to live on, and thats for food, transport to school for the kids and everything. I have no friends or family at all who can help me.

SHould I contact CCCS or should I contact Wonga BEFORE the payment is due to see if they will agree to let me pay a certain amount per month to clear the debt?

:mad:I know this is foolish but ..............any advice would be greatly appreciated. Thankyou I am so scared....

BY the way I cant change bank accounts because the one I use is overdrawn by £2000. Yes, I Know :-(

thechippy

Advise cccs of the situation and see what they say. Take it from there. You can always do a self managed dmp...;)

You can move banks - the o/d will just become another debt which will have to be negotiated or taken into account in a dmp.

ALWAYS pay priority debts such as a mortgage over all others....;)

saltnvinegar

Hi

First of all - stop beating yourself up about your situation, its not going to help you nor is it going to help you make rational decisions.

You're in a good place here at MSE DFW so relax a little!

First thing that stands out for me above the Wonga situation is why do you have a £2k overdraft when you are on a DMP with the CCCS?

The CCCS usually include any overdraft you may have in your debt and then advise you to switch creditors?

Was this an overdraft you took out after you started your DMP?

Its an important point, as if this is the case then to advise you more correctly this has to be addressed to help you resolve the debt situation.

Best

SnV

losingbigtime

saltnvinegar wrote: »

Hi

First of all - stop beating yourself up about your situation, its not going to help you nor is it going to help you make rational decisions.

You're in a good place here at MSE DFW so relax a little!

First thing that stands out for me above the Wonga situation is why do you have a £2k overdraft when you are on a DMP with the CCCS?

The CCCS usually include any overdraft you may have in your debt and then advise you to switch creditors?

Was this an overdraft you took out after you started your DMP?

Its an important point, as if this is the case then to advise you more correctly this has to be addressed to help you resolve the debt situation.

Best

SnV

Hi - the reason for the overdraft is that this was a dormant joint account that was unused for years and then I moved to this bank when I started the DMP as it was the only one I didnt have debts with and it was just sitting htere open and it was easier than opeining anther account as i have debts with almost every other bank under the sun - even though it has both of our names on I have been using it just as my own personal account as we have always run separate bank accounts - dont ask me why - we have just always done it like that. Anyway, the overdraft was already attached to this account and I have just gone into it further and further and now this.

So I cant really put this on the DMP as it has my partners name on it, it is not just mine, and the DMP is mine and mine alone with my debts, not his. Otherwise I would just move banks and put this accoutn on the DMP. The only problem is this account I am currently using is with TSB, and my partners own bank is with \TSB, so if I put it onto the DMP then they could offset the money from his account \(not that he has any!) and start using it to pay off hte overdraft on the other account. So I am kinda stuck with it atm.

losingbigtime

thechippy wrote: »

Advise cccs of the situation and see what they say. Take it from there. You can always do a self managed dmp...;)

You can move banks - the o/d will just become another debt which will have to be negotiated or taken into account in a dmp.

ALWAYS pay priority debts such as a mortgage over all others....;)

Thanks for your reply - I cant move banks as OH's name is on it so I cant add to my DMP - its not a joint DMP, it is my DMP. I did open a co-operatbive basic accoutn with the intention of moving everything over but since being overdrawn this cant now happen as i cant just close the account till the overdraft is clear and I cant just leave the account overdrawn as OH's name is on it. x

bottleofred

Hi losingbigtime,

You won't be getting any criticism from me, as I used them when I had no choice and then had to move banks etc when things went totally wrong. I think you should contact the cccs and discuss it with them. It's done now, so try not to give yourself a hard time about it.

Red

CommitedToChange

you also need to talk to CCCS about your budget - if you've been going into your overdraft then you can't be sticking to the budget you have set. It should be enough to last each month without needing any extra credit.

I'm sure they'll be able to help with that and the wonga debt. And defo no judgement from me - at least yours was for heating

saltnvinegar

Hiya

Thanks for the update, that explains things.

There is something though that springs out at me which is your comment:

losingbigtime wrote: »

Anyway, the overdraft was already attached to this account and I have just gone into it further and further and now this.

Does this mean that you have using this overdraft until it has reached its limit?

Sorry to focus on this, but I am just concerned that although you are on a DMP your expenditure is still more than your income which is why you have eaten into this overdraft facility, effectively running up another credit line?

If this is the case this must be addressed as well as dealing with Wonga.

I've dealt with Wonga, and after a lot of pressure they have agreed to a payment plan, so can advise you on how to get this done too.

However if you still have an I/E imbalance all that will happen is you will fall further into debt and I wouldn't want to see that happen

I hope you can see my concern.....

As already mentioned it would be worthwhile contacting CCCS and see what their position is on this.

If you're worried about their reaction why not do it anonymously using their thread here on this forum:

Ask A CCCS Councillor A Question

It may not be as bad as you think, and just be a case of restructuring your debts (including this overdraft and Wonga) and readjusting your DMP.

Worst case scenario?

If CCCS did cancel your DMP then you go self administered. There is a massive support forum on here of people who are managing their own DMP's (including yours truely )

Best

SnV

dancingfairy

next time it might have been easier to contact CCCS and explain that your boiler has blown up and you can't make your dmp payment for a month or 2, got the payday loan if still needed now not paying dmp and then paid it off next month etc then restarted dmp.

df

losingbigtime

saltnvinegar wrote: »

Hiya

Thanks for the update, that explains things.

There is something though that springs out at me which is your comment:



Does this mean that you have using this overdraft until it has reached its limit?

Sorry to focus on this, but I am just concerned that although you are on a DMP your expenditure is still more than your income which is why you have eaten into this overdraft facility, effectively running up another credit line?

If this is the case this must be addressed as well as dealing with Wonga.

I've dealt with Wonga, and after a lot of pressure they have agreed to a payment plan, so can advise you on how to get this done too.

However if you still have an I/E imbalance all that will happen is you will fall further into debt and I wouldn't want to see that happen

I hope you can see my concern.....

As already mentioned it would be worthwhile contacting CCCS and see what their position is on this.

If you're worried about their reaction why not do it anonymously using their thread here on this forum:

Ask A CCCS Councillor A Question

It may not be as bad as you think, and just be a case of restructuring your debts (including this overdraft and Wonga) and readjusting your DMP.

Worst case scenario?

If CCCS did cancel your DMP then you go self administered. There is a massive support forum on here of people who are managing their own DMP's (including yours truely )

Best

SnV

Hi, thanks for your helpful answer - I would be grsteful for more advice on how to deal with WOnga - I havent contacted anyone yet - Im too scared - I want to contact CCCS but Im scared they may cancel my DMP. I have howeve posted on the Ask CCCS Counsellor a question board and am waiting for a reply.

I have gone into the overdraft to its limit yes, due to various things like birtdhays, christmas, emergencies, school trips, school shoes etc etc all sorts. I have looked at my budget today and I can make some cuts here and there but that doesnt solve my current problem. I just wish someone would magic £3000 up then I can pay off the od, open a new bank account, pay my mortgage arrears and start again from scratch

RAS

Hi

CCCS may cancel your DMP because you have taken out additional debt without their permission, which may mean you have to move to another debt charity.

The other small factor is that you should not even be doing a DMP if you have mortgage arrears, they take priority.

What you really really must learn is that if you get a sudden unexpected expenditure like the boiler blowing up, you need to ring your DMP provider and arrange to drop your DMP payments for a month or two so you can sort the boiler without getting into more debt.