So worried I feel sick - Updated with SOA

Loopy_Laura_2

Do Debt Collectors pretend to be solicitors?

I only ask as I have had a letter from a solicitor called D&G solicitors based in Birmingham saying they will begin County Court proceeding if I don't pay them within 7 days. Would they really instruct a solicitor? I only ask as the letter doesn't look professional enough.

I am so so so worried right now, as well as that letter, I had another letter saying one of my creditors has passed my debt to another debt collection company. So now I have three debts with DCCs…they are constantly ringing me and I am too scared to pick up the phone. I am going to call Payplan later to hopefully set up a DMP and ask them what I should do. The debt collection compnaies that now hold my accounts are

Metropolitan Collection Services (MCS) on behalf of 2 HSBC accounts
& Interim Justica on behalf of RBS (Mint)

Does anyone have any experience of these companies, or advise me on what I should do? I feel sick I am so worried.

Anwen_2

Hmm, this was the only thing I could find on google: http://www.consumeractiongroup.co.uk/forum/hsbc-bank/15681-hsbc-dg-solicitors.html

Loopy_Laura_2

Thanks for that. It is a HSBC debt they are chasing...I know the unfair charges they have put on my account would cover the final payment they are asking for! I'm confused, is MCS ltd(the debt collection company) also part of HSBC?

Loopy_Laura_2

I saw this site while googling, quite interesting for anyone dealing with Debt Collection Companies:

http://www.oft.gov.uk/NR/rdonlyres/50F06527-9FC5-4610-B385-999D6E2A8950/0/oft664.pdf

fefesaver

My OH has a debt with HSBC and we correspond with both MCS and D & G. They do appear to be in-house debt collectors and solicitors for HSBC. My advice would be to contact them (preferably by letter) as if you ignore them, they may well issue a claim against you.

Are you currently making any repayments to them?

Best of luck
fefesaver

Loopy_Laura_2

Thanks for that fefesaver. What would you suggest I say to them? Personal circumastances and mess-ups with my wages in between changing jobs have meant I haven't been able to make a payment to them for 2 months. Should I write to them saying repayments will begin the end of this month....or see what Payplan suggest?

THE_LONE_RANGER_4

hi, speaking as a debt free poster and i know its easy to say but dont worry ,put it in to perspective, and decide what you are going to do ,
first are the debts secured? or un secured?
why have you got in to this situaton,
who do you owe? and who are dealing with your debt ? you need to know this in order to contact them via letter .
how much can you afford to pay (do soa)
do you agree wth the amounts being asked for ?
DO NOT BE AFRAID TO ANSWEAR YOUR TELEPHONE IF THEY ARE RUDE HANG UP AND CONTINUE TO HANG UP AFTER YOU ASK THEM TO CORRESPOND VIA LETTER DONT ENTER IN TO POINTLESS CHITT CHATT.
if the telephone realy gets you down change your number if you are in contact with them via letter they need not ring you any way .
you must deal wth this dont hide away take control tell them what you can afford and stick to it ONLY WHAT YOU CAN AFFORD dca have very few powers other than the power to ask KEEP THIS IN MIND GET YOUR CONFIDENCE BACK AND DEAL WITH IT

Loopy_Laura_2

Thanks Lone Ranger, talking some sense into me there. Give me a while and I'll post answering all your questions...I need to stop burying my head in the sand and like you say regain some control.

file_wizzard

Just to clarify D&G are HSBC’s in house solicitors / collections division.

As others have mentioned you need to face this head on, D&G are one of the more “reputable” in house firms, and they can and will be quite reasonable with you if you give them the chance.

However if you do bury your head in the sand and ignore them they can and will commence full proceedings.

Loopy_Laura_2

Ok…here goes. All my debts are unsecured. And the reason for my debt? My own stupidity and the credit being available to me! I relied on credit to live whilst at university…got into the never-ending cycle of applying for card after card, intending to transfer the balances to interest free cards, then using them again when the balance was clear. I just want to sort my life out and get things under control, I want to get married the year after next but I can't see it being possible. Here's my SOA…

Income - £1150pm
(I also have a job with Ann Summers, this is not guaranteed income but does bring in a certain amount of cash)

Outgoings

Mortgage & Household Insurance (all are my half of the contribution) - £355
Council tax - £45
Car Insurance - £11
Car tax - £5
Gas/Elec - Move to new house on Monday so will set up DD set each month so know where we are
Bed on finance - £25
Car on finance - £80 (Joint purchase with OH)
Phone - £5 (quarterly bill but pay by DD)
Internet - £8 (Will move to cheaper package in Feb when contract runs out)
Sky - £14 (Just got three month half price deal which will kick in soon)
Mobile - £20 (new contract as of the summer so cannot cancel)
Food - £50 per month
Petrol - £30pm

I think that adds up to £648. With my creditors, I don't have statements with me but here are near enough accurate figures:

HSBC - £7800 personal loan, now passed to MCS DCA. Proposed payment (by them) £177pm
HSBC - £131 CC, now passed to MCS DCA. Proposed payment by them £40pm
HSBC - £2400 Online CC, PP £45pm but they charge me £50 charges every month for late payment and over limit fees
Egg - £2200 CC - £45pm repayments
Mint - £3450 CC, now passed to Interim Justica DCA. Requested full payment by letter yesterday.
M&S - £550 CC, minimum repayments around £15-18pm
Barclaycard - £3000 CC, £68pm

I think that's everything not including Mint as they now want full repayment. Some I haven't been able to make payments to for 2 months so they want double those figures. As well as that I have a £1500 OD with HSBC, and know I need to also count this as a debt.

Have I missed anything off? I would appreciate your thoughts on what I should do next to sort out my mess. My biggest worry is the letters from the DCAs requesting full payment, will they be cooperative if I seek advice and set up a plan with Payplan?

Thank you.

fefesaver

Just to let you know, my OH debt with HSBC does not have interest and charges added on and eveything has in effect been frozen. Could you not ask for this? We owed approx £15,000 and have offered payment at £150 per month (which is all we can afford at the moment) and this has been accepted. We sent a full breakdown of our financial situation before they agreed. It is important however that you keep meeting the payments so you do not offer more than you can afford to repay every month. The payments are reviewed every 6 months or so, so when we can afford to pay more we can. This should give you an idea of what we have done but we are not dealing with Payplan so I do not know anything about this. Hope this helps.