Going to default.

greenbrucelee

I have already got setup with payplan and after going through everything with them an IVA is the only way forward but this could be 6 weeks before its setup.

I have payday loans due to come out (money shop cheques, ramsdens cheques and txtloan) none of these will get paid and will incurr charges at my bank and with them.

Is there anything I can do about these?

Also I have tried finding a template for a letter in what to write to my creditors and also one asking for my house telephone number to be removed for their records but can't find one. Does anyone have any links

JustinCredibleGillespie

Ring Co-op and open a cashminder account. Close your main bank account. This should be simple unless you have an overdraft or debt with your bank?

rising_from_the_ashes

Hi, glad to hear things are progressing for you ....

Have you set up a new bank account & arranged for your salary to go into this?

If not, this must be your No 1 priority as it will stop creditors being able to take monies from you whilst things are set up.

Have a hunt around for a basic account - there are a few out there eg the Co-operative Bank do one which is supposed to be quite good and Barclays etc.

It needs to be with a bank that you have no current financial links with (or that are "tied" to your existing lenders/debts in some way).

Ensure the new bank details are passed to your Payroll dept ASAP & ensure direct debits for any "essential" bills (such as rent/mortgage, council tax etc) are set up with your new account.

greenbrucelee

rising_from_the_ashes wrote: »

Hi, glad to hear things are progressing for you ....

Have you set up a new bank account & arranged for your salary to go into this?

If not, this must be your No 1 priority as it will stop creditors being able to take monies from you whilst things are set up.

Have a hunt around for a basic account - there are a few out there eg the Co-operative Bank do one which is supposed to be quite good and Barclays etc.

It needs to be with a bank that you have no current financial links with (or that are "tied" to your existing lenders/debts in some way).

Ensure the new bank details are passed to your Payroll dept ASAP & ensure direct debits for any "essential" bills (such as rent/mortgage, council tax etc) are set up with your new account.

I have an appointment to set up a new account with the halifax on saturday.

How do I know which banks my creditors are linked to?

I have an overdraft on my account at the moment which is going to be part of the iva to pay back. I am worried that these cheques from these places will bounce, i incurr charges then that takes me over the overdraft.

rising_from_the_ashes

Have a look at this thread re Basic Bank Accounts https://forums.moneysavingexpert.com/discussion/319736 hopefully you'll get some help there.

Basically you want to avoid opening one with another bank in the same banking group (for example but certainly not limited to Lloyds / Halifax / Bank of Scotland or Natwest / Royal Bank of Scotland or HSBC / First Direct etc etc)

rising_from_the_ashes

Just had a really quick look at the SOP you originally posted .... if you have a loan with Lloyds - Halifax may not be the best option.

greenbrucelee

rising_from_the_ashes wrote: »

Just had a really quick look at the SOP you originally posted .... if you have a loan with Lloyds - Halifax may not be the best option.

Oh really I was hoping to set one up with them.Maybe I will look at natwest then.

I would really like an account with a debit card but nothing else.

Tixy

Template letter to creditors to say seeking advice - http://forums.moneysavingexpert.com/showpost.php?p=21937969&postcount=51

Letter re phone calls - http://forums.moneysavingexpert.com/showpost.php?p=11571485&postcount=4

Regarding which banks are linked - did payplan not advise you on this and which would be safe? if not have a look at this payplan link - http://www.payplan.com/debt-news/2011/01/20/right-to-offset/ (the HBOS group are now also linked with the lloyds group, not sure why thats not shown on that link).

What made you decide on an IVA in the end rather than a DMP?

rising_from_the_ashes

Thanks Tixy, I knew there was a list but couldn't find it.

Judging from that - you may well be OK with Halifax.... if none of your other debts are with any others in that group.

ETA see below - Halifax is linked to Lloyds (I'm not losing the plot after all!)

greenbrucelee

Tixy wrote: »

Template letter to creditors to say seeking advice - http://forums.moneysavingexpert.com/showpost.php?p=21937969&postcount=51

Letter re phone calls - http://forums.moneysavingexpert.com/showpost.php?p=11571485&postcount=4

Regarding which banks are linked - did payplan not advise you on this and which would be safe? if not have a look at this payplan link - http://www.payplan.com/debt-news/2011/01/20/right-to-offset/ (the HBOS group are now also linked with the lloyds group, not sure why thats not shown on that link).

What made you decide on an IVA in the end rather than a DMP?

Thanks

No payplan just said I needed to open a new bank account. Not sure how I will find out which banks are linked to my cvreditors but I will do a search. I would suspect most are HBOS group and Barclays.

I am going to look into a natwest account after I finish work at 2.

Thanks for the links.

rising_from_the_ashes

Tixy wrote: »

the HBOS group are now also linked with the lloyds group, not sure why thats not shown on that link

That's what I thought originally - but when it wasn't in the list thought I was maybe wrong so strike the Halifax being OK!


Thanks Tixy