Letter from SCM Solicitors

Stacker_2

Hey guys,

I'm new so please be nice to me!

Basically, I have an overdraft of 2,807.49 which I am 345.49, which all happened due to being in a car accident and not being able to work for a while, but still having to pay car insurance among rent and other things.

Today I recieved a letter from SCM Solicitors saying that I must repay the balance, which obviously I can't afford.

It says I have 14 days, so what do people suggest I do? I don't really want them to log a failure to pay with the credit rating agencies as I am currently trying to start my own business, and it really won't help me.

Many thanks,

Stacker

poppasmurf_bewdley

Stacker wrote: »

Hey guys,

I'm new so please be nice to me!

Basically, I have an overdraft of 2,807.49 which I am 345.49, which all happened due to being in a car accident and not being able to work for a while, but still having to pay car insurance among rent and other things.


Stacker

This does not make sense. It would help if you could explain properly what the problem is.

Stacker_2

Sorry, I meant that is my unplanned overdraft, so how much I am over my agreed overdraft!

immoral_angeluk

Are you able to afford to offer them a reduced monthly payment? If so call them and make an offer. SCM are very keen on using court action o enforce debts so I would recommend you set something up if you are able. If not, or if you have more debts then head over to the DFW board for guidance.

Firefox1975

I am guessing the bank have already contacted you about this overdraft and you have been less than helpful with their attempts to reduce it?

you have stonewalled them saying you have no available funds and that it is teh banks hard luck and they will have to wait?

How long have you been beyond your agreed overdraft? when did you last receive a salary payment?

Banks will only wait so long before they take the view that they are not getting their money back so instead they make sure you cannot do this to anyone else by hitting you with a CCJ.

contact your bank, go and see them with your cap in your hand and understand that they are calling the shots.

sorry for being blunt.

meer53

I don't think you need to worry about your credit rating really. If this has gone as far as solicitors then it's obviously been going on for quite some time. Have you discussed your situation with your bank at all ? Or have you just ignored their letters ? Your credit rating will probably already be shot. Think you need to do a bit of grovelling !

Stacker_2

Firefox1975 wrote: »

I am guessing the bank have already contacted you about this overdraft and you have been less than helpful with their attempts to reduce it?

you have stonewalled them saying you have no available funds and that it is teh banks hard luck and they will have to wait?

How long have you been beyond your agreed overdraft? when did you last receive a salary payment?

Banks will only wait so long before they take the view that they are not getting their money back so instead they make sure you cannot do this to anyone else by hitting you with a CCJ.

contact your bank, go and see them with your cap in your hand and understand that they are calling the shots.

sorry for being blunt.

Thanks for all your replies

I have tried to reduce it, and have been paying my payment plan fine since June, however since I was in the car accident my work decided they weren't going to pay any sick pay to me, and I explained this to the bank several times.

I have been over my overdraft for around a month now, the last time I got paid was in September, as the accident was 9th October.

I have decided to open an account with another bank, becuase Lloyds are just loading me with charges, is there any way I can just pay a certain amount back each month to my account possibly if I speak to Lloyds, set up a direct debit from another account?

LovelyLeeds

So you've been off work for over 3 months, and all unpaid bar your statutory sick pay?
Is it too late to make contact with your bank to try and rectify this? Ignoring it until it gets to the solicitor stage is not a good move, as you are now finding out. Head out of sand time, and try and get something sorted.

Firefox1975

Stacker wrote: »

.

I have decided to open an account with another bank, becuase Lloyds are just loading me with charges, is there any way I can just pay a certain amount back each month to my account possibly if I speak to Lloyds, set up a direct debit from another account?

You need to speak to lloyds with your cap................etc.

I don;t think opening another account will help you with lloyds much. although it is probably a good idea as whatever account you open will be a basic account with no overdraft and no further opportunity to live beyond your means.

You will almost certainly end up with marks on your Credit history if you do not repay anything to Lloyds.And they are NOT going away without at the very least a CCJ against you.

What are the circumstances relating to your SSP? you will be able to claim something from the government whilst incapacitated from work? You could allocate perhaps £5 a week from this to pay Lloyds back. (They cannot, and would be stupid to, refuse this. This may also suspend legal proceedings) someone else could probably tell you, im not up to speed on benefits etc.

I thin you need to go to CAB aswell.

Do it today.

Stacker_2

LovelyLeeds wrote: »

So you've been off work for over 3 months, and all unpaid bar your statutory sick pay?
Is it too late to make contact with your bank to try and rectify this? Ignoring it until it gets to the solicitor stage is not a good move, as you are now finding out. Head out of sand time, and try and get something sorted.

Thanks for your reply.

I haven't even recieved statutory sick pay because apparently I don't earn enough!!

I called the bank half an hour ago and asked if I could could pay 40 a month to them, and they said I can if I make a payment today.

So i'm hoping my new account with Barclays will be accepted, and then I will be able to pay this months wages into that account, and setup 40 a month to go into the lloyds current account, and paying the overdraft off slowly but surely!

Firefox1975

Stacker wrote: »

Thanks for your reply.

I haven't even recieved statutory sick pay because apparently I don't earn enough!!

I called the bank half an hour ago and asked if I could could pay 40 a month to them, and they said I can if I make a payment today.

So i'm hoping my new account with Barclays will be accepted, and then I will be able to pay this months wages into that account, and setup 40 a month to go into the lloyds current account, and paying the overdraft off slowly but surely!

Ah, now you didn;t mention this did you?

I was of the understanding you weren;t receiving any monies in!

I am sure they will accept £40 a month.

Don't get another overdraft or Credit card

peace