Can't find a guarantor and feel stuck - help!

pagenotfound2k

I am posting this on behalf of somebody else. If details seems sketchy, then ask for more information and I will try to answer you.

My friend currently rents a three bedroom house with their two children. They are splitting up from their partner after try to work things out - their partner is happy to help a little with costs, as my friend is taking care of the kids. But my friend's partner cannot really afford much.

The bills are much higher than they anticipated before moving in, and the gas/electric bills are extortionate - this is after helping them with meter readings. They have cut right back (only a couple hours of heating each cold day with sleeping bags and heavy jumpers on) on gas costs and are making do sometimes with just one energy saving bulb turned on for the whole house.

They can afford a bond and admin fees when they move out, but not much more.

The real problem is finding a friend who will pass as a guarantor, and I have already told them I would not pass a credit check. They have offered the new agents/landlords written references glowing references from their current landlord - but they continue to say they will need guarantors.

They feel stuck in a rut now, paying high bills and unable to move out. I want to help them, but I am not able to - this is why I am calling upon MSE for their help and advice.

Is there a way round the guarantors? Would they need to speak to CAB? Who else could they speak with?

Regarding gas/electric, I am going to nip round with a clamp on energy meter. Is there anything else I can do to see if any energy is being "leaked"? Who can I speak to to get the meters checked out?

I really appreciate any help. I shall check this post tomorrow for any replies.

Thank you.

Emmzi

does their current landlord have any other properties they could move to?

Missmarple

Usually you do not need a guarantor if your credit is good. So if your friend is working and has kept up to date with the rent, is able to get glowing references there should not be a problem.

Not nice to suggest but perhaps your friend is anticipating difficult times and wants to have a fall guy. Don't be it..... This is a question I would not ask of any of my friends. Family may only help if they really think their son/daughter is not going to default and if they do are willing to pick up the debt.

Ring the utility companies and get them to check the meters and perhaps consider having a card meter installed (pay as you go).

hcb42

why are the bills so high? What are they in ££?
Will there really be much of a saving by moving?

Annisele

How extortionate are these high energy bills? How much did they expect to pay?

Is it just the energy bills that's causing the financial problem? It's just that I find it surprising that heating for a couple of hours a day is so expensive that it's the sole reason for the problems.

How long has your friend been in the rented house, and when does her tenancy run to? I ask because if she's, say, two months into a twelve month fixed term, she'll be liable for the rent for another ten months anyway - so moving now is likely not an option.

pagenotfound2k

When they moved into the property, their provider estimated the bills to be about £90. In fact they are a smidge over £150.

I have told them to stop bathing the two kids each night, and just to use the shower instead. I am quite certain they are giving them clean bath water each, but not really deep. Anyway, we will soon see if the showers help or not. Personally I have a suspicion something is faulty with the boiler or meter. Before they moved, their gas/electric was around £70 for a two bedroom house.

My friend is not working, but is intending to as soon as the eldest starts going to school.

I really appreciate the help so far.

BitterAndTwisted

No CAB, they cannot help your friends and neither can anyone else. If the landlord or agent requires a guarantor then that's what they need to provide.

Alternatives? One is to find a different landlord or agent who is prepared to be more flexible. By proving that they can pay the new rent with bank statements and pay-slips as well as having decent credit-records and references.

Second is that they present themselves as a couple with a family, apply for a tenancy that can be afforded and take on a joint-tenancy. If the departing partner is willing to help then that is the sort of help that's required to put a roof over children's heads.

Are you absolutely certain that this couple are competent to run their housekeeping and financial affairs? I cannot conceive of how a property can be crippling to heat unless they've never had to budget for heating before. it's not like prices have rippled overnight. Unless they've always lived in a bedsit and now they have a four-bedroomed house. Which do you think it is?

BitterAndTwisted

pagenotfound2k wrote: »

When they moved into the property, their provider estimated the bills to be about £90. In fact they are a smidge over £150.

A hundred and fifty pounds a month. They are being financially crippled by an extra fifteen quid a week?

Fifteen quid could be cut from the food-bill easily. Get your friends onto the Old-Style part of the forum. Or direct them to cheap-family-recipes.org

I have feeling that it's their poor money-managing skills that are at the root of this. Kids having baths every day? Nope.

pagenotfound2k

Thanks, I can see exactly what you are saying. Without going into particulars, things haven't been to rosey for them financially - talk about things going wrong in threes, they go wrong in fours for them!

I just remembered about them telling me that they are getting insulation put into the loft, but this is not due for a few weeks at least. This will no doubt lower the bill, as the property is quite cold with some rooms without a radiator - I think the same company doing the insulation is installing radiators, thermostats and god knows what else.

They are quite good with their expenditure, but what you said has made me think - I will go through expenses soon, and really see what's what. But certain recent events have put undue pressure on the somewhat already tight budget.

BitterAndTwisted

Get them onto the makesenseofcards website (I think that's it) as there is a budget-planner on there. Get them to fill it in and account for everything. They are leaking money somehow or they could never afford this property in the first place. Just popping out to the shops for a loaf of bread and a pint of milk can see some people spending twenty quid. They need to budget properly. The Debt-Free Wannabe and Old-Style forums may help them to set a sensible housekeeping budget. I bet they're spending a mint on groceries and they don't know how to change it.

Are they entitled to any LHA or CTax contributions if their income has changed recently?

gizmo111

Like others I can't see how the fuel bills are causing a move and why because of fuel bills they need a guarantor. I wonder if you are testing the water as you are considering becoming the guarantor and are feeling unsure. Why do they need a guarantor - have they got one on the current property?
£150 per month possibly includes some arrears? If not consider changing suppliers and get some cash into the deal from quidco.