Red castle recovery chasing for First Plus

dr78

Hi my dad had a letter today and is panicing like mad about it, the letter demands £30k within 7 days of the letter or taking more action, i think this debt is some loan secured against mortgage, but my dad lost his house a year and a bit ago. He doesnt know where to start and what to do, any advice? x

Tixy

Hi

Does the letter give details of the debt, who the original creditor was etc?

When you say lost his house - do you mean it was repossessed? Do you know if he sought any advice at the time from a debt advice charity.
Does he know whether the repossession/sale of the house covered the whole of the mortgage? or if there will be a mortgage shortfall in addition to this secured loan that he will owe?

I would suggest he speaks to one of the debt advice charities ASAP. Is he earning? is he likely to be in a position to offer repayments on this loan (not to pay in full but to pay each month)? If not, and assuming he doesn't have any other assets/property he may well want to consider and discuss bankruptcy and if they think there are other options.

IMPORTANT - Where to seek professional impartial advice about your debts.

dr78

there are owings from the mortage for definate,. which is in addition to this amount i believe, he is working minimum wage, his wife died a month ago, so money is more tight, he is now in a rented house, and has no savings etc, he did ask me today about bankrupcy but i dont know how he has to go about it and how much it costs to do? the letter states debt is from first plus

Tixy

On that limited infor it does sound like bankruptcy might be a sensible option for him.

He'd need to speak to a debt advisor from one of the debt charities - but this might be a useful starting factsheet you could show him - http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=01_bankruptcy