Struggling with debt? Ask a debt advisor a question

Former_StepChange_Rachel

Beginagain wrote: »

Hello, I completed the debt remedy on the StepChange website and sent the information they requested by email (proof of income, account numbers of creditors and budget) last week and I just wondered how long it normally takes for SC to contact me regarding my request for a DMP?

I know it was only a week ago but I am getting anxious about whether my DMP will be accepted and would like to know how long it usually takes for a DMP to be set up please?

I have cancelled the direct debits and standing orders to the credit card companies and cut up the cards. I am also in the process of writing to them all and will include the budget sheet and list of creditors and amounts I sent to SC.

Is anyone able to help with my queries at all please? I am determined to get this debt paid off!!

Thanks in advance.

Hi there,

Thanks for getting in touch with us.

You should be hearing back from our plan activation department any day now to let you know your DMP has been set up. It usually doesn't take longer than a couple of weeks but it all does depend on factors such as when we get the paperwork through.

We're dealing with a bit of a backlog at the moment but I don't think you'll have to wait much longer if you've sent everything in so quickly. If you haven't heard from us by the middle of next week, please feel free to give us a call and we'll look into it for you.

In the meantime, please feel free to tell your creditors if they contact you that they're to deal with us and we'll be contacting them once your plan is up and running.

All the best

Rachel

Former_StepChange_Rachel

creepingdeathtopaydaylend wrote: »

fairly simple question i'm hoping.
i was one of the lucky students whose loans with the SLC occurred before major procedural changes.
i believed that i would pay nothing till my earnings rose over a threshold and as a careless youngster promptly forgot about them.
with no malice or genuine deception i moved many times over the next few years..as youngsters do and in the process lost all contact with the SLC. years later, and a little wiser i realised that 6 years had passed and with no communication the debt was 'statute barred' and after sending several cease and dessist letters received confirmation that the debt was no longer live and i would recieve no further communication/demands......lucky (and in all honesty completely immoral) me...
......now either fate works for the inland revenue or karmas got a sense of humour.....while having a friendly chat with an individual at the HMRC this morning to discuss a payment schedule for some debt.....I had the rug pulled out from me and was informed of overpayments i had received dating from 2005 of which i was completly unaware.......
needless to say my lips clammed shut at this point and i made my excuses to end the conversation. my question therefore is this....DO TAX/OVERPAYMENTS FROM HMRC FALL UNDER THE SAME STATUTORY LEGISLATION (6 YEAR EXCLUSION)....in that I can apply my previous logic to this case?
And to further complicate things if I hold a current debt of £1500 approx which I am paying on scheduled basis and I attempt to rely on the law it stands to reason that they could become very 'difficult' perhaps cancelling my plan and demanding the principal in full?

any thoughts......

Hi there,

Debts that come from HMRC will not fall under the Limitation Act and will not be statute barred.

You can read more about it here: http://taxaid.org.uk/guides/tax-debt/time

This HMRC debt will need to be prioritised alongside the £1500 debt you're trying to clear at the moment. If you're a client of ours, please call us and we'll see what we can do.

Best regards

Rachel

j-l-s

Hi.

My partner has an overdraft of £2500 with lloyds bank. The interest on this is around £40 a month.

I will be starting part time work in January and the plan is that I will pay off the overdraft. I will be paying off between £200-£300 a month.

I have seen about the 0% interest cards for 12 months etc, but I wondered if banks did the same thing with overdrafts?

I have no idea how these things work but I don't think you can do a balance transfer from an overdraft to a credit card. So what would be the best route I could take so I could avoid paying the costly overdraft interest rates?

Many thanks

StepChange_James

j-l-s wrote: »

Hi.

My partner has an overdraft of £2500 with lloyds bank. The interest on this is around £40 a month.

I will be starting part time work in January and the plan is that I will pay off the overdraft. I will be paying off between £200-£300 a month.

I have seen about the 0% interest cards for 12 months etc, but I wondered if banks did the same thing with overdrafts?

I have no idea how these things work but I don't think you can do a balance transfer from an overdraft to a credit card. So what would be the best route I could take so I could avoid paying the costly overdraft interest rates?

Many thanks

Hello,

Thanks for posting.

Banks do often offer interest free overdrafts. Many student bank accounts do and I think there are banks that offer them to attract new customers.

In all honesty, our specialism is advising people on dealing with debt they can't afford, so we're not the best people to speak to when it comes to getting the best deals.

I'd suggest starting by reading this page: http://www.moneysavingexpert.com/banking/compare-best-bank-accounts. MSE is always a good resource for honest and impartial advice on finances and deals.

You mention that you're helping pay off your partner's debt, which is a really nice thing to do. I'd recommend getting any new account in just your partner's name, so there's no issue about who's name the debt is in or who is ultimately responsible for it.

Kind regards

James

burdenlifted

Can anyone please help?

I am currently a student and have paid off quite a lot of depts. that I incurred when my marriage broke up.

I had a credit card debt of around 3300 with Abbey, I made an arrangement with them to pay 30.00 per month. I was paying this amount by direct debit and continued to do so when Santander took over. I have been paying the same amount for some years to Britannica Malvern who I now know to be debt collectors. This direct debit just continued and I have not received a statement or anything in writing regarding this.

I have no idea how much I owe or have paid and cannot find contact details for them. I have also been told that I should approach them to ask for the original contract and there is a three step procedure in which I could become debt free.

Is any one able to give me some advice ?

Kind regards,

worried student

eb2503

I'm new to the forum so hopefully I'm doing this correct.

I've been in a Debt Management Plan with Gregory Pennington for just over 12 months now and my financial situtation is starting to improve. Me and my partner are paying off some small debts that he has which we didnt want to add to the plan as we could still manage these. These small debts will be paid off within the next 6 months or so and I was wondering if I could remove individual debts from the plan so that we can clear these ourselves, therefore reducing the term of the DMP and improving my credit rating.

Thank you

System

burdenlifted wrote: »

Can anyone please help?

I am currently a student and have paid off quite a lot of depts. that I incurred when my marriage broke up.

I had a credit card debt of around 3300 with Abbey, I made an arrangement with them to pay 30.00 per month. I was paying this amount by direct debit and continued to do so when Santander took over. I have been paying the same amount for some years to Britannica Malvern who I now know to be debt collectors. This direct debit just continued and I have not received a statement or anything in writing regarding this.

I have no idea how much I owe or have paid and cannot find contact details for them. I have also been told that I should approach them to ask for the original contract and there is a three step procedure in which I could become debt free.

Is any one able to give me some advice ?

Kind regards,

worried student

Hi there,

You can access your credit file for free using noddle https://www.noddle.co.uk/

It updates every calendar month so you will be able to see an accurate balance. It should also give you the name of the company which will help you look for more info on the company. Have you asked Santander for their contact details?

In the meantime I would continue to pay the direct debit on time as usual. I’d also recommend that you get some free, impartial advice to see how best to deal with the debt and how much yoiu can afford to offer. You can use our online advice tool Debt Remedy.

I’m not sure what ‘three step procedure’ you mean. I would be wary of anyone claiming they can ‘write off debt’ – they tend to false claims.

I hope this helps.
Jess

System

eb2503 wrote: »

I'm new to the forum so hopefully I'm doing this correct.

I've been in a Debt Management Plan with Gregory Pennington for just over 12 months now and my financial situtation is starting to improve. Me and my partner are paying off some small debts that he has which we didnt want to add to the plan as we could still manage these. These small debts will be paid off within the next 6 months or so and I was wondering if I could remove individual debts from the plan so that we can clear these ourselves, therefore reducing the term of the DMP and improving my credit rating.

Thank you

Hi,

You would have to speak to Gregory Pennington but we wouldn't recommended that you take that approach. By paying off one debt over another you’re not treating all of your creditors equally. When you clear one debt off it will show as settled on your credit file – this may mean your other creditors are less likely to accept reduced payments as you’ve prioritised one debt over another.

Once your debts are cleared read this article on MSE to improve your credit file http://www.moneysavingexpert.com/loans/credit-rating-credit-score

Thanks,
Jess

julie777

Please help.
Written on behalf of a friend.
I am 25 and have suffered mental health issues for 10 years.
I found i just could not cope with jumping through all the hoops required to keep getting jsa.
For some time i have felt i could not cope with another job anyway.
Having had no income since may i owe my parents a lot of housekeeping as i live with them.
I am not eligible for hb so is there any help i can get?
They have managed to keep me okay but i would love now to pay them back.
I am trying to apply for esa again but doubt they will backdate it and i know how hard it is to get the benefit anyway. Also it will no doubt be several weeks before any decision is made.
Although my parents are not asking me for the money, to me it is a debt and i wonder if there is any advice you can give me please?

mrsworrypants

Hi, I'm not sure if I should reply to this or start a new thread to ask my question, sorry, I'm new to this!
I have some credit card debts that I'm struggling with, I've gotten behind with payments and I'm ashamed to say I havent been dealing with anything but have decided to try and sort it all out!
I am a homeowner but I have tenants in my property instead of living there myself. When I started struggling with the mortgage I moved out and put tenants in that cover the mortgage. I stay with family.
I have 2 credit card debts, 1 barclaycard = 2000pounds (money which I had used to cover a few mortgage payments) and capitalone = 500pounds. I had previously had discussions with barclaycard when I fell behind but the interest alone was making it difficult to keep up payments. Both accounts have now been passed to bailiffs.
I have been unemployed quite a while and have never claimed any benefits. I have also been unwell and have been diagnosed with rheumatoid arthritis and at only 29 that knocked me for 6 and I didnt want to deal with all of this but I'm trying now to fix it.
I could borrow some money from a relative to offer settlement but I wouldnt be able to offer full amount. Also I presume my house is in danger of being repossessed? I really regret not contacting the companies before debt collection got involved. I did make a claim for unfair bank charges a while back with halifax (about 1500) that was refused but I hear some people can still get their money back stating financial hardship, do you think that counts as my situation right now? Any help would be much appreciated from anyone.