Struggling with debt? Ask a debt advisor a question

mol3

Hello

I hope you don't mind me asking a quick question.

I am on a DMP and am struggling a little, I really could do with reducing my monthly payment.

I need to have a realistic payment but also want to have an amount that will pay it off quicker.

I'm on a reduced income but I put aside a bit of money as I knew it would be a struggle but that money is dwindling fast.

Basically what my question is, some of my debts are with DCA's some are still with the original creditors. How will they all react to the payment being reduced? Are they usually okay about this? Having not reduced my payments before I am scared of what their reaction will be about it, I don't want any comeback from them.

Once I am back in employment I could possibly increase the payment again but I wouldn't like to promise that.

My other question is can I do this online? Making phonecall's is not easy with a baby!

StepChange_James

claire0788 wrote: »

Hey

I applied for a DPP (as I live in scotland I was advised that this is my best option) through stepchange and it has taken nearly 2 months and nothing has happened with my paperwork.

When I called the other day I was told that they hadn't even looked at my application ! I am seriously having difficulties with everything. Is there anyway that I can chase this up ?

Thanx, Claire

Hi Claire,

Thanks for getting in touch. There are quite a lot of rules that need to be followed for a DPP to be set up, which involves getting plenty of paperwork together.

I had a quick chat with a colleague in our Glasgow office and she said that if you give them a call we'll be able to tell you what's happening with your specific case.

Or if you PM StepChange Private Messages with your client reference number I can pass them a message (but the phone call would probably be the quickest way to know what's happening).

Kind regards

James

StepChange_James

mol3 wrote: »

Hello

I hope you don't mind me asking a quick question.

I am on a DMP and am struggling a little, I really could do with reducing my monthly payment.

I need to have a realistic payment but also want to have an amount that will pay it off quicker.

I'm on a reduced income but I put aside a bit of money as I knew it would be a struggle but that money is dwindling fast.

Basically what my question is, some of my debts are with DCA's some are still with the original creditors. How will they all react to the payment being reduced? Are they usually okay about this? Having not reduced my payments before I am scared of what their reaction will be about it, I don't want any comeback from them.

Once I am back in employment I could possibly increase the payment again but I wouldn't like to promise that.

My other question is can I do this online? Making phonecall's is not easy with a baby!

Hi Mol3,

Thanks for posting and congratulations on the new arrival! One of the best things about DMPs is that they are flexible and can easily be changed to match a change in your circumstances.

We'll need to go through your budget and update your income and outgoings to match your current circumstances. If this means your available money for debts goes down then we'll get in touch with your creditors and show them the new figures.

It'll be down to them whether they accept the new offers but generally creditors are understanding about these sorts of things. If you were decreasing your payments because you were spending hundreds of pounds a month down the pub then they'd probably reject the payments, but if the additional costs and reduced income are reasonable then I can't see why they'd have a problem.

We've got a fairly new service for our existing DMP clients called "online review" which lets you update your details with changes in your situation. You'll find a link to it once you log in to the online DMP system here: https://onlinedmp.stepchange.org/Home/Login.

Most of the time it's possible to change your budget without having to speak to a real person! If there are major changes then it'll flash up a number to call where you can have a quick chat to confirm the next steps.

I hope this helps.

James

kaybee15

Hi James, thanks for your response. The solicitors seemed as baffled as we are (without admitting it), and we've spoken to Excel Counselling who want an appointment, but we fail to understand why they are involved at all.

I shall contact StepChange as you suggest, and again, thank you.

doorstep54

hi i just wanted to ask for some help please! am in over 20k debt and am really finding hard to cope paying them, its got to that point now where ive been drawing money from the cards to pay them as am so worried about not paying them, am working but only get £220 aweek and after paying my rent and that i have nothing left, i cant sleep eat or anything any more i just keep worrying every day now i just feel like ending it all .. i just dnt know how to get out of this now ......

soozy1984

Hello, Ive been registered for a while but only posted a couple of times. I was just wondering if you could give me some advice on dealing with a doorstep lender (provident), I have a terrible credit history and went to them in desperation which I now definitely regret.
Ive been with them around 2/2.5 years the agents have changed a fair bit. About 18 months ago I went to Welfare Rights and they wrote a letter to send to the head office with an income an expenditure. I heard nothing for weeks and then a new agent turned up on my doorstep offering to accept £5 a week. I accepted this and continued to pay this. Then one week the agent never came and I then I was in hospital having my son so there was a period where no payments were made. The ANOTHER different agent turned up claiming that they know nothing of this arrangement and Ive to go back to my £25 a week which I cant afford. She's just been at my door and stood and argued with me for 10 mins about how SHE'S in debt and how SHE doesnt get her commission if I dont pay. Ive told her Im trying to prioritise my money (2 kids, on mat leave, husband is a student so very low income) but she wasnt interested and gave me her bosses number.
How can I best deal with this situation? Ive tried to sort it before and it seems there must have been a communication breakdown or did the previous agent just suit himself? really confused and angry by all of this.
Thanks in advance.

StepChange_James

doorstep54 wrote: »

hi i just wanted to ask for some help please! am in over 20k debt and am really finding hard to cope paying them, its got to that point now where ive been drawing money from the cards to pay them as am so worried about not paying them, am working but only get £220 aweek and after paying my rent and that i have nothing left, i cant sleep eat or anything any more i just keep worrying every day now i just feel like ending it all .. i just dnt know how to get out of this now ......

Hi doorstep53,

Thanks for posting. It sounds like you're finding things incredibly hard to cope with at the moment. I hope I can offer you some support and hope for the future.

I've been giving debt advice for 8 years now and I've never come across a situation that didn't have a solution, so I'm sure there'll be a way to sort out your debts. It's just a matter of working out which option suits your situation.

You can do this by giving us a call and speaking to an advisor who'll be able to make a recommendation. Here's the contact details: http://www.stepchange.org/Contactus.aspx.

Alternatively, if you'd rather do things online, you can use our Debt Remedy tool. You go through the same process as you would if you called and at the end you'll get a personal action plan with suggestions about what to do next. Here's the link to Debt Remedy: http://www.stepchange.org/msehelp.

Being in debt can be incredibly stressful and it sounds like you're really struggling at the moment. Getting help with the debt side of things might help you feel better but I'd also suggest thinking about talking to your GP if you're finding it hard to manage.

Or if you're still experiencing suicidal feelings then you could get in touch with Samaritans. You can call or email them and they'll let you talk about your feelings without making any judgements or telling you what to do. Here's their contact details: http://www.samaritans.org/how-we-can-help-you/contact-us.

I know how hard being in debt can be sometimes but it really is more important to look after yourself than pay these debts. Please get in touch with us and we'll do everything we can to help.

Take care.

James

StepChange_James

soozy1984 wrote: »

Hello, Ive been registered for a while but only posted a couple of times. I was just wondering if you could give me some advice on dealing with a doorstep lender (provident), I have a terrible credit history and went to them in desperation which I now definitely regret.
Ive been with them around 2/2.5 years the agents have changed a fair bit. About 18 months ago I went to Welfare Rights and they wrote a letter to send to the head office with an income an expenditure. I heard nothing for weeks and then a new agent turned up on my doorstep offering to accept £5 a week. I accepted this and continued to pay this. Then one week the agent never came and I then I was in hospital having my son so there was a period where no payments were made. The ANOTHER different agent turned up claiming that they know nothing of this arrangement and Ive to go back to my £25 a week which I cant afford. She's just been at my door and stood and argued with me for 10 mins about how SHE'S in debt and how SHE doesnt get her commission if I dont pay. Ive told her Im trying to prioritise my money (2 kids, on mat leave, husband is a student so very low income) but she wasnt interested and gave me her bosses number.
How can I best deal with this situation? Ive tried to sort it before and it seems there must have been a communication breakdown or did the previous agent just suit himself? really confused and angry by all of this.
Thanks in advance.

Hi soozy1984,

It sounds like you're approach to this is right to me. It's important to only pay your debts what you can afford after you've covered the most important household bills. There's no point paying your debts in full and then not having money to feed and clothe your family. It's also pointless to agree to payments that you know you'll not be able to stick to.

Income and expenditure budgets are a good way to easily show a creditor what you can afford to offer them as payment, so I'd recommend you put together a new one to show Provident (and any other similar debts you might have).

We can help you put this together either over the phone (by calling our helpline: http://www.stepchange.org/Contactus.aspx) or by using our online Debt Remedy tool (http://www.stepchange.org/msehelp). Either way we'll be able to put together a income and expenditure budget and offer advice about how to move forward with things.

It sounds like it wasn't a particularly pleasant conversation you had with the lady from Provident this morning. If you're unhappy you could make a complaint about the service you received. The first thing would be to complain to Provident and then if you don't think they've dealt with your complaint properly you could then ask the Financial Ombudsman Service to look into it.

All the best.

James

JtmC_2

Pounds to pocket-849.37
Cash genie-582
Wage day-440.30
Uncle buck-330
Quick quid-423.73

£2619.40 total

---

Hello everyone

Just joined the forums today. Read the email newletter regularly and such a great site for advice and help.

Ok so I had a bombshell dropped on me yesterday. I knew my girlfriend had a couple of debts but yestetday I found out she had 5.

These are as per the top. All loan day companies.

She has signed up to a company called positive steps who have stopped all interest and are paying these on her behalf for a fee of £30 quid.

What happened was she took one loan then didnt pay it and got into a circle of taking one to cover the other. I was shocked and appalled as I never have gotten into debt in my life ever only taking what I could afford. My girlfriend is young and her income is only 800 quid a month and I already have my own financial commitments.

I feel stuck in a rut. Am I doing the right thing? Is tyere anything I can do to improve the situation.l?

Any help is appreciated and thanks in advance.

System

JtmC wrote: »

Pounds to pocket-849.37
Cash genie-582
Wage day-440.30
Uncle buck-330
Quick quid-423.73

£2619.40 total

---

Hello everyone

Just joined the forums today. Read the email newletter regularly and such a great site for advice and help.

Ok so I had a bombshell dropped on me yesterday. I knew my girlfriend had a couple of debts but yestetday I found out she had 5.

These are as per the top. All loan day companies.

She has signed up to a company called positive steps who have stopped all interest and are paying these on her behalf for a fee of £30 quid.

What happened was she took one loan then didnt pay it and got into a circle of taking one to cover the other. I was shocked and appalled as I never have gotten into debt in my life ever only taking what I could afford. My girlfriend is young and her income is only 800 quid a month and I already have my own financial commitments.

I feel stuck in a rut. Am I doing the right thing? Is tyere anything I can do to improve the situation.l?

Any help is appreciated and thanks in advance.

Hi there,

Welcome to the forum.

Firstly there’s no need to panic – sadly the nature of payday loans can cause people to take one loan to pay off another, it’s not ideal but the important thing is that your girlfriend has stopped borrowing and is looking to deal with her debts.

I would suggest that your girlfriend get some free, impartial debt advice – it’s great she’s paying back the debts but if she was with a fee-free provider the £30 a month could go towards off more.

I'd recommend she contact ourselves or another free debt provider such as National DebtLine.

If she calls 0800 138 1111 one of our advisors would build a budget and recommend the best way to clear the payday loans. She can also do it online using our Debt Remedy [url][/url] advice tool.

As well as paying back the payday loans it’s important that the reason she fell into difficulty in the first place is addressed – is she living within her means? Building a budget would help answer that.

I hope this helps.

Take care,
Jess