Struggling with debt? Ask a debt advisor a question

Former_StepChange_Rory

brydo86 wrote: »

Hi there. Me and the wife are trying to become debt free. The wife has an old phone bill from 2007 which is roughly £600 (don't ask). I sent away the pro forma letter to have the debt agency stop sending letters as it should be time barred (I stay in Scotland) however they have just got back stating that she had made a payment of £20 back in 2012 and has therfore acknowledged the debt. Can anyone assist on what to do from here? Accept defeat?

Hi there,

Thanks for posting.

If the creditor can prove that you made a payment or acknowledgement of the debt within the last 5 years (6 years for England, Wales and Northern Ireland) then this normally means that the debt isn't statute barred and you should make steps to repay the debt.

As the debt isn't statute barred, the creditor could take action to recover the debt such as a decree, which could complicate the situation.

If you're not sure how much to offer the creditor or you think you'll struggle to repay the phone bill, you can speak to us for further advice. As a charity we offer free, impartial and confidential debt advice and we can look at ways to help you deal with the debt.

You can find out how to get in touch by visiting our website at https://www.stepchange.org/contactus.aspx.

I hope this helps,

Rory

Former_StepChange_Rory

Birdie77 wrote: »

Good afternoon, I'm new here and looking for a little advice, even though I do intend to visit my local CAB Monday when I'm off work. Basically Im in a mess financially and avoided the issue for too long. I have approx £12500 debts across 4 credit cards, and an overdraft.... Seperated from my fianc! in October and renting in a shared house.... I only have 30 hours contract with work and take home roughly £830 every 4 weeks..... I'm basically paying my rent £340, my mobile bill and TV Liscence, then I pay either the minimum or slightly more if I think I can manage it, it leaves very little once I've paid for food, gym membership (only £18 month) and day to day living costs..... These last 2 months have been really hard though and I'm literally broke and can't see a way out..... Any ideas on what the best option or route to take would be greatly appreciated as it's now starting to affect me mentally as well in that I'm so fed up and have nothing to be happy about anymore. Thank you.

Hi birdie77,

It sounds like you've had a tough time over the last few months and as many others across the forums will know, dealing with debts is often the last thing on your mind at times like this.

A good place to start would be to get some free, impartial advice about your situation so that you're aware of what your options are to deal with the debts. Citizens Advice Bureau could offer you debt advice or a face-to-face appointment but if you'd prefer to speak to someone as soon as possible then we can also help.

At StepChange Debt Charity we can offer our free advice and practical solutions to help you deal with the burden of problem debts. We have a free Helpline you can call on 0800 138 1111 from 8am to 8pm Monday to Friday and Saturday 8am to 4pm where you can talk to one of our expert advisors about your situation. They'll put you in touch with a debt advisor who can discuss all of your options to help you deal with the debts and move forward.

If you prefer, you can use our online Debt Remedy tool at www.stepchange.org/debtremedy which offers the same expert advice you'd get by speaking to us, but at a time to suit you. If you need any help when using Debt Remedy you can speak, email or chat to us.

I hope this helps, don't feel like you have to struggle to deal with your debts on your own as there's lots of free debt advice available and you'll also find plenty of mutual support here on the forums.

Rory

andyajsb

Hi,
Following the obvious overspending etc. whilst married and following the divorce about 7 years ago I ended up with all the debts from the marriage - in the region of £47k made up of credit cards, unsecured loans, etc. (no payday or anything like that - wasn't around then! as some of these debts really do date back!)

I have minimal arrangements with all of them which I've kept up the last 7 years but I am tired of this debt hanging around my neck So having seen the Debt Free Wannabee board I thought I'd start doing some investigations to see how I can work on this.

First thing I have just done is my £2 experian credit report - which is causing me some confusion.

I have recently been told that I have a CCJ on my file. Following a house fire the insurance company put me into rented accommodation at their expense but the letting agent had to run a check on me and my two older children who are over 18 so adults. At that point he kindly let me know there was a CCJ that I was unaware of.

Now I am aware that two of my creditors took me to county court and I made payment arrangements. I believe one or both are now attached to my home in some manor that if I sell for a profit over and above the outstanding mortgage they get paid off. I do have questions to tackle about those but firstly I'd like to tackle why my Experian report DOES NOT show any CCJ's at all??

Do you have any comment or suggestion about this? Obviously a CCJ is a BIG black mark on a credit search so it seems weird my report isn't showing it - or is that simple Experian not giving me ALL my relevant info because I only paid the £2 instead of signing up for their expensive monthly system?

Many thanks, appreciate any help.

Andy

ps. I was working through your Debt Remedy system and did the report to get a list of the debts - many of which aren;t shown I guess because they are too old now?

GordyB1968

Hi

I have approx 15K outstanding on 2 credit cards that I fell behind on about 5 years ago when I was made redundant. Both debts have been moved to a debt recovery company (Moorcroft) and I was set up to pay back £10 a month on each and the interest was frozen. 5 years later and I'm still paying the same amount so the debt is still a similar figure - they seem happy with £20 a month and it has never been reviewed. Plan was to pay it off when I sold the house and freed up the equity.

The problem is the 2 accounts are showing on my credit file as in default so my score is as poor as it can be. I also had a couple of other smaller debts who have been paid as partial settlements when they accepted offers on what I owed. This stops me selling the house as I can't get another mortgage, and I need to move for work. I cant even rent without putting up 6 months rent in advance.

I have a second property which I rent out and has a buy to let mortgage on it. The house and mortgage are in joint names with an EX and she is happy to sign it over to me, but my credit score is stopping the mortgage company allowing her name to be taken off even though it is self funding i.e. makes approx £300 a month after the mortgage payment is made.

How do I clean my credit score and how long does it take? Are there companies out there who will give me a buy to let mortgage with my credit score in this state?

Thanks

Gordon

Acheron

I posted this in wrong section before... my mind's all over the place with worry about it... hope you can help...


Don't know what to do... If I'd done an IVA when I'd first gotten in touch with Stepchange (CCCS), I'd have been debt-free a long time ago. I'm reduced to paying the bare minimum because my reduction in salary dictates it which means my debt will not be paid off for another 26 years. Very depressing. I wrote to all of the companies to ask them to write off the debt - just one out of six replied saying "no". Another wanted a letter from my doctor to get it even looked at (I laid it on about stress etc.) . The rest simply didn't reply/ignored the letter.


My job means I cannot go bankrupt - if I did, I'd lose my job which is just not an option. Is an IVA the right way out of this? Is there anything, given I've been paying for last seven years with no visible sign of it being over, I can do to get it wiped so I can rebuild my life again?


Thanks in advance.


A.

StepChange_Jen

GordyB1968 wrote: »

Hi

I have approx 15K outstanding on 2 credit cards that I fell behind on about 5 years ago when I was made redundant. Both debts have been moved to a debt recovery company (Moorcroft) and I was set up to pay back £10 a month on each and the interest was frozen. 5 years later and I'm still paying the same amount so the debt is still a similar figure - they seem happy with £20 a month and it has never been reviewed. Plan was to pay it off when I sold the house and freed up the equity.

The problem is the 2 accounts are showing on my credit file as in default so my score is as poor as it can be. I also had a couple of other smaller debts who have been paid as partial settlements when they accepted offers on what I owed. This stops me selling the house as I can't get another mortgage, and I need to move for work. I cant even rent without putting up 6 months rent in advance.

I have a second property which I rent out and has a buy to let mortgage on it. The house and mortgage are in joint names with an EX and she is happy to sign it over to me, but my credit score is stopping the mortgage company allowing her name to be taken off even though it is self funding i.e. makes approx £300 a month after the mortgage payment is made.

How do I clean my credit score and how long does it take? Are there companies out there who will give me a buy to let mortgage with my credit score in this state?

Thanks

Gordon

Hi Gordon,

Thanks for posting.

I’m sorry to hear you’re struggling to find a new home due to your credit score.

Items such as defaults will usually only show on your credit report for a maximum of six years, although there are a few things you can do that might help before then.

If you’re making reduced payments to your debts then this is likely to negatively impact your credit score, as creditors can register reduced payments and defaults on your credit report. This could also explain why you’re finding it difficult to re-mortgage your property. There are certain things you can do that might help to improve your credit which we’ve written about on our blog here: http://moneyaware.co.uk/2013/10/how-to-improve-your-credit-rating-after-a-dmp/.

It’s difficult for us to know whether or not a company will give you a buy-to-let mortgage as policies will vary between companies, however, our financial solutions team might be able to help and can offer you some free advice on the topic. You can find out how to get in touch with them here:

http://www.stepchange.org/Howwecanhelpyou/Mortgagesandequityrelease.aspx

I hope this helps and if you’ve got any more questions please let us know.

Jen

StepChange_Jen

Acheron wrote: »

I posted this in wrong section before... my mind's all over the place with worry about it... hope you can help...


Don't know what to do... If I'd done an IVA when I'd first gotten in touch with Stepchange (CCCS), I'd have been debt-free a long time ago. I'm reduced to paying the bare minimum because my reduction in salary dictates it which means my debt will not be paid off for another 26 years. Very depressing. I wrote to all of the companies to ask them to write off the debt - just one out of six replied saying "no". Another wanted a letter from my doctor to get it even looked at (I laid it on about stress etc.) . The rest simply didn't reply/ignored the letter.


My job means I cannot go bankrupt - if I did, I'd lose my job which is just not an option. Is an IVA the right way out of this? Is there anything, given I've been paying for last seven years with no visible sign of it being over, I can do to get it wiped so I can rebuild my life again?


Thanks in advance.


A.

Hi there,

Thanks for posting.

I’m sorry to hear you’re not happy with your current debt solution.

Our advisors will take into account your situation in full before offering a debt solution they feel is most suited to you.

However, we do want to ensure the solution that you’re on is sustainable so I’d suggest giving us a call so we can discuss all your options with you. Our advisors will be able to let you know if there
is another debt solution that’s appropriate for your situation. You can find out how to get in touch with us here:

http://www.stepchange.org/Contactus.aspx

If bankruptcy isn’t an option for you because of your job, our advisors will be able to have a chat with you about whether an IVA is an option, and they’ll be able to answer any questions you might have about IVAs. With regards to how this could impact on your job, without knowing more details about your job role this isn’t something we’d be able to comment on as it can vary. This is something you could check on your contract or speak to your HR department about.

I hope this helps and if you’ve got any more questions you know where we are.

Jen

StepChange_Jen

andyajsb wrote: »

Hi,
Following the obvious overspending etc. whilst married and following the divorce about 7 years ago I ended up with all the debts from the marriage - in the region of £47k made up of credit cards, unsecured loans, etc. (no payday or anything like that - wasn't around then! as some of these debts really do date back!)

I have minimal arrangements with all of them which I've kept up the last 7 years but I am tired of this debt hanging around my neck So having seen the Debt Free Wannabee board I thought I'd start doing some investigations to see how I can work on this.

First thing I have just done is my £2 experian credit report - which is causing me some confusion.

I have recently been told that I have a CCJ on my file. Following a house fire the insurance company put me into rented accommodation at their expense but the letting agent had to run a check on me and my two older children who are over 18 so adults. At that point he kindly let me know there was a CCJ that I was unaware of.

Now I am aware that two of my creditors took me to county court and I made payment arrangements. I believe one or both are now attached to my home in some manor that if I sell for a profit over and above the outstanding mortgage they get paid off. I do have questions to tackle about those but firstly I'd like to tackle why my Experian report DOES NOT show any CCJ's at all??

Do you have any comment or suggestion about this? Obviously a CCJ is a BIG black mark on a credit search so it seems weird my report isn't showing it - or is that simple Experian not giving me ALL my relevant info because I only paid the £2 instead of signing up for their expensive monthly system?

Many thanks, appreciate any help.

Andy

ps. I was working through your Debt Remedy system and did the report to get a list of the debts - many of which aren;t shown I guess because they are too old now?

Hi Andy,

Thanks for posting.

If you have any queries about your credit report it’d be best to get in touch with the credit reference agency as they should be able to offer you more advice. There are three main credit reference agencies in the UK - Experian, Equifax and Call Credit. Sometimes not all of the information is shared between all three credit reference agencies so in this case we’d recommend checking with another agency. Call credit offer a completely free, online credit check at www.noddle.co.uk.

If you still have issues finding the details of the CCJ then you could also search the Registry Trust website which holds details about fines, orders and judgments. You can search this at www.trustonline.org.uk. There may be a small fee to search the registry, however.

Another explanation as to why the CCJ isn’t showing could be because things usually ‘drop off’ your credit report after six years, so it could be that six years has passed and the CCJ and debt it relates to no longer appears on the file. This doesn’t mean that the debt isn’t still outstanding and finding out more information about your debts is a really good way to start looking at how to deal with your debts.

If you’d like some help dealing with your debts, we’d be more than happy to offer free advice.
If you give our Helpline a call one of our advisors would be more than happy to have a chat with you about your situation. You can find out how to get in touch with us here: http://www.stepchange.org/Contactus.aspx.
It would be helpful to have some information about your budget when you speak to us as this will save you some time.

I hope this helps and if you’ve got any more questions please let us know.

Jen

kay44

Hello,


I am Kayleigh, I have £8000 in debt with the loan company Hitatchi which I pay off £201 a month. I used the money for home improvements- insulating my attic room, electrical re-wire, new boiler and some outside work so no damp can get in. I am 28 years old, live on my own and have a mortgage and bills to pay for. I am also only on bank staff, so some months I can earn a full-time wage, other months could be £500 which doesn't cover everything. I am struggling to see what help I can get as I don't seem to qualify for any government help and benefits. I have cancelled lots of bills- I got rid of my TV so don't have a TV licence, my internet is going on the 13th this month, no buildings and contents insurance as I haven't renewed them yet and I walk the 3.3 miles to work and then walk the same home every day I am at work as I don't want to get any deeper in debt and stay out my overdraft.


Kind regards,

StepChange_Jen

kay44 wrote: »

Hello,


I am Kayleigh, I have £8000 in debt with the loan company Hitatchi which I pay off £201 a month. I used the money for home improvements- insulating my attic room, electrical re-wire, new boiler and some outside work so no damp can get in. I am 28 years old, live on my own and have a mortgage and bills to pay for. I am also only on bank staff, so some months I can earn a full-time wage, other months could be £500 which doesn't cover everything. I am struggling to see what help I can get as I don't seem to qualify for any government help and benefits. I have cancelled lots of bills- I got rid of my TV so don't have a TV licence, my internet is going on the 13th this month, no buildings and contents insurance as I haven't renewed them yet and I walk the 3.3 miles to work and then walk the same home every day I am at work as I don't want to get any deeper in debt and stay out my overdraft.


Kind regards,

Hi Kayleigh,

Thanks for posting.

I think you’d benefit from some impartial advice about your debt and we’d be more than happy to help with this.
As a charity, all of our advice is free and we offer a range of debt solutions.

If you’d like to get in touch with us, you have two options. You can give our Helpline a call and have a chat with one of our advisors about your situation. Our advisors will take information about your debts, income and budget and will use this to suggest a debt solution suited to you. You can find out how to get in touch with our Helpline here:

http://www.stepchange.org/Contactus.aspx

You could also use Debt Remedy, our online advice tool. Debt Remedy works in a similar way to our Helpline except instead of giving your information to an advisor you just need to enter it online. Once you’ve entered your income, budget and debts, Debt Remedy will create a personal action plan to help you deal with your debts.

http://www.stepchange.org/Debtremedy.aspx

I hope this helps and if you’ve got any more questions please let us know.

Jen