Struggling with debt? Ask a debt advisor a question

Former_StepChange_Laura

Clare1977 wrote: »

Hi,
Please can you advise on the best way to sort out my debt.
I lost my job in 2007 and got behind on bills. I contacted a debt management company who set up payment plans (taking their cut) . I got back into full time employment after 3 months of losing my job.
After a year or so they went bust so I contacted my creditors and secured a payment plan with the interest frozen.
My debts to date are £4250 with MBNA and £1860 with Natwest.
Because of these debts I have been declined a mortgage.

I do have savings of £4560 which was going to be for a deposit on a house / or rent if I couldn't buy a house.

How long will it take for the default to come off my credit history? Is it better to use my savings to pay off the debt? Or shall I continue paying off as I am
I currently pay £175.00 on Natwest and £100 to MBNA.

Many thanks for your help.

Hi there,

Thanks for your message. I find it helpful to imagine your credit file as being a bit like a conveyor belt. Most things on it will drop off after six years. So a default will stay on your credit file for six years from the date the debt defaulted.

In general we recommend people deal with their debt first and then look to build up their credit file, but I’d recommend you give our Helpline a call and have a chat with one of our advisors about your options. Our advice is free and we offer a range of solutions to help you deal with your debt: http://www.stepchange.org/Howwecanhelpyou.aspx

You can find out how to get in touch with us here: http://www.stepchange.org/Contactus.aspx

I hope this helps.

Kind regards,
Laura

buhosabio

I don't know which section this should be catalogued in...

I contracted Virgin Media via uSwitch, 21 pounds per months the first 12 months and no setup costs.

After about 15 days I receive an email telling me something like "thanks for changing the contract", an action I did not take. To my surprise, there are now setup costs and the montly cost is more than double.

I spoke a number of times with support and they claimed the phone wasn't set up, so that is what prompted the contract change, and their suggestion was to pay and then wait for a discount when the phone is installed, for which I would receive a call. I never received such a call and, obviously, I disabled the direct debit, since the amount to pay was more than half the total costs for 1 year with the promotion, and that is not what the contract says.

My question is, since I am not obliged to pay the amount they made up, but they are obliged to abide to the contract, what legal action/defence can I take? Support is totally unhelpful and they will never offer a solution, they only tell me to pay something I shouldn't pay, and there is no other way for them. I also wrote a certified complain letter to their complains department. Since the costs of accessing Internet in a coffee shop are higher than those specified in my contract, I was thinking of passing them on to Virgin Media. Is that possible? Can I go to County Court?

Thanks.

StepChange_Jen

buhosabio wrote: »

I don't know which section this should be catalogued in...

I contracted Virgin Media via uSwitch, 21 pounds per months the first 12 months and no setup costs.

After about 15 days I receive an email telling me something like "thanks for changing the contract", an action I did not take. To my surprise, there are now setup costs and the montly cost is more than double.

I spoke a number of times with support and they claimed the phone wasn't set up, so that is what prompted the contract change, and their suggestion was to pay and then wait for a discount when the phone is installed, for which I would receive a call. I never received such a call and, obviously, I disabled the direct debit, since the amount to pay was more than half the total costs for 1 year with the promotion, and that is not what the contract says.

My question is, since I am not obliged to pay the amount they made up, but they are obliged to abide to the contract, what legal action/defence can I take? Support is totally unhelpful and they will never offer a solution, they only tell me to pay something I shouldn't pay, and there is no other way for them. I also wrote a certified complain letter to their complains department. Since the costs of accessing Internet in a coffee shop are higher than those specified in my contract, I was thinking of passing them on to Virgin Media. Is that possible? Can I go to County Court?

Thanks.

Hi there,

Thanks for posting.

As our expertise is in helping people deal with their debt, we wouldn’t be able to offer specific advice
on contract agreements in this situation.

You’ve mentioned that you’ve already submitted a complaint. If you’re unhappy with the response you receive you can escalate it to the relevant ombudsman for this area.

It might be worth getting in touch with Citizen’s Advice, they may be able to offer you more detailed advice in this area.

You can find out more on their website here:

https://www.citizensadvice.org.uk/consumer/alternative-dispute-resolution/settling-out-of-court/complaining-to-the-telecommunications-ombudsman/

Kind regards,

Jen

stainless1983

Hi

I have just submitted a thread with the above title on my problems with Lowell & Halifax. It's under the Debt-Free Wannabe section.

Could someone please have a look at it and give me some advice?

Many thanks

buhosabio

Thanks for the answer!

I am happy to report that I was finally contacted by somebody who could actually do something. It was as easy as to modify the settings in the system, in the end. Everything seems to be sorted out, I was just preparing for the worst.

Icahbanjarmasin

I have carried out limited research into govt mortgage help via local councils but it appears that because I do not have any children disabled or elderley/infirm co-dependants then I will not qualify for assistance.Oh the joys of being a White Single Healthy Indonesia Male that has always paid his way.

Icahbanjarmasin

I have carried out limited research into govt mortgage help via local councils but it appears that because I do not have any children.

Caz3121

Icahbanjarmasin wrote: »

I have carried out limited research into govt mortgage help via local councils but it appears that because I do not have any children disabled or elderley/infirm co-dependants then I will not qualify for assistance.Oh the joys of being a White Single Healthy Indonesia Male that has always paid his way.

You have obviously done very limited research as you do not need to be elderly, have children, be disabled etc to receive help with mortgage.... you need to be in receipt of qualifying income related benefits for a certain period
https://www.gov.uk/support-for-mortgage-interest/eligibility

Former_StepChange_Matthew

buhosabio wrote: »

Thanks for the answer!

I am happy to report that I was finally contacted by somebody who could actually do something. It was as easy as to modify the settings in the system, in the end. Everything seems to be sorted out, I was just preparing for the worst.

Hi there,

I'm glad to hear that everything has been sorted.

Kind regards
Matthew

StepChange_Allen

stainless1983 wrote: »

Hi

I have just submitted a thread with the above title on my problems with Lowell & Halifax. It's under the Debt-Free Wannabe section.

Could someone please have a look at it and give me some advice?

Many thanks

Hi there

Thanks for posting.

I've had a look at your post on the DFW thread and can see that you've had some advice.

If you'd like any further help or advice about your debts, please feel free to get in touch with us. You can find our contact details here.

Kind regards

Allen