In Need of Urgent Help Please

Angel4u1974

I am a 32 year old single mother with one 3 year old daughter. i work 16 hours a week and find my self in £7000 worth of debt not including water bills and others small debts. I have been approached by a debt company offering to cut my Loan/Debt repayments from £253 per month to £127 per month which is very tempting but would mean It will take 5 years 4 months to pay back and they charge 15% per month. Below is my SOA and any advice would help as I've now stopped all my direct debits and am worried people will start knocking on the door.

Income
Wages £88.00 per week
Child benefit £18.10 per week
Tax Credits £122.81 per week
Housing Benefit £216.00 fortnightly

Outgoings
Loan 84.79 monthly - £1754.57 to repay 19.9%APR
Electricity 60.00 monthly just managed to pay off £481 arrears but new bill due soon
Car Insurance 17.65 monthly
Sofa 40.00 per month 2 payments left
Rent 650.00 per month
Credit Card 70.00 per month £4138.40 interested has been halted
Next 98.10 per month £1039.58 left to pay
Telephone 35.00 monthly
southern water 11.00 monthly
Mid Kent Water 15.00 monthly in arrears
Mobile Phone 25.00 monthly
TV License 10.00 monthly
Food 140.00 monthly
Petrol 80.00 monthly
Fags 40.00 per month
Child care 20.00 per month
Council loan £35.00 per month 5 months to pay
In work credit over payment 5.00 per month
Council tax £46.00 per month

I'm up to my overdraft limit of £300

I do hope someone can help the pack from the debt people will be here tomorrow and this is the only way I can see out of this mess. Thanks in advance

GirlRacer_2

Hi Angel and congratulations on posting. If you do decide to go down the debt management plan route go with cccs or payplan as these are organisations who will not charge you.


I'm sure the other more knowledgable people will be along soon with lots of advice.

oops_a_daisy

Hi Angel and welcome to DFW

I havent got time to go through your SOA as I have to pop out to collect my DD but just wanted say quickly - do not pay somebody 15% to sort out your debts - you will get all the advice you need without judgement here for FREE.

others will be along soon to give you some help and well done for posting.

all the best and good luck - OOPS

Sea78

HI

Welcome to the board - DON'T go with these people. Ring CCCS or Payplan who are free and will do the same job, but all your payments will go towards your debts, therefore clearing your debts sooner. I'm sure you'll get more advice from the many helpful people on here

Sea

sammy115

Angel4u1974 wrote: »

I am a 32 year old single mother with one 3 year old daughter. i work 16 hours a week and find my self in £7000 worth of debt not including water bills and others small debts. I have been approached by a debt company offering to cut my Loan/Debt repayments from £253 per month to £127 per month which is very tempting but would mean It will take 5 years 4 months to pay back and they charge 15% per month. Below is my SOA and any advice would help as I've now stopped all my direct debits and am worried people will start knocking on the door.

Income
Wages £88.00 per week
Child benefit £18.10 per week
Tax Credits £122.81 per week
Housing Benefit £216.00 fortnightly

Outgoings
Loan 84.79 monthly - £1754.57 to repay - APR?
Electricity 60.00 monthly just managed to pay off £481 arrears but new bill due soon (NO GAS?)
Car Insurance 17.65 monthly
Sofa 40.00 per month 2 payments left
Rent 650.00 per month
Credit Card 70.00 per month £4138.40 interested has been halted
Next 98.10 per month £1039.58 left to pay
Telephone 35.00 monthly
southern water 11.00 monthly
Mid Kent Water 15.00 monthly in arrears
Mobile Phone 25.00 monthly
TV License 10.00 monthly
Food 140.00 monthly
Petrol 80.00 monthly
Fags 40.00 per month (should stop!)
Child care 20.00 per month
Council loan £35.00 per month (how long for?)
In work credit over payment 5.00 per month (is this working tax credit overpayment)
Council tax £46.00 per month

I'm up to my overdraft limit of £300 (have you been charged with any bank charges?)

I do hope someone can help the pack from the debt people will be here tomorrow and this is the only way I can see out of this mess. Thanks in advance

As the last poster says don't go with the new loan.

sammy115

Not good at fonts so not sure you can see my notes. What is the APR on your loan and your credit card. I know next is fairly standard and HIGH!

Is your mobile pay as you go or contract - you could get this cheaper.

Stop smoking. Sorry! How long have you got to go on your council loan?

Is your in work credit overpayment - is that working tax credit overpayment?

Have you had any bank charges/credit card charges you could claim back?

Angel4u1974

The APR on my loan is 19.9% I have tried changing it but to no avail I've managed to get the interested stopped on my credit card.

My mobile is contract and I can change that on the 23rd April

In work credit is an extra payment you get for going out to work but they managed to overpay me so I'll be paying that back until Feb 2008

My council loan has 5 months to go.

And I don't have any charges to claim back

beanielou

Can you not challange the overpayment for in work credit as take it it must have been theie error?
Go to CAB for advice.
Whats the council loan for ? Was it a TIGS grant?

welcome to MSe & well done on posting.

Angel4u1974

thanks for your reply.
I tried challenging the overpayment but you sign a form at the time they give it to you stating you will repay any overpayments.
The council loan was for the deposit on my rented house. Unfortunately I live in the middle of nowhere and can't get through to CAB and my nearest office you have to sit and wait to make an appointment to go and see them and that 20 miles away.

beanielou

Can u not make an appointment by phone for CAB?
Our clients can at least make appointment via call centre.

southernscouser

Can only reiterate (sp) what others have said about not going to the fee charging company. Speak to the CCCS. They are a registered charity and won't charge you a penny for their services. Your creditors are also more likely to comply with them.