Help, does my debt effect family members living at the same address?

Higher

Hi everyone, hope your all well.

I have a few issues at the moment, I have got myself into a big mess with some payday loans since losing my job and not being able to pay them back. My debts are spiraling out of control and most of the debts have been passed over to collection agencies.

They are sending threatening letters and text messages saying they will visit my home within 7 days if payment is not made. This was over 7 days ago and I have not yet had any visit. But basically they are becoming more threatening each day and saying they are going to do this and that, I have managed to set up a repayment plan with one of them but the others do not seem to be happy to do that as I can only pay tiny amounts each month as I am on benefits until I find a new job.

My question is can these companies come to my home address and if so can they do anything? Also does this debt effect other family members in my household in any way? I have heard things like it effects everyone on the houses credit rating and the house cannot be sold while these debts stand. I do not own the house, I am in my early twenties and still live my parents, I am being chucked out at the moment but I just want to make sure this debt is on me and cant effect the rest of my family as all of my debts have this address on file for me.

I wont go into specific details just yet unless people need me to to help answer the questions but basically I have had a number of pay day loans for around 150 - 250 each and they have now got up to sums around the 2000 mark.

To be honest I have been an idiot leaving it this long in the first place, just been stressed out and blocking out my troubles, which isn't the best thing to do.

Anyway thanks for reading and if anyone has any advice on this it would be greatly appreciated, thanks.

MOGGYMALONE

Hi, i'm not sure how to advise on this but could you perhaps call into citizens advice and see if they can hlep you. I always thought that debt was linked to an individual and not an address per se but I'm not an expert. I know someone who lived with a person who was in a lot of debt but had to get dissociated from them legally but once that was done everything was fine. I hope someone else here can help. best wishes, mog

sickasachip13

Hey,
Someone else better informed than me will advise on the address issue. BUT, you do need to get urgent advice on these debts to stop the spiralling.Before you know it they will have grown even bigger. Please get in touch with a free debt charity like National Debtline or StepChange urgently - today - and ask them for advice. There are ways of dealing with this stuff and it will help you feel back in control again.
Best of luck.
SAAC

Gurranes

I'm not expert in the way Payday loan companies run their collections departments, but from Credit Card experience....

Home visit companies are used typically when the lender has had no contact or success when you first go into arrears. They can do a number of things, some just put you back in contact with the lender. Talking with them is the first step to see what arrangements you can come to to paying back the debt.
They are establishing that you are still at that address - haven't 'skipped town'
They might try to get a part payment from you right away.
They may work through an income and expenditure profile to see what repayment plan can be made.
They may also quietly assess any value in you possession should the worst happen and a charging order is taken out. I would think this unlikely as you are not a home owner.

I don't know if your debt is with lots of pay day loan companied or just the one, but the home visit company will be representing the interests of whoever hired them.

In terms of your families Credit Rating...
Have you any credit taken out with them jointly? If you have then there is an association and what you do could impact them. If you just in the same house then there shouldn't be a financial link associated so strictly speaking it should count against them.
It can happen however, sometimes by mistake. e.g. if you have the same initial as your parent, the matching at the credit reference agencies can mess up.

Important thing is to (if you can) deal with these debts before they default or CCJ's. If you are on an arrangement and can stave off the default then that will be better for your file.

Don't be tempted to use Debt Management Companies to run the debts for you - Well not the ones that charge you a fee for doing so. There are charitable ones out there such as CCCS. Visit your local Citizens Advice Bureau - they may be able to help you or at least explain your next step options.

It sounded like parental help might not be an option, but worth having that conversation, however unpleasant.

RAS

Hi

Debt collectors have no right to visit you at home. If they do turn up (and the term call often means they will phone) then tell them to leave and call the police if they refuse.