In over my head due to C.S.A. contacting me

xgingerx

Hi, I have alreadt contacted the CCCS and have advised a dmp plan as the best option, I earn 26500 and owe approx 32000 in unsecured debt (various)
I feel sick to think how i got in this situation and whats worse is that I dont really have anything meaningful to show for this. The CSA contacted me last week and told me they are priority and its approx 250 / month which has finally tipped me over the edge. I will go from having a excellent credit record to a totally rubbish one within the next month. All that keeps me going is well I would never want credit again and at least this has brought things to ahead as if I had been able to cope then it would only be a matter of time and probably a lot worse before I would have to seek advise. I am hoping I have done the right thing by contacting CCCS and that it is the best option to get them involved on my behalf to help sort out this mess.

I cant tell you how low ive been and some days cant see the light at the end of the tunnel. Dont know what Im really asking for in this thread, maybe some sort of reassurance or some indication or someone who has been in my situation with a good ending, just so I can put my mind at rest.

Anyway any views appreciated, and I feel so stupid and guilty at how I have let this happen.

Thanks

newlywed

sorry can't help regarding CSA but I have just started a DMP with CCCS (earn less than you and owe more!!).

I have only just made my second payment and already the phone calls asking for money have stopped. One of my creditors has accepted the DMP stopped interest for a temporary period, one has accepted the DMP and more than halved my interest rate immediately and one has put minimum payment "deferred". So I am only waiting to hear from my last creditor.

CCCS have been a great help and answered all my questions and I wouldn't have been able to reduce my interest rate that much, or that quickly, without their help.

I wish I'd started the DMP sooner to be honest. And, like you I feel stupid and ashamed of my debt but at least now I am dealing with it and learning to budget so I don't ever need credit again

xgingerx

Hi, I am very worried about all the phone calls and letters which I am anticipating, do u have any advice about how you dealt with this, In my head im thinking even if i managed to pay the minimums on everything, I could still have this debt hanging over me for many years so thats why Im bitting the bullet and thinking I dont want or need credit and in 5 or 6 years time all that money will actaully be mine and not owed out every month.

Crown

Hi Ginger, and welcome to DFW!

Don't beat yourself up about getting yourself into this situation as we all are in or have been in the same boat. THe most important thing is that you are now facing up to it and not digging yourself deeper into debt.

I know how stressful debt can be trust me on this. I have the doctors notes and grey hairs to proof it but at the end of the day its only money and I have realised 7 months on from my major height of my problems that there are much more important things in life.

I know its easy to say but see today as a fresh start. draw a line in the sand as you cannot change the past. Look forward and make plans to get this sorted.

ok, the CSA have contacted you. have you been backj in contact with the CCCS and asked them for advice? I am not sure if the CSA are priority or not but if you havent got it then I dont see how you can possibly pay.

Creditors will all say that they are priority so take it with a pinch a of salt. Did you include your CSA payments in your original budget with the CCCS?

Please can you read the forst time posters thread at the top of the page and post your statement of affairs. We will be able to see what your situation is and then offer advice on the best way to move forward. there is a lot of support on here and well done on getting this far already.

trust me when I say it isnt the easist thing to deal with but once its all setup it does get much easier

Crown

xgingerx wrote: »

Hi, I am very worried about all the phone calls and letters which I am anticipating, do u have any advice about how you dealt with this, In my head im thinking even if i managed to pay the minimums on everything, I could still have this debt hanging over me for many years so thats why Im bitting the bullet and thinking I dont want or need credit and in 5 or 6 years time all that money will actaully be mine and not owed out every month.

Ginger, try and take it one step at a time. when the phone calls start then there is a template letter can stop the calls. you will find a lot of the banks and later debt collectors are complete bullies and bend the truth to frighten you. you have rights and as you are here you will receive support when it is needed.

I currently am paying my creditors £1 a month on a self managed DMP. my debts in total stand at present at £36,950 approx and I earn a lot less than you.

If you can work on your Statement of affiars and post it up we will have a better picture of how you can make savings

newlywed

Yeah I struggled for ages trying to pay minimums. Taking cash out on one card to pay the minimum on the other was my wake up call. All food and petrol went on cards and I couldn't see how we could live without credit cards.

To be honest, what I was expecting from the phone calls was way way worse than the phone calls actually were. Some of them would phone me three times a day and I'd not pick them up (when I'd only missed one minimum payment). But when I actually picked up the phone and spoke to them and told them I was contacting CCCS about a DMP they put a note and said they'd put the calls on hold for so many days to wait and see if they hear from CCCS but that interest and charges would continue until an arrangement was agreed. One company never rang me again. One only rang again to say they'd agreed the DMP.

One kept ringing every so many days and I kept giving them my CCCS reference number and eventually I got really stroppy as I'd spoken to them 3 times in less than a week and they confirmed they already had the CCCS reference on record and one guy said that the others should have put a hold on the calls and he'd do that for me now! Haven't had one single phone call for a few weeks now

Just be strong. Tell them you don't have the money and that CCCS will contact them. Write to them as well and ask them not to phone but to put it in writing and give them your CCCS reference.

Some companies appear to be worse than others. Buy the people I spoke to weren't nearly as bad as I expected them to be.

If you want more help, there is a DMP mutual support thread where everyone is on a DMP and they have given me lots of help and advice before I started the DMP:
http://forums.moneysavingexpert.com/showthread.html?t=454457

First thing, if you owe money to the bank that your wages go into - set up an account with a bank you don't owe and get your wages moved to there!!

newlywed

I believe that CSA is priority debt, as are rent, gas, electric. So these should always be paid first. But CCCS can advise you on that and sort out your budget to make sure that CSA is included in full and any remainder after living essentials like food etc gets paid to unsecured, non priority debts.

If you email CCCS they usually reply the next day, or you can phone them if you prefer (I prefer to email as I can think about what I say and don't have to worry about getting stressed and not remembering the advice).

Crown

Can I just add have the CCCS advised you to setup a new basic bank account as yet? This is a priority as you need to get your wages paid into a account that your creditors exisiting bank cannot touch. this will put you back in control of when and where the money goes.

you also need to stop using credit completely if possible, there are so many tips to give I dont wish to overwhelm you without first getting a better picture of your circumstances.

I have to leave for a meeting shortly but will be back later. Im sure the others will have a lot of advice to offer you though and I will check the thread later in the day.

good luck

System

CSA are a priority alongside council tax. All that will happen is CCCS will adjust your repayments accordingly inevitably meaning you will be offering less to your creditors.