Advice Please.

COOKIEWILLOW

I Posted A Short Time Ago As I Was £750. Overdrawn With Hsbc And I Offered 100 A Month To Pay It Off But They Sent Me A "managed Loan" Form Clumping Together Ther Od Balance With £5500 Credit Card Balance I Owed Although I Wasnt Behind With The Cc Payments. Frugal And The Cat Said Not To Sign The Loan Form Which Was 100 A Month For Ten Years!! And I Didnt. Since Then I Have Balance Transferred The 5500 To A Sainsbury Card And I Owe Nowt On Hsbc Card Now But Still Owe The 750 Overdraft. This Morning I Had An Awful Letter Saying, "despite Our Recent Letter You Have Not Responded" And Have Formally Called In The 750 Saying I Had 7 Days To Pay Or They Willsend My Details To A Debt Collector!!! They Have Enclosed A Statement Of Means Sheet To Fill My Outgoings And My Income, Also Who I Have Mortgage With And So On. They Have Obviously Seen That I Have Paid Off My Cc Balance And Are Now P***d Off That I Didnt Sign The Managed Loan, Why Have They Called In The Overdraft Now? My Limit Is 750 So I Am Not Over The Limit.? The First Sheet Is Asking What I Propose To Pay Each Week/month To Clear, So If I Offer A Certain Amount Why Do They Need All The Rest Filled In And Will They Still Send My Details To Debt Collectors? Any Advice Be Great. Its Also Ironic That On Wednesday This Week I Sent A Letter Requesting My Bank Charges To Start A Claim!

mrsmortenharket

Can you still afford the £100 per month?

Offer them that!

Fill in the SOA & just go along with them. They will try all sorts of scare tactics.

Good Luck

Lisa x

COOKIEWILLOW

Is That What They Are Trying To Do? I Will Send Everyting In But What If By The Time They Get Letter Offering The 100 A Month The 7 Days Expire And They Start Proceedings?

wherediditallgo

You could telephone them to let them know that you're sending the info they want to them. At least then they'll know that you're not ignoring their letter. It will take them longer than the seven days to actually start proceedings, but if you phone you can then give them an idea of when they can expect your paperwork to arrive. Having had that phone call, it wouldn't be in their interests to still go ahead with proceedings unless your paperwork didn't actually arrive. If you have access to a fax machine, you could ask them for their fax number if it's not on their letter & fax a response to them - remember to keep your fax receipt as proof that the fax was sent.

COOKIEWILLOW

Really Dont Want To Ring Them, I Get All Upset On The Phone And Feel As If They Are Badgering Me. Tried Before When They Rang A Few Months Ago And All They Kept Saying "is There Anybody You Can Borrow Money Off!" And "when Can You Make A Payment". Really Cant Believe That They Are Hounding Me For £750 When It Is Not Over The Limit Of Account. I Think They Were So Wrong To Try And Make Me Sign A Managed Loan For Nearly £7000 Over 10 Years. Thought By Reducing What I Owe Them To Just 750 Would Be Ok. I Could Crack On Reducing That Now. Like I Said It Is Quite Strange That Because I Am Going To Claim Charges Off Them They Are Now Doing Scare Tactics. I Really Dont Want Debt Collectors Calling To The Door. I Havent For The 750 Otherwise They Could Have It. Should I Fill In All Details And Propose To Pay The 100 A Month And Wait And See? Why Do They Want All My Finacial Details And Mortgage Balance Etc??

COOKIEWILLOW

Also By Giving My Work Details Can They Actually Deduct Moneyb Straight From My Salary?? Or Contact My Employer?

wherediditallgo

They want to know your income & outgoings to see whether the amount you offer to pay is based on what you can actually afford, or what you think you can get away with. I wouldn't give them the mortgage balance info, as I don't see what that has to do with them - I presume that's to see whether you have a property on which you could get a loan, either from them or elsewhere.

I would let them know either by fax or phone that you're responding to the letter. I'd then send a fax or letter making an offer to pay, based on what you know you can genuinely afford. If your offer is reasonable, there's no reason for them not to accept it, & the fact that you've made the offer will work in your favour if they try to take further action against you. See if you can get an appointment with the CAB's money advice unit or with a debt advice service, as a letter put together by organisations like these might be looked on more favourably. I wouldn't sign any loan agreement, as there's no point getting yourself further into debt.

I don't know the ins & outs of deducting money from your salary, but I would have thought they'd have to get some sort of court order against you for that - I could well be wrong though. I don't think they can directly contact your employer either without going through some other procedures first.

COOKIEWILLOW

Thank You Very Much. I Am Not Going To Get A Loan Just For That Amount. Will Do As You Suggested And See. Cant See Whats Wrong With 100 A Month. At Least Im Offering Something, They Wouldnt Gain By Anything By Rejecting It Would They??

pania

hiya cookie sorry to hear of your troubles. Ok so Q1) have you got any remaining balance on that CC of yours to transfer some of the balance to? guess you wouldn've mentioned if you did just wanted to make sure ;-)

2) re the contacting of employers, in order for an attachment of earnings to be added to your wages (ie what you owe is paid prior to you receiving your salary) it would need to be ordered by a court as part of a CCJ.

3) I would ask them for an exact reason why they are demanding this payment as your account has been well operated (if it has) you are not over you OD limit and your CC balance is now clear. if they cant provide an exact reason then contest it.

4) having an account going to a dca isn't the end of the world and please don't think thy're going to come banging on your door. They will often accept a much lower amount per month and won't be adding interest so please don't panic.

I think the bank are trying serious scare tactics for some reason, but play them at their own game!! good luck!! P xx

wherediditallgo

COOKIEWILLOW wrote: »

Thank You Very Much. I Am Not Going To Get A Loan Just For That Amount. Will Do As You Suggested And See. Cant See Whats Wrong With 100 A Month. At Least Im Offering Something, They Wouldnt Gain By Anything By Rejecting It Would They??

I think £100pm to meet a debt of £750 is a very good offer if it's all you can afford. If they tried to take you to court to get an attachment of earnings order, I don't think the judge would be amused at them turning such an offer down. I agree with pania - this reads to me as the bank trying to scare you into paying up asap, but stay calm & make your offer in writing.

COOKIEWILLOW

Thanks Both. I Have £49 Balance On Cc. (used The Max I Could Transfer From Sainsburys) The Hsbc Card Has A Limit Of £5500. But I Know U Should Never Ever Use A Card U Have Transferred A Balance From But I Thought If I Could Use Card To Pay 750 Overdraft Then Pay 100 A Month Off Card Then It Would Be Ok But When I Have Tried To Use Card It Has Been "blocked" Yet I Always Paid My Monthly Payment Albit The Minimum So I Cant See Why They Have Done This. I Transferred Balance On 5th June And On My Online Hsbc Statement It Has "payment Received Thank You" Balance Is Now £ 49, Credit Card Limit £5500. But As Its Only Been 10 Days Do I Have To Wait For Card To Adjust Itself As It Was The Payment Was Two Days Late? It Really Is A Frightening Letter With Forms Attached And Really Strong Wording.i Have Been Paying In 30 A Month From My Tsb Account Into The Account 750 Overdrawn And Have Not Used The Account For Anything