CCJ's Overshadowing everything!

dad_researcher

Last year due to the recession and my husbands business failing, we got in to severe financial difficulties. Stupidly I stuck my head in the sand and let a couple of debts get to court. I finally gave myself a good talking to and sorted everything out via a debt management plan and have since been trying every way to cut our outgoings. However, every time I try and get a quote for anything like insurance as soon as I say we have a CCJ (which is being paid in instalments) the price rises dramatically or they decline to quote us. It is as though they assume as we have a CCJ we will make a fraudulent claim. This is despite having spotless driving records (no claims for 30 years!)
Is there anything at all I can do to try and help this situation?

MEM62

Unfortunately not.

The warnings given out with financial products and those contained in the correspondence you receive when you are failing to service your financial commitments are very clear on the consequences of not dealing with the issue. Unfortunately, once you allow it to get to the point of a CCJ it's too late and your credit rating will be trashed for a good few years until it drops of your credit report.

Sorry I can't give you better news.

dad_researcher

Thanks for replying, even if it was as I thought. I just don't understand how failing to pay a credit card should make a motor insurance company decide we are more likely to make a claim on insurance? I know I sound incredibly naïve but it seems like it should be illegal, to assume that because we got in to financial difficulties we are now regarded as probably dishonest. I guess it is just a case of 'computer says no'. Oh for days when you could speak to people face to face who made a decision on your credibility. But thanks anyway for your reply.

MEM62

It's purely risk management in terms of lending. I don't think anyone considers you to be criminal - just higher risk.

The days when you local bank manager made a decision based on a more personal relationship are long gone. Times change and maybe not always for the better.

Hope things improve for you soon.

ValHaller

dad_researcher wrote: »

Thanks for replying, even if it was as I thought. I just don't understand how failing to pay a credit card should make a motor insurance company decide we are more likely to make a claim on insurance?

If you are talking annual premiums, it should make no difference. On monthly, they are carrying the risk of you not paying and may not want your business.