Should I worry about the quietness?!

MissMuppet

I was made redundant in May and since haven't found a new job, I have written to my creditors to let them know I can't pay them until I find something else but it's all gone very quiet.

I've set-up a payment of £2 a month with my biggest creditor, and one of the others sent me a letter saying I had to pay a minimum of £5 but the others have stopped contacting me!

Should I be worried??

I plan on going bankrupt in a few months as I've just moved so don't want my landlord thinking I am going to default on my rent but until them I'm wondering what my creditors have in store for me...

Crown

Hi, I Would personally telephone the companies involved and check what the current state of affairs are with regards to your payments.

If you are making your regular token payments to them and stay in contact I have found them to be much more understanding. Make sure that anything that is agreed (i.e the £5 min payment) is put in writing. I have had to chase Barclays and the Halifax on numerous occasions with regardss to this but it is important that you have proof that you are paying an agreed amount.

Just to let you know even if it is quite at the moment you may find that they will just send you a default notice. It is nothing to panic about as it is there legal responsibility do issue it. It means thatg they then have the right to sell your account on to a Debt Collector if they so choose.

With regards to going bankrupt in a few months have you looked at all other options? I dont wish to be nosey but I dont remeber seeing your situation or SOA but BR will have a lasting impact on your credit file for the rest of your life. If you can clear your debts overtime you can repair any damage done as all defaults fall of your credit record in 6 years.

Whatever you decide I wish you the best of luck

MissMuppet

Thanks... most of my debts have already gone to debt collection agencies, there's only one with the Halifax that hasn't and they've just ignored my letter.

I have posted on here before and also on the BR board, my debts have been hanging round my neck for so long I just can't seem to get them paid off. I decided a few months back that I need a fresh start so that's what I still plan to do, and being unemployed at the moment isn't helping my debt reduction.

Thanks for your help, I might give them a call and find out what's happening.

CCCS_Emily

Hi MissMuppet,

I am a debt counsellor with the Consumer Credit Counselling Service.

You have done the right thing by setting up token payments to your creditors while you are looking for work. Some will respond and others won't, either way you need to continue making the payment to them. Your rent is the most important thing, so make sure any money coming in goes there first.

Crown is right to ask if you have looked at other options before bankruptcy. There may be other ways of dealing with your situation. While I cannot advise you on your financial situation via this forum we do have an online electronic facility called Debt Remedy where you can complete a financial statement and be provided with advice on best way to deal with your situation. If you go to our website www.cccs.co.uk and click on Debt Remedy you can access our virtual counselling service. However Debt Remedy's advice is based on your current situation. When you find work you would need to go back and input your new income to get up to date advice.

Good luck, and keep us posted.

MissMuppet

I just checked out the debt remedy thing and it's good but due to my circumstances it's not advising me anything I didn't already know... I don't have enough income to cover my daily living allowances let alone the £524 contractual payments I need for creditors. So I will continue with my plan of BR in a few months once my landlord sees I am good for the rent.

Thanks for you advice, will chase those quiet creditors up... although it seems a little odd chasing them for a change!