Please im so scared

pinkslide

I entered into a DMP with stepchange in Jan this year. As far as I know, all the creditors accepted the payment amount. I pay £186 per month between 14 accounts (3 creditors)

I got a letter this morning from nationwide credit card services. I owe them £3690.69 and they are not happy with the payment of £13.55 per month.

It says:

"In view of this, our intention is to start legal proceedings. If we get a court judgement we may then apply for a charging order on any property you may own. If granted, this will mean that this debt is secured against your property

However, whilst you continue to make these payments, subject to regular review of your financial means, we don't intend to take any further recovery action other than described above"


I am so scared. This debt is in my husband's name, so is our house and mortgage. Our house was bought for 118k in 2012, and we have a mortgage of 105k. We also have a 5 year old child.

I am also terrified that they will do the same for our overdrafts and the other credit card we have with nationwide - total we owe them is juist over 9k, split between 2 credit cards, 3 small loans (1k each) and 2 overdrafts. Of these, 1 credit card and 1 loan and 1 overdraft are in my name.

What can I do????

I have called stepchange this morning (before we got the letter) to increase our dmp payment as our childcare costs have finished.

I am scared that once they get a charging order they will apply for an order to force us to sell house.

I am worried sick, literally :eek:

hollibobs_2

Hello

You need to ring step change ASAP

lindens

To be honest, you are already on a DMP, you are already paying what you can - they can't have what you haven't got! I expect a judge would not issue judgement based on the fact you have a DMP in place.
However, I would call Stepchange to see what they say

TBagpuss

Have they said in the letter what payment they want you to make? It looks as though they are saying that they intend to take steps to get a CCJ against you and potentially to put a charging order against your house, but that as long as you continue to make the regular payments they will not try to enforce this. It may be that this is simply because they want better security.

definitely speak to step-change, however.

pinkslide

I just rang them and the lady said it is Nationwide's policy that if the debt will not be cleared within 5 years that they secure it on the house, but will not force a sale. It's just to change it from unsecured to secured.

My dmp payment is now £240 per month which will take me 12 years to repay. Debt is 36320 overall.

I'm still scared

Tixy

Hi

I understand that you would be scared to get that letter.

If they decide to commence court action then obviously as the debt is owed the judge is grant the CCJ, but as you are on a DMP then it is possible that the judge would allow you to continue to pay in installments at the rate you are doing (which would mean they wouldn't get a charging order).

However it is possible that due to the length of time it will take to repay your debts at the current repayment rate (22years) that the judge may grant a default judgement and that could then possibly lead to a charging order.

If they did try to get a charging order at that stage he would need to try to defend against it. But if it is granted it will just sit against your property until such time that you sell it.

I would suggest calling national debtline for advice on this.

Sorry x post with your reply above

You may find this factsheet useful https://www.nationaldebtline.org/EW/factsheets/Pages/15%20EW%20County%20court%20-%20charging%20orders/Default.aspx

pinkslide

No nationwide have not said what payment they want

whitewing

You have a child and are making regular payments. My understanding is that would mean that you aren't likely to get thrown out of your home.

You could speak to Shelter or Stepchange.

Try not to over-worry.

pinkslide

if they get a ccj, will they send bailiffs to my home?

cem

Stay calm and keep your cool. For the lenders, this is a paper excercise and they are following a process without having any emotions what so ever so don't take it personally.

The obvious but every time you speak to someone (especially at the bank), keep a log of it. Date, rough time, name of person and summary of the discussion. This will help you massively if this thing goes to court. I can't add any more in aiddition to what's already been said above by the other posters.. I wish you good luck

DS4215

I'm in a similar position with one of the lenders getting a CCJ against me. I have an order to pay at an affordable rate and will continue to do for the next few years, but in the past I have missed a small number of payments due to banking excellence (they didn't process the standing order and I didn't notice until the money had been spent on other stuff), and no further action has been taken. I suspect if I miss several on the trot though that would change.