Will I be stuck in this situation forever - paying debt via CCCS?

sewbocushions

Hi,
We finally faced up to our debts last August and with the help of the CCCS have got arrangements to pay off the credit card and loans at £105 per month. Our debts are about £70-80,000 (not incl mortgage), so as you can imagine it seems as though it will take forever to pay it off. What I was wondering is - will we have to pay off every single penny or do you think that after a while of paying £5 per month off an £8,000 debt some of them will not bother and tell us to forget about it (wishful thinking I know!). And if this were to happen, would the CCCS tell us that or would we continue paying it to them? I can't imagine living like this forever and not being able to buy the kids the smallest of treats.
Best wishes,
Bo x

Broken_hearted

Creditors will do full and final settlements if you can save up say 50% of a debt to offer them, other than that it is very rare that they will just right it off.
You won't be living like this forever although its hard at first once the smaller creditors start being gone it snowballs and the debt goes much faster. It takes time to get into debt so it takes time to get out of it. You would probably get more answers on Debt Free Wannabe than here unless you wish to go bankrupt. Which another option.
The stuff about not being able to by the kids treats is rubbish, there are lots of ways to treat you children for little or nothing. Time spent with you is the best treat. Trust me I'm the original spoilt brat.

sewbocushions

Yeah, you're right, they don't need all that commercial rubbish and they love going on a camping holiday. I think they learn to value money more when you don't throw it to them willy nilly. Thanks for the advice x

Richard_S

sewbocushions wrote: »

Yeah, you're right, they don't need all that commercial rubbish and they love going on a camping holiday. I think they learn to value money more when you don't throw it to them willy nilly. Thanks for the advice x

Hi sewbocushions,

You've already spoken to CCCS, did they not advise bankruptcy because of the equity in your house?

Regards

Richard

sewbocushions

sorry for delay, been camping!
No! they didn't suggest bankruptcy, should that have been an option then? It's so confusing knowing what to do when you're in that situation. But we don't want to lose the house and maybe they think we should hang on to it?

fermi

You don't always lose a house in bankruptcy, it really depends on how much equity there is in it after the mortgage has been taken off.
It is possible for a third party or spouse/partner to 'buy' that equity (beneficial interest) but obviously they have to find the money.

If CCCS didn't advise bankruptcy as an option then perhaps they thought (maybe rightly) that you had enough equity in your home to make it an unrealistic or unwise option.

Without knowing more about your property/debts it is hard to say.