Debt to child's nursery!

duchy

The other point is that if the nursery goes out of business it isn't just the business owner and their staff who lose their livelihoods but potentially the parents who lose their nursery places and cannot work or lose money because they don't have childcare either short term or long term.

It isn't as simple as saying "Just don't pay"

I suggested the OP contacted his MP - I had problems with tax credits lasting over a year......One email from my MP and it was resolved within a week (apparently contact from an MP moves the issue to another section and they have to resolve within a very short timeframe)

Morally the OP has a responsibility to try and get this resolved -especially as he admits the nursery has tried to help him -over a pretty long period judging by the amount he is owing.

Yes it is a difficult situation and I feel for the OP but he needs to get the underlying problem sorted for everyone's sake including his own.

January2015

Karonher wrote: »

"It's not great the OP cannot pay, but if the OP's problem topples the business then the business was unsound anyway."

OP says that the manager tried to help them. Great for them but if they try and walk away from the debt I bet the next person who has problems is not given the same amount of understanding. Maybe they have tried to help someone else in the same position.

Most businesses do have plans, but they are not miracle workers and all it will take is a couple of non payers plus a few other incidents - increase in wages, a couple of staff off sick and replacements needed,and that fund can drop dramatically.

The staff and owners may have families that need to be looked after as well. it would be nice if people thought about others who are owed money as well as the ones who owe it.

I didn't suggest the OP walked away. I said "It is important to keep in touch and show commitment to working to clear the debt. Making token payments to keep good faith with the company until such time as their situation improves and they can pay more "

iammumtoone

There is a policy at my sons nursery no payment after 2 months no child place they will stop your child from attending. I am assuming this is to protect them and all the parents using it that they wont go bust. When you first join they want payment upfront and keep that payment in an holding pot to cover 1 month if you get into trouble.

A policy like that would actually have helped the OP if my tax credits stop I would struggle but knowing my sons place would be lost therefore I would lose my job would focus my mind to get it sorted out - letters to MP etc.

I do feel for the OP it is not their fault they have had this mix up with the tax credits. Will this new job help you pay off the debt quicker, hopefully it will as otherwise why would you considering moving nursery as they will be more understanding with you if you are still using them and currently paying them.

Sanctioned_Parts_List

I don't think OP suggested walking away from the debt either. Rather, I think he's concerned about being able to settle the debt with his existing nursery quickly even while paying potentially more for the new child minder. Which is a very honourable worry.

OP can only pay what OP has left after all other costs are taken care of, and I think if he's able to maintain contact with the existing nursery and make token payments until such time as the tax credits problem is resolved (agree, write to your MP), the nursery will be fine. The money is already late; later isn't going to hurt. If it was going to topple the business, the business would already have toppled. And he won't be the first person to have this problem - tax credits are a blasted nightmare.

Karonher

"Of course the business can suffer in situations like this, but your anger should be directed at HMRC, not the OP, who clearly did not set out to create this situation".

Why should I be angry with the HMRC not the OP when the OP admits they have been silly with money? Are you really saying that is the HMRCs fault. It seems only certain people or organisations can be blamed or expected to take responsibility.

Sorry January 2015 the comment about leaving it for now was not yours or the OPs but another poster who said leave them until it suits OP and then what then pay what suits them not the nursery.

I understand people wanting what best for their family but not the attitude that everyone else should just accept that and maybe suffer as a result. Again I know OP did not say that.

sourcrates

Karonher wrote: »

Why should I be angry with the HMRC not the OP when the OP admits they have been silly with money? Are you really saying that is the HMRCs fault. .

If no one had ever been silly with money, non of us would be here, and this forum would not exist.

So that is a moot point to be honest.

Of course I would blame HMRC, to some extent anyway, its them that are messing the OP around, no body else.

I have to say, and with the greatest respect, I do find some of your comments slightly out of touch, anyone who has dealt with a tax credit issue will tell you HMRC can be absolutely useless at times.

They tend to create more problems for people than most other government departments despite a change of leadership and a promise to "do better" they are still near the top for customer complaints.

From the tone of your posts, I would say you have never been in the OP`s position yourself, would that be a fair assumption ?

Puddylove

I'm so sick of this forum telling people to waltz away having run up huge debts - and to hell with the creditors.

I understand circumstances can change, but some people are just entitled and/or careless!

And tax credits and benefits are not 'your money'; as far as I'm concerned the monies are the government's paid for by other tax payers who perhaps don't have legions of children they can't afford...

Pay your debts if you possibly can; it's not clever to cheat other people or businesses out of money you owe them for services that you asked for.

Px

sourcrates

Puddylove wrote: »

I'm so sick of this forum telling people to waltz away having run up huge debts - and to hell with the creditors.

I understand circumstances can change, but some people are just entitled and/or careless!

And tax credits and benefits are not 'your money'; as far as I'm concerned the monies are the government's paid for by other tax payers who perhaps don't have legions of children they can't afford...

Pay your debts if you possibly can; it's not clever to cheat other people or businesses out of money you owe them for services that you asked for.

Px

Well the OP. Himself is a tax payer, as are most working family's who claim tax credits, that is the whole point of them, in theory at least, to help working family's bring up there kids.

The reality is they can create more trouble than they are worth.

And as far as I can see, no one has advised the OP to waltz away without paying, not a helpful post really.

vlad

Are any of the children who are not at school aged 3 or 4? therefore qualifying for 15 hours free nursery? I know this is going to save my DD £52 a week in fees for GS.

Puddylove

sourcrates wrote: »

Well the OP. Himself is a tax payer, as are most working family's who claim tax credits, that is the whole point of them, in theory at least, to help working family's bring up there kids.

The reality is they can create more trouble than they are worth.

And as far as I can see, no one has advised the OP to waltz away without paying, not a helpful post really.

You did. You advised the OP to pay them if/when it suited her.
It might never suit her.

Looking at previous posts, she's got a £9.5k car, and is saving into a Help To Buy ISA, while the nursery owner is probably unable to pay her mortgage.

And as for 'Good businesses should have a contingency plan' so should the OP, rather than expect a business to feed and care for her children for nothing.

We all need to take responsibility for ourselves and stop blaming kind nurseries/banks/credit cards and even payday loans for our mismanagement.

If you think people who lend money are evil fools who deserve to never see it again, then DON'T BORROW.