Debt Consolidation Loan Help

Quest1

Hi all,

Apologies for what is probably a very silly question but I've recently been approved for a debt consolidation loan and have received cheques in the post for each of the debts I would like to pay off. The cheques are made out to each credit company followed by my name (for example on the Pay line it says "BarclayCard re Jane Doe").
One of the debts I want to pay off is my overdraft on my account(cheque reads "Barclays Re Jessica Mulligan"). My question is can I take these cheques and pay them into my account and then use the money to pay off the credit cards with my debit card?
I know it's possible to pay my credit cards off using a bank giro pay slip, however all of my accounts are paperless so I don't get copies of my statements anymore. Also, this won't work for my overdraft.

Any advice would be much appreciated :-)

Gaz83

I wouldn't have thought so, no. I would expect they'd need to be given to the creditor named. Otherwise what's to stop you paying them into your account and not forwarding the money on?

Thrugelmir

Quest1 wrote: »

however all of my accounts are paperless so I don't get copies of my statements anymore.

Doesn't stop you from sending the cheques directly to the companies concerned with an accompanying letter requesting closure of the accounts. .

Quest1

Thanks for this advice. I've drafted letters for the accounts that I would like to close. I am going to keep one card open and use it for petrol money (something small that I can easily pay every month) in the hope of improve my credit rating.
I'm going to go to my local branch of Barclays to see what to do about the overdraft cheque, hopefully they can advise me on where I should send it/what the best course of action is.

Many thanks for your help