Really Urgently Need Some Advice Please....

byronwells

Alright guys, please bear with me if I have actually posed this in the wrong section, but a lot of it has got to do with a serious debt that's in my name.....

Also I consider myself a private person and hate the whole world to know about my business. So as you can see I am here as a last resort blabbering about my problems... So please don't be mean to me

Right here goes:

I unfortunately took out a loan (not a payday one) a few years ago that at the time I knew I could pay the monthly fees. I did not however have a crystal ball and see after 1 year things would horrible go wrong for me.. Now I haven't got any money at all, and can't afford nothing and I haven't got a clue where to turn!
I have written to the company three times providing them with an income and expenditure form and they keep claiming that they haven't heard nothing from me.. Even though the last one I sent was sent recorded and they received it on the 04 may 2016. But today I again received another letter dated 10 may 2016 saying that they haven't heard anything from me, and if I don't respond in 28 days (07 June) that it will get passed to an debt collections agency.

Btw I am doing all my correspondence in writing so I have got proof, etc

My biggest problem is that I have got no money at all, I wished I had.. I am trying to look for work but it isn't easy at all...

I do have one asset that I need to get rid of, which is my car. However what do I need to do prove that I have sold the car to someone else, but I still have permission to drive it?? I have heard of sale invoices, but do I need to get that professionally do, or can I just write one myself and that will be proof that I have sold it?

Once I get rid of that asset then I could possibly apply for a debt relief offer because I have no chance of paying it off at all, wish I had..

I better leave it there because now I am waffling

Annisele

Try giving StepChange a call. They can talk through your options with you, and help you work out if a DRO is the right way forwards. They may also be able to help you with your creditor communication problems.

fatbelly

As long as you sell your car for what it is worth, and use the money to pay your creditors equally you will be fine to go for a DRO.

I'm sure you didn't expect to hear that...

A car valued at under £1000 is excluded from a DRO - how much is yours worth on Parker's guide?

How much is the debt?

byronwells

fatbelly wrote: »

As long as you sell your car for what it is worth, and use the money to pay your creditors equally you will be fine to go for a DRO.

I'm sure you didn't expect to hear that...

A car valued at under £1000 is excluded from a DRO - how much is yours worth on Parker's guide?

How much is the debt?

Most of the time you never sell a car for what it's worth. And especially if you have a debt, you are happy to get any amount of money for it..

So what happens then??

byronwells

Annisele wrote: »

Try giving StepChange a call. They can talk through your options with you, and help you work out if a DRO is the right way forwards. They may also be able to help you with your creditor communication problems.

Thanks for that.. I have contacted them and waiting for them to get back in touch...

Annisele

byronwells wrote: »

Most of the time you never sell a car for what it's worth. And especially if you have a debt, you are happy to get any amount of money for it..

So what happens then??

Are you saying you want to sell your car to a friend/family member for less than it's worth, then continue to use it?

If so, there's a decent chance your plan will come unstuck. It sounds very much like a "sale at undervalue". If it is, then in some circumstances the sale could be reversed.

fatbelly

Annisele wrote: »

Are you saying you want to sell your car to a friend/family member for less than it's worth, then continue to use it?

If so, there's a decent chance your plan will come unstuck. It sounds very much like a "sale at undervalue". If it is, then in some circumstances the sale could be reversed.

It would not be reversed in a DRO. But if you are found to have lied when answering the question

'In the past two years have you sold anything for less than it was worth'

then the DRO is revoked.

There is no point trying to pull a fast one on the Official Receiver when the rules are quite generous. OP, if you don't qualify for a DRO, use another strategy.

fatbelly

byronwells wrote: »

Most of the time you never sell a car for what it's worth.

In the lead-up to a DRO, you must, or wait 2 years before applying.

byronwells

fatbelly wrote: »

In the lead-up to a DRO, you must, or wait 2 years before applying.

If not a DRO then what else???

fatbelly

Probably token offers until either something changes or you get the car situation sorted.

If you post a statement of affairs we can have a better look as you haven't given us any numbers to work with yet.

sourcrates

byronwells wrote: »

If not a DRO then what else???

Do a statement of affairs, as Fatbelly suggests, and give us some numbers to crunch.


There are various debt remedies, but it depends on the level of debt, and your personal circumstances, as to which may be suitable.