HSBC refused repayment plan because I earn too much

Pedrosica

Even though they told me the purpose of the excercise was to determine I had enough funds to pay?

It's clear that I have established that! Never mind.

boo_star

Pedrosica wrote: »

Even though they told me the purpose of the excercise was to determine I had enough funds to pay?

It's clear that I have established that! Never mind.

You didn’t though, you were told that they couldn’t accept self employed earnings, you pushed them, they relented and you gave them a high end figure which was far too high for a repayment plan on a £220 debt to be reasonable.

Pedrosica

That doesn't answer my question but thanks anyway.

Warwick_Hunt

Pedrosica wrote: »

That doesn't answer my question but thanks anyway.

So if your mrs earned £5k why didn't you Judy pay off the £220?

Pedrosica

£1500 on rent and bills £3000 on other debts. Food, school informs etc. etc.

boo_star

Pedrosica wrote: »

£1500 on rent and bills £3000 on other debts. Food, school informs etc. etc.

Even with your estimated income you couldn’t afford to pay anything back.

£3000 a month on “other expenses”?

Seriously?

Pedrosica

£3000 on "other debts" not "other expenses"

£2500 loan which was repayable in full.

It's you don't believe me. Fine but not really helpful when I'm only asking for advice as to my options beyond "just pay it". Obviously if I could pay it I would. And why would I need advice.

Honestly I would have thought that this site would have been a bit more supportive of people trying to put their financial affairs back in order rather than snide comments about lying (untrue) deserving what had happened (unhelpful opinion that is really rather irrelevant)

Sarastro

It can be really difficult when your income fluctuates so much and your home / business bank accounts are the same. Personal bills stack up and then when some client does pay, it all goes out really fast and doesn't leave anything for the next month.
I'm kinda surprised they want £220 back - I would have thought that a few hundred pounds overdraft facility would be fine for you to have. Either way, probably better not to have overdraft anyway.
What worked better for me was to have separate business and home bank accounts. Income does fluctuate but I've got to the place where I take an average each and every month to my personal account. It's a lot easier to manage and to see where you are.
Can you switch bank accounts? Not sure if that would actually help thought.

Pedrosica

Thanks Sarastro

I do have a separate business account as does my wife (although her separate account is also with HSBC whereas mine is with Lloyds).

We have a joint account with HSBC which is really the only personal account I use. The account with the unauthorised overdraft is an older account that I don't really use and had racked up due to a single DD that had been coming out of it without me being aware (my fault obviously). Which is why I'm surprised they would let me just move that DD to the joint account (which has few funds in it but hasn't actually been overdrawn despite our financial difficulties over the last 18 months). and then take steps to repay the small outstanding debt on the old account.

As I've said elsewhere as soon as I have the money to pay it off I will I'm just worried it won't be in time to stop the default

hollydays

Good luck and best wishes for the continuing successes of your businesses