Must pay 1008 in 5 days after being in Australia and missing all correspondence

naffan1991

Hi There,

I’m looking for some advice about my current situation, I will try to keep it as brief as I can but it is a long story, and I am aware the fault is my own, I would just appreciate some advice on where to go from here.

For the last 2.5 years I have been on a working holiday in Australia with my girlfriend. When I left the UK I made HSBC aware I was heading to Australia (so that any card usage would not be blocked) and informed them I would not be able to receive any of there communications until I was back in the UK. At no point did they warn me or advise me of things to come, or potential issues. I left with my account overdrawn but within my limit. Over the course of the 2 years in Australia my UK account saw periodic use with my father occasionally sending me money for birthdays/Christmas etc. I had no problem withdrawing at any point. Unfortunately I must have miscalculated my last withdrawal, the exchange rate & charges as 6 months ago I went over my overdraft limit (which I was not aware of until today).

Fast forward to today, I’m back in the UK. I have just started work, and found a place to live with my partner. I went to HSBC to update my address details and unearthed the fact I am in a horrible situation. Over the last 6 months HSBC have been sending letters to my address pre-Australia demanding I bring the account in it’s limits (understably). Culminating in a letter recently saying they needed the full sum paid by 14 Nov or it would be defaulted and passed on. They then hit me with the bombshell of needing to pay it in 5 days (total £1008) or my account is being closed and passed to debt collectors, with a 6 year default then placed on my credit score. Having been completely unaware of all of this has left me a little blindsided today. And despite it being the first time I am aware of the situation unfortunately it is beyond the point of HSBC agreeing repayment with me unless it is in full.

I can not afford to pay £1008 in the next 5 days, and HSBC won’t budge (or at least have told me they cannot stop what is already unfolding).

I feel like my only option is to wait these 5 days then deal with the debt collectors, agree repayment and just have a mark on my credit score for 6 years. I am desperate to avoid this as the next 6 years will include my wedding, and the aim was to also buy a house. This will not be possible with poor credit.

Is there anything else I can do?

I asked my other bank Metro for a loan of £1000 but HSBC has marked my credit score for the last 2 months and this left my score too low to receive a loan.

I appreciate any advice you have to offer, even if it means pursuing this elsewhere.

Whilst I understand I am to blame here, I can’t help but feel frustrated that these things were happening without me being aware, and with HSBC being aware I was not in the UK.


Thanks for your help,

Nathan

sourcrates

Hi,

Please don’t make multiple posts about the same thing, it can get confusing.
Unfortunately if you can’t get hold of the money you will just have to pay the debt back at an affordable rate and suck up the default.

Not a lot else you can do really, a mortgage should still be possible through a broker.

spadoosh

This sounds like what is quite a usual tactic employed when student overdrafts are coming to an end and the overdraft is called in, usually unable to repay in whch the bank kindly offers a loan to cover the overdraft. Ironically once the loan is given, the overdraft typically ends up not being recalled.

Have you asked HSBC if they are willing to give you a loan?

Other alternatives would be G/F friends and family. Id be trying my best to avoid the default without risking getting yourself in to a worse financial situation.