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Struggling with debt? Ask a stepchange debt adviser a question
Comments
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Hi there,
Thanks for your message.
I’m sorry to hear about your experience, I’m concerned it’s left you questioning if you’re doing the right thing. We are definitely here to answer your questions, so this sounds like something we need to look into for you especially if you didn’t feel like you came away with any answers.
I’ve sent you a private message so we can take some personal details and investigate this further for you.
Kind regards,
KirstyFusterclucker wrote: »I sent in my activation pack and it was received yesterday.
Up until today i have been 'impressed' with the process, but when i rang today to find out some little bits of information, and the advisor at Step change couldn't get me off the phone quick enough.
Not interested in my questions, the reasons for them or indeed with any level of reassurance. It has made me wonder if i am doing the right thing.I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.
Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.0 -
i have replied0
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My DMP has just started.
American Express defaulted me immediately, and in the last week i have received three letters - one as a late payment fee, one as a default fee and one demanding a double payment.
I thought they weren't meant to do this?0 -
Looking for debt advice as frankly a bit distraught with worry. Admission, I've left this go too long, buried my head in the sand, been stupid, call out what you will. But realising I have to do something about it. So here goes.
I have 3 credit cards with debt amassed mainly due to not having enough saved for my businesses self assessment tax (and other business investments). All paying minimum each month.
MBNA £3500. 0% ends 2020
Virgin £4100 0% ends 2021
Halifax £1900. Interest being charged. currently £25 per month.
Santander £5300. 0% ends 2020
I have a pcp car loan with Northridge £9220
A personal loan with Tesco £11000.
I have a mortgage with my partner with santander £67000.
Lastly, I have a pressing issue with my overdraft on my graduate account which I've just been told will convert to a standard account early december and overdraft will accrue interest, £35 per month as it stands.
Or combined income is 50k,but am running a small business and we simply don't seem to be able to pay the bills, run the business and have anything left to reduce debt. I realise I should pay the higher interest first.
I know I'm in a mess. As far as I can tell I have a couple of options. Consolidation loan for some of all of the debt. Or remortgage, realising some equity on our house which we know it has. But I realise whilst these reduce monthly payments short term, will cost us more overall in the long run. So any better advice /plan?
We are doing our best to reduce spending but frankly! struggling esp with pressure of looming interest charging on the horizon and realise it will get far worse once these! payments start.
Any advice gratefully received. I've tried to be as thorough but if I've missed anything pertinent let me know.
Thanks.0 -
Fusterclucker wrote: »My DMP has just started.
American Express defaulted me immediately, and in the last week i have received three letters - one as a late payment fee, one as a default fee and one demanding a double payment.
I thought they weren't meant to do this?
Hi there
Thanks for posting.
A creditor can issue a default as soon as your contract has been breached, which is usually after around 3 months of missed payments. You'll get default notices from all of your creditors as the agreements break.
Regarding fees, they can add any fees that are written into your credit agreement, so it's best to check what it says in there. When on a DMP, we ask creditors to freeze interest and charges going forward, but this isn't guaranteed. These may have been added because the DMP his only just starting, but I can't be sure.
If they're still writing to you about payments then perhaps there's been a crossover between the plan starting and them putting things in place at their end. If you'd like us to contact them to discuss this, please contact our Client Support team and they will do that for you.
I hope this helps.
AllenI work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.
Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.0 -
Looking for debt advice as frankly a bit distraught with worry. Admission, I've left this go too long, buried my head in the sand, been stupid, call out what you will. But realising I have to do something about it. So here goes.
I have 3 credit cards with debt amassed mainly due to not having enough saved for my businesses self assessment tax (and other business investments). All paying minimum each month.
MBNA £3500. 0% ends 2020
Virgin £4100 0% ends 2021
Halifax £1900. Interest being charged. currently £25 per month.
Santander £5300. 0% ends 2020
I have a pcp car loan with Northridge £9220
A personal loan with Tesco £11000.
I have a mortgage with my partner with santander £67000.
Lastly, I have a pressing issue with my overdraft on my graduate account which I've just been told will convert to a standard account early december and overdraft will accrue interest, £35 per month as it stands.
Or combined income is 50k,but am running a small business and we simply don't seem to be able to pay the bills, run the business and have anything left to reduce debt. I realise I should pay the higher interest first.
I know I'm in a mess. As far as I can tell I have a couple of options. Consolidation loan for some of all of the debt. Or remortgage, realising some equity on our house which we know it has. But I realise whilst these reduce monthly payments short term, will cost us more overall in the long run. So any better advice /plan?
We are doing our best to reduce spending but frankly! struggling esp with pressure of looming interest charging on the horizon and realise it will get far worse once these! payments start.
Any advice gratefully received. I've tried to be as thorough but if I've missed anything pertinent let me know.
Thanks.
Hi
Thanks for posting.
I can understand that you're worried about the situation you're in, but there will be options to get things under control.
Because you're running a business, that's an important factor in working out the best and most effective ways of sorting the debts and finances out. Therefore, I'd recommend that you contact Business Debtline for your advice. Their website contains details of how to get started: www.businessdebtline.org
There may be other options in addition to a consolidation loan or a re-mortgage, both of which would result in further borrowing.
I hope this is helpful.
AllenI work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.
Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.0 -
Hi. I have £12,000 debt on a credit card. A year ago they classified me as being "in persistent debt" and advised that I stop using the card and make much bigger monthly payments (I was paying only just above the minimum payments but have never defaulted). They gave me 18 months to do this. I have not been able to do either of these things as I don't currently earn enough to pay other bills and the card payments so have ended up paying a bit more off the card but then having to still use it. The debt is till going up rather than down!
The 18 months will be up in February and I am anxious to know what they will be entitled to do at that time. They say they will suspend my account so that I cannot use the card and they also say I will need to pay off the balance. Can you advise me what they are likely and legally-entitled to do about my paying it off. Can they demand it's paid back in full at that time? Or will they suggest a schedule of payments and if so, what if I cannot meet the amounts they ask for? Many thanks.0 -
Hello,
Thanks for your post and welcome to the forum.
Once the 18-month period has ended and the bank has suspended the account it's likely they will want to come to an arrangement with you to pay the balance by instalments rather than requesting the full balance immediately.
If you cannot meet the new payments as they fall due, I would recommend you seek debt advice to look at the best options for dealing with this debt. At StepChange we can provide you with free and confidential help and advice for dealing with this and any other debts you may have. There are a couple of ways to get in touch with us:
• Firstly, you can use the Debt Remedy tool within our website. This is an anonymous, self-help tool which will guide you through the process of putting a budget together in your own time and will recommend the right solution for your situation.
• Alternatively, if you would prefer to speak to us over the phone, you give us a call and have a debt advice session with one of our specialist advisors. You can find our contact details here.
You don’t need to wait until February to seek advice. If you’re paying your card and using it again to pay your bills, this is a sign you’re already experiencing financial difficulties so I would recommend getting in touch much sooner.
We hope to hear from you soon,
KirstyPhoenixVal wrote: »Hi. I have £12,000 debt on a credit card. A year ago they classified me as being "in persistent debt" and advised that I stop using the card and make much bigger monthly payments (I was paying only just above the minimum payments but have never defaulted). They gave me 18 months to do this. I have not been able to do either of these things as I don't currently earn enough to pay other bills and the card payments so have ended up paying a bit more off the card but then having to still use it. The debt is till going up rather than down!
The 18 months will be up in February and I am anxious to know what they will be entitled to do at that time. They say they will suspend my account so that I cannot use the card and they also say I will need to pay off the balance. Can you advise me what they are likely and legally-entitled to do about my paying it off. Can they demand it's paid back in full at that time? Or will they suggest a schedule of payments and if so, what if I cannot meet the amounts they ask for? Many thanks.I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.
Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.0 -
Hi SC I have just made my 6th payment to my creditors through StepChange. It is a large debt and very small payments, so in it for the long term. 3 Credit cards are defaulted - so basically on plan.
The question is about a balance left from an overdraft and the rest of a loan both with HSBC and each about £900. Just called HSBC collections who is now taking care of it, and they thought that defaulting the two balances was the worst idea ever. Because I now pay every month they are happy - do I have to write them to get them to default the loan and overdraft balance?
Both are just sitting there without interest, so I'm not unhappy, but I don't like having some things defaulted and some not. At the moment my credit score is about as low as it can go anyways, and the loan is showing with missed payments anyways - so why the difference?Isa help to buy: 400/3000 13%
Emergency fund: 100/1000 10%
HMRC tax payments: 0/388 due before Jan 31, which I think I can do.0 -
Hi
I hope someone can help.
My situation is currently this:
I have an NRAM loan (125% together mortgage) with my ex husband of £26000 (estimated) which we pay half of each (there are occasions where he doesn't pay!) with 20 odd years to run.
I owe a total of £3500 to Halifax and Barclaycard - I called these and they have put me on a no pay arrangements ( I don't really understand what this means - but I haven't heard from them in many months)
I owe Simply Be £1400 and have a payment arrangement with Cabot to repay this.
I owe Very £1300 and pay this monthly at the minimum amount
I owe Aqua £450 and again pay the minimum amount monthly.
I am in a new relationship and there has been talk of buying a house together in the future. I know at the moment I will not be able to be accepted for a mortgage. I am looking for advice as to what would be my best move towards becoming debt free? Any help and support welcomed.
Thank you.0
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