More persistent debt

Dandytf

Terry_Towelling wrote: »

If you were to use some of your reserve to pay the mortgage one month, would you then be allowed to top up your reserve back to the equivalent of 4 overpayments?

working part time I won't be able to re save overpayments certainly not next year.
Thought Cap1 at this stage isn't saved so 1 overpayment seems to be be almost immediate option.
H2s exists hopefully towards Aqua q1 2020

Dandytf

fatbelly wrote: »

The FCA rules are not clearly thought through.

https://www.fca.org.uk/news/press-releases/new-credit-card-rules-introduced-fca

The lenders are required to identify people who have spent 18 months paying more in interest and charges than debt repayment and then within a further 18 moths, offer them 'something' to help them.

So in practice you will probably get 18 months of stupid letters before they do something.

Debt camel has some guidance

https://debtcamel.co.uk/credit-card-pay-more/

Cap1 are quoting 3 years expired already.
18 mths is 1st time recorded with credit providers then 27 months and finally 36 months.
Some advise how much is required to avoid forced action whereas others I' ve been calling and asking them to advise what can be paid to avoid 4 years with a suspended card forced to reach 0 balance.

Terry_Towelling

Dandytf wrote: »

working part time I won't be able to re save overpayments certainly not next year.
Thought Cap1 at this stage isn't saved so 1 overpayment seems to be be almost immediate option.
H2s exists hopefully towards Aqua q1 2020

Understood, but the question was, 'are you allowed to top up your reserve'? So, if you paid your mortgage from your reserve this month and cleared a card debt, you'd no longer need to be paying anything towards that card and could then divert those 'avoided' payments to top up your reserve - or better still, to another card that is costing you the earth.

The sooner you are debt free (apart from your DMP) the better. How is the DMP going, by the way? - you haven't updated the figures for a while.

A4445

So if you can’t pay they put you on a payment plan?

Would that effect your credit file?

Dandytf

A4445 wrote: »

So if you can’t pay they put you on a payment plan?

Would that effect your credit file?

If i can't pay then card is suspended, auto zero limit total balance re payable 4 years which i guess is 48 months.
That email doesn't state if card is then closed or if limit is restored after 4 years.
That could certainly havre negative impact on credit reports

I did make a tel call to Vanquis today as i suspect my chrome card is similar.
Sounds like Vanquis aren't yet enforcing FCA persistent debt rules as yet, though i asked to speak to collections, the csr placed me on hold came onto call to advise I'm not in danger of these rules as I'm no where near or over my limit.
I personally think 2 possibilities
1. Vanquis/chrome aren't enforcing new rules yet
Or
2. Vanquis/chrome have less stringent version

A4445

If it’s only the credit limit reduced it’s not so bad. If it went as an arrangement that was be a disastrous.

Dandytf

A4445 wrote: »

If it’s only the credit limit reduced it’s not so bad. If it went as an arrangement that was be a disastrous.

Could reduced to zero and forced to re pay over 4 years not be deemed an arrangement.
I've no doubt it could be called whatever Cap1 want to call it.

Dandytf

Terry_Towelling wrote: »

Understood, but the question was, 'are you allowed to top up your reserve'? So, if you paid your mortgage from your reserve this month and cleared a card debt, you'd no longer need to be paying anything towards that card and could then divert those 'avoided' payments to top up your reserve - or better still, to another card that is costing you the earth.

The sooner you are debt free (apart from your DMP) the better. How is the DMP going, by the way? - you haven't updated the figures for a while.

Equivalent of one mortgage payment doesn't clear any credit card what it can do is avoid persistent debt on cap1 card.

SC dmp is updated yearly via mse -only when new year begins i.e. from Jan 2020 next time.

enthusiasticsaver

Do you have credit cards not included in your DMP? If so, why? One of the conditions of a DMP is that you do not take on new credit. If you had it when you set up the DMP why did you not include it?

[Deleted User]

Yes, I am to believe from previous postings that OP is taking out new lines of credit - card, finance etc.