How can i get financial help if I cannot get a loan

stac1990

I used to have a great credit rating however before we knew about Covid I bought a new car, which was costly but luxurious, I worked hard and saved for the deposit so got the car of m dreams! Said car soon become a nightmare and a significant problem, at the start of Covid and how my nightmare bagan. 

By this point it was too late to return the car and covid lockdowns were in full swing.

I had two options fight my case with the finance legal team and get my money back or have the car repossessed leaving me out of pocket and which at the time I was advised would make my credit history worse or keep up the repayments fight the garage and get my money back. I choose to fight the case as it was a lot of money I was owed. 

I also had reduced income and had to fund a 2nd car as my dream car was off the road and couldn't afford to pay back non-priority bills so put them on hold which sent them to default status. 

It took almost just over 12 months to sort the legal case and for them to allow me to stop making the payments and issues me with a refund to get a new car. My wages also returned to normal although I am still not earning close to what commission-wise, as I was precovid. 

I am now in agreement to pay back the creditors so my rating is improving slowly however not quickly enough and I am not entitled to any financial help from the government because I work and earn just over the threshold. 

I need cash urgently I have tried the Discretionary fund scheme and was rejected. I have sold nearly everything worth selling to make up extra cash. I cannot get a loan due to my credit score now being so bad and I am now really struggling and using foodbanks every month who I know are there to help but sometimes cannot provide for my diety requirements and it means going every 3 days.

 Are there any charities or companies that offer financial help to people who work? 

The increase in gas, electricity, food and fuel is killing me! The only thing that hasn't increased is my wage and my childrens club fees which I think will eventually increase as they will also need to cover costs. 

I cannot continue and have actually worked out and been told by citizens' advice should I leave my full time job of 7 years that I love, with a good wage I would be a lot better off. I have until now had too much pride than to quit my job and claim benefits but at the moment that is seeming like my only option. 

Does anyone know anywhere who can help people who work? 

[Deleted User]

I believe for others to be able to offer you support and ideas to help you improve your situation you need to outline the actual figures with which you are dealing. For example total debt amount, your monthly income and expenditure. Completing a statement of affairs would be a great help. (SOA) I'm sure others will be along to provide you with a link to the SOA sheet.

PM22

There's no help for working people or those who fall on hard times...you can not get any more credit as you are blacklisted. Your only option is to get a second job at weekends/evenings/nights...and ring Step Change for debt management advice. There is no help for working people sadly.

_Penny_Dreadful

PM22 said:

There's no help for working people or those who fall on hard times...you can not get any more credit as you are blacklisted. Your only option is to get a second job at weekends/evenings/nights...and ring Step Change for debt management advice. There is no help for working people sadly.

There is no such thing as a credit blacklist.

_Penny_Dreadful

stac1990 said:

I used to have a great credit rating however before we knew about Covid I bought a new car, which was costly but luxurious, I worked hard and saved for the deposit so got the car of m dreams! Said car soon become a nightmare and a significant problem, at the start of Covid and how my nightmare bagan. 

By this point it was too late to return the car and covid lockdowns were in full swing.

I had two options fight my case with the finance legal team and get my money back or have the car repossessed leaving me out of pocket and which at the time I was advised would make my credit history worse or keep up the repayments fight the garage and get my money back. I choose to fight the case as it was a lot of money I was owed. 

I also had reduced income and had to fund a 2nd car as my dream car was off the road and couldn't afford to pay back non-priority bills so put them on hold which sent them to default status. 

It took almost just over 12 months to sort the legal case and for them to allow me to stop making the payments and issues me with a refund to get a new car. My wages also returned to normal although I am still not earning close to what commission-wise, as I was precovid. 

I am now in agreement to pay back the creditors so my rating is improving slowly however not quickly enough and I am not entitled to any financial help from the government because I work and earn just over the threshold. 

I need cash urgently I have tried the Discretionary fund scheme and was rejected. I have sold nearly everything worth selling to make up extra cash. I cannot get a loan due to my credit score now being so bad and I am now really struggling and using foodbanks every month who I know are there to help but sometimes cannot provide for my diety requirements and it means going every 3 days.

 Are there any charities or companies that offer financial help to people who work? 

The increase in gas, electricity, food and fuel is killing me! The only thing that hasn't increased is my wage and my childrens club fees which I think will eventually increase as they will also need to cover costs. 

I cannot continue and have actually worked out and been told by citizens' advice should I leave my full time job of 7 years that I love, with a good wage I would be a lot better off. I have until now had too much pride than to quit my job and claim benefits but at the moment that is seeming like my only option. 

Does anyone know anywhere who can help people who work? 

A loan is not the answer, you cannot borrow your way out of debt.  Yes, the cost of living has increased but you only need to focus on your priority bills e.g. rent/mortgage, council tax, food.  Energy companies have help available for customers facing financial hardship so that is perhaps something you could look into.  Any unsecured debts....not a priority.

fatbelly

stac1990 said:

I cannot continue and have actually worked out and been told by citizens' advice should I leave my full time job of 7 years that I love, with a good wage I would be a lot better off. I have until now had too much pride than to quit my job and claim benefits but at the moment that is seeming like my only option. 

I think that's unlikely. Post a soa and let us have a look at it.

https://www.lemonfool.co.uk/financecalculators/soa.php

Pls format for mse

sparks_2023

_Penny_Dreadful said:

PM22 said:

There's no help for working people or those who fall on hard times...you can not get any more credit as you are blacklisted. Your only option is to get a second job at weekends/evenings/nights...and ring Step Change for debt management advice. There is no help for working people sadly.

There is no such thing as a credit blacklist.

Perhaps not - but a default on the credit files is a "virtual blacklisting".

Basically if you made a list of anyone with a credit default in the last 6? years, those on the list would be "blacklisted".

fatbelly

The issue here is expenditure exceeding income. If the OP could post a soa we could help.

EssexHebridean

PM22 said:

There's no help for working people or those who fall on hard times...you can not get any more credit as you are blacklisted. Your only option is to get a second job at weekends/evenings/nights...and ring Step Change for debt management advice. There is no help for working people sadly.

This is untrue on many levels.  Posting misinformation like this is incredibly unhelpful as it might deter someone who IS entitled to receive assistance from even trying, and might frighten others into believing that some sort of "credit blacklist" exists - it doesn't. 

sparks_2023 said:

_Penny_Dreadful said:

PM22 said:

There's no help for working people or those who fall on hard times...you can not get any more credit as you are blacklisted. Your only option is to get a second job at weekends/evenings/nights...and ring Step Change for debt management advice. There is no help for working people sadly.

There is no such thing as a credit blacklist.

Perhaps not - but a default on the credit files is a "virtual blacklisting".

Basically if you made a list of anyone with a credit default in the last 6? years, those on the list would be "blacklisted".

If this was true we wouldn't see people here who - in spite of being in a DMP still manage to accrue additional debt on top. 

EssexHebridean

OP - I'll also echo the advice to complete the SOA and post into the thread then we can take a look and offer better help and support. 

_Penny_Dreadful

sparks_2023 said:

_Penny_Dreadful said:

PM22 said:

There's no help for working people or those who fall on hard times...you can not get any more credit as you are blacklisted. Your only option is to get a second job at weekends/evenings/nights...and ring Step Change for debt management advice. There is no help for working people sadly.

There is no such thing as a credit blacklist.

Perhaps not - but a default on the credit files is a "virtual blacklisting".

Basically if you made a list of anyone with a credit default in the last 6? years, those on the list would be "blacklisted".

There is not a virtual blacklist either.  Each lender assesses applicants based on its own criteria and it is not an automatic rejection for every applicant with every lender because there is a default on a credit file.