Drowning in debt

katsu

If you are randomly choosing who you don't pay each month, then you've got some more spending than your SOA captures, so it's also worth tracking that down.  It will make life easier for you to get the best handle on where your money goes.

sussman

Tbh I don't even want the credit anymore, I just want all the interest to stop and ill have to accept that my credit file will be trashed for the foreseeable.  

I've decided to default on them all and have cancelled any direct debits.

I'm only really bothered about being able to renew with Santander in 2026 for the mortgage.

One thing I just noticed is that MBNA is owned by Lloyds and I had planned to keep the Lloyds current account I have, I wonder how much of an issue that is?

fatbelly

sussman said:

Tbh I don't even want the credit anymore, I just want all the interest to stop and ill have to accept that my credit file will be trashed for the foreseeable.  

I've decided to default on them all and have cancelled any direct debits.

I'm only really bothered about being able to renew with Santander in 2026 for the mortgage.

One thing I just noticed is that MBNA is owned by Lloyds and I had planned to keep the Lloyds current account I have, I wonder how much of an issue that is?

In practice, not much. MBNA may have access to your current account details but I've never known them to try setoff.

The Lloyds website seems to work well but there are better banks out there who may give an incentive for you to switch

sussman

Just to update this thread.

The following have defaulted-

MBNA Loan and sold to Lowell.
Barclaycard and sold to PRA.
Novuna Loan but weirdly heard nothing since, its been nearly 2 months since default.


Still waiting on Virgin, Capital One.

I had considered clearing the MBNA CC as its a small amount but after reading some things on here I'm wondering if its a good idea.

Debating whether to ignore or set up a payment with PRA and Lowells.
                 

sussman

Lowell are now handling Novuna, MBNA and Virgin.  This massively simplifies things.

PRA have just offered me 50% off despite not engaging with them since they took it on.  Id imagine they don't have the agreement so are probably trying it on.

Would now be the right time to request CCA's for these accounts?

fatbelly

Yes.

And bear in mind if a creditor offers to settle at 50% that is just an opening offer. They will go lower.

ManyWays

When does your mortgage fix end, because that will put you in a stronger position to get low settlement offers, but of course it will also mean that you have less surplus money to make those offers. 

sussman

ManyWays said:

When does your mortgage fix end, because that will put you in a stronger position to get low settlement offers, but of course it will also mean that you have less surplus money to make those offers. 

Ends March 26.  Sorry took me a while to realise what you meant by that.

sussman

I've had some information from PRA regarding the Barclaycard account that was opened in 2006, it includes two reconstituted CCA's with two different APR's but not sure if they are correct.  They have no signatures.

They seem to think that the original CCA was for a Sky card but afaik its always just been a Barclaycard,  this one has the correct address on it when it would have been opened.

The other CCA is for a Barclaycard and has my current address on it but having looked into it, this agreement would have been years before I moved.

Not sure if there is anything in this?  I may be just wishful thinking I can chuck it back at them.

fatbelly

They can reconstitute an agreement but it must be properly reconstituted

https://www.handbook.fca.org.uk/handbook/CONC/13/1.html

Theirs is dubious and would need a court to rule on it.

So an ideal time to make a low offer in full settlement