Looking for some advice how to proceed

sscott5581

Up until now I have had no issue paying my debts however I will admit i have been living beyond my means.  I have came to the realisation that I need to change my life completely.  

However about six week ago I was involved in an accident in my van which was my fault.  The van slid on black ice and I hit a car oncoming.  I am a self employed courier so obviously need my van for work.  

My insurance company were only been able to offer a hire for two weeks so I have been unable to work.  Getting a hire for courier work is near on possible due to insurance reasons.  

So basically I have have not been working for four weeks and I have no idea how long repairs are going to take on my van.  

I have had to rely on my credit cards to live as I have no savings.  

In addition I seperated from my wife last year and moved out.  I had to use credit to furnish and floor my housing association flat.  

I have two loans 
7k MBNA
15k Monza

And my credit cards
6k Virgin
4k Halifax

I suffer from mental health issues and the stress of the van and debt is really taking its tole on me.  

I am just looking for some non judgementl advice on what I should perhaps do.  

Thank you

RAS

OK, you really need to try and find alternative temporary work, just so you can pay the rent and eat.

You also need to recognise that second hand is a lot cheaper and a perfectly acceptable alternative to credit. 

How many miles on the van? What's the finance deal?

fatbelly

While you have no income you claim Universal Credit. This will also cover housing costs. Any work income reduces your payment by a percentage.

https://www.gov.uk/universal-credit/how-to-claim

When your situation is stable, and that probably means when you have your van back and are getting regular work, then you need to post again.

Now is not the time to address the debts 

Are you talking to your GP about your mental health?

sourcrates

You can`t do anything about the debt until you regain your income, you need to contact your lenders and explain your situation, that may hold off collection activity, usually they will put your accounts on hold for a period of time.

Remember, all unsecured credit is non essential debt, and comes last on the list for payment, or no payment at all if your not working, creditors are well aware of this, and won`t expect you to pay until your situation improves.

Andyjflet

Hi mate
I'm really sorry to hear about this, dont let the cumulative events cause you to spiral, I have been through similar type of incidents in my life that require you to try and keep your mental health the priority.

I would start by getting your CV sorted and get registered with some local warehouse operative specialists and get working somehow, at least until the van is repaired.

At that point you can take a breath and look at your income and take a look at the debts and start working on a plan, using us to help with it.

sscott5581

Thank you all for your comments.  

I checked in on my van situation today and the parts are arriving next week so all going well my van should be ready to use again the following week. 🙏

I did apply for UC initially but they wanted me to come in for a meeting and talk with a work coach as i stated i was self employed.  Quite frankly I couldn't be done with the hassle of it all. This is when i decided to money transfer from my credit card so this has allowed me to get through this past weeks.  

Next month I will not be in a position to pay the two loans and increased minimum payments on the credit cards.  I will contact the creditors to inform them of this and then see where that takes me if I decide to default and go on a debt management plan in the future.  

But in all honesty this accident and not being able to work has ruined me financially where I will struggle to get back to where I was.  

I have suffered from mental health issues for sometime and am on medication for that. But this has just exacerbated it.  I have contacted the doctors and have agreed to up my doseage.  

My priority is to pay my rent, my agreed financial commitments for my four kids, council tax and other bills.  I have family who are willing to help but it doesn't feel right taking money from them.  

There is money in the business but that needs to stay there for corporation tax, VAT and SA.  

Thank you again. It's good to get this off my chest.  

  

sscott5581

RAS said:

OK, you really need to try and find alternative temporary work, just so you can pay the rent and eat.

You also need to recognise that second hand is a lot cheaper and a perfectly acceptable alternative to credit. 

How many miles on the van? What's the finance deal?

The van has 100k and it's a 5 year lease.  £442 a month.  The van is serviced twice a year and checked by my mechanic every 10 weeks due to the miles I do.  

sourcrates

Council tax will be reduced if you are not working, speak to them.