DMP for £60k worth of debt...ready to tackle this!

Grumpelstiltskin

Technically they could but what would be the point if you could show the court you could only afford £10, it would have cost them money to proceed but they wouldn't be getting any more money.

ManyWays

Am I correct in saying that if you pay anything as little as £1 to a defaulted debt this reduces the chance of any CCJ or legal action? I am aware that they can still do this, but is the chance reduced?
The problem here is that if you are asking about people's own experience, very very few people have tried it both ways, paying a £1 and not paying a £1.
You have been told that most lenders never take anyone to court, they sell the debt on first and I think that is generally accurate (big exceptions for business debts, guarantor loans and some payday lenders). I don't recall lendable or updraft talking anyone to court, but I dont keep records so that is just my memory.
Will paying £1 make a difference, hard to say as I dont think they will take you to court anyway! But if you are hoping they will stop pestering you, that probably wont stop until you talk to them and show that £1 is all you can afford. 

bravo4_5

Hi All,

Some good and bad updates and would like some advice please:

-5 out of 6 of my CC’s are with DCA’s with the last one on the verge of defaulting.

-My Novuna Loan has defaulted and they have agreed £1 payments for 12 months until review. This hasn’t gone to a DCA and they are doing this in-house.

This is my biggest debt with a loan taken out at £25k and they are saying I owe around £54k in total.

-Updraft still hasn’t defaulted and is with ACI they have given me a “2 month breathing space” where they won’t contact me…hopefully this will default after that

-Kroo Bank loan: this is a strange one, I have missed 6 payments now, I haven’t received anything in the post or via email about default notice etc. but every month they send me a missed payment email saying they will try again in a few days. 

Can anyone tell me how to proceed with the Kroo loan?

All the defaulted creditors I am making VERY minimal payments towards at around £1-10 per month. Since April when I first posted I have saved £18k…can anyone advise how I should move forward with this money saved? How much should I keep as emergency? Is it too early to start asking for full and final offers on the credit cards?

My circumstances have changed completely also. I have just started a new job in recruitment my take home will be around £2100 as the basic and I’m not expecting to start making commission once fully established (12 months time). This take home will cover all priority bills and £400 spending for the month and still being able to have £300 to save. Although my take home as reduced from 2700 to 2100 I am also saving on around £350-400 per month on travel.

My old job was shift work so was able to pickup extra work on the big rows of days off which is how I was able to save so much, the new job is Monday-Friday 9/5 and I will now not be able to do any extra work.

In regards to circumstances, I finally told my partner of my circumstances earlier this week. As expected she is shocked, upset and angry and she fell pregnant in September with the baby due in June..planned btw as we’ve always wanted to have kids. I know this is not a forum for relationship counselling but can someone tell me this will get better with time as it’s now an extra stress with how things are between us

Please can someone advise on the best way to move forward with everything. 

As always, thank you for the advice and help from this forum.

ManyWays

That is a massive Novuna loan, have you considered affordability complaints against them and updraft? 

bravo4_5

ManyWays said:

That is a massive Novuna loan, have you considered affordability complaints against them and updraft? 

Hi, I really need to get these in asap. I am going to draft and send tonight. 

The only thing I can see Novuna fighting back with is I said on application the loan purpose is debt consolidation. Would this be a problem? At the time of applying though I had a newly taken out mortgage which was only 4 months old.

updraft I should stand a good chance as this was taken out after the Novuna loan.

fatbelly

Your partner needs to know that you have a plan for the debts and you are already well on the way. I agree with the affordability complaints.

View your fund as an emergency/fighting fund. That's going to be valuable.

If a creditor has defaulted you 6 months ago then I think you could start to explore full & final settlement, telling them that the money is coming from a third party. Start low

Edit: just reading back the Barclaycard PRA one will be 6 months next month. Someone recommended doing a CCArequest first

bravo4_5

fatbelly said:

Your partner needs to know that you have a plan for the debts and you are already well on the way. I agree with the affordability complaints.

View your fund as an emergency/fighting fund. That's going to be valuable.

If a creditor has defaulted you 6 months ago then I think you could start to explore full & final settlement, telling them that the money is coming from a third party. Start low

Edit: just reading back the Barclaycard PRA one will be 6 months next month. Someone recommended doing a CCArequest first

I’ve explained plans to partner. She can’t get her head round why I’m keeping so much money saved away and not paying towards debts yet. Saying it’s immoral etc and wants me to start paying now.

Would you say 6 months for FF settlement is the minimum time?

Ive tried doing research on CCA requests but thought this was for very old debts? How would this benefit me? If they can’t produce a CCA what would my course of action be?Would I be able to do this for the other CC debts too?

Thank you

fatbelly

Yes I would recommend waiting 6 months.

Ask her how she feels about the morality of PRA buying your debt for around 10p in the £ and whether you should give them ten times that to prop up their business. It is just business. Nothing to do with morals, and 18 k isn't a lot against your debt.

I wouldn't normally bother with a cca for a young debt but a poster earlier had said that they couldn't find one so they stopped paying. I can't remember what page it was on. This is a long thread now

EssexHebridean

Allowing for the new job this is the point where you need to redo the SOA in full as well - a change of circumstances always needs a new budget. I assume you have the £18k tucked away in a savings account paying decent interest? You should consider getting st least a chunk of that into an ISA really as well - as it’s creeping towards an amount where you will start being taxed on interest. If you can find an easy access ISA with a decent rate you may as well just use that. 

That “£400 spending” needs properly breaking down into categories though so you know exactly where every penny that comes in, is going. Honestly - a solid budget is the absolute key to all this stuff! 

bravo4_5

EssexHebridean said:

Allowing for the new job this is the point where you need to redo the SOA in full as well - a change of circumstances always needs a new budget. I assume you have the £18k tucked away in a savings account paying decent interest? You should consider getting st least a chunk of that into an ISA really as well - as it’s creeping towards an amount where you will start being taxed on interest. If you can find an easy access ISA with a decent rate you may as well just use that. 

That “£400 spending” needs properly breaking down into categories though so you know exactly where every penny that comes in, is going. Honestly - a solid budget is the absolute key to all this stuff! 

Thanks for your response - I’ll re-do an SOA.

10k is in a stocks and shares ISA invested in FTSE and 8k is in premium bonds..hoping I’ll hit a nice bit of money lol

Do you think both the above are ok to leave as is?