Spiralling with my debt

RAS

Glad you got some sleep. Take a day or two to recover, then come back to discuss further?

_Penny_Dreadful

Is the loan from Sainsbury’s secured against the car or is it an unsecured personal loan you took out and used the money to purchase a car? 

fatbelly

_Penny_Dreadful said:

Is the loan from Sainsbury’s secured against the car or is it an unsecured personal loan you took out and used the money to purchase a car? 

We think it's what Sainsburys call a car loan. It would be unsecured so could be defaulted.

https://www.sainsburysbank.co.uk/loans/car-loans

It is possible that the op would have given the registration number and there could be an hpi marker on the car, making it difficult to sell. Not that that would be an issue for the op at the moment. However there is no mention of that on the website.

Sourcrates suggestion is fine if the op does diy debt management but a charity dmp would want to include the car loan*

*the op could also choose whether to include PIP as income. It's paid for a care or mobility need. You could view it as funding the car loan. 

Tactically Sainsburys knowing the op has an asset, and probably a lot of detail about the asset might also sway to op to treat them differently

mb1981

Hi so I’m currently on ssp of £116 a week now been on long term sick for 6 weeks an continuing, I cancelled all direct debits, an spoke to creditors to tell them the situation, I would like to handle my own dmp if anyone can help. 

I’m looking to move jobs as I’m not happy there and it’s having a impact on my health, I have received 1 letter from m&s so far about missed payments but havnt responded, all others have 3 month break so would like to get something sorted regarding a small payments ? I have continued with the car payments so that’s eased me a bit, so how would you guys go about your own dmp? X

RAS

Are you aware that you are likely to get Arrangement to Pay (AP) markers if you make arrangements other than full payment? Those stay on your credit record for 6 years after the debt is paid off. If you hope to change job and kill the debt promptly that's not a big issue.

If you find yourself down the line still unable to make full payments, please come back as defaults damage your credit record for exactly 6 years.

mb1981

So I’m best waiting till they default me then? 

RAS

Not necessarily. You'd be wise to keep on your existing path, but if you are unable to get better employment, to reconsider.

Defaults take anything for 6-18 months, sometime more. So a year's AP markers and prompt default are roughly "equal".