Urgent Advice for Crisis Funds

Gregory14

I’m very embarrassed posting this but I don’t know what to do, I’m hoping someone may have some advice. 

I’m in a lot of debt and have a DMP with payplan. This month has been a disaster with lots of unexpected bills so I currently have 49p in my bank until 26th June… and not all bills are covered yet either. I was just in the middle of applying for a payday loan out of sheer desperation but I talked myself out of it as I realise it will only make things worse in the long run.

I’ve applied to my local council for a welfare grant but that was declined. 

I’ve called payplan and there’s nothing they can do to help.

Any ideas or advice on where I can get some emergency help please? 

Has anybody’s bank ever agreed to a temporary overdraft increase or something similar?

Thank you in advance! 

itsthelittlethings

Can you get to the food bank for food?

Grumpelstiltskin

If you are on a DMP you shouldn't have a bank account that has an overdraft, so no overdraft as it is credit.

Is it just yourself? partner? children? any benefits due?

sourcrates

Do you work? has your work got any financial assistance available?

My employer will give a set advance of £175 if times are hard, and you don`t have to pay it back.

Any friends or family that can help?

RAS

Can you get to work? Even if it means a walk?

Check via your local council whether there are any community cafes (hot meals and sometimes take away cooked meals), food banks, breakfast or supper providers.

If your community includes a Sikh temple, check whether any temple offer langar, free hot meals, ideally in exchange for helping wash up or clear away, but always remove your shoes before you enter. 

kimwp

Remember to pause your dmp payments so you can build up an emergency fund to avoid being in this situation again.

DankVielen

Gregory14 said:

I’m very embarrassed posting this but I don’t know what to do, I’m hoping someone may have some advice. 

I’m in a lot of debt and have a DMP with payplan. This month has been a disaster with lots of unexpected bills so I currently have 49p in my bank until 26th June… and not all bills are covered yet either. I was just in the middle of applying for a payday loan out of sheer desperation but I talked myself out of it as I realise it will only make things worse in the long run.

I’ve applied to my local council for a welfare grant but that was declined. 

I’ve called payplan and there’s nothing they can do to help.

Any ideas or advice on where I can get some emergency help please? 

Has anybody’s bank ever agreed to a temporary overdraft increase or something similar?

Thank you in advance! 

You do not say whether you are working or on Universal Credit?

If it is the latter then Crisis Loans were replaced with Budgeting Loans I think

https://www.gov.uk/budgeting-help-benefits

Local Councils have discretionary funds for things like new shoes, coat and some other essentials.

You can get a referral for food bank support from a social prescriber, ask your GP if they can refer you to one.

Clearly the DMP is not working, so you need to switch to a self managed DMP where you pay NOTHING, typically people create an emergency fund by not paying any of their debts, waiting for the default letters and then waiting for an offer of 60% off by the Debt Consolidator the debt was sold to.  If the DC takes too long to get that offer made the debtor decides to ride it through to 6 year statute bar.

The mistake you might of made was assuming that any of the lenders or people that manage DMP's (including Charities) are decent people, they are all in it for themselves.

People fall into the fallacy that one day they will repair their credit record and all will be wonderful again, when actually the best thing is to not have credit at all, except if you have a mortgage perhaps.

From what I have read on here if you have a mortgage you will just revert to their standard variable rate, they will not force a sale, moving might be tricky.

If you do not own property or need to buy a car on finance then why pay a penny, they did not lend you money they worked for, they invented it on their computer. It should have been zeroed out when lender sold the debt.

I have been in your situation, lived off cream crackers and water.

If you have anything you can put on eBay or Gumtree to sell then maybe do that.

I do not buy new things these days, I get gifted items from Freecycle.

I hope something here helps.

Zinger549

There are some none referral food banks around. You don't need a voucher, you just turn up on the day.  https://3food4u.org/ is one. 

Gregory14

Thank you all for your help and advice. Sorry I missed some info out, my head wasn’t in a great place so wasn’t really thinking straight when I posted. It was mainly for things like fuel, essential toiletries etc. my bills are covered as I always make sure they’re sorted before anything else.

For anyone in a similar situation, I have called my bank (RBS) and they have given me £50 to help me out. The financial difficulties help line was closed by the time I got through, but the person I spoke to assured me they could help me further so I will call again on Monday. Feeling a little less on edge now! 

I will reply to a few of the comments here individually also.

This forum is wonderful and supportive and I appreciate each of you for your advice during a very difficult time. 

Gregory14

Grumpelstiltskin said:

If you are on a DMP you shouldn't have a bank account that has an overdraft, so no overdraft as it is credit.

Is it just yourself? partner? children? any benefits due?

Payplan advised me that if I included my overdraft (it’s only a small amount £250) in my DMP that RBS could recover funds from my bank account when I default on payments for my NatWest CC as they are linked so they allowed me to leave it out with a plan to put away a small amount each month to clear it. Which unfortunately hasn’t been able to happen, I hugely underestimated my budget! 

It’s just me, no children, no partner, not on benefits. I work full time so not entitled to any benefits. 

Gregory14

sourcrates said:

Do you work? has your work got any financial assistance available?

My employer will give a set advance of £175 if times are hard, and you don`t have to pay it back.

Any friends or family that can help?

I work for the NHS. My trust has something called City Save and Salary Finance but both options are payroll loans which I’m not entitled to due to the DMP. 

I have emailed the finance team to ask if they offer salary advance so I’m hoping I hear back on that on Monday 🤞🏼