Please help with repayments

lucieland

I am writing this on behalf of my sister, I have enough of my own bankruptcy worries that I am trying to deal with, and thought some of you out there might be able to help.
My sister has a very old credit card that she owed £700.00 on. She moved house, and genuinely forgot to change the address over. She was paying about £20.00 a month before as this was all that she could afford (she is on income support, and a single mother to two).
She has done the income, and expenditure sheet for them, which shows she can only afford this, however now the company have demanded £90.00 a month from her or they will take her to court (she is absolutely terrified of going to court).
As far as I was concerned I thought that as soon as you offered a company money and could prove this is all you can afford, I thought that they had to accept it.
She does not know what else to do, and I am really trying to help her.
Because of the children, and not having any money she cannot get to the local CAB either.
Many thanks if you can help

omega27

Are you saying that she stopped paying the £20 per month due to not receiving statements (due to moving)? I don't think this really falls under 'Budgeting' - have a look at the "Debt-Free Wannabe" & also http://www.moneysavingexpert.com/cgi-bin/viewnews.cgi?newsid1103204730,72152,

"The three places I’d recommend are Consumer Credit Counselling Service 0800 138 1111, National Debtline 0808 808 4000, Citizens Advice or visit your local CAB centre. The sooner you talk to them the better. It may help you sleep at night."

If she can't get someone to look after the children for a couple of hours to go see the CAB, what's she going to do when she gets summoned to a County Court?!

Fedz

I would think the credit card company got upset and demanded more (to recoup quicker) given that she forgot to inform them of her address change and failed to pay (as agreed).

Always best to keep dialog going. Keep them informed and sweet

I doubt they'd force court action, they do that as a last last resort and given it's only £700 and she is (should be) paying on time and keeping them informed of any changes they'd have no need to do so.

I'd call them, be apologetic and have a chat about her circumstances and I'm pretty sure things will work out. Credit card companies like to be kept up-to-date and payments (as agreed) on time in these circumstances.

gillywilly_2

I'm sorry I can't offer any solutions. I'm a single mother and when I unexpectedly found myself pregnant 6 years ago, I contacted my bank (then Lloyds TSB) to say I would no longer be able to meet the £80 pm loan repayments* as I'd be unable to carry on working once I became a single parent (my job was 45 miles away and involved evening and weekend commitments). The bank replied that I had taken out a loan (which had been to pay for a move to a job at the other end of the country, on completion of my degree) and therefore had a commitment to repay it.

They continued to charge me the £80 pm, plus all the subsequent unauthorised overdraft charges, once my daughter had arrived and even the involvement of a good solicitor (free legal advice) didn't get the loan repayments stopped straightaway. He was very surprised as, in his experience, any debts under £2,500 tended to get frozen and/or written off.

Six years on I'm still paying £21 pm to Lloyds debt collection agency, who periodically ask me if I can pay off the remaining amount... Perhaps Lloyds would have preferred for me to have had an abortion?

Can I suggest your sister contacts the Council for One Parent Families? They have a free helpline (0800 018 5026) and will certainly offer support.


Wishing your sister all good luck and support - sorry I can't be of any more help.

Gilly


(*I'd even taken out insurance against loss of earnings - except this didn't include through pregnancy.)