redundancy how to pay off debts

domesticgoddess

I've been made redundant and have £13K pay off my debts are at £20K.

I will have no income other than child benefit. I am not entitled to any benefits. I will be staying at home to care for my 2 under school age children.

I have made F&FO to all debtors and been turned down by the majority, those that have accepted have been paid. I have now sent 2 letters with the details of debt and money available.

I really now don't know what to do as people will not accept the offers which of course is up to them.

So I reallly don't know how best to deal with this as when the redundancy pay is gone, I really won't have any income and no money to offer to clear debts.

So should I ressume my DMP and drip feed till money all gone or wait till the accounts get picked up by a DCA and try to settle with them?

any suggestions please I've been to CAB and CCCS, they are unable to advise, they just say ask them to accept the offers.

Thanks

Gale_10

Hi there,

This is my own personal opinion.

What I would firstly is write to every single organisation and ask them for a consumer credit agreement. The reason for this is if the organisation doesn't have a proper correct CCA signed by yourself, then the debt is uninforceable. It doesn't make the debt go away - they just can't force you to pay it. There are template letters on this site; put CCA into the forum search button and you will be able to find the letters. You send the first one then wait 14 days, send the second one, wait another 30 days, send the final one. Once you have sent the first letter then the debt is in dispute and legally they are not allowed to harass you for it.

Then you might find them a bit more agreeable to full and final offers!

I have to say that not everyone agrees with this advice, because people do see it as a way to get out of paying debts. But it is up to you whether you pay these debts at a later date; I am not saying never pay them. However, in your situation it may be that the financial organisations have not followed proper legal procedure - in which case you may as well use that to your own advantage - and let their error help you. You can be sure that if the positions were reversed, they would use every legal method in the book!

About the CCA, it must be signed by you (as such do not sign the letters, just print your name) and it must detail the amount,the term of the loan, and the interest to be paid. You can always come on here and ask we will do our best to help you.

You have to send a postal order for one pound for each CCA you ask for, it is the statutory fee. Don't send a cheque - then they have a copy of your signature.

All the best, keep posting and let us know how you get on,

Gale

taxi73

If you pay it off debt and can't get benefits what are you going to live off?

CCCS_Matthew

Hi domestic goddess,

Have you had a recent benefits check at all? If you have been working, and you've been made redundant I would have thought you should be entitled to Contribution Bases Job Seekers Allowance. Any savings would not be taken into account, as you would be entitled to receive JSA on the basis of the contributions towards National Insurance you would have made whilst working.

Regards
CCCS

kipwilliams

to clarify, are you saying that you don't want to get another job?