Please help me, I'm terrified!

mich1984

I don't know where to put this...so please feel free to move if needs be.

I need help, serious help. I've buried my head in the sand for far too long now, and I need to sort myself out before I end up in BIG trouble.

I had a loan with First Direct, which I couldn't afford to repay. It got passed to a debt collection agency and they set my repayment for me. It was just about affordable, but I struggled a little.

I missed my payment in November and then before Christmas. Christmas is tight for everyone, so I shouldn't use that as my excuse. Then January was also difficult, and so I was well behind with payments. They passed my case on to the County Court.

I realise I should have filled in the paperwork, but I have been so busy at work (and also trying to ignore my problem) that I didn't get round to sending it back in time. On Friday I recieved my judegement - £138 a month. Now the original loan repayments (which I couldnt afford) were £78, so how am I supposed to find £138. I just can't possibly do it.

The question is...what do I do now? The first payment has to be made by 1st March, and there is no way I can pay it. I'm terrified. I live with my mum and dad, and if bailiffs turn up on there doorstep, I would be homeless as well as skint.

Please help me!

fermi

You can ask for the court to "vary" the order to a monthly payment you can afford.

You can do that by submitting your realistic income and expenditure and a reasonable offer of payment based upon that. You need to submit form N245 (I think) which I think costs £30 to do. If you are on a low income or on certain benefits you might be exempted the fee.

It is all explained in this link: http://www.hmcourts-service.gov.uk/infoabout/judgment/cannotpay/happens.htm

If you are in any doubt about anything then get in touch with the court who should be able to help.

EDIT: The organisations in my signature below can also help you with the process.

peb

Don't panic. You can ask for a variation of the order by completing a N245; perhaps ask the CAB to help you complete it. The court will post you the document our or it is available from H M COurt website. The form includes a basic income and expenditure calculation so that they know what is reasonable in this case. If you have any other debts it may be worthwhile talking to CCCCs or Payplan - both of whom are free.

Karmacat

Hello mich
Good for you for posting. I'm just posting now to support what fermi has said - thats one very knowledgeable poster you have replying to you straight away. Let us know how it goes.

mich1984

thanks for your help! I just feel like this whole situation has spiralled out of control, and it will continue to do so before I know it. I don't want to end up affecting my parents, who have been nothing but brilliant to me.

I think I need to do a S.O.A (is that what its called when I accept the reality of my problem and list it all down?) and try to get some proper help.

Thanks again, I'm no longer terrified, only slightly frightened now!

fermi

You'll need to put together an SOA (or an Income/Expenditure) to put in the N245, so that's a good start.

If you want you post an SOA here on MSE, have a good read of southernscousers post here:

Link: Help for First Time Posters

and have a look at Debt-Free Wannabee Newbies Guide: Challenges, Honour Roll, Nerds & Where to start! for other things you can do to help your finances and make the most of the money you do have.

tigzem

Hi - just to say well done for finding this forum and posting. I too had my head buried in the sand for a long time and I only started dealing with it when the doorstep collecter arrived. So you've started dealing with it way before I did.

Follow the good advice you've been given and I'm sure you'll feel much better about things.

Tigz x

mich1984

I feel so much better already, the support from you lot is incredible!

I'm a little confused by the N245 form - there aren't spaces for all of my expenses. Do I lump them together and put them in housekeeping?

Also, the total amount I have left over every month is £36.62. Is it OK to ask if they will accept £26.62? Then this leaves me a contingency fund of £10.

I realise I'm a nuisance, but if I can get this form off today I might get some sleep tonight!

Will work everything out tonight, and I'm going to start a new thread later this evening baring all!!

MissEyre

Welcome! If you follow the great advice which has already been posted above and keep us updated, you will get yourself sorted out-you have already made steps in the right direction