Natwest Threatening to Default Account!

elle_gee

I've just home and opened the (boyfriend's!) post. There's a letter from Natwest, where he has an over-overdrawn current account, which is titled "Formal notice of intention to file a default and to take action to recover debt".

The account has a £2000 overdraft but is actually overdrawn by £2485.27 as of 11th March. They want £1081.83 by 28th March, then an arrangement to pay off the rest. We don't have £1000 to give them!

I could probably find it by using up both of my current account overdrafts and going up to the hilt with my credit cards but I'm loathe to do that :mad: (the debt wasn't run up whilst I was with him - I've done everything I can to help him pay off his huge debts!).

We want to get a mortgage together later this year (he already has one).. I suppose if we let it default that will totally scupper that plan?!

What do we do? Offer the few hundred that we can get our hands on, or will they default anyway if they don't get the full £1081.83? HELP!!

(Btw, yes, I knew about all the debt, no secrets at all, and yes he knows I'm opening his post - by not opening his post is how he got in the mess in the first place!!).

Thanks!

bank_of_slate

Hi Elle
I wouldn't max out the cards!
Can you make an appointment to got to the bank together and try to work out a solution with them?
Has he curbed his wild spending? If not, you could find yourself bailing him out and finding yourselves in a similar position in 6 months time.
...Linda xx

chappers

You need to speak to them and see how the land lies, have they withdrawn the account or is it just a matter of getting back within the overdraft limit.
If you make an offer they may or maynot still default the account.

elle_gee

The letter says that his card has been cancelled and they want the cheque book back.

His salary has been going into one of my current accounts for about five months and there are no direct debits or standing orders coming from the account either.

bank_of_slate

Are they adding charges to it?

elle_gee

£30 for the pleasure of sending today's letter, plus interest. Not sure of the rate tho' - I think unauthorised borrowing is something near 30%.

bank_of_slate

If I were you I'd make an appointment for you to both go in together
take back the cut up card and cheque book.
take a written plan of how much you can afford to pay back a month, (demonstrate how you have worked this out)
Ask if they will freeze this account and not add more charges as long as you stick to your planned payments.
...Linda xx