Unhelpful HSBC

Ossireo

Hi There

Spent a while browsing through a lot of the threads on here and its (for want of a better word) a comfort to not feel so alone for a change!

As much as I have browsed, I still feel I havent 100% answered my own query, so I hope you do not mind me making a post for advice

I have been trying to make payment arrangements with the 3 banks I am in debt with now I have reached my 6th month on Income Support. I have managed (by careful budgetting of my redundancy payment) to maintain payments to everyone for 6 months. That money has however run out.

Presently I am not in arrears with anyone. MBNA (debt approx £5,000) and Smile (debt approx £350) have both accepted my offer of repayment for 6 months. HSBC (debt approx £7,000) have refused two offers, stating my level of debt is too high for them to accept the repayment (my last offer was £115PM when my main payments are £190PM for overdraft/loan/credit card)

I have now opened a basic account with the Natwest that my benefits can be paid from so I can at least gain control over my money as everything was paid to HSBC.

I notice that the CCCS advice that many people have mentioned is leaving the debts default as the debt collecting companies of HSBC are more open to payment arrangements.

Is it acceptable to do this with one company when you have made arrangements with the others? Should I make the payment I offered into the bank account or just leave the bank account alone and watch as they debit the loan and add charges and increase the debt (and try to not have a nervous breakdown!)

Any comments welcome (and flames if I have done something wrong )

shinyhead

I'd phone the three debt charities National Debtline, CCCS and Payplan and see what their advice is.

You're doing the right thing by opening the new bank account and transferring your benefits to it. Don't forget any direct debits or SO's that you want to keep up either.

Ossireo

Many thanks for the reply

deggers29

Hi

I dealt with HSBC two years ago when i started my DMP. They were not nice on the phone to me and hounded me every day!

They then passed me onto a collection agency that were really bad - i had some awful telephones calls from these people. After 6 months of harrassment thet gave up but still wouldn't accept my offer of payment and kept adding on tons of interest, unlike all my other creditors.

They've now sold on my debt to another agency now, but watch HSBC. They are not nice!

Got2change

From memory, HSBC themselves were not so nice but their DCA were fine with me....
I owed about £5000 and paid £30 a month for the the last three years - they have just started chasing me to increase.

CCCS_Sarah

Ossireo wrote: »

Hi There

Spent a while browsing through a lot of the threads on here and its (for want of a better word) a comfort to not feel so alone for a change!

As much as I have browsed, I still feel I havent 100% answered my own query, so I hope you do not mind me making a post for advice

I have been trying to make payment arrangements with the 3 banks I am in debt with now I have reached my 6th month on Income Support. I have managed (by careful budgetting of my redundancy payment) to maintain payments to everyone for 6 months. That money has however run out.

Presently I am not in arrears with anyone. MBNA (debt approx £5,000) and Smile (debt approx £350) have both accepted my offer of repayment for 6 months. HSBC (debt approx £7,000) have refused two offers, stating my level of debt is too high for them to accept the repayment (my last offer was £115PM when my main payments are £190PM for overdraft/loan/credit card)

I have now opened a basic account with the Natwest that my benefits can be paid from so I can at least gain control over my money as everything was paid to HSBC.

I notice that the CCCS advice that many people have mentioned is leaving the debts default as the debt collecting companies of HSBC are more open to payment arrangements.

Is it acceptable to do this with one company when you have made arrangements with the others? Should I make the payment I offered into the bank account or just leave the bank account alone and watch as they debit the loan and add charges and increase the debt (and try to not have a nervous breakdown!)

Any comments welcome (and flames if I have done something wrong )

When your looking at reduced payments the key is to treat all creditors equally, if they are unsecured creditors they all are the same. If you have changed you bank account over to one where you have no debts this means that your money is safe and HSBC can not just ‘dip into it’ to bring your accounts up to date.

CCCS do have a free online debt advice facility called Debt Remedy where you can put together a financial statement and be provided with the best way forward, as reduced payment’s are just one of the options that could be available to you. Whatever option you choose you will find all the help and support on this forum as many people have either been in the same situation as your self or still in the same situation.

If there is anything you would like to ask me just give me a shout