What happens if i cannot pay

footballfan_2

Hi i currently have £40000 on unsecured debt, i am now struggling to make the minimum payments, (not missed one yet) i have contacted the lenders to let them know i am struggling and unable to make payments. there response was i have not missed a payment so tough. etc.....

what will happen when i don't make the minimum payment? they don't want to help until i have missed payments.

regards

Broken_hearted

Call them again and tell them you can't afford the payments. Ask for a reduction for three months while you get back on track. If they say no ask again.

HHH_2

I had exactly the same scenario they wouldnt help me until I had missed a payment and then they would nt help either! I suggest you have a look at the CCCS website where you can use their debt remedy and it will give you the best solution for your circumatances. or give them a ring they are very helpful and if you decide on a debt management plan (DMP) they will set it up and not charge you whereas many other companies do!

immoral_angeluk

Another suggestion would be to take a look at your budget and household income/outgoings and make amendments to ease the pressure. You should draw up what's called a financial statement or statement of affairs which lists all of your income and outgoings. That way you can take a look and see where you can cut back or save money which can go towards debt.

footballfan_2

i have asked for assistance, maybe lowering the APR to help for a period. since i first asked for help 3 of the 5 cards i have got have increased the APR one of them from 12.9% to 30% i was told there is nothing i can do about this and it increased because i am struggling to pay! how would they know unless i told them?

i just cannot understand why they wont believe me until i miss a payment....

MrsTinks

I think that it would be helpful if you could do a SOA and we can have a look to see if there is anywhere to cut the costs so you can meet the payments, alternatively then maybe a DMP with one of the organisations in my signature could be an alternative and although it will affect your credit for a while that might not be a bad thing?

The link for the SOA calculator: http://www.makesenseofcards.com/soacalc.html

CLAPTON

I'm afraid the way it works it that they usually will not help until you default on the repayments... basically this is because if it was easy to get interest frozen or agree reduced payments then probably lots of people would do this even if they weren't genuinely struggling.

Also although there is a school of thought that says it doesn't hurt to ask, unfortunately this often results in them seeing you are in trouble and increasing rates as you are now a bad risk.

As otherrs have said, before we can offer real advice you need to post up a SOA and tells us your full financial details (read the stickies above).

Broken_hearted

It didn't with us we held our hands up and said either help or we will have to go bankrupt. All helped at first. If they put rates up or started adding charges we stopped paying them and requested being moved to a DCA. I'm not saying its easy but it is a lot easier than paying 100's in interest each month.

footballfan_2

Whata s SOA and a DCA or am i being completely thick here....