Desperately Need Help!!

edited 30 November -1 at 1:00AM in Student Money Saving
23 replies 1.7K views
thelemonfairythelemonfairy Forumite
5 Posts
edited 30 November -1 at 1:00AM in Student Money Saving
Hi

I need some urgent advice for my girlfriend. We're both students and in our second year. We have summer rent of £1170 (each) to pay on June 1st and my parents are paying mine (thank god!!) but she doesn't have anyone to help her out, she has only around £100, if that, left of her overdraft (HSBC, already past the interest-free limit) and the money is going to go out in less than a week!! Her plan is to just let the money go out as there is literally no way for her to get the money in her account! If this doesn't happen because the money isn't there we won't be able to move in :-(
Does anyone know what ridiculous charges will be applied to the account? When they would have to be paid? What happens if the money is not put back into the account? Because although some money will go in from her bursary the first week of June, it is only around £300 so nowhere near enough!
Also, we realised that once the rent has gone out she will be unable to access any money paid into her account until it's back into the agreed amount ...

It's such a mess and I'm getting stressed and upset thinking about it ... Just need some advice really and any solutions anyone can think of!!

Thanks!
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Replies

  • LokoloLokolo Forumite
    20.9K Posts
    Part of the Furniture 10,000 Posts
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    She will get a £25 overdrawn review charge (as she has gone into her unarranged overdraft).

    She will unable to withdraw money.

    Any DDs she has will be returned and she will have charges put on them (not sure how much).

    Plus interest charge which is 19% APR or something stupid like that.

    Can you not afford to lend her some money? Could she not try and increase the overdraft? Does she have a job? (having a job will more than likely get the extended overdraft)
  • OldernotwiserOldernotwiser
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    Apart from anything else they probably just won't pay it and the cheque will bounce! You really can't assume nowadays that a bank will allow an account to go over an agreed overdraft.
  • gillz83gillz83 Forumite
    92 Posts
    Can she not cancel the cheque? I know it wont be paid but will save charges, account access etc.
    Can you both not move home for the summer?
    March £10 per day Challenge- 460.85/310 :j
    April £10 per day challenge- 361.49/300 :D
    May £10 per day challenge-365.23/310 :D
    June £15 per day challenge- 732.24/450 :T :j
  • Thanks for replying ... Still not much better off hehe ... Well facing the charges seems like the best/only option at the moment but like you said there is a chance it won't go out ... I don't have the money to lend and we've signed a contract with a company so we have to pay this rent! We're both looking for jobs and have been all year but there is NOTHING here ... fingers crossed we should both be working over summer but the problem still remains that the money will not be there on the 1st :-(
  • edited 27 May 2009 at 2:45PM
    BronnieBronnie Forumite
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    edited 27 May 2009 at 2:45PM
    Do either of you have anything fairly substantial you can sell to raise some cash?
    Can you take yourselves off round the neighbourhood washing cars for a £5 a go? Advertise your services as babysitters? Anything?

    I would be mortified to be in your position.

    I think you need to be as proactive as possible in rustle up some funds no matter what, as your obligations for the rent or to the bank if they do stump up the funds are not going to just go away.


    You may not achieve the full amount, but at least you can start chipping away at what you are obviously going to owe to someone or other.
  • Voyager2002Voyager2002 Forumite
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    She should contact the company (landlord) and cancel the payment, instead asking them to agree to accept payment by installments. Trying to use the bank to pay money that she does not have is just stupid: the bank may well stop the payment (leaving her in as bad a situation as if she herself tells the company that she cannot pay); the company's bank may well charge them a fee for accepting a failed payment; and this event is likely to trigger a whole series of bank charges that will add up to some very serious sums of money.
  • OldernotwiserOldernotwiser
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    I do wonder when you signed the contract where you thought this £1,000 would come from.
  • lisslisslissliss Forumite
    58 Posts
    Tenth Anniversary
    Hi,
    I know most universities offer emergency loans if you give them a cheque dated for some time in the future. I'm not sure if they give more than a few hundred pounds though.
    I think what you really should do is visit your university's funding office and ask them for advice!
  • laney85laney85 Forumite
    861 Posts
    Why doesnt she call student services at the uni and ask about applying to get hardship payment from the hardship fund, it may be calle something else now but the studen sevices will know what she means.
  • Fire_FoxFire_Fox Forumite
    26K Posts
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    Hi

    I need some urgent advice for my girlfriend. We're both students and in our second year. We have summer rent of £1170 (each) to pay on June 1st and my parents are paying mine (thank god!!) but she doesn't have anyone to help her out, she has only around £100, if that, left of her overdraft (HSBC, already past the interest-free limit) and the money is going to go out in less than a week!! Her plan is to just let the money go out as there is literally no way for her to get the money in her account! If this doesn't happen because the money isn't there we won't be able to move in :-(
    Does anyone know what ridiculous charges will be applied to the account? When they would have to be paid? What happens if the money is not put back into the account? Because although some money will go in from her bursary the first week of June, it is only around £300 so nowhere near enough!
    Also, we realised that once the rent has gone out she will be unable to access any money paid into her account until it's back into the agreed amount ...

    It's such a mess and I'm getting stressed and upset thinking about it ... Just need some advice really and any solutions anyone can think of!!

    Thanks!

    Sorry but this is a very stupid plan. Firstly the payment will probably bounce so the rent won't get paid AND she will incur hefty charges. Secondly an overdraft can be withdrawn at any time - banks can and do demand ALL their money back at very short notice if you are deemed to be abusing the system.

    Unless the bank will agree to extend her overdraft (unlikely with no income) then she cannot pay the rent and cannot move into the house with you this summer. Either you give up the house and both move home or you risk losing the house AND your share of the deposit.

    This is potentially going to affect your girlfriend's credit rating for the next six years, and certainly her ability to maintain her student overdraft into her third year and graduate overdraft afterwards.

    If you have already signed a joint tenancy you are responsible for paying your girlfriend's share of the rent if she defaults. If you can't pay your credit rating may similarly be marked for up to six years. Sort it out like adults, don't bury your heads in the sand.
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
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