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  • FIRST POST
    • sourcrates
    • By sourcrates 21st Jul 19, 2:51 PM
    • 18,719Posts
    • 17,639Thanks
    sourcrates
    Struggling with debt? Ask a stepchange debt adviser a question
    • #1
    • 21st Jul 19, 2:51 PM
    Struggling with debt? Ask a stepchange debt adviser a question 21st Jul 19 at 2:51 PM
    If you need help with your debts, this is the thread for you.

    This is a new thread, as the old one was getting a tad long.


    Trained advisers from StepChange Debt Charity are here and waiting to answer your debt questions. They're a friendly bunch so please don't be shy!

    There are three ways to get in touch:

    1 - Simply post your question below and the team will reply. If your question is about bankruptcy, then pop over to the Bankruptcy board.

    2 - If you would prefer to ask a question in private, feel free to send a message to StepChange Private Messages.

    3 - StepChange Debt Remedy is a free and confidential online debt advice tool. You can put a budget together at your pace, and you can also talk it over with an adviser through online chat.

    If you're a StepChange Debt Charity client already, please contact its Aftercare team rather than posting in this thread (their contact details are in your Welcome Pack).

    If you're self employed and need debt help please get in touch with Business Debtline.

    This is discussion thread part five, see parts one, two three and four: https://forums.moneysavingexpert.com/showthread.php?t=5559140.


    If you haven't already, join the forum to reply!
    Last edited by sourcrates; 22-07-2019 at 12:47 PM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    forumteam@moneysavingexpert.com.
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
Page 5
    • movingtimes
    • By movingtimes 13th Nov 19, 4:43 PM
    • 1 Posts
    • 0 Thanks
    movingtimes
    Unsure if in right place but have a basic question regarding my credit cards. I have four credit cards,all on 0% interest, total balance on all of these is around the £10k mark. I also have company shares that total well above the £10k mark. Is it considered best practice to sell the shares to clear the debt or is this OK whilst I'm on 0% on the cards?
    • Corky1
    • By Corky1 13th Nov 19, 8:58 PM
    • 2 Posts
    • 0 Thanks
    Corky1
    Husbandís about to fail his IVA, need advice 😞
    Hi, complete newbie and looking for some help. I knew my husband was paying off an IVA however never really questioned how it worked, he has been making payments and I was unaware of the details. Found out today that he has never made any adjustments for additional earnings, and now he has reached the end of the plan they want him to provide proof on income over the whole six year period. Safe to say that he will owe the full amount back (currently trying to get the details from Hmrc for the calculation to be made. However will be approx £18-£20k he will need to pay, we donít have it and have no clue on what will happen next. His debts are his alone and from before we got together. I have a mortgage on our home, however this is in my name only and when he moved in with me he signed off any rights to the deeds (not sure on technical term for that). I guess my question is what do we do next, will he be likely to be made bankrupt, if so can my house be at risk? Just honestly donít have a clue what to do now 😞 hoping for some advice
    • Laverys
    • By Laverys 14th Nov 19, 12:36 PM
    • 1 Posts
    • 0 Thanks
    Laverys
    all debts to one loan
    Folks


    New to this, hopefully I am sending to the correct place. We have credit / car loans at various rates, with various changes in terms of when some of these will change from 0% to standard rate, apologies for any info missing (emailing quickly while on lunch)


    We are currently paying £935 but are in a batter financial position than we were so I was thinking of getting a loan / money transfer in January and paying off all below and merging into one payment around £1k per month which would be paid off in 2 years, rather than current position which means they are paid off at different times.




    I am asking, is this wise (we are totally ok with paying £1k per month), the main reason for doing this is we have interest only mortgage with negative equity and once we finish paying loans we are going to start to use this money (£1k per month) to pay off our mortgage.


    We have had it tight for a few years as we released equity when the market crashed and bought other properties that are just turning into almost positive equity, but our most important goal is paying off our mortgage


    Any advice on this and possible ways would be appreciated


    CARD OWED MONTHLY APPROX END DATE Tesco Loan 7,179 200 Nov-22 M & S (credit Cards)Ė 0% rate ends Sept 21 - loan will be clear by then 4159 200 Sep-21 Santander ( credit Cards) 0% rate ends 13 feb 21 would leave approx £625 owed 3550 225 May-21 Virgin ( credit Cards)
    0%
    3,626 150 Oct-21 MBNA (credit card 0%) Ė rate changes 8 feb 2021 would leave approx. £1600 2420 50 Aug-24 YP Loan 4.8% 4460 110 Aug-23 Total 25,394 935
    • Magepl
    • By Magepl 15th Nov 19, 5:58 AM
    • 1 Posts
    • 0 Thanks
    Magepl
    The struggle to debt free
    Hi, first time poster and first time asking anyone with experience for any help with this.

    I’m 31, currently have just over £14,000 In debt, all on 0% credit cards which don’t expire for a while - once they do my plan is to switch to another balance transfer 0% card. I am paying off the minimums each month and have never missed a payment. My credit rating is currently poor due to too frequently applying for a better deal on the 0% balance transfer credit cards.

    I don’t have much in the way of savings, I have approx $1500 in shares through the company I work for which comes out of my wage, I have a pension accumulating through my work and also try and save £25 a week into a lifetime ISA for my first house.

    My struggle is that after rent and all these credit card payments are taken out, I don’t have much disposable income left over.

    I am currently searching for a better paid job.

    Is there a better/quicker way to clear this debt? Do I cash out my shares to help clear the debt?

    Thanks in advance for any help and advice, it’s much appreciated.
  • StepChange_Rachael
    Hi

    Welcome to the forum.

    It sounds as though youíre in a good position in terms of manageable ways to clear the debt but the decision would ultimately be up to you, there isnít really a best practice. You could sell the shares and clear the debt, this could be a particularly good idea if youíre struggling to clear the debt by using your monthly income. However, if you can use your surplus monthly income to clear the debt within the 0% interest time frame, then you might decide to keep the shares for your future. As Iím not a financial advisor I canít give you advice regarding the shares or the best way to manage them long term, this is something youíd have to decide on yourself or with advice from a financial advisor.

    Thanks
    Rachael






    Unsure if in right place but have a basic question regarding my credit cards. I have four credit cards,all on 0% interest, total balance on all of these is around the £10k mark. I also have company shares that total well above the £10k mark. Is it considered best practice to sell the shares to clear the debt or is this OK whilst I'm on 0% on the cards?
    Originally posted by movingtimes
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Rachael
    Hi

    Thanks for your message and welcome to the forum.

    If it is seen that the payments into the IVA could have been increased due to increases with your husbandís wages, then itís possible it would be asked to be paid back. This is because normally the IVA payments would increase if there was extra surplus money at the end of the month due to wage increases, bonuses or other cash lump sums. Iíd recommend speaking with the Insolvency Practitioner to get a better understand of how it might work in terms of your husbands IVA as IVAís can differ. However, if this is the case the creditors may agree come to an arrangement to pay it over time.

    Bankruptcy would likely be a last resort but is something creditors can apply for. As assets can be taken into account, your husband might be seen to have a beneficial interest in your property. I couldnít say for sure as I know you mentioned something has been put in place where your husband signed the rights to the property over to you. Itís likely if they did go down this route that assets including the house would be taken into account, but itís not a certainty, youíd need to get some legal advice to make sure you know where you stand with the property.

    Hopefully there wonít be anything left to pay, or as much as youíve mentioned. If there is, then once the IVA is closed, you can speak with us at StepChange for debt support and advice.

    Thanks
    Rachael








    Hi, complete newbie and looking for some help. I knew my husband was paying off an IVA however never really questioned how it worked, he has been making payments and I was unaware of the details. Found out today that he has never made any adjustments for additional earnings, and now he has reached the end of the plan they want him to provide proof on income over the whole six year period. Safe to say that he will owe the full amount back (currently trying to get the details from Hmrc for the calculation to be made. However will be approx £18-£20k he will need to pay, we donít have it and have no clue on what will happen next. His debts are his alone and from before we got together. I have a mortgage on our home, however this is in my name only and when he moved in with me he signed off any rights to the deeds (not sure on technical term for that). I guess my question is what do we do next, will he be likely to be made bankrupt, if so can my house be at risk? Just honestly donít have a clue what to do now 😞 hoping for some advice
    Originally posted by Corky1
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Rachael
    Hi

    Welcome to the forum.

    From what youíve mentioned it sounds as though youíre in a good financial position now and itís good to hear that youíve taken the time out to plan for your future. I appreciate it can be difficult to stick with a budget and payments to creditors, especially when there are multiple creditors and multiple payments going out.

    As youíve mentioned the minimum payments arenít a problem, Iíd recommend the next thing to consider is making sure youíre paying as little interest as possible. It might take a bit of time to work out but Iíd consider checking when the 0% interest rates finish and when they will increase and what amount to. A personal loan can be a good option for some people, however it also depends on the interest rate. Youíd need to see if itís going to be quicker and cheaper to pay back on your current cards with the increase in interest or if a personal loan would be a cheaper borrowing option. As far as Iím aware there are facilities where you can check your eligibility in a soft search for products, which shouldn't impact your credit file, multiple application for credit will impact your credit file.

    Youíve not mentioned how long your mortgage agreement is but Iíd recommend making sure that your financial plan will make sure that if you do plan to pay the unsecured debt first, that the time frame to pay back the capital on the mortgage is realistic.

    Thanks
    Rachael








    Folks


    New to this, hopefully I am sending to the correct place. We have credit / car loans at various rates, with various changes in terms of when some of these will change from 0% to standard rate, apologies for any info missing (emailing quickly while on lunch)


    We are currently paying £935 but are in a batter financial position than we were so I was thinking of getting a loan / money transfer in January and paying off all below and merging into one payment around £1k per month which would be paid off in 2 years, rather than current position which means they are paid off at different times.




    I am asking, is this wise (we are totally ok with paying £1k per month), the main reason for doing this is we have interest only mortgage with negative equity and once we finish paying loans we are going to start to use this money (£1k per month) to pay off our mortgage.


    We have had it tight for a few years as we released equity when the market crashed and bought other properties that are just turning into almost positive equity, but our most important goal is paying off our mortgage


    Any advice on this and possible ways would be appreciated


    CARD OWED MONTHLY APPROX END DATE Tesco Loan 7,179 200 Nov-22 M & S (credit Cards)Ė 0% rate ends Sept 21 - loan will be clear by then 4159 200 Sep-21 Santander ( credit Cards) 0% rate ends 13 feb 21 would leave approx £625 owed 3550 225 May-21 Virgin ( credit Cards)
    0%
    3,626 150 Oct-21 MBNA (credit card 0%) Ė rate changes 8 feb 2021 would leave approx. £1600 2420 50 Aug-24 YP Loan 4.8% 4460 110 Aug-23 Total 25,394 935
    Originally posted by Laverys
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • Corky1
    • By Corky1 15th Nov 19, 12:45 PM
    • 2 Posts
    • 0 Thanks
    Corky1
    Thank you for the reply, is there a chance they may accept a reduced lump sum to close the matter, itís possible I could raise funds to make an offer for around 60% on his behalf, which certainly seems a better option than bankruptcy
  • StepChange_Rachael
    Hi

    Thanks for messaging and welcome to the forum.

    I canít advise you as a financial advisor but prioritising paying your debt as cheaply as possible is always a good thing. It might be worth stopping trying to balance transfer the 0% credit cards before the time to pay at this rate is up, as youíve said this is affecting you being able to consider this option in the future.

    It's good to have an emergency fund, in case something unexpected comes up but it might be worth using any other available surplus at the end of the month and putting it towards paying back the debt as a priority, especially as youíre concerned about interest being added before youíd be able to clear the debt within the 0% interest time frame.

    Deciding whether to use your shares isnít really something Iíd be able to advise on as itís a personal decision. Some peoples main aim will be to pay the debt asap and be happy to cash in shares to do that, whereas others would feel more comfortable having some savings in shares for the future while slowly paying back debt.

    You might find you can free up money by budgeting your expenses and cutting back on any extras or by finding cheaper alternatives, that would help reduce the debt total quicker. For example looking into trying to reduce contracts, gas/electric supplies, bulk buying etc.

    If you ever feel the minimum payments are a struggle or youíre using the credit to pay for living costs, even if youíre maintaining the contractual payments, at this point Iíd recommend accessing some debt advice, from a free service like us at StepChange.


    Thanks
    Rachael





    Hi, first time poster and first time asking anyone with experience for any help with this.

    Iím 31, currently have just over £14,000 In debt, all on 0% credit cards which donít expire for a while - once they do my plan is to switch to another balance transfer 0% card. I am paying off the minimums each month and have never missed a payment. My credit rating is currently poor due to too frequently applying for a better deal on the 0% balance transfer credit cards.

    I donít have much in the way of savings, I have approx $1500 in shares through the company I work for which comes out of my wage, I have a pension accumulating through my work and also try and save £25 a week into a lifetime ISA for my first house.

    My struggle is that after rent and all these credit card payments are taken out, I donít have much disposable income left over.

    I am currently searching for a better paid job.

    Is there a better/quicker way to clear this debt? Do I cash out my shares to help clear the debt?

    Thanks in advance for any help and advice, itís much appreciated.
    Originally posted by Magepl
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Rachael
    Hi

    Not a problem. There's a chance that a creditor may accept a reduced amount to settle a debt, However, It's ultimately down to the creditor themselves if theyíd accept a lump sum agreement. Iíd recommend your husband speaking with the Insolvency Practitioner about any lump sums as theyíd be able to give more insight in to how this would work and the likely hood of creditors accepting.

    Thanks
    Rachael








    Thank you for the reply, is there a chance they may accept a reduced lump sum to close the matter, itís possible I could raise funds to make an offer for around 60% on his behalf, which certainly seems a better option than bankruptcy
    Originally posted by Corky1
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • savesamantha
    • By savesamantha 19th Nov 19, 2:50 PM
    • 6 Posts
    • 0 Thanks
    savesamantha
    Unknown credit card debt
    I have an unknown amount of money outstanding on credit cards (and 1 overdraft - which has now been removed and handed over to a debt collection agency).

    All have defaulted and I haven't been in touch with the companies for months. For a long time I was too afraid and ashamed to open any mail.

    Right now my income doesn't even cover my basic living costs but I am hoping this will change in the new year when I get more childcare, and can work more.

    I know I can get help through StepChange, but do I need the specific amounts with each creditor, or will a rough amount do?

    Thanks for your help! First time forum user!
    • MRH83
    • By MRH83 19th Nov 19, 11:35 PM
    • 1 Posts
    • 0 Thanks
    MRH83
    Hi, first time poster here. I have c. £41k of debt (£10k loans, £30k credit cards, £1k overdrafts) which has increased signifcantly over the past 4 years - I was made redundant, my partners health has deteriorated and I was caring for her and my young son while self employed - as a result I wasnt earning as much as was previously the case and we didnt cut back our spending enough.

    I went back to permanent employment at the start of 2017 but at the end of 2017 I found out I had cancer. I started treatment in January 2018, fortunately the treatment was successful and I've been back at work for just over a year.

    None of my debts are in default as I've been able to make the minimum payments, but I have found over the past year that I have no longer been able to make balance transfers to minimise interest and I'm getting close to the limits on most of my credit cards. I had applied to a couple of lenders for a consolidation loan but have been declined.

    Would a debt management plan be suitable given my circumstances, and does it have to include all debts - e.g. can I continue to make the loan repayments in full? The two loans are due to end June 2022

    Household income is around £34k, however this may increase to £38k in the next few months - is it likely that my credit card providers would reject a debt managment plan given the level of household income? I would have no issue in making a similar level of payments as I do currently, however it would be helpful if I could get the interest frozen - at the moment I feel that I'm never going to be debt free.


    Any help or advice would be appreciated.
  • StepChange_Rachael
    Hi and welcome to the forum.

    For accurate debt advice itís best to have as accurate information as possible, you can use good estimations, but sometimes even small changes can impact solutions and advice. To make sure you recieve the most realistic advice Iíd suggest checking your credit file first.

    Your basic credit information can be checked for free and will give you information on your outstanding credit cards and overdraft.

    There are three main credit reference agencies within the UK, you can check all three to make sure you have all the information, these are, Credit Karma, Clear Score and Experian.

    Once youíve done this you can contact us with details of your income, expenditure and debts to access our recommended solutions.

    Thanks
    Rachael



    I have an unknown amount of money outstanding on credit cards (and 1 overdraft - which has now been removed and handed over to a debt collection agency).

    All have defaulted and I haven't been in touch with the companies for months. For a long time I was too afraid and ashamed to open any mail.

    Right now my income doesn't even cover my basic living costs but I am hoping this will change in the new year when I get more childcare, and can work more.

    I know I can get help through StepChange, but do I need the specific amounts with each creditor, or will a rough amount do?

    Thanks for your help! First time forum user!
    Originally posted by savesamantha
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Rachael
    Hi

    Welcome to the forum and thanks for posting.

    It sounds like youíve gone through a lot in the past few years and I can see how it would have caused you difficulty in managing to clear the debt. As youíve mentioned that the debt is increasing, it sounds a good idea to explore your options.

    A debt management plan might be a good idea. To find out what would be the best route for you, youíd need to access free and impartial advice. An organisation/charity will be able to tell you if this is the best option and if there are other solutions you can also consider, by reviewing your full financial situation. It doesnít matter what your income is, if after youíve paid your household bills and general living costs, youíre unable to meet all your contractual payments with creditors then an alternative debt solution would be an appropriate option. A creditor is only likely to question a plan where a budget shows higher living costs expected of the household, unless there are exceptional circumstances to explain those costs.

    If a plan is managed solution through a third party you wouldnít be able to leave some creditors out, this is because creditors will see this as preferential treatment and those receiving reduced payments might be less likely to stop interest and charges and might take court action to collect for the debt.

    I hope this helps and if youíd like to look into your options through StepChange you can find our details here.

    Thanks
    Rachael










    Hi, first time poster here. I have c. £41k of debt (£10k loans, £30k credit cards, £1k overdrafts) which has increased signifcantly over the past 4 years - I was made redundant, my partners health has deteriorated and I was caring for her and my young son while self employed - as a result I wasnt earning as much as was previously the case and we didnt cut back our spending enough.

    I went back to permanent employment at the start of 2017 but at the end of 2017 I found out I had cancer. I started treatment in January 2018, fortunately the treatment was successful and I've been back at work for just over a year.

    None of my debts are in default as I've been able to make the minimum payments, but I have found over the past year that I have no longer been able to make balance transfers to minimise interest and I'm getting close to the limits on most of my credit cards. I had applied to a couple of lenders for a consolidation loan but have been declined.

    Would a debt management plan be suitable given my circumstances, and does it have to include all debts - e.g. can I continue to make the loan repayments in full? The two loans are due to end June 2022

    Household income is around £34k, however this may increase to £38k in the next few months - is it likely that my credit card providers would reject a debt managment plan given the level of household income? I would have no issue in making a similar level of payments as I do currently, however it would be helpful if I could get the interest frozen - at the moment I feel that I'm never going to be debt free.


    Any help or advice would be appreciated.
    Originally posted by MRH83
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • Boilingpoint2019
    • By Boilingpoint2019 23rd Nov 19, 10:08 AM
    • 1 Posts
    • 1 Thanks
    Boilingpoint2019
    Hi. I'm new to the forum and really struggling.
    I have approx 30k in debt, credit cards and catalogues. Since having children my income has dropped to £600 per month. My husband gives me £300 per month as a 'top up'.
    I'm drowning in debt. I am paying reduced payments/no interest on a lot of this already however my debt is still £500 per month, which isn't sustainable.
    Our house is solely in my name and is worth approx 90-100k. I cant release any of the equity (approx 20k) due to my income being so low and my credit score being very poor as a result of making reduced payments and having used up my 'credit allowance'.
    My husband has an old ccj which prevents him from being added to the .mortgage. He helps where he can but his salary isn't great either.
    I've been looking at an IVA as I have approx £100-£130 per month to spare. My worry is the fact that the house is only in my name and how it would affect us. What are the chances that we would lose our home? Does this happen? On top of this I work for a police force, just as admin in the offices, not in a police officer role.
    Is an IVA suitable for me? Weve reduced every outgoing we have, sold everything we can. We have no more ways to cut back or make more money. Household outgoings currently £2000 per month, not including food, fuel and spending. Income currently £2300 so we have £300 per month for everything (husband works shifts and his fuel is approx £90 a month and mine is £50).
  • StepChange_Rachael
    Hi

    Welcome to the forum and thanks for your post.

    Iím sorry to hear youíre going through a difficult time at the moment. From what youíve mentioned so far I definitely think an alternative debt solution is the way forward as £500 a month is clearly unaffordable. Iím not sure if the £2000 youíve listed as household outgoings includes the payments to creditors or not, if it doesnít then Iíd be concerned if youíd have £100-130 a month left to the creditors, as youíve mentioned the additional costs such as food and fuel are not yet included. However, I think itís really important that you speak with a debt advisor who could help you find a suitable solution.

    An IVA wonít risk you loosing your property as an IVA protects assets. Youíd be expected to try and release equity in the fifth year but the chances of doing this are slim because of the impact the IVA has on your credit file. You wouldnít be expected to release equity through selling the property.

    It sounds unlikely that an IVA would affect your job, but you can always double check as it would be written in your contract, or you could check with HR in privacy.

    Before taking any steps towards one solution in particular, Iíd recommend getting free and impartial advice to find the best one for you and your partner. Some companies will look at getting you an IVA without considering if other solutions would be more appropriate and IVAís do have fees included, sometimes upfront fees, so itís important that you feel confident this is the best route for you. If you wanted to speak with StepChange to explore your options you can find the link here.

    Hope this helps.
    Rachael






    Hi. I'm new to the forum and really struggling.
    I have approx 30k in debt, credit cards and catalogues. Since having children my income has dropped to £600 per month. My husband gives me £300 per month as a 'top up'.
    I'm drowning in debt. I am paying reduced payments/no interest on a lot of this already however my debt is still £500 per month, which isn't sustainable.
    Our house is solely in my name and is worth approx 90-100k. I cant release any of the equity (approx 20k) due to my income being so low and my credit score being very poor as a result of making reduced payments and having used up my 'credit allowance'.
    My husband has an old ccj which prevents him from being added to the .mortgage. He helps where he can but his salary isn't great either.
    I've been looking at an IVA as I have approx £100-£130 per month to spare. My worry is the fact that the house is only in my name and how it would affect us. What are the chances that we would lose our home? Does this happen? On top of this I work for a police force, just as admin in the offices, not in a police officer role.
    Is an IVA suitable for me? Weve reduced every outgoing we have, sold everything we can. We have no more ways to cut back or make more money. Household outgoings currently £2000 per month, not including food, fuel and spending. Income currently £2300 so we have £300 per month for everything (husband works shifts and his fuel is approx £90 a month and mine is £50).
    Originally posted by Boilingpoint2019
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • lily0790
    • By lily0790 26th Nov 19, 7:22 PM
    • 1 Posts
    • 0 Thanks
    lily0790
    No one to pay debt to
    I had two mobile phones with Plusnet six years ago for my children. When I got them new ones
    I called and cancelled the contracts. Except it materialises that only one of the contracts was cancelled.

    When I discovered this I called Plusnet and they could see the mobile hadn't been used in over a year and said they'd put it through to another department to get the debt cancelled. No one got back to me. When I contacted them they said the debt had now been passed to a debt agency and they would be in touch.

    Four years on and no-one has been ever been in touch with me nor have I had any correspondence( my contact details are all the same).I have contacted Plusnet on numerous occasions and they say its nothing to do with them now. So on my credit file it shows the debt to Plusnet. So there is a debt( which despite me disputing it I have offered to pay all along) but there is
    no one to pay it to . How can I resolve this?
  • StepChange_Rachael
    Hi

    Thanks for posting and welcome to the forum.

    I know it can be very frustrating when creditors arenít providing you with the information you need to resolve an issue. Iíd recommend making an official complaint to Plusnet, outlining your complaint and that youíd like it resolved and the debt removed from your credit file as was originally agreed in the phone call you had with them. If you make a formal complaint, through the official channels, which will be outlined on their website, theyíd have to take it seriously. The most likely route of making a formal complaint is written complaint or by email. Theyíd then have eight weeks to resolve the complaint, if they donít resolve it to your satisfaction within this time, you can take it the communications ombudsman. They will then look into the complaint impartially.

    Depending on when the note was entered on your credit file, it may fall off soon. Notes on your credit file donít last longer than six years once the creditor stops updating it but to resolve the situation as soon as possible Iíd recommend making a formal dispute. Itís best to resolve the situation as well in case the collection agency eventually do get in contact and try to take the matter further.

    Hope this helps.
    Rachael








    I had two mobile phones with Plusnet six years ago for my children. When I got them new ones
    I called and cancelled the contracts. Except it materialises that only one of the contracts was cancelled.

    When I discovered this I called Plusnet and they could see the mobile hadn't been used in over a year and said they'd put it through to another department to get the debt cancelled. No one got back to me. When I contacted them they said the debt had now been passed to a debt agency and they would be in touch.

    Four years on and no-one has been ever been in touch with me nor have I had any correspondence( my contact details are all the same).I have contacted Plusnet on numerous occasions and they say its nothing to do with them now. So on my credit file it shows the debt to Plusnet. So there is a debt( which despite me disputing it I have offered to pay all along) but there is
    no one to pay it to . How can I resolve this?
    Originally posted by lily0790
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • Timeforchange19
    • By Timeforchange19 27th Nov 19, 11:23 PM
    • 2 Posts
    • 1 Thanks
    Timeforchange19
    Hi we are 18 months of finishing our extended Iva (6 yrs not 5). My sister said they may make us sell our house at the end is this true? We are currently in negative equity.

    We are struggling every month to manage. Most months we run out of wage by the middle of the month. We have 2 celiac children who’s diet costs a small fortune and we make sure they are fed, but I generally don’t eat unless my hubby is home so that I can save food. We currently have no heating or hot water as our boiler has gone and our shower has packed in too we manage to get enough hot water to was the kids in warm water but we’re showering in cold water. I just can’t take much more living like this and if they then say we have to sell our house well what has been the point. My husband is a teacher I was a teacher but can’t work due to ill health anymore but surely we shouldn’t be living like this. I just feel like throwing the towel in xx -sorry for such a negative first post
    • sourcrates
    • By sourcrates 28th Nov 19, 9:35 AM
    • 18,719 Posts
    • 17,639 Thanks
    sourcrates
    Hi we are 18 months of finishing our extended Iva (6 yrs not 5). My sister said they may make us sell our house at the end is this true? We are currently in negative equity.

    We are struggling every month to manage. Most months we run out of wage by the middle of the month. We have 2 celiac children who’s diet costs a small fortune and we make sure they are fed, but I generally don’t eat unless my hubby is home so that I can save food. We currently have no heating or hot water as our boiler has gone and our shower has packed in too we manage to get enough hot water to was the kids in warm water but we’re showering in cold water. I just can’t take much more living like this and if they then say we have to sell our house well what has been the point. My husband is a teacher I was a teacher but can’t work due to ill health anymore but surely we shouldn’t be living like this. I just feel like throwing the towel in xx -sorry for such a negative first post
    Originally posted by Timeforchange19
    Hi,

    Firstly, apologies for posting on the stepchange advice thread, but I thought it necessary, second, don’t listen to your sister.

    Just to put your mind at rest, your house is not at risk, you will be asked to remortgage at the end of year 5, if that’s not possible, then another year of payments is the norm.
    Your house is never at risk in an IVA, they are designed for homeowners, so assets are protected, all this should have been explained to you.

    If your struggling on the budget you have, speak to your IP, don’t suffer in silence, if you don’t tell them, they cannot do anything about it can they.
    Last edited by sourcrates; 28-11-2019 at 9:38 AM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    forumteam@moneysavingexpert.com.
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
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