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  • FIRST POST
    • craftbeer90
    • By craftbeer90 1st May 19, 9:02 PM
    • 7Posts
    • 2Thanks
    craftbeer90
    I need some support with my debt situation
    • #1
    • 1st May 19, 9:02 PM
    I need some support with my debt situation 1st May 19 at 9:02 PM
    Basically, at the early age of 28 I have found myself in debt. The problems started about two years ago. I'd been living independently from my parents for one year - having moved out from my Mums after University, I moved away to be with my current partner.

    My mental health suffered due to a job I am in, work-related stress took its toll, and I basically had quite a lot of sicknesses. My Depression reared its ugly head, I ended up getting a lot worse.

    My partner had a period of unemployment, out of work for a full year, and I was left to work in that horrible job. Later on, I found the council tax hadn't been paid, and she had accrued debts from our student years at Uni (unbeknownst to me). She had hidden letters from me, and it broke my trust.

    We had a lot of outgoings, and 3 cats also. So money was already tight. She was struggle to pay our council tax etc, she managed to get back in work but it was a constant battle to pay everything. Our rent was only 300pcm which was ok. But the property was falling to bits, it was damp, mouldy and no central heating.

    We had poorly cats, and couldn't afford vet bills - a lot of costs and financial worries.
    In the November of 2017 I ended up foolishly been stopped by Bank Marketers from a well-known bank selling credit card packages. I ended up taking out credit with them, at the time, I thought maybe i could use it for small payments, to build credit score.

    By about February or March however of 2018 I had maxed out the credit card, as the balance of purchases took some time to register. It all happened before my eyes.

    We moved out of that horrible property in August 2018. The rent was 480 a month. But it was newly renovated and was looking forward to it.

    By September I ended up taking out another loan - personal bank loan (8.5k), because we had 2-3 separate vet bills that year. I was taking a lot of time off work, and I wanted to learn to drive so planned to use some of it for that, and pay off CC debt (1k).

    Ended up paying one of her bills too.

    It didn't work out this way, and ended up in more debt. Which has spiralled into borrowing small bits in payday loans, and partner taking out another loan. She has bared fairly better than me. Paid off a lot of our prior council tax arrear from last year. But this years is over-due.

    My total debt about 9.5-10k. Hers I don't fully know, but I think mine is a lot more now (we owe nearly 2k in Council Tax). Thats 1k from April 1st to 2020 and 998 in outstanding fines fees from last years.

    I live in constant fear that I'll get taken to court. Even though most of my debts are non-priority (apart from Council Tax) but they have not pursued me.

    I have contacted a debt charity for help because its got to the point I've had to contact my landlord for some lee-way in paying rent. For the first time, I'm concerned about paying my rent. I've been in a permanent state of worry for the last 2/3 yrs and to be honest the realisation that I could become homeless is real.

    I am lucky in that my landlord has agreed for me to pay my rent in two halves - because of the fact I've been off ill from work and its been a tight month.

    Things have gotten so bad that I have been unable to repay my bank on the loan. My partner sent me her rent money and a bit more, and it got taken by creditors. I have had to open a new bank account with a different provider.

    I feel very anxious, depressed and nervous about my future. About my work, about everything.
    I feel like I can't deal with the creditors, they ring me a lot each day. I never answer, I have social anxiety about answering phone.

    What can I do? I have reached out to PayPlan for help, they've been good at offering advice. But they can't do anything or offer proper solution until they have a better understanding of my budget.

    I'm no good at budgets or numbers. I completed an assessment but rounded up a lot of figures, and missed out the odd creditor because of lack of info.

    I dunno what to do. I can't deal with these creditors directly, and would apprecite any info on how i can get others to actually deal with them. Because my mental health is bad.

    Sorry for long post just a lot going on in my head.

    Any help or advice?

    Thanks
Page 1
    • WhenIam64
    • By WhenIam64 2nd May 19, 5:05 AM
    • 764 Posts
    • 495 Thanks
    WhenIam64
    • #2
    • 2nd May 19, 5:05 AM
    • #2
    • 2nd May 19, 5:05 AM
    I have contacted a debt charity for help because its got to the point I've had to contact my landlord for some lee-way in paying rent. For the first time, I'm concerned about paying my rent. I've been in a permanent state of worry for the last 2/3 yrs and to be honest the realisation that I could become homeless is real.
    It is important not to lose sight of priority debts such as this and Council Tax. Failure to keep on top of these can lead to significant later issues.

    I have reached out to PayPlan for help, they've been good at offering advice. But they can't do anything or offer proper solution until they have a better understanding of my budget.
    Your creditors need to understand your Statement of Account (SOA). Some debt charities will use a Standard Financial Statement which is a common format for most creditors but it is based on your Statement of Account.

    Sounds as if you need face-to-face advice initially just to understand how to put the SOA together from you bank statements, though you come over as capable to do so. Can you get an appointment locally?

    In the meantime you could practice doing one here (http://www.stoozing.com/calculator/soa.php). There is a facility to print to MSE where others can cast an eye over it. But in any case this is your first step.

    Once you are over the SOA hurdle, it gets a lot better. Creditors want paid, but they don't want to spend a fortune in collecting it. The Statement gives everyone the best idea of how much to collect and for how long within the levels of reasonableness. You both have to live too albeit on a frugal budget.
    Unlike some here, I am not omniscient. If I am wrong correct me. I won't take offence.
    • Debtfreemooo
    • By Debtfreemooo 7th May 19, 8:19 PM
    • 19 Posts
    • 1 Thanks
    Debtfreemooo
    • #3
    • 7th May 19, 8:19 PM
    • #3
    • 7th May 19, 8:19 PM
    Hey CraftBeer, how you getting on ?
    • fatbelly
    • By fatbelly 8th May 19, 6:00 AM
    • 14,208 Posts
    • 11,229 Thanks
    fatbelly
    • #4
    • 8th May 19, 6:00 AM
    • #4
    • 8th May 19, 6:00 AM
    Craftbeer hasn't been back since the morning after the first post. Pity. Payplan are good and can do Debt Relief Orders if needed, so hope they're getting sorted and one day might report back.
    • craftbeer90
    • By craftbeer90 22nd May 19, 10:10 PM
    • 7 Posts
    • 2 Thanks
    craftbeer90
    • #5
    • 22nd May 19, 10:10 PM
    • #5
    • 22nd May 19, 10:10 PM
    Hello everyone. I have setup a Debt Management Plan with Payplan. Its in early stages, and I haven't finalised the plan, or given PayPlan the authority to deal with my creditors yet, because, I have spotted some errors in the plan. I've setup a direct debit for payment from my remaining income after expenditures. So PayPlan will allocate this budget to my creditors.

    Bare in mind, I haven't actually informed my creditors I am in debt. Payplan have told me to contact them in the interim of setting up the DMP (while it processes).

    I just don't want to go ahead and send out a SOA if it isn't accurate.
    • tallyhoh
    • By tallyhoh 23rd May 19, 11:44 AM
    • 2,207 Posts
    • 2,345 Thanks
    tallyhoh
    • #6
    • 23rd May 19, 11:44 AM
    • #6
    • 23rd May 19, 11:44 AM
    post your SOA on here, plenty of people have gone down your route & can offer advise
    Tallyhoh!

    Stopped Smoking October 2000. Saved 21,840 so far!
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