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  • FIRST POST
    • MSE Andrea
    • By MSE Andrea 18th Nov 16, 1:05 PM
    • 9,178Posts
    • 22,016Thanks
    MSE Andrea
    Struggling with debt? Ask a debt adviser a question
    • #1
    • 18th Nov 16, 1:05 PM
    Struggling with debt? Ask a debt adviser a question 18th Nov 16 at 1:05 PM
    If you need help with your debts, this is the thread for you.

    Trained advisers from StepChange Debt Charity (formerly CCCS) 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 four, see parts one, two and three.


    If you haven't already, join the forum to reply!
    This Forum tip was included in MoneySavingExpert.com's weekly email!
    Last edited by MSE Luke; 24-07-2018 at 2:41 PM.
    Could you do with a Money Makeover?


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Page 38
    • sourcrates
    • By sourcrates 28th Apr 18, 1:36 PM
    • 15,242 Posts
    • 14,340 Thanks
    sourcrates
    Hi, I have a major concern about some attachment to earnings I have.
    Over the past 4 months most of my wages have been taken by 4 attachment to earnings, now i know and understand these need to be paid asap but the rate they are taking it back at is crippling my family. I work full time, my partner stays at home to look after our youngest of 4 children. I have been questioning my payroll department for the past 2 months about what the attachments are for and finally they email'd me with the details. To my horror from earning a gross total of £2352.78 for April I have been left with £463.79. £499.88 was for an advance due to a mistake they made on my last months wages, £272.80 Tax, £198 NI, £44 Pension and a whooping £869.83 for Attachment to Earnings!!.
    As you can imagine this has really messed us up for the coming month, our rent is £450 (council) council tax is £135, electric and gas approx £150 and thats all before transport, food and other payments for telephone, tv licence, internet etc:
    Is there a maximum that can be taken per month from your wages as this is leaving my family well below the level where we can live.
    I feel that trying to provide for my family is impossible by working and would be better off following the herd on benefits!!!
    Originally posted by GhostRiderTim
    Hi,

    Since Stepchange advisors will not log on again till Monday, i hope they will not mind if i point you in the right direction today.

    You can apply to the court on a form N244 to vary or change the order if you find that you cannot afford the deduction rate on the attachment of earnings order.

    You will have to give full details of your budget and why you cannot afford the deductions set by the court. You can also use this form if your circumstances at work change and you want the court to look at suspending the attachment of earnings order.


    Download and fill this in, and send it off to them.
    Last edited by sourcrates; 28-04-2018 at 1:40 PM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    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 are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • Louie65
    • By Louie65 30th Apr 18, 12:47 PM
    • 3 Posts
    • 0 Thanks
    Louie65
    Hello,
    I've been paying Lowell Financial for a Barclaycard debt of £1644 which is now down to £204.

    Today I have received a letter from them (30/04/2018) advising me that they failed to provide me with a formal notice that they had bought the debt on 22/04/2010 - some 8 years overdue.

    Can I use their failure to comply with the legislation in someway similar to the PPI mis-selling episode?

    Thank you
  • StepChange_Linsi
    Hi

    Thanks for your post.

    The amount you need to live on is referred to as the Ďprotected earnings rateí (PER). This varies depending on your circumstances but is taken into account when the court is working out how much can be deducted.

    You can use an N244 form to request a change to the deduction or the PER. Youíll need to include current proof of income and a budget when returning this form and thereís a fee of £255 to pay.

    If any of the orders you have are for council tax you wonít need to use an N244 form. This is because councils have the discretion to stop or vary a deduction.

    For any orders relating to council tax you should write to the council asking them to stop the attachment of earnings or reduce the deductions to an affordable amount. Youíll need to quote ĎRegulation 41(2) of the Council Tax (Administration and Enforcement) Regulations 1992í and include a copy of your budget and list of creditors.

    Depending on what the orders are for you may also be able to consolidate them into a single attachment of earnings.

    For more advice about your options Iíd recommend calling us to speak with an advisor. Weíll also be able to help you create a budget to show the court/creditor. Our contact information can be found here.

    I hope this helps,

    Linsi

    Hi,

    Since Stepchange advisors will not log on again till Monday, i hope they will not mind if i point you in the right direction today.

    You can apply to the court on a form N244 to vary or change the order if you find that you cannot afford the deduction rate on the attachment of earnings order.

    You will have to give full details of your budget and why you cannot afford the deductions set by the court. You can also use this form if your circumstances at work change and you want the court to look at suspending the attachment of earnings order.


    Download and fill this in, and send it off to them.
    Originally posted by sourcrates
    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.
    • CIS
    • By CIS 1st May 18, 2:39 PM
    • 10,681 Posts
    • 6,189 Thanks
    CIS
    For any orders relating to council tax you should write to the council asking them to stop the attachment of earnings or reduce the deductions to an affordable amount. You!!!8217;ll need to quote !!!8216;Regulation 41(2) of the Council Tax (Administration and Enforcement) Regulations 1992!!!8217; and include a copy of your budget and list of creditors.
    The council cannot vary the AOE rate on an AOE issued under reg 37 for council tax purposes. There is no discretion within council tax legislation which allows the AOE rate to be altered from that specified in legislation. The only control the council have is to issue or withdraw the order under reg 41 .

    If more than one council tax AOE is in place they cannot consolidate the orders as a council tax AOE is only in respect of a single liability order. They can however withdraw an under reg 41 in order to leave only one active.
    I no longer work in Council Tax Recovery but instead work as a self employed Council Tax specialist. My views are my own reading of the law and you should always check with the local authority in question.
  • StepChange_Linsi
    Hi Louie

    Thanks for your post and welcome to the forum.

    Iím not sure if you can reclaim money if a formal notice wasnít provided at the right time.

    As a charity this isnít something we really deal with so Iíd recommend speaking with the Money Advice Service or Citizens Advice instead.

    As Lowell are regulated by the Financial Conduct Authority they may be able to give more guidance on this matter.

    All the best,

    Linsi

    Hello,
    I've been paying Lowell Financial for a Barclaycard debt of £1644 which is now down to £204.

    Today I have received a letter from them (30/04/2018) advising me that they failed to provide me with a formal notice that they had bought the debt on 22/04/2010 - some 8 years overdue.

    Can I use their failure to comply with the legislation in someway similar to the PPI mis-selling episode?

    Thank you
    Originally posted by Louie65
    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.
    • Mick.T
    • By Mick.T 1st May 18, 4:55 PM
    • 1 Posts
    • 0 Thanks
    Mick.T
    Hi, my name is Michael and i'm looking for a bit of advice if possible please. Hopefully this is in the right place.
    I've got a bit of a factual story to tell that may be hard to believe for some but it is 100% true and i'm in a bit of a spot over it.
    Anyway firstly i've never really been in debt apart from British Gas estimating by bill for 3 years and me ending up owing them just over £2000. The meter reader was coming to read the meter but the joke is they say it's not for my account, they read them for statistics!! That's paid off and they took too much so got £800 back but that's where my good news ended!

    Last year in July i was still working so i got a top of the range phone on contract, a Sony Xperia XZ Premium £680 at the time. I got a fair size monthly fee so i didn't have to pay any upfront, £44 i think. I ordered online and picked it up next day at Carphone Warehouse. This is where things get bad. I don't know if i was followed or what but it was dodgy. I'm only 5 minutes walk from Carphone Warehouse. I opened the phone to have a look but didn't need it for the time being because i had my other phone. I went out to the pub for say 5-6 hours. When i got home my flat door was smashed in, the frame on the door lock side was all over my flat in pieces, one piece 5m away.
    The phone that i'd not even put the sim into was gone. Just as bad though i'd been buying and selling expensive outdoors jackets on ebay like Arcteryx and Mammut, £500-£600 waterproof jackets and £200-£300 insulated jackets, new prices. They still go for good money secondhand on ebay, i'd sold one for £250 and three for £100 each. They were ready for posting the next day. They went as well as more outdoor gear and electricals.
    The thing is and i know it was stupid, irresponsible, thoughtless and whatever else you may think of me when you read how i reacted but i couldn't deal with what had happened. The stuff i'd saved up for for so long was gone, i built my computer over 6 months buying one piece at a time, no replacement no cash just gone! Not to mention the sold jackets and angry, questioning buyers!
    I became depressed and wouldn't talk to anyone or leave the flat, i lost my job. Instead of dealing with Vodafone and ebay plus buyers i just ignored them all and went into my shell. I had already spent the money i'd made from the jackets before they were even posted. I always did that but never had any problems or returns in 7 years.
    It has been nearly 10 months and seems like i've been in a haze or a coma, what i'm waking up to though makes me want to disappear again!
    It's not masses of debt there are many in a lot worse place than me but i've never been here and it's hard not to dwell.
    I've had a letter from a credit collection agency saying i owe Vodafone £1000. I've had multiple different credit collection agencies phoning and texting on behalf of ebay. The buyers were reimbursed by ebay/paypal so i owe ebay just under £600.
    I always stayed away from credit cards or hp to avoid debt, my credit is none existent because i've never had credit. I always tried to be careful and not overspend.
    I have gone on a bit i know i apologize for that but thought if i was going to ask for advice i'd tell the whole story instead of just the money bit.
    I may have been followed home it was the most expensive phone you could buy at the time, it could have been someone i know or neither and was an opportunist! I would rather just forget and rebuild.

    Any advice on what i should do please to relieve this stress and anxiety would be greatly appreciate! Thank you.
  • StepChange_Allen
    Hi, my name is Michael and i'm looking for a bit of advice if possible please. Hopefully this is in the right place.
    I've got a bit of a factual story to tell that may be hard to believe for some but it is 100% true and i'm in a bit of a spot over it.
    Anyway firstly i've never really been in debt apart from British Gas estimating by bill for 3 years and me ending up owing them just over £2000. The meter reader was coming to read the meter but the joke is they say it's not for my account, they read them for statistics!! That's paid off and they took too much so got £800 back but that's where my good news ended!

    Last year in July i was still working so i got a top of the range phone on contract, a Sony Xperia XZ Premium £680 at the time. I got a fair size monthly fee so i didn't have to pay any upfront, £44 i think. I ordered online and picked it up next day at Carphone Warehouse. This is where things get bad. I don't know if i was followed or what but it was dodgy. I'm only 5 minutes walk from Carphone Warehouse. I opened the phone to have a look but didn't need it for the time being because i had my other phone. I went out to the pub for say 5-6 hours. When i got home my flat door was smashed in, the frame on the door lock side was all over my flat in pieces, one piece 5m away.
    The phone that i'd not even put the sim into was gone. Just as bad though i'd been buying and selling expensive outdoors jackets on ebay like Arcteryx and Mammut, £500-£600 waterproof jackets and £200-£300 insulated jackets, new prices. They still go for good money secondhand on ebay, i'd sold one for £250 and three for £100 each. They were ready for posting the next day. They went as well as more outdoor gear and electricals.
    The thing is and i know it was stupid, irresponsible, thoughtless and whatever else you may think of me when you read how i reacted but i couldn't deal with what had happened. The stuff i'd saved up for for so long was gone, i built my computer over 6 months buying one piece at a time, no replacement no cash just gone! Not to mention the sold jackets and angry, questioning buyers!
    I became depressed and wouldn't talk to anyone or leave the flat, i lost my job. Instead of dealing with Vodafone and ebay plus buyers i just ignored them all and went into my shell. I had already spent the money i'd made from the jackets before they were even posted. I always did that but never had any problems or returns in 7 years.
    It has been nearly 10 months and seems like i've been in a haze or a coma, what i'm waking up to though makes me want to disappear again!
    It's not masses of debt there are many in a lot worse place than me but i've never been here and it's hard not to dwell.
    I've had a letter from a credit collection agency saying i owe Vodafone £1000. I've had multiple different credit collection agencies phoning and texting on behalf of ebay. The buyers were reimbursed by ebay/paypal so i owe ebay just under £600.
    I always stayed away from credit cards or hp to avoid debt, my credit is none existent because i've never had credit. I always tried to be careful and not overspend.
    I have gone on a bit i know i apologize for that but thought if i was going to ask for advice i'd tell the whole story instead of just the money bit.
    I may have been followed home it was the most expensive phone you could buy at the time, it could have been someone i know or neither and was an opportunist! I would rather just forget and rebuild.

    Any advice on what i should do please to relieve this stress and anxiety would be greatly appreciate! Thank you.
    Originally posted by Mick.T

    Hi Michael

    Welcome to the forum and thanks for posting.

    I'm really sorry to hear about what happened to you with the burglary and what resulted from that. I'm glad that you're now ready to tackle the fall-out and we can definitely help you with these debts.

    The best thing to do would be to do a budget with us so that we get a good understanding of your finances; we can then offer advice about what debt solutions you could consider.

    You can do a budget with us over the phone or on our Debt Remedy tool; all the contact details of how to get started can be found here: www.stepchange.org/Contactus

    I hope this is helpful and we look forward to speaking with you.

    Allen
    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.
    • Springchicken66
    • By Springchicken66 8th May 18, 8:23 AM
    • 2 Posts
    • 0 Thanks
    Springchicken66
    Hi, i have been on a dmp (joint with hubby) for 8 years now, we have reduced out debt from around £50k to £20k. I regularly check my credit rating and all my debts have gone from there except from one with next directory to which i still owe £175 and is still showing on ny credit rating as a default, can i do anything about this?
    We are hoping to remortgage soon as paying rediculously high interest and could get a repayment mortgage for not much more than our current interest only, but i am concerned this default will affect us remortgaging. I would happily pay the £175 and clear it, but being on a dmp not sure if i am allowed to pay one and not the others?
  • StepChange_Allen
    Hi, i have been on a dmp (joint with hubby) for 8 years now, we have reduced out debt from around £50k to £20k. I regularly check my credit rating and all my debts have gone from there except from one with next directory to which i still owe £175 and is still showing on ny credit rating as a default, can i do anything about this?
    We are hoping to remortgage soon as paying rediculously high interest and could get a repayment mortgage for not much more than our current interest only, but i am concerned this default will affect us remortgaging. I would happily pay the £175 and clear it, but being on a dmp not sure if i am allowed to pay one and not the others?
    Originally posted by Springchicken66

    Hi there

    Welcome to the forum and thanks for posting.

    Debts should drop off your credit file six years after the agreement defaulted, so is this Next debt not on your debt management plan (DMP)? Was it taken out during the DMP?

    Paying the debt back won't remove the default, it would only mark it as paid; it would still be on there for the six years. We advise against paying individual creditors in full during a DMP as this would class as preferential treatment of one creditor over another. This could potentially result in your other creditors being unhappy and possibly stopping agreeing to your DMP.

    If the DMP is with us, I'd suggest calling our Client Support team who look after you during the DMP and they can discuss this with you in more detail.

    I hope this is helpful.

    Allen
    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.
    • Springchicken66
    • By Springchicken66 8th May 18, 6:54 PM
    • 2 Posts
    • 0 Thanks
    Springchicken66
    It is on my dmp same as all the others !!!128528;
  • StepChange_Kirsty
    Hi there,

    Thanks for your reply.

    As my colleague Allen mentioned, now that the default has been entered it will stay on your credit file for a period of 6 years regardless of whether you pay it in full now so our advice would be to leave it in place on your DMP. After 6 years from the date of default any record of the debt will be removed.

    You mention that youíve been on the DMP for 8 years now so Iím surprised the default has not dropped off already. Default notices are normally issued 3 to 6 months after you first miss contractual payments but by the sounds of things Next have not defaulted you for over two years. It might be worth checking the date of the default to see if itís about to drop off or you could make a complaint to Next to request they backdate the default mark to the date you initially started to miss the contractual payments. If this takes it to over 6 years ago it should then drop off your file automatically. You can find the Next complaints process here.

    I hope this helps.

    Kirsty

    It is on my dmp same as all the others !!!128528;
    Originally posted by Springchicken66
    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.
    • Spoony8
    • By Spoony8 9th May 18, 7:27 PM
    • 2 Posts
    • 1 Thanks
    Spoony8
    Starting to slowly go down a hole
    Hi guys,

    Ill give you a current run down of my financial situation and explain as to how i am starting to struggle to maintain payments and im not sure how i can start to recover.

    I am a home owner with about 35k in equity in my home. My total outgoings on bills are £1200 which are all paid and up to date.

    I have 3 credit cards which are all maxed. £8000 with Barclaycard, £3750 with Aqua (who have just raised the interest) and £2250 with Capital One. I make all these payments on time every month and they amount between £400-£450 per month.

    I also have a £2300 overdraft which charges daily interest of around £3 per day.

    And finally and the worst is that i have around £4000 in payday loans that i am barely able to keep up with. These are spread between 6 companies, i am paying off payments but having to shuffle and juggle payments around so that i can afford to pay them and survive for the month as well as keeping on top of the £1200 in bills and £450 in credit cards. I basically gradually top up the payday loan from one company to try and keep myself afloat and the interest down. My living costs are about £200 per month on top of that. I have no dependents.

    My income after tax is roughly £2500 per month, however in October/November i am due a back pay of around £3-4000 and i am due an increase in wage to 37K a year. Im not sure i can keep this up until then.

    Any advice would be appreciated as i have been looking at taking out a secured loan against my home but i have read thats a bad idea. My credit rating is just below average but is poor. I have no CCJ's or defaults on my account and not missed a payment for over 6 years.

    Please Advise

    Spoony
    • J_haines25
    • By J_haines25 10th May 18, 12:54 PM
    • 6 Posts
    • 0 Thanks
    J_haines25
    Mortgage Shortfall Debt
    Hi

    When my partner was 19 and his friend were 18 they took out a joint mortgage on a house. The friend lost his job but hid it from my partner and stopped paying his half of the mortgage. Letters about reposession came but again the friend hid them. They eventually lost the house and were left with a massive £75000 shortfall. My Partner has been paying £100 a month over the past 5 or 6 years towards this. No idea what the friend is paying (if anything). Over ten years down the line the debt (which is now ££67260) has now been passed to Moorcroft Debt recovery. I've read a lot of horrible things about them and am really unsure how to proceed. We have thought about offering £10000 upfront as full and final settlement but I have no idea how likely they would be to accept this.

    Any advice would be great.

    thanks
    Last edited by J_haines25; 10-05-2018 at 12:58 PM.
  • StepChange_Rachael
    Hi Spoony

    Welcome to the forum.

    Thanks for explaining the full situation. From reading the post I think itís clear that youíd benefit from an alternative option to deal with your debts as trying to maintain the minimum payments doesnít seem an option for much longer.

    I wouldnít suggest borrowing further as it rarely helps if the current minimum payments arenít affordable, especially taking out secured debt as the risk if payments are missed are much greater.

    Even though youíre expecting a positive financial change, itís still a way off. Instead of continuing to struggle to stay afloat, Iíd suggest speaking with a free debt advice service to explore suitable debt solutions based on your situation.

    Youíve mentioned that your credit file is at a relatively low rating even with maintaining the payments, its unlikely alternative debt solutions would have a huge impact on your current file if it's poor and credit files do generally improve overtime.

    To be able to provide accurate debt advice an advisor would need a good idea of your full financial situation. You can find a link for online debt advice and support here through StepChange.

    Thanks
    Rachael




    Hi guys,

    Ill give you a current run down of my financial situation and explain as to how i am starting to struggle to maintain payments and im not sure how i can start to recover.

    I am a home owner with about 35k in equity in my home. My total outgoings on bills are £1200 which are all paid and up to date.

    I have 3 credit cards which are all maxed. £8000 with Barclaycard, £3750 with Aqua (who have just raised the interest) and £2250 with Capital One. I make all these payments on time every month and they amount between £400-£450 per month.

    I also have a £2300 overdraft which charges daily interest of around £3 per day.

    And finally and the worst is that i have around £4000 in payday loans that i am barely able to keep up with. These are spread between 6 companies, i am paying off payments but having to shuffle and juggle payments around so that i can afford to pay them and survive for the month as well as keeping on top of the £1200 in bills and £450 in credit cards. I basically gradually top up the payday loan from one company to try and keep myself afloat and the interest down. My living costs are about £200 per month on top of that. I have no dependents.

    My income after tax is roughly £2500 per month, however in October/November i am due a back pay of around £3-4000 and i am due an increase in wage to 37K a year. Im not sure i can keep this up until then.

    Any advice would be appreciated as i have been looking at taking out a secured loan against my home but i have read thats a bad idea. My credit rating is just below average but is poor. I have no CCJ's or defaults on my account and not missed a payment for over 6 years.

    Please Advise

    Spoony
    Originally posted by Spoony8
    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 posting.

    Itís a tough situation your partner was left in and itís a long time theyíve been paying back the debt. Based on the debt total and if the £100 a month is all thatís affordable once household bills and living costs have been paid I can see why youíd want to consider other options like settlements.

    Whether a creditor will accept a settlement is completely up to them but you can certainly make an offer, the worst they can do is say no. You can find a link to advice on offering a full and final settlement here.

    A settlement will show a partial settlement on a credit file but all notes on credit files generally drop off after 6 years.

    If you decide to take this route and the creditor refuses or youíd just like to look at alternative options then you can contact StepChange for free and impartial debt advice.

    Iíd certainly suggest looking at an alternative option because the time frame for paying back the rest of the mortgage shortfall at £100 a month isnít really realistic.

    Take care
    Rachael

    Hi

    When my partner was 19 and his friend were 18 they took out a joint mortgage on a house. The friend lost his job but hid it from my partner and stopped paying his half of the mortgage. Letters about reposession came but again the friend hid them. They eventually lost the house and were left with a massive £75000 shortfall. My Partner has been paying £100 a month over the past 5 or 6 years towards this. No idea what the friend is paying (if anything). Over ten years down the line the debt (which is now ££67260) has now been passed to Moorcroft Debt recovery. I've read a lot of horrible things about them and am really unsure how to proceed. We have thought about offering £10000 upfront as full and final settlement but I have no idea how likely they would be to accept this.

    Any advice would be great.

    thanks
    Originally posted by J_haines25
    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.
    • Spoony8
    • By Spoony8 10th May 18, 4:42 PM
    • 2 Posts
    • 1 Thanks
    Spoony8
    Response
    Hi Rachel,

    Thanks for your reply, i will give you guys a call at the weekend when i return home.

    Many Thanks

    Spoony
    • MURPHY29
    • By MURPHY29 15th May 18, 11:22 AM
    • 13 Posts
    • 3 Thanks
    MURPHY29
    linked bank accounts
    Hello,
    I am trying to get prepared with a new bank account probably Yorkshire Bank (I need to choose an unlinked account to my debts) before I take steps to sort my debt going forward.
    My question is, I have credit card debt with MBNA and a joint bank account with a family member with Virgin Money - are they connected ?
    My name was only put on my mother's existing Virgin money current account this year, as a joint name to assist my mother if need be, I don't use it.
    I think I have had statements in the past around 2011 from Virgin Money / bank of America before they became MBNA with the same credit card account number .


    If I defaulted on my MBNA card would they go after my mother's account ?
    thank you in advance
  • StepChange_Kirsty
    Hi there,

    Thanks for your post.

    In order for banks to use the right of set off they must be registered as the same bank. MBNA credit cards are provided by MBNA Limited and Virgin current accounts are provided by Virgin Money PLC authorised by the Prudential Regulation authority. They also have different registered offices so it would not appear they are registered as the same bank.

    The Financial Conduct Authority (FCA) have said that banks should not use the right of set off between products with the same bank that have different trading names if it is not clear to the customer that they are the same firm. You should therefore double check the terms and conditions on the Virgin current account just to make sure there is no clause which says they can set off funds to MBNA products.

    I hope this helps.

    Kirsty

    Hello,
    I am trying to get prepared with a new bank account probably Yorkshire Bank (I need to choose an unlinked account to my debts) before I take steps to sort my debt going forward.
    My question is, I have credit card debt with MBNA and a joint bank account with a family member with Virgin Money - are they connected ?
    My name was only put on my mother's existing Virgin money current account this year, as a joint name to assist my mother if need be, I don't use it.
    I think I have had statements in the past around 2011 from Virgin Money / bank of America before they became MBNA with the same credit card account number .


    If I defaulted on my MBNA card would they go after my mother's account ?
    thank you in advance
    Originally posted by MURPHY29
    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.
    • MURPHY29
    • By MURPHY29 18th May 18, 1:56 PM
    • 13 Posts
    • 3 Thanks
    MURPHY29
    Hi there,

    Thanks for your post.

    In order for banks to use the right of set off they must be registered as the same bank. MBNA credit cards are provided by MBNA Limited and Virgin current accounts are provided by Virgin Money PLC authorised by the Prudential Regulation authority. They also have different registered offices so it would not appear they are registered as the same bank.

    The Financial Conduct Authority (FCA) have said that banks should not use the right of set off between products with the same bank that have different trading names if it is not clear to the customer that they are the same firm. You should therefore double check the terms and conditions on the Virgin current account just to make sure there is no clause which says they can set off funds to MBNA products.

    I hope this helps.

    Kirsty
    Originally posted by StepChange_Kirsty


    Yes thank you Kirsty, that does help.
    I also had my name removed from a joint saver account with a bank that I have other credit with, the saver is made up of 5 friends all sending a monthly amount of £20 and is drawn out every xmas. Do you think removing my name was enough it was joint as myself and one other friend.
    I really would hate any come back on the friends that save in that account,
    thank you again
  • StepChange_Linsi
    Hi


    Thanks for your post.


    A bank shouldn't be able to use the right of set off if you are no longer named on the joint savings account. If you're still worried I'd recommend checking the terms and conditions with the bank in question.



    All the best,


    Linsi


    Yes thank you Kirsty, that does help.
    I also had my name removed from a joint saver account with a bank that I have other credit with, the saver is made up of 5 friends all sending a monthly amount of £20 and is drawn out every xmas. Do you think removing my name was enough it was joint as myself and one other friend.
    I really would hate any come back on the friends that save in that account,
    thank you again
    Originally posted by MURPHY29
    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.
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