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Hi Everyone,

Just looking for some advice on the above please?

I have not worked since April due to illness and it doesnt look like ill be back at work anytime soon.

I have quite a few debts as i had a good job and good salary when i was working.

I havent paid any of my debts since May

i have now hit 6 months with no payments.

I have sold my house as managing the mortgage was also a hindrence due to my current situation,

i have some money that i have from the sale of the house, its probably about 70% of what i owe out.

I just want some advice on how i should approach the above.

Some of my debts havent defaulted yet,

should i wait til they have,

should i offer the companies now,

should i wait longer,

im currently at a loss as i dont think my situation will change soon

but i also feel a lot of stress due to the situation as its a situation i have never been in before and want to try and remove it as soon as possible.

I havent communicated anything to any of my creditors yet

which i know is wrong

but i just havent known how to face this situation or where to start.

Thanks in advance for your replies and help

Debts are currently 40K and are all unsecured credit card debts.

well don't go rushing to pay anyone.

can you list your debts please

Original Creditor

type of credit

who owns the debt now?

outstanding balance

defaulted date

go look at you credit file too

Lloyds credit card 8000 - wescot

Lloyds OD 2000 -wescot

Cap One Cc 12000 still with cap one

Barclay card 5000 still with Barclaycard

MBNA 7000 still with MBNA

Very 3000

Three 500

I think only the Lloyds is defaulted so far and maybe MBNA

Well ignore wetcloths totally

They don't buy debts

Take out dates please

I’d say MBNA and lloyds around 2007 maybe and

then the Barclaycard was a Passover from egg,

very maybe 2 years ago

capital one probably 2008-2009.

Three a year ago.

send all of 'em our offer letter of £xx for xxmts

if they freeze all charges and interest

its in the debt collection section of the library

Hi. Sorry I clicked on the link but it just takes me to a forum that doesn’t have any posts

that's because they are letter templates...

find the one I pointed too

I got it in the end, wouldnt work on my phone so has on my laptop, thanks,

Is it worth CCA'ing any of these do you think?

typically if they are with the OC's still no.

under FCA rules they must help you.

get those letters running.

I will. Thanks again.

Check your credit file, and ignore wetcloths entirely, deal direct with Lloyds.

Keep a diary of events also, and have yo the running history of those Lloyds accounts? Esp the O/D, have you reclaimed any of the fees/charges if there are any?

I haven’t got a run of the charges or anything in all honesty.

I logged onto the online account but it looks like it’s now been taken off there.

I saw a template in the documents section that’s asks for a refund of charges etc since hardship and was contemplating using that to try and get some refunded if possible. Do you think that would help?

I would send an sar first

dx

Sorry im not fully up to speed with this. what will that give me in terms of what i would need it for?

all the statements

When you are suffering from ill health, the last thing you need is a load of stress from worrying about your debts and how to keep paying each month.

I think it would be far less stressful for you if you write a letter to each creditor and inform them of your ill health and that you currently have access to some funds and you would like to offer a settlement payment in full and final payment of the account, and can they please provide you with a figure that they would be willing to accept as a full and final payment to settle the account, close it and mark the balance as ‘0’ on their internal records and your credit files.

Do you know if there is an PPI on the accounts/agreements?

If your ill health is not likely to improve in the future, the funds you have available now might not be available and if you default on the accounts your creditors will pass the matter to debt collection agents and they will make your life a living hell, they have no power but they will ring your phone off the hook and bombard you will letters chasing the debt.

Sooner or later the accounts will be sold and the new owners will commence with court proceedings to recover the debt, this will cause you untold distress and increase your liability, the end result could be CCJ’s against you and this will ruin your credit worthiness, but moreover, your health will suffer further because of this.

It is clear that you are trying to be pro-active so as to avoid the above-stated action, and it is clear that you are not trying to welsh on your debts.

Simply ask your creditors, by writing to them, how much they will accept in full and final to settle the account, when they respond with a figure, you can then write again and tell them you can’t afford that sum but you can offer £xx and ask them if they will accept that in full and final.

Keep all negotiations on full and final in writing only, do not agree a figure over the phone, and do not send any cheque payment until the creditor has stated his agreement to the amount he will accept in full and final in writing.

As stated by another (site team I think), ask your creditors to freeze all interest and charges on the accounts while you negotiate a full and final settlement agreement with them.

Happy New Year

Haunter

There is no need to go cap in hand informing your creditors of any ill health, that's none of their business!

As for DCA's, CCJ's, and any other scare mongering story, you're miles away from that yet.

Just get all of the statements and start from there.

There must be a genuine reason for seeking a full and final settlement payment with a creditor, the valid reason must be communicated to the creditor otherwise the creditor is not obligated to provide any help to his debtor.

Aneb has a health condition and she has said that her position is not going to improve in the near future, she has some funds available and she wants to settle her debts so that she doesn’t have to worry about them, this is the purpose of her thread/case posted here.

Her creditors will want to know why she is asking them to accept a lesser amount in full and final payment to settle the accounts, ill health is a genuine reason and this should be communicated to her creditors who will then be obligated to assist with the change in her financial position which has come about through no fault of her own.

It has already been suggested (by the site team) that aneb should send a template letter asking for interest and charges to be frozen on the accounts due to ill health.

There’s no ‘scare mongering story’ posted by me, DCA’s and court proceedings may be a while away, but this will happen, and aneb is trying to avoid that and all the severe stress it brings, by being pro-active while she is in the position to negotiate a settlement with her creditors so that she can concentrate solely on her health condition.

Dragging the matter out by sending subject access request and not informing the creditors of her health condition, will only cause stress to aneb, and her creditors will get the DCA’s involved immediately and soon afterwards they will sell the accounts and the new owners will get very aggressive in their pursuance of her for the debt, interest and charges will be added to the account each month, her liability will increase.

While all this is going on, the funds that aneb has available now will reduce, she is not currently working due to ill health and so those funds will be used to support her living requirements, and she will lose the opportunity to settle her debts, which will completely defeat the purpose of why she posted here in the first place, that is, seeking practical advice on full and final settlements.

Aneb, do you know if there is any PPI on the agreements?

Haunter

Court proceedings won't automatically happen, that's tosh!

Practical advice is to send a SAR, get the FULL rundown of the accounts, then using the hardship rules reclaim any fees and charges to reduce the amount owed.

IMO F&F offers are rarely accepted unless there is something wrong with the paperwork side, and OC's are unlikely to accept a F&F payment.

It has already been suggested (by the site team) that aneb should send a template letter asking for interest and charges to be frozen on the accounts due to ill health

No it hasn't, DX hasn't mentioned the OP divulge anything of the sort.

Dragging the matter out by sending Subject access request and not informing the creditors of her health condition, will only cause stress to aneb, and her creditors will get the DCA’s involved immediately and soon afterwards they will sell the accounts and the new owners will get very aggressive in their pursuance of her for the debt, interest and charges will be added to the account each month, her liability will increase.

That is scaremongering, DCA's are powerless, they are NOT bailiffs, and when accounts are terminated, NO further interest or charges can be added, that is a DCA's fantasy.

I have already said DCA's have no power. I'm not scaremongering at all.

I'm talking about the new owners if the accounts are sold, they become the creditor.

Original creditors do accept full and final settlements in in genuine cases, such as ill health for example.

The creditor will not freeze interest and charges on the account simply because his debtor asks him to, he will want to know why, and telling him that you are suffering ill health is a genuine reason and the creditor must then help his debtor.

Haunter

We would prefer to stick to the tried and tested CAG methods for now please Haunter

we can bring in the health later if things get sticky