HELP PLEASE!! we have a DMP with CCCS and this debt is being paid with others every month however last month the payment was late due to bank error so they received two this month!! Advised 1st credit by email as CCCS advised but this morning received letter from Connaught Collections threatening Bankruptcy!!!! We are paying everymonth through CCCS and are responsible dealing with our debt issues (or so i thought) so why do this? Dont know what to do next as dont want bankruptcy - please help ?!

Hi there - really could do with some advice here... my disabled godmother managed to get herself into serious debt over the last few years without any of us knowing until recently. Subsequently, lloyds bank and capstone forced sale of her home which left her with nothing. Have called all creditors to offer to pay a nominal amount as full and final settlement of the debts (as advised by CAB) but lloyds (3 credit cards and an overdraft) and littlewoods (2 catalogues) in particular seem reluctant to accept anything other than the full amount even though i have explained she has nothing!!! We are looking into how she managed to get this much credit when she has never been able to work and has been physicallly disabled from birth and solely survives on disability benefit. The only thing we have found out is that Capstone paperwork was witnessed by a dead person and they had her occupation down as cleaner who earned £2000 pcm!! Any advice on any of this would be great!!!!!!!!!!!!!!!