Facing up to the problem

[bryony84]

Postive turned to negative when I got in from work and found a £200 electric bill for the last quarter on the doorstep. Talk about kicking me while I'm down. No idea if we're going to be able to pay it. Not sure what to do for the best.

 

All me and my bf have done this evening is argue about money!

[sequenci]

Postive turned to negative when I got in from work and found a £200 electric bill for the last quarter on the doorstep. Talk about kicking me while I'm down. No idea if we're going to be able to pay it. Not sure what to do for the best.

 

All me and my bf have done this evening is argue about money!

 

who is the provider?

 

remember, electricity = priority debt so you need to treat it as such.

[bryony84]

Provider is EDF, its our final bill from them as we have now switched to EON which worked out cheaper and we are paying monthly from now on.

[sequenci]

Well if you have switched you will then treat EDF as a non-priority debt, just like all your other creditors so no problems there. Just make them a pro-rata offer too! Be aware that Eon are pretty damn expensive in my experience, keep an eye on those bills going forward

[bryony84]

Help! Added up my payments due this month and I have nothing left to live on! Do I not pay the non priority debts so that I can afford to eat? I was planning to CCA the creditors first but I'm now thinking that it may be better just to set up a payments plan now (I assumed in setting up a plan, I would be acknowledging the debt therefore CCA afterwards would be pointless).

 

On a side note, EON appeared to be cheaper when I switched - have I made a mistake? Can you recommend a cheaper supplier? EDF was costing about £65 a month and EON is £54. We have a 2 bed maisonette, everything electric.

[dpick]

(I assumed in setting up a plan, I would be acknowledging the debt therefore CCA afterwards would be pointless).

 

Hi bryony84 the CCA would not be pointless what you get from the request is do the creditors have a legal right to collect on your debt, it does not matter if you have previously acknowledged the debt it is are the creditor/DCA legally entitled to collect the debt. Morally you should of course pay these debts but and this is a very big BUT have the creditors treated you as a human being. With my debts I had four creditors that had treated me like dirt, all the phone calls letters etc, of these four I found that three did not either have an agreement or the agreement was unenforceable so I told them to bog off. With the forth there were so many charges that when I reclaimed them it cleared the debt.

 

all the best dpick

[bryony84]

One of my main creditors - Virgin CC (MBNA) who I owe £2500 to have treated me very badly and are currently charging a ridiculous amount of interest, they pile a bit more on every so often yet continue to increase my credit limit and send me credit cheques and offers of loans etc. They are the main ones I wish to CCA as I believe their conduct has been unfair and at the current rate of interest, I will never pay off the debt.

 

My credit card with LLoyds is an interesting one because when I got the card it was MoreThan which then got changed to a Lloyds platinum card a few years ago. Interested to CCA them to see what I get.

 

My other debts are with Egg, Ikea and Currys - Currys pushed me into getting the credit which I wasn't happy about, Ikea I don't really have a problem with and Egg have always been pretty good. I'm not sure whether it is worth CCA-ing currys as I got the credit after April last year.

 

I will send off CCA letters at the same time as I send my payment plan requests in the above is the case, otherwise I risk getting into more trouble first. The only thing I'd like to ask, if I cancel a direct debit on my online banking, does that mean they cannot take it? I'd rather set up direct payments so I can choose the amount to pay.

[sequenci]

Bryony, I would advocate standing orders any day of the week

[bryony84]

Thanks, I know a lot of people do. Just concerned that just canceling the direct debit with the bank isn't enough and they might take the money anyway!

[sequenci]

Thanks, I know a lot of people do. Just concerned that just canceling the direct debit with the bank isn't enough and they might take the money anyway!

 

Is the bank linked financially to the debts?

[bryony84]

No, the only one they are linked to is a standing order for an £800 loan. I am waiting for my A&L account to be set up so I can pay everything from there instead. I am hoping to get the paperwork through early next week.

[bryony84]

Well my CCA requests were sent 26/04 and the DMP requests 28/04 and all I have had since then in the post are 2 letters from egg re credit card and loan, both saying your direct debit has been cancelled. They are saying that it is in the conditions for the loan/card that a direct debit must be set up! The only other thing I have recieved is an envelope from Natwest containing 1 page with terms and conditions of my current account on. I have no idea why they sent this as it has no accompanying letter and I havn't sent them anything regarding that account. I can only guess it is because I got a new account with A&L!?

[reddarla]

Have read your thread with great interest, just wanted to say I was in a very similar situation. My debt and lack of disposable income was affecting every aspect of my life, my relationship was crumbling (it still not great, but at least it's not about money so much now!).

 

I stumbled upon this website whilst looking into some kind of financial solution, and have read avidly every day since. I have entered into a DMP, sent CCA requests and am far more clued up than I have ever been.

Life is slowly, but steadily getting better.

 

So, I just wanted to say, keep your chin up and the very best of wishes to you.

[bryony84]

Thanks for the words of support, my DMP doesn't seem to be getting through into the banks heads. All I've had so far are letter telling me my direct debits have been cancelled, which I know. Today I had 2 more of the same letters from Egg as I had yesterday!

 

I also had an email from them saying:

 

Please contact us immediately to discuss your Egg Loan account.

 

It's very important that we talk to you about your current situation to try and avoid any further action being taken on your account. Please call the Egg Loan Collections Team on 08456 000 296 without any further delay. However, if you have already spoken to us today, please ignore this message.

 

I don't want to call them but it doesn't look like they are giving me much choice!

[reddarla]

I have read several other posts advising to keep everything to written correspondence and do not speak to them on the phone, I know it is easier said than done!

 

I received a similar letter from Capital One, probably in response to contact from Payplan (whom I entered into a DMP with recently) and/or CCA request. I have also had contact from a few other creditors and DCAs but shall direct them to Payplan in writing if they persist and log a complaint. That is a plus side of authorising a company/charity to act on your behalf, I shall keep close tabs on what is happening and am ready to perk up should the need arise (armed with my new CAG knowledge!)

 

Sorry, feel like I have hi-jacked your thread! Would like to be able to offer some advice but can only offer my experience so far.

Edited May 7, 2008 by reddarla

[bryony84]

Thats ok, I considered payplan but wanted to be in control of everything that was happening, maybe that was not such a good idea! I assume that the communication from Egg is in regard to the cancellation of the direct debit as they havn't mentioned my DMP letter in any of their communications.

 

They have all said however, that I have to have a direct debit set up, can they do this? Surely so long as I am still paying, it should be ok. At the moment I can't pay what I owe for this month as they will only let me do it by debit card whilst setting up a d/d at the same time!

[bryony84]

Argh! Egg are really starting to annoy me. They don't provide any details for me to send a bank tranfer for my payment so I tried their online payment service which wouldn't work and in the end I had to call their collections department to pay. Obviously the girl on the phone questioned why I wasn't paying the full amount and I explained I had sent a letter covering this. She told me that they have not recieved the letter and if I want to set up a DMP I would have to have a conversation with a collections agent. I explained that I wanted to do everything by letter, but she said that it was not possible! Grrrr

[sequenci]

Argh! Egg are really starting to annoy me. They don't provide any details for me to send a bank tranfer for my payment so I tried their online payment service which wouldn't work and in the end I had to call their collections department to pay. Obviously the girl on the phone questioned why I wasn't paying the full amount and I explained I had sent a letter covering this. She told me that they have not recieved the letter and if I want to set up a DMP I would have to have a conversation with a collections agent. I explained that I wanted to do everything by letter, but she said that it was not possible! Grrrr

 

Hang in there!

 

Egg are actually one of the best firms out there for being reasonable. Ask them to supply you with a copy of their complaints procedure if they make things difficult for you. They are duty bound to do so under The Consumer Credit Act 2006.

[bryony84]

I always thought they were until now, but they seem to be putting the most stumbling blocks in my way. I'd really rather not have to do anything over the phone, I like writing letters, whereas I hate talking to a stranger I can't see about things like this.

 

The woman on the phone also said (extrememly quickly so I could barely catch it) that DMP arrangements are subject to default and could stay on my credit file for up to 6 years. Is this going to be the standard procedure for all the banks? Does it mean I would have bad credit for 6 years, or would it improve gradually if I got no other negative entries after that?

[sequenci]

I always thought they were until now, but they seem to be putting the most stumbling blocks in my way. I'd really rather not have to do anything over the phone, I like writing letters, whereas I hate talking to a stranger I can't see about things like this.

 

Carry on dealing with them in writing, never via the telephone. If they say they will only deal with you over the 'phone CHALLENGE them. Mention that it would be a clear breach of guidelines that they should be following, request a copy of their complaints procedure to be sent to you, I'm sure they will soon change their tone.

 

The woman on the phone also said (extrememly quickly so I could barely catch it) that DMP arrangements are subject to default and could stay on my credit file for up to 6 years. Is this going to be the standard procedure for all the banks? Does it mean I would have bad credit for 6 years, or would it improve gradually if I got no other negative entries after that?

 

If you make reduced payments on your agreements the creditors are more than able to default you as you have not kept to the agreed terms of the credit agreements. These can stay on your file for six years. It is likely that the default would affect your ability to get credit although a credit score is only one of many different factors a potential new creditor would take into consideration.

[bryony84]

Ok, thanks. The girl on the phone said it wasn't possible to set up a DMP without a phone conversation and wouldn't listen when I said I wanted to communicate by letter only. She told me someone would call so when they do, I'll tell them that.

 

Hopefully the credit rating won't be too much of a problem as I don't plan on getting another loan or credit card. The only things that bother me are getting a morgage in a year or 2 and mobile phone contracts, even though I have never missed a phone contract payment.

[sequenci]

Ok, thanks. The girl on the phone said it wasn't possible to set up a DMP without a phone conversation and wouldn't listen when I said I wanted to communicate by letter only. She told me someone would call so when they do, I'll tell them that.

 

i know this is a mean trick but when they call tell them that 'The Financial Ombudsman have asked me to record all my calls with you to use them in a formal complaint, do you mind being recorded? why will you not let me correspond in writing? The FOS are interested to know'

 

a little harsh but quite fun too.

 

Hopefully the credit rating won't be too much of a problem as I don't plan on getting another loan or credit card. The only things that bother me are getting a morgage in a year or 2 and mobile phone contracts, even though I have never missed a phone contract payment.

 

well now isn't the best time to buy a house anyway!

[bryony84]

Lol, bit of their own medicine never hurt I guess!

 

And no, you're quite right - I wouldn't want to buy a house now, and nor would I be able to. I hope to be able to in a few years though, and I know my boyfriend would like to in a year or so.

 

At the moment I am sorting out the finer points of a business idea I have been working on since I finished uni 2 years ago. Its all coming together really well and hopefully I will be able to improve my outlook for the future! Otherwise I'd never be able to afford to own my own house on just the low wage I get now!

[bryony84]

Bit of an update. No reply to CCA letters from LLoyds or MBNA so those accounts are now in dispute as they have gone over their first 12 (+2) days. Letter from MBNA day before yesterday saying I can't use my card anymore (not that I would) and they want me to cut it up and send it back. No mention whatsoever of my CCA request.

 

Egg have been calling several times a day. Their collections department don't seem to read account notes before they call so they keep calling me re the remains of this months minimum payment (after I paid my pro rata amount) and I keep having to tell them that I am arranging a DMP. They finally acknowledged receipt of my DMP letter but insist that I have to have a conversation about it. I asked the girl on the phone last night what the reasons for this were as I have stated everything in my letter and she said she didn't know!

[bryony84]

Help! I was just looking through my budget and realised I missed something off - this means my amount to give out to creditors is quite a bit less, not sure what to do!

 

Also I got my Virgin CCA and although it has a signiture on, it is a very bad copy and it is very hard to read the typing.