Finally sorting my life out - Debt related

[mack187]

Good Morning all,

 

This forum has been invaluable to me over the years.

 

Through various circumstances I have allowed debts to go into default and never really saw any light at the end of the tunnel. I now find myself in a position where I could pay off my debts within a year or two and just wanted some advice on how best to tackle them.

 

The debts in question are:

 

Lloyds TSB Loan - £4,057 - In default

Lloyds TSB Credit card - £1,468 - In default

Egg PLC - £259 - In default (6 years)

Natwest account - £1,010 - In default

 

Can you advise on the best way to make offers on these as I have about £300 per month that I can afford. I basically want to start re-building my credit rating so I can provide for the future.

 

Any views are greatly appreciated.

 

Mack

[silverfox1961]

Hi

A few questions first

 

How old are the debts?

Is the Natwest account a bank account gone into overdraft?

Are any of the debts with DCA's?

Do you own property?

Are there any late payment or overlimit charges on the loan/credit cards?

[mack187]

Hi Silverfox,

 

Thank you for the reply, I have answered the questions below:

 

How old are the debts? Mostly between 2/3 years with the Egg one being 6 years this month

 

Is the Natwest account a bank account gone into overdraft? Yes it is, it is being dealt with by Fredrickson and I have made a part settlement offer.

 

Are any of the debts with DCA's? Egg is still with Egg, is was passed back from Arc after they failed to respond to a CCA request. Lloyds ones are with BLS and the Natwest is with Fredrickson. I have tried to make offers but they tend to demand the full amount.

 

 

Do you own property?No

 

Are there any late payment or overlimit charges on the loan/credit cards? I have been quite good at claiming most of these back so I don't think their are any that I am owed

 

Thanks

 

Mack

[silverfox1961]

As you (probably) know, your defaults will fall off after 6 years and making payments in F&F settlement will do very little to change that so I would suggest that you carry on making your normal payments and put the rest into a savings account then when you have enough (around 50% of each debt), offer that in F&F. If they refuse, go on to the next one. At least you would get a pitiful amount in interest

 

As for Egg-these accounts are now with CitiFinancial who are notorious in failing to supply agreements. If you haven't put this account into dispute, you could do so. This tends to make them sit up and puts you in a stronger position to offer and for them to accept a F&F.

 

Have you seen these

 

http://www.consumeractiongroup.co.uk/forum/content.php?609-Can-t-find-the-letter-you-want-Look-here

[mack187]

Thank you for the link, I will have a look at these tonight and send the appropriate letters.

 

I think your advice about paying the normal amount for now and then making F/F offers further down the line is probably wise.

 

Thanks again