Debt Help

[nomore12]

Hi I’m currently in debt with roughly £4000-£5000 with loans and credit cards and old mobile phone contract bills. I currently don’t have a job but im looking for full time work or part time jobs everything,

 

I’m currently waiting for my job seekers to be sorted out I’m currently borrowing money to pay one of the debts off £30 a month but I really can’t afford to keep doing that. I was thinking of a debt management plan but the problem I’m having is. My girlfriend is having a baby in 2 months and we want to get our own place though the council due to the fact where we are living is an overcrowded place

 

and we can’t really live there with the baby due to the small bed room we don’t really have a choice but to move. From what i understand when you do an DMP you have to write down your income and outtake from money you get but as i say that will all say in 2 months that will all change and from what reading on the internet it seems to be a pain in the rear end to get debt collections people to accept the new DMP when i change it i do not have many assets

 

was thinking of going for the Debt Relief Orders option which seems to be best for me as im really struggle with paying these debts off am trying my hardest to look for work and if anything changes in the up coming mothns then ill be happy to make any payments what so ever per month

 

but i have sent cvs out and letters out looked on websites for jobs and im struggling at the moment

 

Would a Debt Relief Orders be best for me could you give anything advice on this subject or a DMP?

 

was also thinking of writing to the companys asking to write off the debt or to accept token payments. i suffer with really bad depression and im just really unsure what to do. last time i went to doctors i was signed off for work for upto 5 months till i felt better. then i lost my jobs many months ago due to relationships issues. and then was signed off for 5 months again.

 

dont think if it was for my My Daughter i would of gave up long time ago

 

but seems whatever direction i take im going into a brick wall. i dont have money to either live on these days most of it is borrowed from family friends etc so im really unsure what to do.

 

 

so any advice would be much much appreciated

Edited February 7, 2011 by nomore12

[wackyone]

write to all your creditors and offer £1 token payment per month. explain your on benefits and at this time that is all you can afford, they will either accept it or not but it is worth a try. your benefits will be back dated to the date you started your claim. do you bank with one of your creditors???? or an associated company??, if so move to another bank as they can and will take a payment directly out of your account.

[nomore12]

Thank you for the reply,

 

No I don’t bank with one of the companies,

 

I made a new bank account, have no direct debts or stand orders as I thought that was best to do,

 

After reading other posts while I looked around this site after making my post I did find letter templates and read advice and yes £1 token payment per month does seem the best option to take

 

I have wrote a letter out and will be forward to the companies in the morning.

 

Just few more questions... Most of my debts are been forward to debt collection services/ agencies

 

Do I need to send the letters to the debt collection agencies as well or to the creditors? i.e. credit card company, loan company etc

 

one of them I failed to keep up the minimum payment due to the problems in my above post, but the rest I have been telling them I have no money and waiting for benefits to come though and some have been nice in giving me some “space” but now that space gap has gone and all debts have been forwarded to debt collection services/ agencies

 

advice would be much appreciated

[Cadbury1879]

Hi NM

I would speak to National debtline, look at the options a DRO may be the best option, or a DMP.

The rule is DO NOT speak to anyone over the phone, all they want is to do is harrass you enough to pay money, that clearly you cannot afford.Send letters to whoever is dealing with the debts.

Concentrate on the priorities Rent, food etc.

Best of Luck

Cadbury

[nomore12]

Yes that’s all I seem to be getting them harassing me over the phone trying to take payment from me after telling them number of times I have no money and what annoys me is ringing me 24 hours asking later asking if I have any money.. What the heck... come on.. Just makes me laugh to be honest I mean honestly how the heck would I get money or jsa in a day lol? Either when i get job it takes 4 weeks to get paid just getting fed up with the harassing calls myself..

 

just getting fed up with the calls to be honest,

 

today was a bit stupid i got 3 letters from the same debt collection agencies

one was a bill of £416 ,2nd letter said £516 then 3rd letter said £416.. so no idea whats going on and the letter says thank you for contacting us. I aint contacted them. Aint either spoke to them since i told the credit card company i will be sending a letter to information them of my income and outcome.

 

Yep “Cadbury” you are correct they do bully you into paying what i don’t have. I have fell for that trick a few weeks ago and bascally got the story of.. oh we wont charge your account we will just run it though the system and it will check if you have money in your account if it accepts you wont get bank bank charges and my reply was but ill get an over draft fee etc etc and in the end i just gave up. And they took £10 out of my account which in result overdrew me and got bank changes left right and center.

 

Just hope these creditors take the offer of £1 token payment per month as it would give me time to clear a little money towards my overdraft which they bullied me into paying something i didn’t have. And just give me some air to breath and try to get my life on track

 

i wil be ringing the National debtline tomorrow before sending any letters out to see what advice i can get. A DRO or token payment seems to be the best option to me though. Other then asking them to write off the debts but honestly can’t see that happening.

[nomore12]

Just an update

 

I spoke to CCCS and I must say very friendly people and very helpful and basically said I was right to send them a letter with an offer of £1 token payment per month due to being on benefits and a letter saying to freeze interest and charges so that the debt does not increase further.

 

So just the waiting game now I guess to see what letters I will get back,

 

Least I can sleep better now and not worry too much due to the advice I got from CCCS,