Recently unemployed with debts I can't pay

[thesixco]

Hello.

I'm recently unemployed with debts I cannot pay

10k Tesco,

10k MBNA,

8k Ikano Bank,

3k Tesco Credit Card,

1k boiler finance

A lot has been going on and I have three additional children with needs and am applying to be their carer as they are all now home-educated.

I don't think that I can make meaningful payments to the companies and have no idea what to do.

I've read so many great posts with great advice on here and hoped someone could help me.

I am in the very early stages of defaulting and have no idea how to approach the companies, or what to say.

I just worry they will expect payment immediately or a monthly payment that I can't afford.

I have done the income and expenditure and have a tiny amount left over.

I don't know whether to approach citizens advice, apply for a DRO, IVA.

I feel completely overwhelmed and have no idea what to do.

My payments will have their first default tomorrow. 

[dx100uk]

stop sweating..no-one can get blood out of a stone. these are all consumer debts and very very low priority.

please dont go in the BK/IVA direction ....never ever do an IVA or go BK on consumer debt.

at very very worst you could poss eventually go down the DRO route IF it applies to you.

i will guess, as you state you have 'yet to default' these debt are all still with the original creditors? and you are not paying any powerless DCA's on any of the debts?

per i think id invoke breathing space

Options for dealing with your debts: Breathing Space (Debt Respite Scheme) - GOV.UK (www.gov.uk)

however be VERY wary of these free debt charity orgs wanting you to enter into a DMP.

if after the end of breathing space it still looks like things will not improve (i'e employment) then i'd simply continue to NOT pay anyone.

once each creditor issue a default notice 

popback here and we'll have a think.

i would NOW get ALL your income paid into a parachute account. so no bank you are in debt to or one of their sister/parent companies can just snatch it.

you've found the debt self help forum

the more threads you read here the better.

but PLEASE dont let DEBT rule your life..throw the morality card out the window..they did the day you signed up to each!

play them at their own game.

dx

 

[thesixco]

Thank you.

Really appreciate you getting back to me.

I've now done both and will wait.

I've been reading as many posts as I can on here (and think what you do to help people is amazing) -

I just wanted to check something though;

I've opened s Starling account and used their switch service.

But then I read in a post not to have DDs in the parachute account.

I cancelled all the creditor DD's well before switching so the only ones being transferred are things like pet insurance, the mortgage DD and other things not in debt - is this okay?

[dx100uk]

sure it's your money . just take control on who gets their mits on it.