Where to start?

[Maverick66]

Hi all,

Don't know where to start.
DH and I have £7,000 in credit card debt.
DH is self employed.

We have weathered the recession but this debt is the price we have paid.

We just couldn't make the payments anymore and went to see a free debt advisory service in our town.
Debt advisor has been working with CC company for six months now all to no avail.

We wanted to offer a reduced amount in full settlement but Company won't accept this. Debt adviser has been next to useless and has now handed all to Step Change.

However I have been getting letters from CCard company advising the next step is to hand all over to a debt collection agency with County Court to be involved.

Can they do this if we have been trying to work with them?

One of cards was owed £5,000 when we first went to see adviser. We offered £3,500 in full and final settlement which they rejected.

Where do we go from here?
Will bailiffs appear at my home?
Is my name now going to appear in Stubbs Gazette?

[NickyEds]

So have you missed payments or are you just at the point of struggling to make them? What is your credit rating like? Any chance of a loan to cover them or, even better a balance transfer?

[Maverick66]

Thanks Nicky for replying.
We have missed payments because we gave control to debt adviser. She was negotiating on our behalf with a view to hopefully getting interest reduced or stopped.
We made an offer of £5,000 in full and final settlement but they wouldn't accept it.
Prior to this we had an excellent credit rating as we had never raised an unpaid debt in 30 years. Because of this default we can't get a loan.
I am unemployed, so as the credit card was in my sole name, I didn't qualify for a 0% or low interest credit card.
We would have transferred the balance and paid it if this way if that option had been open to us.
DH is self employed in construction industry prior to recession we had a very healthy business.
We had no money worries and I chose to stay at home to rear our family.
Now I find myself with family reared and a debt which is raking up interest

[NickyEds]

Do you bank with the same bank that holds your credit card? So do you run a (for example) HSBC current account, mortgage and the credit card? Was it a CAB debt counsellor? I'm completely at a loss as to why the cc company wouldn't accept a payment plan in your situation- they could end up getting less and over a longer period of time if it does go to court.

If they have handed it over to a debt collection agency they will certainly accept a reasonable re payment schedule.

[Maverick66]

It wasn't a CAB Counsellor but it was a government funded Debt Counselling service.
At all times it was our aim to engage with credit card company (M&S bank) with a view to some sort of repayment arrangement. We have made them 3 offers. We have had cc for ten years and never had so much as a missed payment.
I have spoken with debt counsellor again and she said she has now referred it to Step Org.
I received a letter yesterday from M&sS bank telling me if I did not contact credit card provider within 48 hours that it was going to refer it to Debt Collection agency and/ or County Court which may result in someone calling at the house to take goods to value of debt without giving us any prior notice.

[Fluffycloudland77]

There's a money matters section on here, their better at this than us, post there.

Money saving expert is excellent too.

[Lovefromhull]

Please do look at money saving expert forums. Some very knowledgeable people there. I am sure that it can't escalate to bailiffs this quickly. Good luck.

[Maverick66]

Thank u fluffy and love.