To think I've really messed up

[weltonn]

Got a scary letter from the bank today over an unpaid credit card debt. I'm ashamed to say I totally buried my head in the sand and avoided it until now.

I suffer with crippling anxiety due to other issues unrelated to my debt and have totally struggled to talk about the situation I've gotten myself in. However, I know this is the worst way to deal with it and need to get it sorted once and for all literally for the sake of my life, as I've often had suicidal thoughts because I just cannot see a way out.

I've now been told I've lost my right to pay in monthly instalments and that they will sell my debt elsewhere who will then demand the payment in full or take me to court.

The ironic thing is, I work in finance doing admin and would lose my job if I ever got a CCJ.

I'm terrified and feel so stupid for letting it get this far. I just want it resolved. Is it too late though? My job is at risk

I think I've really messed up this time, haven't I?

Phone the bank in the morning.

How much is it?

@FourDecades it's a £1000

Call them. It’s always terrifying but if you speak to someone you will a. Have a little more control of the situation b. Be being proactive and c. It will seem a lot less scary once you’re dealing with it. It is so hard to make that initial phone call but big girl pants on while the phone rings and even if it’s difficult it will still be so much easier once it’s being dealt with

@Isthisnothing Is it not too late though?

Money is so so hard to talk about. This doesn't make you an awful person and you can sort this. Call them and see what you can negotiate

Call them and find out. If you don’t in your head it may be. And maybe it is, but if you speak to them maybe it won’t me. £1,000 is a lot when it’s personal but in the grand scheme of things is sortable.

@user1473878824 I'm just worried there's nothing else they can do now. The thought of bailiffs makes me feel so scared. I've been so stupid.

@BetterEatCheese It is. I try to block it out because I'm depressed about it day in and day out. But I know it will only get worse if I don't try to fix things

Have they left any options open to you? - e.g. making a part online payment today.
When you call them tomorrow can you make a partial payment?

If they sell the debt to debt collectors you can try asknto pay them in installments there will be more interest obviously but if you literally cannot pay in full right now its not the end if the world. Most debt collectors are happy to work out a realistic payment plan. Its less work for them then having to chase you through the courts and and possibly have to sell the debt later on themselves if they cant collect

@SynchroSwimmer Unfortunately not. The only money I have is about £15 and that has to last me a week. I have nothing substantial that I can even offer them and my family won't be able to help me either god it's so shit.

Saying you've lost your right to pay in instalments is just a tactic. In actual fact, they are obliged to accept your debt repayments of whatever you can afford. Or if they do transfer your debt to a debt collection company, they will have to do the same. This is not a CCJ by the way. It would have to be a court summons to be a CCJ. All you have to do is communicate with them and be prepared to discuss your incomings and outgoings in order to come up with a reasonable repayment plan. Please don't worry.

So that’s why you talk to them. If it’s going to be bailiffs, find out. But once you do it’s more likely they’d rather settle your debt with you. It’s incredibly hard but it’s got to the point to you have to face it and try and get the best conclusion but most importantly, remember this moment and not get into the situation again. I promise you once you talk to them it will be so so so much less terrifying because you won’t be guessing what’s going to happen.

Call them and offer what you can afford to pay. If they pass it to a debt collection agency it will cost you more in fees etc but you're still a long way away from a ccj

I defaulted on a credit card once and my debt was sold. I repaid in instalments, £15 a week, for a long time. They want the money, they will accept a plan. You have to screw up the courage to talk to them, but once you have and you agree a plan you can keep to, as long as you continue repayments it's ok. Your credit rating is fucked for a while, but it's ok. And you learn from it!

That's not how unsecured debt works. They are trying to frighten you into paying.

It's an unsecured credit card debt, which is still with your primary lender, you are a very very long way from bailiffs I promise.

Call them, or get someone to call them on your behalf (you have to speak to them to pass security, but it is literally your name, address, dob type thing).

They want you to pay something, if they sell the debt on, they may only get a few hundred pounds against face value of 1000. This is why they are trying to frighten you into paying - if you read the letter closely, I bet it says something like ' we will pass the debt to someone who MAY demand payment in full/not allow instalments'.

Work out what you can actually afford to pay them each month, DO NOT OVERPROMISE! So many people feel they have to offer something higher than is realistic, and fail to keep to the agreement.

If they don't like your offer, they should offer to do and income and expenditure with you - again, DO NOT UNDERESTIMATE how much you spend on stuff, you won't be able to keep up the agreement if you tell them you have more surplus cash then you do. As long as your figures are realistic (ish) they have to accept what you tell them.

Feel free to pm me if you are panicking, it will be ok as long as you contact them xx

For that amount which is relatively small, Bailiffs are likely to ask for part payment then the rest in instalments. If you're really skint & they realise that by looking at your home & /or other debts,that part payment isn't realistic,then a payment plan alone will be agreed after they ask about incone/outgoings. Try not to worry & tell whoever contacts you re your MH issues as they'll take that into account. There's also a 6weeks grace period after you talk with them, before your agreement with a debt collection agency sets in, usually. I was contacted again before the 6weeks & then got an apology & a cheque for £100 off Capquest Debt Collection explaining the 6week thing.

Sounds like you could do with some support. Citizen's Advice may help with sorting out debt, so will Salvation Army Debt Advice Service or local churches running CAP courses. They may be able to make calls and negotiate on your behalf if that would help.

Thanks @pinkandstripey. Yes you're right, it did say they may demand in full or take me to court. I've never had a letter of this type before

You are miles off a CCJ. Let them sell on the debt then negotiate a monthly repayment plan with the company they sell it too.

Call Stepchange.

@JulietteLeGall I am wondering if it's best to call the bank before the new collectors get in touch?

Everyone stop talking about bailiffs, bailiffs can only enforce a court order - council tax, court fines or ccj. This is none of these things, debt collection agencies have feck all real power (which is why they sell the debt on and on.. and on.

All the grubby collection companies have a go with their threatening letters and repeat phone calls via a dialer, and when they get ignored will sell it on.

There are loads of agencies out there who will help you if it's too daunting to do it yourself - step change and Christians against poverty are telephone based, citizens advice offices are open and also have a National advice line. If you walk into your local CA office and ask someone to help you, they should call the lender on your behalf (you have to pass security, as above).

(It's a really good time to go into CA offices atm, it is very quiet!)

@pinkandstripey I feel so embarrassed though, I can't believe I've let it get this bad I don't want to be judged