Debt Advice - where is best CAB/Stepchange or National Debtline?

[Singlemumindebt2025]

Hi, Im struggling finanically after 6 years of family court. Ive lost my job due to stress and been surviving on credit cards for last year or so to get us by. Ex routinely doesn't pay child maintenance even though on CMS and even has been on at source deduction but still manages to mess up their system and is currently £10k arrears and only paying back £20/month. This man earns £80k on a salary with a large employer. Anyway, CMS is a lost cause, so park that.

I thought I would find a job before now and I am still looking hard. I have stupidly thought I could roll my credit card debt onto another lot of 0% cards again but have realised I have no offers any more. Unsurprising I know as I am £24k in debt on credit cards. They are all rolling on to the high interest over the next 6 months - year. So I need help. Where is the best place to go? CAB, Stepchange or National Debtline? I have always paid monthly amount but all my savings have gone now and I am already in debt to the solicitor to tune of £3.5k (that;'s no interest so not a threat but just hanging over me as I hate owing money). I do own my own house with a bit of a mortgage but don't want to sell as its the only stability we have as a family and I know this is temporary and won't be forever.

Any advice on the best place to source help that won't affect my credit rating as I also need to remortgage in a years time and need to have a good rating.

Stepchange we're brilliant for me but it does knock your credit rating, although if you are 24k owed on c.cards without the income to support it then your credit rating is not going to be the best anyway. I dont know if you are at the stages of letters you dont want to open yet etc but stepchange sorted all that - acted as a go between really. It took 20 years (messy divorce, house repossession) but am totally debt free now (except for credit cards im using).

CA may, depending on local funding etc sign you to Step Change or National Debtline.

I've no view on which of them is better but ensure you go to one or the other or another charitable provider.

Googling debt advice is a minefield with far too many 'for profit' sharks.

People wrongly directed to IVAs as a solution to debt is a scandal waiting to emerge.

Citizens Advice offices near you may have local arrangements with places like the local council and water companies for negotiating repayment plans, which the national organisations may not.

I was in a similar amount of debt (a bit more) on CCs and unsecured loans after my marriage ended whilst I was on maternity. Won’t get into the nitty gritty, but yes, I went with stepchange when the interest began to snowball, and am about 4 or 5 months off being totally debt free. It took 4 years- but I am/was in work, and able to make quite high repayments.

my credit score did take a hit, but not as much as I’d expected, and I’m hoping that in 18 months or so when the defaults drop off, I’ll be in a good position to buy my first home.

Oh yes- also personally I would avoid IVAs like the plague.

Absolutely. I've lost count of the number of people I've spoken to giving advice on other matters, usually benefits, where a blind man on a galloping horse could have seen an IVA wasn't right bit the client was stuck in one and paying massive fees.

At one time Paul Lewis of BBC Moneybox was on the case of IVA's as the next finance scandal after PPI but it didn't seem to take off.

IVAs have their place, which is to get homeowners out of unmanageable debt without losing their homes. However, unsuitable for the OP without a stable income.

OP at the moment you're in a tough place as you'll struggle to retain your good credit rating without an income to support your current debt repayments if you are discounting the option of moving somewhere cheaper and don't manage to find work either.

Moneysaving Expert gives advice on what you need to consider when seeking help.

https://www.moneysavingexpert.com/loans/debt-help-plan/

Thank you, thats a really useful link, appreciate it. At the moment i'm ok as I have UC, child benefit and also some child maintenance. Its the interest coming up so I feel I probably need to contact each card and negotiate whether I can continue on 0% if I remain paying the monthly fee. I ideally dont want any of this to affect my credit rating, so if at all costs I need to avoid a formal response to debt. As I am not yet at the non-payment stage hopefully I can keep them at bay until I get work, and can start paying off. I am also considering the mortgage charter and interest only on my mortgage for 6 months but Im not clear if that will then affect my ability to fix mortgage in a year's time when it rolls on to standard variable. The fear for me is, if I call any of these places - the banks - will it immediately put a red flag marker on me?

when the mortgage comes off fixed the mortgage company will check your affordability (income) and run credit rating checks only if you look to change the terms of the mortgage. Instead of worrying about that now I would seek professional debt advice that level of debt on credit cards can easily spiral even if you are fortunate enough to work you need a realistic plan now even if that impacts on your credit rating.

Look for advice that's funded by the Money and Pensions Service.

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https://www.gov.uk/options-for-dealing-with-your-debts