Adverse Credit Help Needed
 

Hi all

Im just looking for some information on what to do. I currently owe approx £3.2k to 4 different lenders. I know the easiest way would be to obtain a loan however my credit score with equifax is currently at 280 so pretty much rock bottom. Only reason for this was my ex gave me a bill of £5k in pay day loans. She took the loans out in my name n transfered the money into her account. Before that my credit score was good enough to be trusted with a 5k credit card but i closed that account.

Ive tried contacting the companies to come to an agreement however not one of them is interested. Ive been honest with them and told them that i am in an akward position. I made a note on the time date and who i spoke too.....

Is there any companies out there that would take on someone with adverse credit....

If not what would you suggest to do

Cheers all

Not sure if I'm right here bud , I assume someone will correct me
They have no choice as far as I'm aware to take a minimum payment that you can afford and they cannot add any interest.
If they get funny explain the payment you are offering is a one off and feel free to take you to county court where they will receive pennies for a few years.
Phone the citizens advice

Are you saying your ex committed fraud in your name
and you haven't contacted the police?

I wouldn't pay the payday sharks a penny if it was me.

You are correct, they can't ask for anymore than you can afford and yes they will freeze the interest. However to get to this stage they will default the account and trash his credit report for six years.

Are you working? What are the total monthly repayments for all the debt? Also what interest charges are going on? I would only go down the route of not paying the original agreed monthly repayments if you can't afford them, though for your score to be so poor I'd imagine you/she has missed payments so having bad credit for 6 years has already started.

Talk to CAB as soon as you can, would be my advice. Good luck.

And when they default you it starts the six year clock again.

What happens at the end of the 6 years?

It's wiped off your credit file and it's clean, however as presumably there will be no other credit accounts showing on your file during this period it will lower your credit score as there is no history.

This doesn't sound right to me. She took them out in your name, and transferred them to her account.

Mmmmmmmm..........

the debts will not show on your score, its a tricky one as whats best todo but i recone you will be buggerd for any more loans untill these are all payed off.personly i would see if there is anyway you can pass the loans back to her as she took them out and as has been said its fraud. ask to see the paperwork and say thats not my signature.tbh i think you are not far off been better to do a personal bankrupt i think that will only afect you for 2 yrs before you can start to rebuild your credit rateing but best best is go see the CAB as they will know whats best to do for you.

Name and shame your ex, plus post up any revealing photos of her.

Try one of the charities, they may be able to suggest something, http://www.payplan.com

Go bankrupt for £3.2k? Really?

Being an ex bankrupt will have many repercussions for quite a while.

If he's not bothered about his credit file then I would just let them default and offer a full and final settlement of about 30%, they are likely to accept as if they end up selling to a debt agency it will be for less than 10% of the amount outstanding.

no not for 3.2 but if there are other debts as well then the time frame to start rebuilding his rateing could be shorter than trying to pay a tenner a week for yrs and yrs.

I remember hearing about something similar to
going bankrupt but it only lasts a year and is
dependant on any assets you may have.

DRO(Debt Relief Order) is the one maybe worth a look.

Ah, ok fair point :thumb:

That's an IVA I think.

Get yourself an appointment with the CAB and be totally open with your situation. They don't judge and will sort you out! I went pop for significantly more than that in 2001 and they got me back on track. Life's been sound since and I don't gamble with my finances anymore. £3.2k is manageable.

IVA's usually last 5 years. Bankruptcy lasts one, doesnt mean to say you will be feeling the aftermath for longer though. DRO you can't own anything with a value over £300 other than a car - but that can only be worth up to £1000. The tricky thing with that is proving you have less than £50 disposable income each month.

Generally if you were to ring a creditor and explain you cannot afford to keep up the payments, they would normally suspend interest and take a minimal payment off you, at least they are getting back the money owed rather than any other potential route

Cheers for the advice guys. It sounds like ive typed it all up wrong. I no longer have the pay day loans to pay off as i sorted them out a while ago but that was the reason for a poor credit score as all 5 of them defaulted....

The £3.2k is off my own doing. Ive tried talking to them but they aint the slightest bit interested in helping.... Ill try and talk to them after the xmas period

Talk to Payplan, as they will contact the creditors on your behalf and deal with everything. The creditors won't even contact you once Payplan start dealing with them, but if they do, just refer them back to Payplan.