Income & Expenditure done, what now?

[Tya]

Hi All,

I've completed an I/E for Cabot and will be sending off recorded delivery. Was advised to do this just in case it goes to court.

Can anyone advise me as to what letter I should send with it? Main reason is I want to stop the interest, and nothing is left over after completing the form 'realistically'....

I am on benefits....

Much appreciated.

[Caspar]

Re: Income & Expeniture done, what now?

Try this - may need a bit of tweaking to personalise it.

Dear Sir/Mr

Re: Your Account Number: xxxxxxxxxxxx

We wish to inform you of a recent change to our circumstances and as such we are unable to maintain the present level of repayments. [Add an explanation here, keep it brief and in one paragraph if possible].

Please find enclosed an Income and Expenditure sheet (here) which details our current position. As is clearly shown, the total amount available for us to repay our creditors has now become significantly reduced.

In view of our circumstances, we have written to all our creditors to ask that they agree to accept reduced monthly payments and that any interest and charges currently being applied to the account be frozen to enable the debt to be repaid as quickly as possible.

To this end, we request that you agree to installments of of £............ per month.

We would like to assure you that it was never our intention to renege on our financial responsibilities and as such, should our circumstances improve, we will contact you immediately with a revised installment offer.

Thank you for your assistance. We look forward to hearing from you as soon as possible.

Yours faithfully/sincerely



May also be worth posting your IE sheet. I did when I did mine a few days ago and was amazed how much I'd missed out. The advice on here from those that know their stuff really is exceptionally good!

[Tya]

Re: Income & Expeniture done, what now?

Try this - may need a bit of tweaking to personalise it.

Dear Sir/Mr

Re: Your Account Number: xxxxxxxxxxxx

We wish to inform you of a recent change to our circumstances and as such we are unable to maintain the present level of repayments. [Add an explanation here, keep it brief and in one paragraph if possible].

Please find enclosed an Income and Expenditure sheet (here) which details our current position. As is clearly shown, the total amount available for us to repay our creditors has now become significantly reduced.

In view of our circumstances, we have written to all our creditors to ask that they agree to accept reduced monthly payments and that any interest and charges currently being applied to the account be frozen to enable the debt to be repaid as quickly as possible.

To this end, we request that you agree to installments of of £............ per month.

We would like to assure you that it was never our intention to renege on our financial responsibilities and as such, should our circumstances improve, we will contact you immediately with a revised installment offer.

Thank you for your assistance. We look forward to hearing from you as soon as possible.

Yours faithfully/sincerely



May also be worth posting your IE sheet. I did when I did mine a few days ago and was amazed how much I'd missed out. The advice on here from those that know their stuff really is exceptionally good!

Hi,

Thanyou sooo much, such a darling.

I did try to post it, its in office org and I dont have the microsoft package. When I tried to upload the document, it said it didn't like the file?

[Tya]

Re: Income & Expeniture done, what now?

[attach]3896[/attach


I changed the format to excel.

[Caspar]

Re: Income & Expeniture done, what now?

Well done you doing that - nearly there now!

I've looked at your IE sheet. A couple of things. Do you really only spend £10.38 per week on gas and electricity (45x12)\52=10.38. I'd reckon more on £15 per week which increases each to £65 per month. Remember there's a very cold winter forecast and you don't want to freeze.

Food / Housekeeping also looks very low. Remember this includes all toiletries, cleaning stuff, dry cleaning bills etc.... etc..... I'd be inclined to increase it to £195 per month which is £45 per week.

Just making these changes means you're overspending by £36.19 per month, so any offer is generous. You may still want to add more - for example - do you honestly spend nothing on presents? Does your child not have anything for Christmas or birthday - even a card? What about partner / other relatives etc.... I'd put something in.

If you look at mine which was only posted last week you'll see how I was advised to increase amounts. If you go to court the judge will expect you to have a reasonable standard of living, and being realistic it must be pretty tough living on your income - you have my admiration!

They can now see you are in severe financial hardship without living an exoctic lifestyle. Try to find a sum you honestly think you might be able to afford each month £5-10?????? DO NOT OVERSTRETCH YOURSELF. If they refuse this, let them take you to court. It is highly unlikely that a judge would expect you to pay more than that, especially when you've made every effort to try to settle it out of court and made a sensible offer.

Whatever happens, if you offer say £7 per week, make sure you pay that each week to your account so they can see you are trying your very best.

Definitely revisit IE sheet - repost if you want (I did!). I can honestly tell you that having started to tackle my debts with massive help from this site, I actually feel much better. For the first time in over 6 years I'm not scared of the post coming through the door anymore as I feel whatever comes I'll be able to deal with it.

Bes of luck, and post if you need more help. There are others on here FAR FAR better than me to advise you, so they may yet suggest something different.

David (Caspar)

[WendyB]

Re: Income & Expeniture done, what now?

Have you decided who you are paying yet? Cabot or Citi?

[Tya]

Re: Income & Expeniture done, what now?

Have you decided who you are paying yet? Cabot or Citi?

Hi Wendy,

I've decided to pay Cabot as they have said that I can pay £1 a month, got the letter in writing...

But, my concern was the interest being added and would love to go to court to have this stopped.

I've done the I/E form and have had very good advice from Casper about what I should add to it. I was trying to be very reasonable, but now realise that it would have not done me any favours so need to increase a few things that he has suggested.

Thanks for your help Wendy. x
------------------------------- merged -------------------------------
Hi Casper,

Thanks for your sound advice! I didn't realise those things you mentioned and that makes alot of sense. Of course I need to increase my electric, as winter makes such a huge difference to bills. I will amend and attach again for you to look at, if thats ok?

Cabot have already confirmed in writing that I can pay £1 a month, so at least I'm not overstretching myself. Just need to get the intrest frozen now......

[WendyB]

Re: Income & Expeniture done, what now?

I think there may be something you can do about the interest but tbh I don't know what and how to go about it. I'll see if anyone does, and point them in this direction.

[Tya]

Re: Income & Expeniture done, what now?

I think there may be something you can do about the interest but tbh I don't know what and how to go about it. I'll see if anyone does, and point them in this direction.

Wendy you are a star, thank you. x

[di30]

Re: Income & Expeniture done, what now?

Hi there

Sorry I've not got here sooner, but are you sorted now?

The Expenditure, and a letter to request to freeze the interest?

May I ask if you have any free debt organisations to help you through this?

I assume you are aware of them, but if you go with one of those organisations, they will help you, such as provide you with the template letters to send to your creditor.

I note you have stated that they have agreed to the £1 monthly payments, have they provided you with payment booklets? and is it subject for review for example 6 months time?

You may also find useful template letters in regards of the interest from the free National Debtline organisation.
http://www.nationaldebtline.co.uk/en...t_advice.php#6

http://www.nationaldebtline.co.uk/en...ales/index.php

another CCCS:
http://www.cccs.co.uk/

They will work out affordable payments and provide any letters you require to your creditors, or they will provide them to you - so you can send yourself.

Maybe when it comes to the review and your still struggling or in hardship, it will be worth considering any of the above companies, its like a great weight lifted.
I have been there myself and used the CCCS, they were wonderful and very understanding.

However, I note Caspar have provided you with a good template letter.

I can try to help in this area, I am no expert but due to actually being in this situation myself I will try.

[di30]

Re: Income & Expeniture done, what now?

http://www.makesenseofcards.com/soacalc.html

Hope you also find this of some help.

[Tya]

Re: Income & Expeniture done, what now?

Hi there

Sorry I've not got here sooner, but are you sorted now?

The Expenditure, and a letter to request to freeze the interest?

May I ask if you have any free debt organisations to help you through this?

I assume you are aware of them, but if you go with one of those organisations, they will help you, such as provide you with the template letters to send to your creditor.

I note you have stated that they have agreed to the £1 monthly payments, have they provided you with payment booklets? and is it subject for review for example 6 months time?

You may also find useful template letters in regards of the interest from the free National Debtline organisation.
http://www.nationaldebtline.co.uk/en...t_advice.php#6

http://www.nationaldebtline.co.uk/en...ales/index.php

another CCCS:
http://www.cccs.co.uk/

They will work out affordable payments and provide any letters you require to your creditors, or they will provide them to you - so you can send yourself.

Maybe when it comes to the review and your still struggling or in hardship, it will be worth considering any of the above companies, its like a great weight lifted.
I have been there myself and used the CCCS, they were wonderful and very understanding.

However, I note Caspar have provided you with a good template letter.

I can try to help in this area, I am no expert but due to actually being in this situation myself I will try.

Hi,

Thaks for your help and advice. The payment for £1 a month is for the DCA called CAbot for howm Citi sold the debt to. Cabot have sent me a payment card to pay this.

Cabot have stated in the letter that they will review the account regularly, ( nothing about 6 months) and tht they will review the interest they charge on a my monthly payment. But they have been adding £10-20 per letter sent within the last 4 weeks! The interest rate is extortionate,

Ive just looked at the freeze interest letter, and it states them refusing to freeze interest. I haven't asked them to freeze interest yes ( even though it was frozen with Citi) Also Cabot didn't send me a CCA.

I'm alittle lost, as to what letter to use to ask them to stop the interest, this would be the first letter asking to do this.


Thanks for your help so far.

[di30]

Re: Income & Expeniture done, what now?

Hiya

And your welcome

I would get the letter off then about getting the account charges frozen, if they don't do this in your favour, then make a complaint to the FOS - I did due to then hardship reasons and also won the charges back....even though awarded to the account but that suited me fine to help reduce the debt.

Like any other complaint, they have 8 weeks to investigate, and the fos backdate from the time they did not freeze the charges on the time you request for this.

So you have requested for the agreement and they have not complied, how long ago was this? and I take it they accepted the £1 payment for this?

[Tya]

Re: Income & Expeniture done, what now?

Hiya

And your welcome

I would get the letter off then about getting the account charges frozen, if they don't do this in your favour, then make a complaint to the FOS - I did due to then hardship reasons and also won the charges back....even though awarded to the account but that suited me fine to help reduce the debt.

Like any other complaint, they have 8 weeks to investigate, and the fos backdate from the time they did not freeze the charges on the time you request for this.

So you have requested for the agreement and they have not complied, how long ago was this? and I take it they accepted the £1 payment for this?

Ok I will send off the letter asking for the interest be frozen, just to see what they say and if they say no then I will take the next step.

They sent back the £1 P/O with no CCA.

[di30]

Re: Income & Expeniture done, what now?

Ok I will send off the letter asking for the interest be frozen, just to see what they say and if they say no then I will take the next step.

They sent back the £1 P/O with no CCA.

Hi

Have you contacted the Information Commissioners Office (ICO) for some advice on this - about the CCA?

https://www.ico.gov.uk/Global/contact_us.aspx

Good luck on your letter as well, please let us know how you get on.


Thanks.

Di