i took out a £3000 loan 2 years ago, i repaid £1000 then lost my job and havent paid anything for 12 months, they keep sending letters saying they are sending the baillifs round, but i dont own anything in the house, so how else can they get the money?
2007-06-09 07:51:48 · 28 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
go too your local citizens advise centre
they will sort it all out for you what you
haven't got they cant have if you are on
£50.00 a week they will have too accept
a £1.50 a week don't worry get to cab
Monday good luck......
2007-06-09 08:02:59 · answer #1 · answered by S Csparky 6 · 0⤊ 0⤋
not for a loan. The only debt you can go to prison for are council tax and magistrates fines.
They can make you bankrupt, which basically will mean that your bank account will be frozen until the official receiver has seen statements. If you own property and a decent car, antiques etc. they may be able to cease these to sell. If you are made bankrupt you won't get any credit above 250 pounds.
If you get in touch with national debtline (which is free, just type national debtline into a search engine) they will be able to send you literature on debt. It is an excellent pack which includes sample letters to send to companies.
Most companies are willing to accept an offer of payment, if a budget sheet is enclosed showing what you can afford.
They don't like to make people bankrupt - it costs them time and money.
One last point, before you can be made bankrupt the company have to send you a statutory demand for the money. This is the last chance you get to act before bankruptcy Don't ignore the debt, write to the company and offer them what you can afford.
2007-06-09 16:23:16 · answer #2 · answered by morning star 5 · 0⤊ 0⤋
Having been in this situation the best thing to do is call the debt agency that is now dealing with the debt. As long as you are paying something back they will be happy with it.
Tell them your situation and how much you can pay per month (£20 or something) they will accept it. Even offer that it can be revised in 6-12 months if your situation changes.
I owed money to tax credits (£2800) and am now paying £30 per month. The benefit of doing this is - no bad debt on file(as it will be cleared as soon as the debt is cleared) and no interest to pay back.
You wont go to prison though but they may send someone round and really start hassling you if you dont get it sorted.
2007-06-09 15:00:07 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Basically there's absolutely nothing they can do to you - and they know it! The letters are just their way of trying to scare you... easier and cheaper for them than actually sending bailiffs round to collect money they know you don't have. Ignore them if you want, and the worst that will happen is a black mark on your credit file (which will disappear after , i think, 6 years). Best thing to do if you want to obtain credit in the future is, as others have said, contact them and offer to pay a nominal sum, say £5 a week. Good luck!
2007-06-09 16:13:02 · answer #4 · answered by nick 4 · 0⤊ 0⤋
They can take you to County Court and make you pay back so much every week out of your benefits. You can't actually be sent to prison for debt as this is a civil matter. However, if you try to evade repaying the loan by refusing to cooperate or by doing a 'disappearing act', your creditors might begin to believe that you have no intention of repaying the money. They may construe this as an intention to defraud them. This is a crime of theft, of course.
2007-06-09 15:04:52 · answer #5 · answered by Anonymous · 0⤊ 0⤋
In order to send the bailiffs round they need to establish the debt & get a court order via the magistrates court or county court for higher amounts. Once the bailiffs have been instructed by the court any goods they remove from your premises have to be proven to belong to you. On the other hand, when to debt goes into court you can enter into a payment plan with the court who are now acting as go betweens. If you fail on an arrangement set up by the court - at that point you would be in contempt of court & its up to the presiding judge what happens after that.
2007-06-09 16:01:33 · answer #6 · answered by jlk 2 · 0⤊ 1⤋
UK abolished debtors prisons many years ago. Please TALK to your creditors. They will freeze the interest and even if you can only pay £1 a week it will be something. You don't owe enough to make it worthwhile going bankrupt and that will cripple your finances for 6 years at least. An IVA (Individual Voluntary Agreement) that you can arrange yourself will save your financial skin and stop the bailiffs from calling.
Talk to them. This happens all the time and they are well used to it.
It's good to talk.
2007-06-09 15:08:14 · answer #7 · answered by Steven 4 · 0⤊ 0⤋
In the UK you can no longer be imprisoned for a debt.
There is a saying "It is no use sueing a straw man" meaning that if someone hasn't the means to pay there is no point in chasing for money...... Guess you are the "straw man" so they will waste their time with ballifs. Has there been a court case yet?
2007-06-09 14:57:42 · answer #8 · answered by Storm Rider 4 · 0⤊ 0⤋
They could make you pay 50p a week, or probably write the debt off. Prison is not an option. But it was for Charles Dickens!
2007-06-09 14:57:13 · answer #9 · answered by Spiny Norman 7 · 1⤊ 0⤋
try to ward them off by offering them some money per week and explain why and let them know you are currently trying to find a job when you do you will pay as much as you can ,and no they cant send you to prison for this
2007-06-09 15:02:26 · answer #10 · answered by telboy 7 · 0⤊ 0⤋
you can only go to prison for not paying your poll tax so you are safe with that.take you to court and offer to pay £5 a week until you find work. ive been paying a £3.000 fine for 5 years at £15 pound a week if i miss a week the police will arrest me and take me back to court. only offer what you wont miss.
2007-06-09 15:29:30 · answer #11 · answered by clare p 3 · 0⤊ 0⤋