Blog · Debt Camel

Gambling – get refunds from loans, credit cards & overdrafts

Many people with a gambling problem have been given unaffordable credit. This fueled their gambling and they got deeper into debt. Credit is affordable if you can repay it and still pay your other debts, bills and expenses. If it is unaffordable, then you can ask for a refund of interest and charges and take a complaint the lender declines to the Financial Ombudsman (FOS). But gambling … [Read more...]

What happens to your possessions in bankruptcy?

The bankruptcy application says "It is very unlikely that items you need for your daily life (eg washing machine, sofa, refrigerator) will be sold". Here are a selection of questions here that people have asked about what may happen to the things they own if in bankrupty. I may not have mentioned your exact situation, but the answers here try explain how the Official Receiver makes … [Read more...]

Is your name in a fraud database?

There are three large UK databases aimed at alerting lenders to possible fraudulent applications for borrowing: National Hunter, Cifas and Sira. If your name is on one of these connected with fraud you may find it difficult or impossible to take out credit and your bank account may be closed. But sometimes the information on the databases may be wrong and you need to get it corrected. In … [Read more...]

When to send a Prove It letter about a debt

If you get a letter saying you owe money on a debt you don’t recognise, or which you thought you had paid off, you need to challenge the creditor to prove that you do owe the money. Sometimes debt collectors have simply got the wrong person. This is sometimes called a mis-trace. This is what the Financial Ombudsman says about mis-traces: We would ask a debt collector to provide evidence to … [Read more...]

Can’t pay your bills & debts? What help can you get?

What help can you get if you can't pay your important bills and debts? By October 2021, almost all the special coronavirus measures have ended. But many people have lost their job, had their hours reduced or their self-employed income has not recovered. And millions are behind with rent, council tax and other essential bills. Now Universal Credit has been cut and energy bills will be … [Read more...]

“When can I offer £1 to a debt?” – FAQs about token payments

A reader asked if he should offer a £1 a month token payment to his debts, wondering if his creditors would ever accept it. The simple answer is that you should make token payments offers: TO non priority debts WHEN it is all you can afford. BUT if you don't expect your situation will improve soon, you may have better debt options. In 2021 millions of people can't afford the normal debt … [Read more...]

“Will Experian Boost help my credit score?”

A reader asked if she should sign up to Experian's Boost. Are any disadvantages? Would it really help her credit score? Experian's new Boost facility was introduced in the UK in November 2020: it can increase your Experian Credit Score by a maximum of 101 points; it is set up so it can never harm your credit score. Hundreds of thousands of people have used it. Let's see how it … [Read more...]

Apps that help you budget or save money

Here is my pick of apps and other #FinTech (Financial Technology) products that help you budget and save if you live in the UK. My interest here is people who are short of money. It doesn't include apps getting you to invest in the stock market. But the budgeting apps will also help anyone who doesn't have debt problems but wants to save more, for a house deposit, a big holiday or to improve … [Read more...]

There are some good 0% transfer deals in early 2022

At the start of 2022, the longest 0% deals are back up to over 30 months, but there aren't many of them. 2017 was the high water point for 0% balance transfers - you could get deals for 43 months. After that for a couple of years the deals got gradually shorter and the fees edged up. With the pandemic, most deals disappeared entirely and the few there were much shorter, a maximum of 24 … [Read more...]

DROs – what if my pay increases or I get a lump sum of money?

A Debt Relief Order (DRO) is a simple and cheap alternative to bankruptcy if you are renting and have little money to spare each month to repay debts. A DRO lasts for 12 months and during this time you must inform the Official Receiver (OR): if you receive any money or other assets, or if your income increases. If this happens, the OR may 'revoke' your DRO. That is the legal term … [Read more...]

Should you get a joint account for the bills?

Should we use a joint account for everything? Or get a joint account only for the bills? How will a joint account affect our credit scores? Is it best to both use the same bank? I've seen a few questions about how couples share finances recently, so I've brought them together into one article. Should we use a joint account for everything? Don't rush into this! Not only are you linking your … [Read more...]

Bankruptcy – should you get a new job? Or work overtime?

A couple of readers have asked recently about whether it's sensible to turn down a job or overtime when you are bankrupt. Two things matter in this sort of situation. First, have you been discharged from bankruptcy? Almost everyone is discharged from bankruptcy after a year. And secondly, do you have an Income Payments Agreement (IPA) set? In an IPA, you have to make monthly payments for … [Read more...]

How much must you earn to replace the £20 UC cut?

The government wants people to work more to replace the £20 Universal Credit (UC) cut coming up in October. If you would like a simple guide to UC, written by people who are "experts by experience", check out Universal Credit: A guide by claimants, for claimants. Many people would love to earn more but can't get the hours. Others can't work for health reasons or caring … [Read more...]

4 reasons why you need a new bank account

Everyone needs a bank account that they can rely on, one that doesn't cause more trouble than it solves. So here are four reasons why people with financial problems should get a new bank account. If you have a lot of problem debt, you may think you can't change bank accounts because no-one else would let you have a current account. But the new Basic Bank Accounts that were introduced in 2016 … [Read more...]

Section 13A – a little-known way to get Council Tax written off

Councils in England and Wales can reduce or write off your council tax under Section 13A (1)(c) of the Local Government Finance Act 1992. This has been called "the best-kept secret in council tax law". These Section 13A write-offs can be used if your house is uninhabitable because of flooding or fire. But you can also get a write-off if you have no money to pay your council tax after paying for … [Read more...]