A reader asked: I want to terminate my PCP car finance. The car's fine, good condition, but we now need a bigger car. According to my contract I can hand it back. But I am going to need to get another car, so I am worried this will harm my good credit record. Would part exchange be better? Your right to end a PCP contract early Personal Contract Purchase (PCP) is the most common way to buy … [Read more...]
Readers have asked a huge variety of questions in the comments below Debt Camel articles. From credit ratings and mortgages to payday loan refunds and IVAs...
Some of them needed such long replies that I have turned them into the articles that are gathered here.
I want to sell my house to end my IVA
A reader asked: We are desperate to end our IVA. So difficult. The IVA firm that seemed helpful at the start now after two years doesn't care about our extra costs. We have decided to sell and downsize. My wife is hoping for a discount but I said they were more likely to charge us more to get out early! We need as much equity as possible for the next house. This is a tricky situation. There … [Read more...]
Can I spend backdated benefits money before going bankrupt?
A reader asked: I’ve just received a backdated Severe Disability Premium (ESA top up as on PIP too) and I am aiming to go bankrupt in May or June. I’ve been advised by a money advisor to use this money for essentials as I have just been given permanent accommodation having been homeless. No furniture came with the flat. I’ve been paying £1 a month to my creditors since last year. Should I … [Read more...]
How to get a paid CCJ marked as Satisfied
A reader asked: In August 2011 a CCJ was registered against me by Lowell P1 for £211. I paid off the balance, but not within the month. I have bank statements to prove its been paid. On my credit report it shows the status as “active” even though I have paid it. I’ve contacted Lowell multiple times but they say as it’s an old case it’s no longer on their system and they can’t help me. I … [Read more...]
What happens after discharge from bankruptcy?
A reader asked: I went bankrupt in October 2015 and discharged 1 year after. My question is about savings. Can I save now without any risk of my savings being taken from me? Also my grandmother wants to put a large sum of money in my name but I’m not sure if it would be safe so the last thing I want is for her to lose money, so I’ve been reluctant to do it. This article looks in detail at what … [Read more...]
Can I get a mortgage with recent defaults?
A reader asked: My partner and I have a combined income of £54,000, We have a deposit of £20,000 (inheritance) and are looking to become first time buyers in a new build property at a price of £210,000. We have defaulted debts that are being paid off, and previous history of payday loans from over 2 years ago from a time when our financial situation was much more difficult. The defaults are … [Read more...]
What is a realistic DMP payment for £10,000?
A reader asked what a realistic monthly payment would be in a Debt Management Plan (DMP) covering £10,000 of debts. I think she was hoping for a simple answer... but there are three different aspects to consider and to be truly realistic a DMP has to tick all three boxes. If you would like an intro to debt management, read What is a DMP? Then, for more details, see my guide: DMPs - answering … [Read more...]
Use a gift to make Full and Final settlements
A reader asked: My sister has offered me £2,000 as she knows I have money problems. I have been in a Debt Management Plan for three years. It is a good idea to use this gift to offer a Full and Final settlement (F&F) on some of the DMP debts? F&Fs are explained in detail here. The simple answer is that this is almost always a good idea! In a F&F that 2k could potentially be … [Read more...]