Advice on debt and legal problems before attending University
I'm going to University next year, in August/September. Before that
time I have about £3500 of debt to pay off, with various companies.
The debts are each between £500 and £900.
In most cases this is fine - I've been issued demands by the collection
agencies representing the companies, and am arranging payment for them.
However, in a couple of cases (Dell Financial Services and Monument
Credit Cards (Barclaycard subsidiary) I haven't been contacted in a
while, and foolishly I don't have any documentation relating to my
accounts (it was thrown out a long time ago by mistake).
Being that they haven't contacted me in a while, is it likely that they
are no longer chasing the debts? I defaulted over a year ago, and
haven't heard from them in over 9 months.
I am trying to contact the companies to settle my accounts, however
it's not proving easy. Does the fact that they've stopped hassling me
about money mean that they have chosen not to chase payment, and are
essentially dropping the debts? Does it often work this way? I'm young
and inexperienced, as you've probably figured out by now.
My current plan of action regarding these debts is to save the money to
pay for them, and keep it aside in case I am contacted them (even if it
is a summons to court, yuck).
Now, just to ease my mind - what terrible things would a full time
student with debt problems have to endure? If I found myself brought to
court over a payment, would they force me to drop out and work full
time to pay the debt, or would an amicable arrangement (perhaps
postponing the debt until after University) be arranged? I simply do
not know how these things work. I imagine that some people go to
University with a whole host of financial problems - how do they cope?
As long as they are non-priority debts ie. Utility bill or Rent debts, tell
them you are a full-time student, have no money, and offer them a pound a
month. Otherwise offer them GBP 2.75 per week. These are the minimum figures
you can offer and they have no choice but to accept.
They cannot force you to pospone your course and work instead.
In short, do not worry about it, if you cannot afford it, it is their tough
shit, just offer them the minimum payments.