DEBT COLLECTORS AND DLA

Thanks Rachel, The point of all this is that I use a lot of my DLA for carers, nourishing food, petrol to friends who take me places etc. They dont see this as
necessary expenditure and will want some of the money, I have been paying £1 per month for 9 years would you believe, but because they sell these debts on for a pittance to a new collection agency, that agency then starts to get stroppy and wants the whole debt paid....

The firm you owe the money to normally asks you to fill In a budget sheet, listing all your Incomings and outgoings, this Includes ALL the benefits you are on, to give a true relection of your total Income.

A friend of mine Is In a simalar position to you, she Is being hounded by a company, and debt collectors, they have used every dirty trick In the book to put pressure on her, In the end she reported them to the Ombudsman, and they were fined.

She knows she has done wrong getting Into debt, and was making considerable regular payments for two years, but the never stopped hounding her for more, and more.

So If they are making threats, constantly phoning you up, write them a letter stating all communications are to me made by letter, so you have got some proof of what they are doing, If they are using bullying tactics you can write to the Ombudsman and complain.

As far as what you have to declare, I think you try and get some help from the CAB or some Legal Aid help.

My friend contacted the National Debt Helpline who told her that she didnt have to declare her DLA as It was paid to help In all aspects of daily life.

She had not worked for many years, and Is unlightly to work again, she requested the debt be written off, but because her conditions are not terminal they refused.

You need to do a realy detailed budget plan and try and account for everything you use your money for, no matter how small.

They can`t make you not pay other things such as your rent gas electric, as they are classed as priority debts, you are also allowed a reasonable ammount for food medical needs ect, so make sure you life everything you spend your money on each week/month.

If there Is a large amount left at the end of this obviously they will argue you should pay more than £1

hope this helps

Thanks Chris, I have filled in these forms for years, usually one every six months but apart from winning the lottery, now that I am retired, I can't see how they can expect me to pay these debts off now, one is for £18,000 another is for £15,000. I know that these companies have bought these debts from the banks for very little, I believe it to be £100 or less but they want the whole £18,000 etc. back. Nice little earner don't you think..

The bank sold her debt to a debt collector who ramped up the pressure, as obviously the more they get you to pay, the more they get, she couldnt pay anymore, In the end they passed It back to the bank.
She paid regular payments leaving herself short, but they would not leave her alone, like yourself asking for reviews every six months which Is stupid, If you are on long term sickness benefits you only get a rise once a year, and even then the cost of living goes up.
After she complained to the Ombudsman, they were told to remove her phone number from their system, and to stop making threats.
Remember you have rights, If they are treatening you, write a letter and tell them you are taking the case to the Ombudsman.
If they phone you up refuse to speak to them, they only make you feel worse and try and put pressure on you.
A while ago there was a documentory on tv about these debt collecting agencys with secret cameras showing the disgusting methods they use.

Jeremy Vine was talking about it today on Radio 2 but I'm afraid I don't listen.

However, it may be repeated on line?

Just tell them that you cannot pay anymore, now or for the foreseeable future, and if they keep harrassing you you will declare bankruptcy and they won't get a penny then