After a really messy divorce and a failed business I ended up in debt beyond belief. This was some 3 years ago and the Citizens Advice Bureau put me in touch with Pay Plan and they put me on a debt management plan paying off some £40k. Needless to say the debt in 3 years has hardly dropped away it will take years to deal with.
I now have a real issue with one of my creditors who could not be included in the debt management plan. he debt is a car on finance which i no longer have and they are owed £6k. The car was taken by my ex business partner and I have no idea where he or the car is. I have tried in vain to pay the debt off but just cannot manage it. I received a default notice from them this morning and they have given me until 2nd October to pay or they will take legal procedings against me. I have no way of returning the car or paying the debt off in one go, could I offer them installments maybe?
I also have had the Royal Bank Scotland issue a default notice against me for £1000 and I need to contact them by the end of this month.
I have spoken to a company Citizens Advice recommended about entering into a trust deed which sounded good, but they wanted me to pay £360 a month which is £190 more than I am currently paying and I just cannot afford it.
To be honest I am now worried sick over the whole thing and loosing sleep over it. If anybody out there can advise me what to do next I would really appreciate it. The few times in the past I have spoken to creditors over the phone I have being bullied in to committing to payments I cannot make so i prefer to write to them (is this ok?)
many thanks to anybody that replies.