Author Topic: Tesco Personal Loan - Please help me?  (Read 6963 times)

Rosie

  • *
  • Posts: 8
Tesco Personal Loan - Please help me?
« on: Jan 26, 2011, 11:01:56 PM »
Can anyone please advise me about a Tesco Loan that I took out in 2004, it was for £25k and with interest the final amount will be £38k, based over 10 years?  I got into hard times paying it back, but never once missed a payment and used Payplan a DMC to help me, but despite me making payments each month of £240. they said for the last 4 years I need to pay £500 per month and I have hadto drop out of my DMP and just struggle to pay it.  I have two more years left to go and it's not like I want to jerk my responsibility of paying back what I owe, but is there any way I can get them to allow me to pay just £300 per month, because it is really making me ill, I'm on anti-depresents, have an ulcer and full of anxiety because of the worry, but I have pratically begged them and they won't budge.  I am a part home owner with my elderly parents and I don't want them to know about my huge debt, so I've managed to get by this last 7 or so years without them knowing and I am now down to £12k left to pay, so I am really desperate not to get court orders or anything, but is there anyone out there that can please help advise me?  Really grateful for any advice, thank you in advance, Rosie.

James Falla

  • Hero Member
  • *****
  • Posts: 655
Re: Tesco Personal Loan - Please help me?
« Reply #1 on: Jan 27, 2011, 12:17:23 PM »
Hi Rosie
 
Are you still using Payplan to help you or are you making payments directly to the Tesco debt yourself? If you are paying directly yourself, then you need to present Tesco with an up to date income and expenditure statement proving the maximum amount you can afford to pay. You should then stick to your guns and pay this amount. I you do this, you should avoid getting a county court judgement. When was the last time you gave them an income and expenditure statement?
Debt Expert & Author
beatmydebt.com

Rosie

  • *
  • Posts: 8
Re: Tesco Personal Loan - Please help me?
« Reply #2 on: Jan 27, 2011, 07:19:59 PM »
Hi James, thank you for your response.  I was with Payplan up until two years ago and was sending my Expenditure form, but then Tesco said I had to pay £500 per month over 4 years and Payplan said if I go ahead and pay them that then it isn't fair on my other two creditors, which I owe £900 to Santander for an old Overdraft and £2500 to Barclaycard, they said I would have to pay them the same based pro rata which no way could I afford, so they said I would have to leave them and pay Tesco directly.  I telephoned Tesco three times to ask if there was any way I could reduce my payments, but they said no way and that they just want their money back.  They were really ruthless to say the least each time I called.  I really can't take the stress of any Court Judgements so I have just had to keep finding the money.  I've sold everything virtually I own now and I try to keep any worry from my mum and dad because they don't have any money and are both nearly 80, so if they knew of my debt they would also get ill.  I didn't even get the chance to offer Tesco an Expenditure form, they just said they aren't interested and that if I don't pay they will have no option but to take me to court and I will have to tell my parents because my house / mortgage is also in their names.
Thanks so much though for trying to help, so nice of you to take the time for me.
Kindest regards, Maria.

AshleyPark

  • Sr. Member
  • ****
  • Posts: 63
Re: Tesco Personal Loan - Please help me?
« Reply #3 on: Jan 28, 2011, 10:00:17 AM »
Hi Rosie,
 
James is right in mentioning that sending an up to date income and expenditure list to Tesco should be the right step to take. Your Debt management company at the time should have handled these negotiations for you really as that is what they do "manage your debts"
 
Maybe try writing to Tesco if the telephone calls are being unhelpful.?
 
Lee
Ashley Park Debt Solutions Ltd
 http://www.ashleypa

Rosie

  • *
  • Posts: 8
Re: Tesco Personal Loan - Please help me?
« Reply #4 on: Jan 28, 2011, 11:51:58 PM »
Hi Lee, thank you for your advice...may be that should be my next step then.
 
Thank you again.
 
Rosie

AshleyPark

  • Sr. Member
  • ****
  • Posts: 63
Re: Tesco Personal Loan - Please help me?
« Reply #5 on: Jan 31, 2011, 09:39:02 AM »
If you choose to write to them send it by recorded delivery so you can prove that they have received your letter. Incredibly random fact 1. Recorded is cheaper than special delivery and there are no guarantees special delivery will get there any quicker, Unless you pay even more for guaranteed special next day delivery!!!
 
Lee
Ashley Park Debt Solutions Ltd
 http://www.ashleypa

James Falla

  • Hero Member
  • *****
  • Posts: 655
Re: Tesco Personal Loan - Please help me?
« Reply #6 on: Jan 31, 2011, 07:25:05 PM »
Hi Rosie
 
Going through your income and expanditure and establishing your disposable income (exactly what you can pay your creditors) is absolutely the first step you need to take. If you need a living expenditure guide to make sure you are including everything you need, you can find one on the beat my debt web site. Make sure you include your payments to other debts if you are still making these.
 
Then when you are comfortable you know what you can afford, you should make this offer in writing to Tesco including your income and expenditure statement as supporting evidence. Then you must start paying the amount you have proposed. Even if Tesco do not agree to the payments, stick to your guns and keep paying. This is the best way to prevent Tesco taking any further action against you such as a CCJ.
 
As an aside, I am curious as to why you did you not originally let Payplan deal with the Tesco debt and negotiate on your behalf? I am sure they would have been able to reduce the payments demanded to fit within your DMP?
Debt Expert & Author
beatmydebt.com

Rosie

  • *
  • Posts: 8
Re: Tesco Personal Loan - Please help me?
« Reply #7 on: Feb 01, 2011, 11:22:06 PM »
Hi James, thank you for your reply.  I was with Payplan and paying Tesco's pro rata amounts each month, they were my largest credit, but after 5 yrs of being with Payplan, when my annual review came up they said they had sent it to their Debt Collection people and they went from having my £250 per month, to saying that was no longer possible as it was taking too long for them to get paid back and that I was having to pay £500 per month, otherwise as a part property owner they would take me to court and get a court order for me to pay them that way.  I said to Payplan at the time in lots of emails that it's going to be near on impossible for me to meet those amounts each month and they did try but Tesco was having none of it and said they just want their money back.  Payplan said because I didn't want them to take me to court and said I would find the money from somewhere, because I really don't want to go along the court order route, they said the other two creditors I had would not find it fair and want their fair share too.  So Payplan said they would have to remove Tesco from my Debt Management Plan.  My other creditor is Barclaycard and I initially had £2500 on it, but over the last 6 years on my DMP despite paying £70 a month, it's only gone down to £2350 because they keep adding interest, but Payplan say they have asked them to reduce the interest to help me clear my debt, it goes down for a month or so and then they push it back up again.  I can't be bothered with arguing with Barclaycard right now, because at least they arent' threatening me with Court Orders, well so far I should say, but then why would they with all that interest they are making I suppose!  I was originally in £40k worth of debt seven or so years ago and I have another two years (14k) to go and it's finished, so I know I have come a long way, but it is so hard and the stress is unbelievable, but I've no one else to blame but myself.  So sorry James, in answer to your question Payplan did try for me, but to no avail.  Thanks so much for the advice though, but if they wouldn't listen to a DMC like Payplan who is well known for helping both members of the public and companies to get their money back, then what chance have I, when Payplan had already sent them an expenditure form....these people are ruthless.  Kindest regards, Rosie.

Rosie

  • *
  • Posts: 8
Re: Tesco Personal Loan - Please help me?
« Reply #8 on: Feb 01, 2011, 11:25:54 PM »
Hi Lee, sorry I forgot to say thank you to you too.  Kindest regards, Rosie.

James Falla

  • Hero Member
  • *****
  • Posts: 655
Re: Tesco Personal Loan - Please help me?
« Reply #9 on: Feb 02, 2011, 06:49:53 PM »
Hi Rosie
 
It sounds as though you have gone through the mill with this. I think you should wait and see what Tesco comes back with after reviewing your revised income and expenditure document. However, ultimately if you can only afford to pay them more than £300 a month you will have to reduce your payment. You should not risk other payments (particularly your mortgage) by trying to pay £500 if you can not afford it.
 
It sounds as though Tesco have stopped their interest charges at least. As so, it would actually be better to pay any extra cash you have to your other creditors where this is not the case. After all. in the last 6 years you have paid PayPlan over £5000 to pay off a £2500 debt to barclaycard which has reduced only by £200. I think there is something seriously wrong there.
Debt Expert & Author
beatmydebt.com

JohnSmith2011

  • *
  • Posts: 8
Re: Tesco Personal Loan - Please help me?
« Reply #10 on: Feb 05, 2011, 04:48:28 PM »
you should try and come to a payment plan that you can afford to pay, even if it £1 per month they will have to accept it if you can back your offer up.