Struggling with your mortgage?  Drowning under a mountain of debts?  There is help!!

What ever you do get help soon.  If you leave it too late, there is less we can do to help.  Don't bury your head, it won't go away.

Where to Find Help

Are you finding it hard to make ends meet? If so, there are a variety of organisations that provide advice on debt, offering help before, during or after you get into difficulties. Most of these services are free of charge so if you are concerned about your finances you should take advantage of the help and advice that is available.

WEEKLY DEBT ADVICE SURGERY

Held at Erewash Borough Council's Ilkeston Town Hall Offices, in the Housing Options Service every Wednesday afternoon.

Full comprehensive debt advice provided by debt advisors from Derbyshire Housing Aid, a local charity.

To book an appointment telephone the Housing Options Team on 0845 907 2244 ext 3590 without delay.

In addition there are other sources of debt advice listed below:

EREWASH CITIZENS ADVICE BUREAU
62 South Street, Ilkeston
0870 1212028

NATIONAL DEBT LINE
A national telephone helpline for people with debt problems
0808 808 4000

CONSUMER CREDIT COUNSELLING SERVICE
CCCS will help anyone who has problems with debts.
0115 9240 224

PAYPLAN
Free debt advice/money management.
FREEPHONE: 0800 716 239

DERBYSHIRE HOUSING AID
Advice sessions held at various locations in the Borough
FREEPHONE: 01332 287850

TAX AID
If you are having problems with the Inland Revenue
0845 1203779

SURESTART
Beauvale Drive, Cotmanhay, Ilkeston
Only provided to families with children under 5 years old registered with Surestart in the Cotmanhay and Kirk Hallam areas.
Tel: 0115 9098200 Fax: 0115 909 8219

CLS DIRECT
Free advice service
0845 345 4345

DERBYSHIRE COMMUNITY LEGAL PARTNERSHIP
A number of organisations in the Borough are able to offer accredited debt advice under the Community Legal Services Scheme. In most cases the first interview is free but there may be charges for subsequent services, although some clients may be eligible for free/low cost help.

If you do approach any of these organisations you are strongly advised to check the terms and conditions at the earliest opportunity before proceeding.

GENERAL DEBT ADVICE
Walter, Scott and Ross
27 St Mary Street, Ilkeston, DE7 8BG
Telephone: 0115 9302 646


Mortgage Or Rent Arrears

Negotiating with Priority Creditors

If you are in debt, it is important to keep in contact with the people you own money to (your creditors). If they are unaware you are having financial difficulties, they will assume you don’t want to pay and start taking action to have their debts repaid. It is rarely too late to start negotiating and most creditors will appreciate you contacting them.

There are two types of creditors: priority creditors and non-priority creditors. Priority creditors are those who have the strongest remedies for ensuring they are paid (enforcing the debt) such as making you homeless, disconnecting your gas or electricity supply, or, in some cases, having you imprisoned. Although non-priority creditors can take court action to recover their debts, you cannot be imprisoned for non-payment.

The following rules will help you in your negotiations:

• Don’t ignore the problem. It won’t go away;
• Contact your creditors as early as possible and explain why you are in debt;
• If the first person you speak to is unhelpful, ask to speak to someone more senior who may be more willing to agree to your proposals;
• Work out your income and expenses so that you know how much you have to offer to your creditors;
• Make sure you tackle your priority debts first;
• Don’t borrow money to repay your debts. This is likely to increase your debt and may put your home at risk. If you are unsure what to do, contact your local Citizen's Advice Bureau (CAB);
• Don’t ignore creditors’ letters or phone calls. Always answer letters and don’t give up trying to make an arrangement even if a creditor seems difficult;
• Keep copies of all letters and make a note of all telephone calls or meetings, including the person's name and what was agreed;
• Always reply to court letters within the time limit and take advice if you’re unsure how to complete court forms.

Priority Debts

Mortgage or Rent Arrears
If you are in arrears with your mortgage or rent, you should contact your lender or your landlord immediately. Explain why you are in arrears and how you are going to repay them. If your circumstances have changed, check whether you are entitled to help.

If you have a mortgage, you may be able to negotiate reduced payments for a period of time or have the arrears added to the amount you borrowed (capitalised), but you will need to consider your options very carefully if your situation is unlikely to improve. You need to be able to pay the current instalment as well as payment of the arrears and will need to be able to clear the arrears within the remaining period of the mortgage.
Check your mortgage agreement to see if there are penalty charges for falling into arrears and ask your lender if they will waive these charges at least for the first few months. If you have mortgage protection insurance, be sure to claim. You should contact your local CAB if you require further information.

If your total income is below a certain level and you pay rent, you may be entitled to housing benefit to help you pay your current rent and should contact your local council for a claim form. You should make your landlord an offer to pay off your arrears and should immediately get advice about your tenancy and how secure you are. “Social Landlords” (like councils or housing associations) may accept quite small regular amounts to pay off arrears. If you are claiming certain benefits you can arrange to pay your rent arrears in small weekly amounts, which are deducted from your benefit allowance (direct deductions). The rate is fixed by the Department for Work and Pensions (DWP).

Remember, your home can be repossessed and you can be evicted if you don’t pay your mortgage or your rent.