Published on March 20th, 2015 | by FinanceLoophole0
Can’t Pay Littlewoods Catalogue Debt
What Can I do If I’m struggling and Can’t Pay Littlewoods Debt?
First thing to remember is don’t panic, we can help you, don’t let your debt get to you. The amount you owe, whilst no doubt a big deal to you in your position – with our help it can be easily fixed.
The first thing you should do after contacting Littlewoods to tell them about your repayment problems, is to send an Income and Expenditure statement. Send it to the Littlewoods Group (contact details) below) to show them exactly how much you can afford to pay. Make sure you include everything in this or you may end up paying more than you can afford. If you can only afford £10 or £20 a month then that is all you should be paying to them.
Many people who contact us are most concerned about Littlewoods debt collection agency making them sell their homes to pay off their catalogue debt. This is not going to happen as the credit agreement is not secured against your home. If you refuse or are unable to pay however you may be taken to court and be the subject of a court order which could allow bailiffs to enter your house and remove goods to pay off your debt. If you do get into arrears you should seek independent debt advice before any court action is undertaken, but it’s never too late to look for help so don’t despair. If you are having problems with your Littlewoods catalogue bills we can help you – just fill in this form with your details and we will get back to you.
Dealing With A Debt Collection Agency
Your debt with the Littlewoods Group may be sold on to a debt collection agency, if this is the case you will need to provide the Debt Collection Agency with the same Income and Expenditure statement to show them what you can afford to offer to pay off the debt. Remember as long as you make an effort to repay at least a little of your debt – what you can afford – they cannot do anything to you except harass you. That’s obviously uncomfortable for you – and you could use an independent debt management company to manage your Littlewoods catalogue account debt and deal directly with the debt collection agency so that you do not have to! We have worked closely with the debtPlus portal who provide debt management services they should be able to help you – get help now.
Catalogue Debt Management Plan (DMP)
A DMP is an informal arrangement with your creditors to make reduced payments to your unsecured debts. Your creditors are more likely to accept your reduced payment if it is made through a trusted debt management company such as Bright Debt Solutions. This is more than likely to be the most suitable way forward for most people with debts with Littlewoods catalogue.
- You make one affordable payment each month which is sent to your creditors.
- You have help and support throughout your DMP.
Write Of Your Littlewoods Catalogue Debt
Another option available to those with limited assets would be to take out a Debt Relief Order (DRO). DROs are specifically designed for people who only got a few assets and a relatively low level of debt. You may be eligible for a DRO if your total debt is less than £15,000, and you have less than £300 in assets (and a car worth less than £1,000) and less than £50 surplus income at the end of each month. A DRO can be a cheaper alternative to bankruptcy but will still cost you £90 to set up. You can only apply for a DRO if you live in England, Wales or Northern Ireland. If you live in Scotland different rules apply read our debt advice in Scotland page for more information on the options that are available to you.
DROs can only be used for so called “qualifying debts” . The qualifying debts will be written off 12 months after your DRO has been approved:
- Arrears on rent, gas, electric, telephone and council tax
- Consumer debts such as credit cards, payday loans, overdrafts, catalogues or store cards
- Benefit overpayments – but not if due to fraud
- Hire purchase or conditional sale agreements
- Items bought on finance, including anything bought on a buy-now-pay-later agreement
- Loans from friends or family
What To Do If You Can’t Pay Littlewoods Debt
It is important that you pay Littlewoods the minimum payment when it is due, If you don’t charges will be added onto what you already owe them. When you took out your credit agreement with Littlewoods you probably did not expect to have any problems paying them back and did not expect to miss any of your payment dates, but sometimes things don’t go to plan and you may have missed a payment and then you get landed with a surprise charge which will make it more difficult for you to pay off the catalogue debt.
If you think you are going to have a problem making the minimum payment on the due date you should contact their accounts department on 0844 822 8000 and explain the situation. Not that this number is a chargeable 08 business rate number – so be aware that calls to this number will cost between 1p and 13p per minute for landline customers (depending on your supplier), plus a call set-up fee. Calls from mobile phones are typically charged between 5p and 41p per minute, depending on the provider. We think that Littlewoods should provide a free number for its customer support, particularly for those who are already finding it difficult to pay off their littlewood debts in the first place. They don’t need the extra cost of the phone to add to the debt.
It is especially important that you contact them early. That is because missing a scheduled payment date can have serious consequences, such as the transfer of your account to a debt collection agency or other legal proceedings. It may also have a negative impact on your credit rating and as a result make it harder for you to get credit in the future.
Changing Your Mind About A Credit Agreement
When you sign up to a credit agreement with Littlewoods – you are actually signing up to a credit agreement with Shop Direct Finance Company Limited. After you have signed the credit agreement with them you still have time to change your mind and withdraw from the agreement, but you only get 14 days to withdraw beginning the day after the agreement is made. The agreement is made 14 days after you first take delivery of goods you have ordered and have asked them to finance this purchase or sign the credit agreement whichever comes first. If you do decide to change your mind you have to call them on their business rate number 0844 822 8000 or write to their Credit Support Team at:
Credit Support Team
or e-mailing them at: firstname.lastname@example.org
If you do withdraw after the agreement is made you will have to pay back any monies that you may have borrowed and all interest within 30 days at the latest, or they may take legal action. If you cancel your application or withdraw from the agreement, you’ll have to use other ways to pay for any goods that you have received (such as debit or credit card). You may still have a legal right to send the goods back if you wish – no questions asked. Usually this will be the case if either they are still covered by a home approval guarantee, or by statutory distance selling rights.
If you feel that you have been treated unfairly you may have cause to make a complaint to the Finance & Leasing Association (FLA) of which Shop Direct Finance Company Limited is a member. You can find out more about the lending code of practice and how to make a complaint at the FLA website www.fla.org.uk.
Shop Direct Finance Company Limited also provides financial services to the following consumer brands as well as Littlewoods, so anyone having problems paying bills with these companies can also read the information on this page to help them out of debt with their particular catalogue company.
Admin And Default Charges – The Bit That Hurts!
If you fall behind with your payments, Littlewoods reserve the right to impose a charge to cover the cost of any action we may take. They will be entitled to debit your account with any costs incurred by them in respect of any missed or insufficient payment, including but not limited to dishonoured cheques, failed direct debit requests and recharged card payments. Payments received will be applied first in payment of insurance, interest and other charges as shown on the last statement and thereafter in the reduction of the current balance.
Littlewoods Catalogue Administration Charges
- If you transfer to a new payment plan (Terms Transfer) – equivalent to the first 4 weekly payments due on the new plan.
- Repayment Plan set up and reversal – up to £12
Payment And Default Charges
• Paypoint or the Post Office payment – £1
• Payment by cheque – 25p
• Late minimum payment – £12
• Letters, telephone calls or other debt collection activity – £12
• Bounced cheques, direct debit or other payments dishonored – £15
• All court fees & costs incurred by us in pursuit of arrears