# Can't afford to pay - should I cancel my DDs and just send in a cheque? (Urgent)



## Xanadu (25 Aug 2010)

We're coming off interest-only on family home and investment property after three years. Plan was to have sold investment property last year but......it's still with us!

We cannot afford the full capital and interest repayments on both mortgages, (it means about €1000 extra per month, starting in September). We never really thought we'd arrive at this situation but here it is.

We wrote to KBC asking for an additional 12 months interest-only, to enable us to sell the investment property, and sent in the usual income and expenditure docs but have heard nothing yet. Called them yesterday but "it's still with our credit committee". 

Here's my problem: the higher repayments are due on the 1st September. I'm worried that the new full payments will go through and maybe bounce or at least clean us out before KBC comes back to me and maybe we begin to negotiate something we can afford.

Should I cancel my DDs temporarily and just send in a cheque for the usual payments until I hear from them?

Would appreciate any advice from wiser heads. Thanks


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## redbhoy (25 Aug 2010)

If you cant afford to pay then dont. Dont starve because the banks were dragging their heals.
Id cancel the DDs and send in a cheque if I were you.


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## Billo (25 Aug 2010)

Plan was to have sold investment property last year but......it's still with us!

Is it even up for sale ?

If not why not  ? You cannot afford it.


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## Xanadu (25 Aug 2010)

*Should I cancel DDs and send in cheques?*

Yes - for sale since last year, Billo. Some lookers, nothing permanent yet. Have reduced price in accordance with estate agent's advice, and then reduced it below that again but no takers.


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## so-crates (27 Aug 2010)

Are you talking about sending a cheque for the full amount due on September 1st or for less than that? If the former - although a cheque might give you a little breathing space - how much will it really give you since cheques can also bounce?


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## Xanadu (27 Aug 2010)

Sorry should have been clearer -  the usual amounts would be the same payments that I've been paying via DD for the last three years. Int-only. It is just as a temporary measure until  we negotiate something permanent, presumably in the next week or two. Haven't got a written response from them yet despite phoning up to ask if they have looked at our monthly stuff. Anytime I call "it's still with our Credit Committee". 

Socrates - don't understand your comment about cheques. All we are doing is changing the method by which we pay, not the amount. We've had enough each month to make these payments; switching from DD to cheques won't make any difference to us. 

So far only Redbhoy has provided an answer to my question. I appreciate it Redbhoy and would be glad of a few from others as well....


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## Joe Q Public (27 Aug 2010)

Kill the DD immediately. If you are in difficulty it is best to retain control and pay them on your terms.


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## emma09 (15 Sep 2010)

yes, cancel all DD.  This way you will save on bank charges if you don't have enough funds in your account. 

I ring KBC each month and make payments from my Laser Card on the date that I have funds in my account.  It is actually reduced amount, but I give them something to keep them "happy" !!!


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## fizzelina (15 Sep 2010)

But with regard to DD you have signed a DD Mandate form so you can't just cancel a DD without the other party agreeing I thought? As in, if you have a contract with somebody (eg the gym) allowing them to take X amount each month you cannot just cancel that DD. So is it not the case that you can't cancel the bank taking the DD unless they agree to that and agree to accept a cheque instead?


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## redbhoy (15 Sep 2010)

fizzelina said:


> But with regard to DD you have signed a DD Mandate form so you can't just cancel a DD without the other party agreeing I thought? As in, if you have a contract with somebody (eg the gym) allowing them to take X amount each month you cannot just cancel that DD. So is it not the case that you can't cancel the bank taking the DD unless they agree to that and agree to accept a cheque instead?


 
You can. I did it with BOI earlier in the year and the DD was for a BOI credit card.


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## number7 (15 Sep 2010)

I would cancel the DD, but I would pay by a direct route, lodgement in cash, laser card, or internet banking transfer so that the payment date is certain and the cheque doesnt get caught up in other outgoings.

You are spot on to retain control of your account.


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