Example letter to ask a non-priority creditor to accept token payments for the time being.

(Italics show where you put in your own words)

Creditor’s name and address                                      Your address

Date

Dear Sir or Madam,

Account Number

I am/We are writing to you because I am/we are in financial difficulties. My/our financial statement is enclosed.

Briefly explain the reasons for your financial difficulties, particularly any fall in income or increase in expenses since you took out a loan. Difficulties could be anything from unemployment, ill health, bereavement or relationship breakdown.

If any expenses are particularly high because, for example, someone has a special diet or needs extra heating, briefly explain this here.

As you will see from the financial statement, I/we have very little money left for credit debts. In the circumstances, please could you accept token payments of £x a month, freeze any interest or charges that are accruing and review the situation in six/??? months. If there is any particular reason why you may then be able to pay more, briefly explain this here.

I/We intend to make the first payment on DDMMMYYY. If this is acceptable, please provide details of how I may make my payments.

I/We understand that you may wish to review the situation in, say, six months time.

Yours faithfully,