Can CMS be reduced?

[BilalDad]

Hi there,

Ok self employed. They’ve calculated my CMS based on a year where I wasn’t a lot of money but I am now completely broke and in debt and can’t make the payments at all - my ex has now on top of this applied for click and collect which will mean an additional 20% on top of the payments I can’t even make.

By the end of the year court order says my son will be spending 5/14 nights with me a year but CMS have said they can’t change anything as it is based on current circumstances where he only spends 1/14 nights with me.

I’m at my end and I really don’t know what to do. Any help would be great.

 

[Ash]

Hi. This sounds incredibly stressful and worrying for you. First thing is - don't let it get you down too much - even if you end up feeling like it's a financial disaster for a year - don't let it get to you - things will improve and you can get through this.

Practical things - I think all you can do is contact the CMS and tell them that you just don't have the money because the assessment is based on a year you were earning more and now you're not. And ask them to do a reconsideration. They might ask you to send details of current income and outgoings. Others may have more tips on this issue.

The main thing is try and get some support because worry about debt and finances can drive some people to the brink - so you need that support - even if you do end up in debt, at least you can be there for your kids.

 

[Kyle]

Don't take a single CMS agents word for anything. Call again and calmly keep pressing the situation. Ask to speak to a line manager if the lacky on the line won't entertain you. The fact the CMS make their calculations based on earnings from the previous financial year has its pro's and cons.

Great of you were earning less last FY. Not great of you are now earning less than last year, or not much at all due to unfortunate circumstances.

The bottom line is, they cannot make you pay what you don't currently have.

Have you spoken to Citizens Advice?

UK Debt Support Line

 

[Ash]

The other thing is - when you call them, I would tell them what you're earning now and say you will send copies of documents to prove that, and they should reassess. Sometimes you can get someone quite helpful (sometimes not, so as Kyle says, escalate if necessary). It is a computerised system and sometimes they can be helpful if you talk to them. Another guy on here didn't have to pay when he explained he isn't working now, even though he was last year.

 

[Kyle]

Absolutely.

Like most situations that involve owing money. The anxiety created from falling behind can usually always be alleviated by getting on the phone and discussing your situation with who you owe.

I'm sure they will reassess once someone eventually understands your predicament. So don't give up chasing.

 

[BilalDad]

Thanks so much guys. I’ve been told I have until June 17th to prove that I don’t have any money so just need to figure out exactly what they need as proof? I’m in so much debt from the court situation that I’m struggling to make basic ends meet let alone pay her over a grand in CMS for a 2 year old !

 

[Ash]

Did they tell you what they would accept as proof? If you're self employed, do you have an accountant? They may be able to draw something up for you to show your recent income. I guess you could provide bank statements showing income and outgoings for the past few months, and any credit card statements maybe. I'm not sure.

 

[BilalDad]

Yeah I’ve got a meeting with my accountant this week, dropped off all my CMS paperwork and earnings to him yesterday so hopefully he can figure something out here but it’s just my ex pushing now to find ways to financially ruin me. She really doesn’t need this amount of money at all a month - it’s more than my rent !

 

[Ash]

An accountant can be a real boon! They have a lot of credibility. All you really need then probably is a letter from the accountant, confirming various things. Because they can say they deal with your accounts and what your average current income is this year compared to last year, and mention you are also in personal financial debt. Assume you'll still have to pay something, but based on this year's earnings instead. At least by showing you have debts, she can't claim you have a load of savings stashed away.

 

[Sepul]

Absolutely.

Like most situations that involve owing money. The anxiety created from falling behind can usually always be alleviated by getting on the phone and discussing your situation with who you owe.

I'm sure they will reassess once someone eventually understands your predicament. So don't give up chasing.

I agree, as per the book, first we need to collect all the facts:

Then, once we have them - determine the best course of action and act.

So it seems that CMS needs to see evidence of no money - perhaps they could clarify what exactly they need to see. If it is a bank statement - then be it and very quickly. I am not sure that Click and Collect works from the bank account - it is rather from the income source.

The bottom line is that it is the past income - not relevant anymore, the calculation should be based on the current one. I will speak on the phone with CMS to get to the bottom of it.