HELP - Compass Debt Counsellors - CREDITORS MEETING 30th March in Leicester

Pollyx7
Pollyx7 Posts: 1 Newbie
in Debt-free wannabe
Hi, I'm new too this site but not new to debt!! I found out yesterday that the Debt Management Company we had been using for the past 8 years has/is going into liquidation. I need some advice on whether I should be contacting my creditors direct and informing them of the situation and assure them we will continue paying their agreed amounts until we can get further advise?

Or does anyone out their have any different advice, I just want to keep paying as my credit rating has started to recover a bit and do not want any further defaults.
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Comments

  • Stevie_Palimo
    Stevie_Palimo Posts: 3,306 Forumite
    Combo Breaker First Post
    Having gone into liquidation another Company may buy the book of clients held so they can offset this against any Company losses, You can either hang fire for a bit and put money aside or simply make contact with your creditors and seek the same repayment options you have been making.

    In most cases they will agree and a few may try it on with a view for increased payments but just stand your ground with them, You are better off doing this alone to save fees and the debts you owe out are used to smaller payments so it should be fine.
  • fermi
    fermi Posts: 40,546 Forumite
    First Anniversary First Post Combo Breaker Intrepid Forum Explorer
    edited 4 March 2016 at 9:23PM
    Welcome.

    At least a good idea to write to each saying what has happened, and make sure something is going to them.

    Would also be a good idea to ask them for a summary of recent payments received as well, since when these dodgy DMP companies go bust it often turns out that they have not been passing on payments for some months.

    Then talk to one of free organisations http://www.moneysavingexpert.com/loans/debt-help-plan#help to see what options are from now onwards.

    May be a DMP with a free charity, or a self managed one, or maybe something else.
    Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB

    IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed
  • fermi
    fermi Posts: 40,546 Forumite
    First Anniversary First Post Combo Breaker Intrepid Forum Explorer
    From their now defunct site
    Compass Debt Counsellors no longer offer regulated debt management services. Contact us at rmrfinancialserviceslimited@aabrs.com
    Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB

    IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    First Anniversary Combo Breaker First Post
    not directed at the OP: just thinking it's so nice to see these leeching fee guzzling DMP companies going under. Nearly as good as when chinless wonders at Lehman Brothers walked out with cardboard boxes of their desk belongings; happy days!
  • tallyhoh
    tallyhoh Posts: 2,305 Forumite
    First Post First Anniversary
    I wouldn't wait for another fee charging company to take over, arrange your own payments direct. Don't forget to cancel direct debits or standing orders to Compass
    Tallyhoh! Stopped Smoking October 2000. Saved £29382.50 so far!
  • unlimited55
    unlimited55 Posts: 3 Newbie
    I am in the same boat, I had over £5000 in my client fund, what happens to this as its not their money?? Am I protected by the FSCS?? stressed!!!!!
  • unlimited55
    unlimited55 Posts: 3 Newbie
    fermi wrote: »
    From their now defunct site
    no point they have called receivers in!!!!
  • unlimited55
    unlimited55 Posts: 3 Newbie
    Has anyone got anywhere with either Compass, RMR or the FSCS? I am seriously out of pocket and back to square one!!
  • sourcrates
    sourcrates Posts: 28,833 Ambassador
    First Anniversary Name Dropper First Post Photogenic
    unlimited55 wrote: »
    Has anyone got anywhere with either Compass, RMR or the FSCS? I am seriously out of pocket and back to square one!!

    Unfortunately that's the chance you take when dealing with a fee charging limited company.
    As you have found out, they go bust, usually taking all your money with them, I'm afraid it's unlikely you will see your money again, you will just become one of the companies creditors ironically.

    Depends if they have any assets the receiver can liquidate to recover some of the losses, if not, then that's that unfortunatly.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • Wookie78
    Wookie78 Posts: 4 Newbie
    I'm too in the same boat!! Had 4K in my client account!!! Gutted cause that light at the end of the tunnel was getting within reach and now this has happened 😡 I may be naive but isn't this a type of theft especially if they've known they were in trouble whilst still taking people's money😡😡

    Had a reply email from an automated system saying a meeting was being held 21st March to discuss liquidation.

    Thinking there will be zero chance of seeing that money again?
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