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

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Comments

  • meg123..
    meg123.. Posts: 6 Forumite
    First Anniversary
    hi as anybody been contacted by Abbey Solicitors,compass signed me up with these 3wks ago.
    I have to pay the £250.00 a month for 12mths and i will be debt free. Not sure if this is a scam after Compass going bust and taking £6500.00 of my money plus i paid them £5000.00 for set up back in 2008.Please can some on help
  • wildmonkey
    wildmonkey Posts: 5 Forumite
    Hi There ,

    I am one of many victims who has been scammed by Compass & for what its worth I would not pay any money now or ever to anyone else other than DIRECT TO MY CREDITORS ONLY.

    I can't stress enough , DO NOT PAY ANY THIRD PARTIES ANY MONEY OTHER THAN YOUR CREDITORS , These con artists are out there waiting to scoop us up in their net knowing we are all extremely vulnerable right now & are just waiting to pounce.
    PLEASE DON'T BE FOOLED!!!
  • Lilith1980
    Lilith1980 Posts: 2,100 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    My other half was with Compass. Just tonight we had a letter through the door from one of his creditors informing him they had gone bump!

    Plus, they had rung him a few weeks ago talking about Abbey Solicitors, paying them his minimum payments for a year and the debt potentially being written off. Compass told him a load of lies(i.e. that the plan would revert back to them if the solicitors could not write the debt off)....and even before he had sent the direct debit off to Abbey, it had been set up!

    He's going to contact Abbey and see what's happening.
    My debt-free diary :)
  • D3wanabee
    D3wanabee Posts: 6 Forumite
    meg123.. wrote: »
    hi as anybody been contacted by Abbey Solicitors,compass signed me up with these 3wks ago.
    I have to pay the £250.00 a month for 12mths and i will be debt free. Not sure if this is a scam after Compass going bust and taking £6500.00 of my money plus i paid them £5000.00 for set up back in 2008.Please can some on help

    We had a letter from compass in January making similar claims, didn't here from any solicitors though but we kept paying. After hearing of the demise of compass we just assumed this was a con to keep receiving money. I'd speak to the solicitors if you have their details.
  • fermi
    fermi Posts: 40,546 Forumite
    First Anniversary First Post Combo Breaker Intrepid Forum Explorer
    D3wanabee wrote: »
    Just a quick update, phoned the financial ombudsman tonight. Logged a complaint with them, it could get passed to the FSCS, use their business name RMR Financial services rather than the trading name Compass.

    To the best of my knowledge this type of company and product simply cannot legally be covered by the FSCS, no matter what someone form the FOS/FCA may optimistically like to to think.

    Would love to be wrong there, but having seen the outcome of more than one of these firms now, and what happens legally and regulatory with them and the money they owe, I very much doubt not.

    Just don't want people to get their hopes up too much on that point just in case....
    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
  • dancingfairy
    dancingfairy Posts: 9,069 Forumite
    I would urge anybody caught out by this company to contact one of the free companies Martin recommends such as stepchange or national debtline.
    I have no idea what abbey solicitors are offering but personally would be inclined to stay well clear.
    Df
    Making my money go further with MSE :j
    How much can I save in 2012 challenge
    75/1200 :eek:
  • D3wanabee
    D3wanabee Posts: 6 Forumite
    fermi wrote: »
    To the best of my knowledge this type of company and product simply cannot legally be covered by the FSCS, no matter what someone form the FOS/FCA may optimistically like to to think.

    ...

    Just don't want people to get their hopes up too much on that point just in case....

    I've no idea regarding financial laws, I agree we've probably got little chance of recovering anything. The insolvency company are charging £12,000 for their services so that will be paid before anyone else.

    It's still worth logging though, you don't ask, you don't get I guess.
  • dancingfairy
    dancingfairy Posts: 9,069 Forumite
    meg123.. wrote: »
    hi as anybody been contacted by Abbey Solicitors,compass signed me up with these 3wks ago.
    I have to pay the £250.00 a month for 12mths and i will be debt free. Not sure if this is a scam after Compass going bust and taking £6500.00 of my money plus i paid them £5000.00 for set up back in 2008.Please can some on help
    It may not be a scam as such but they can't guarantee you will be debt free and if their plan is to save your money up and offer it to your creditors after a year then potentially your money is at risk if they go under. From what you've said they are exaggerating what they can do and the likely success rate.
    Unless they are offering a formal debt solution such as bankruptcy to wipe your debts they are not doing anything you can't do yourself and are likely charging you for it. Frankly you'd probably be better taking the money you are paying them each month and stuffing it under your mattress for a year then paying your creditors! You wouldn't be paying fees or commission and you wouldn't have the worry of money not being passed on/ the company going bust. ( I'm not recommending this as a strategy!).
    You can get free advice from stepchange, national debtline, your local cab ( or cab online) or Christians against poverty (cap).

    Df
    Making my money go further with MSE :j
    How much can I save in 2012 challenge
    75/1200 :eek:
  • dancingfairy
    dancingfairy Posts: 9,069 Forumite
    D3wanabee wrote: »
    I've no idea regarding financial laws, I agree we've probably got little chance of recovering anything. The insolvency company are charging £12,000 for their services so that will be paid before anyone else.

    It's still worth logging though, you don't ask, you don't get I guess.

    It's definitely worth logging a claim. You may get something ( possibly a few pence in the pound if anything).
    You need to find out how much money has actually gone to your creditors and find out from your creditors how much you owe. You may find if this company has been passing on very lite or nothing of your payments or hasn't paid for a while that your creditors will take offers to settle the debt. You can find more information regarding making settlements on the national debtline website.
    Good luck
    Df
    Making my money go further with MSE :j
    How much can I save in 2012 challenge
    75/1200 :eek:
  • fermi
    fermi Posts: 40,546 Forumite
    First Anniversary First Post Combo Breaker Intrepid Forum Explorer
    Anyone know which one of these people is dealing with the case?

    http://www.aabrs.com/Our%20people
    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
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