CCCS/Payplan, where to start with bank accounts help please

tranceaddict

Hi

I've been in contact with CCCS and payplan about my debts, payplan are calling me back Friday and CCCS have already sent me inofrmation about my DMP in the post so I guesss i'm going to go with CCCS as they appear to be quicker.

One of my creditors is my bank (big overdraft maxed out), CCCS say they work with this bank and I need to go in and get a basic account with them for my wages to go in so it's not all swallowed up, this I get, but surely as soon as I go in and say this they will freeze my normal account immediately (realising they will not get any more money from me), even though my wages this month will still go in (as its too close to pay day to change it), and my priotity direct debits will need to be paid.

Would it be best perhaps to wait until after the 1st and everything has come out (though this may take me over my overdraft and leave with no money until next pay day) or shall I cancel my direct debits now before they come out next week, wait until I'm paid then go in for the new account, i'm so confused as to the best way to go forward with this to ensure that I actaully have some money for the month and can get access to it, hope I've explained myself clearly and any help or advice is greatfully received.

R

continualdiamond

Doesn't a creditor have the right to take any money from a bank account you have with them in order to pay off a debt with them??? Therefore opening a new account with them they'd just take money from it to pay off the overdraft from your old account???(im confused)

Im with payplan and my old bank was the TSB at which i had an overdraft and credit card with them.

Upon advice from payplan they sent me a list of banks that were not connected with any of my creditors, that way none could access my bank in order to pay off the debt.

We went with Natwest in the end and we made sure we had the direct debits switched after they'd all be paid, which for us is at the end of the month. In terms of work etc they took longer to change the details, so as soon as pay day arrived i was straight to the TSB to withdraw it all and put in into Natwest.

fermi

You really need to open a basic account with a bank that is not connected with any of your current creditors, including your overdraft.

This is the normal advice from CCCS on this forum, and will prevent a creditor raiding your new account using their legal right of "set off".

CCCS_Alan wrote: »

If you use the following link Basic Bank Accounts, and in the Basic bank accounts section click on publications it will provide you with a list of accounts and what benefits the account offers.

Be sure that the account has no connection to any of your existing creditors though.

10past6

Why not open a "Basic" account with another bank?

Any priority bills piad via DD (Mortgage, electric, gas, water, community charge, etc, etc MUST BE PAID, any non priority bills, cancel DD and send token payments of £1.00 postal order to each creditor.

tranceaddict

Thanks for the advice, I did wonder, so a new bank account it is then, next question, how do I find out if any of my creditors are linked to the bank?

I have a wide and varied list of creditors, and I'm sure deep down under theit trading names they are linked to the banks somehow, is it just a question of doing some detective work before choosing which account?

R

welshpaula

when my bf started his dmp he was with barclays and had 2 large overdrafts that were going to th dmp .he went and opened a co op account ,withdrew all the wages that were still in barclays paid them into co op account then cancelled all direct debits from barclays account and set them up for new co op account . we didnt trust barclays not to seize what was left of his wages !it is a bit tricky but went quite smoothly lol good luck paula x

Tigert

tranceaddict wrote: »

Thanks for the advice, I did wonder, so a new bank account it is then, next question, how do I find out if any of my creditors are linked to the bank?

I have a wide and varied list of creditors, and I'm sure deep down under theit trading names they are linked to the banks somehow, is it just a question of doing some detective work before choosing which account?

R

Hi you definitely want a bank account that isn't linked to your creditors.

This link from the Payplan website should help :

http://www.payplan.com/debt-library/linked-banks-and-creditors.php

tiggtang

Wouldn't it be worth seeing what Payplan offer first?
You wouldnt go out and buy the first car the salesman showed you would you?

Just a thought, but the level of advice could be very different depending on the company.

But the others are right...you should open a basic account with a company that isnt linked to your current creds.
Do that before you advise your creditors of your reduced payments to them...regardless of who you go with.

riquelme

trance - you are gtting good advice here off people, i was in a very simlar position a week or so back

tranceaddict

Thanks to all, opened a co-op basic account today, will be sending back my stuff to CSSS tommorow (they just seem nicer!) and cancelling my non prority DD's next week once I have my new account number.

Bring on that DMP

R