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Sudden additional charges to Debt Management program

I am currently in a Debt management program with a company who frequently appear to make 'mistakes' when paying my creditors. I have recently had a phone call from them stating that the Trading Standards Office have recommended that they increase theyre fees by a certain amount(can't remember how much), because of the credit crunch. They then went on to say that they did not agree with this and so was instead charging all their customers a one off fee of aprox £100.
Is this valid? I am on a Debt management program because I can barely survive financially at the moment (as I guess most other people on these programs are) how can we be expected to come up with further, unexpected funds just like that?
Has anyone else heard of this or am I being taken for a ride by this company?

Comments

  • You need to check any written agreement you have with them and see what it says with regards to any charges and fees. By rights you should only be charged what you originally signed for.

    Have to say though I'd be VERY suprised if Trading Standards told them something like that...
    Total 'Failed Business' Debt £29,043
    Que sera, sera. <3
  • ~Beanie~
    ~Beanie~ Posts: 3,043 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    You shouldn't have to pay ANY fees for being in a DMP!! Go to CCCS or PayPlan who will sort it out for free.

    I think that the Company you use are definately pulling a fast one and you should tell them where to get off!
    :p
  • halight
    halight Posts: 3,629 Forumite
    Part of the Furniture Combo Breaker
    Hi ,
    This is very wrong mate to make you pay a one off charge of £100. Its taking the p$£%%

    Contact payplan or cccs thay do the same job but will not charge you. Thay will sort evrything out and tell you how to go about swopping over to them.
    there Are links to there phone numbers on this web site somwere.
    Im sure that a kind person will post the link for you soon.

    All the best mate
    Good luck
    :jYou can have everything you wont in lfe, If you only help enough other people to get what they wont.:j
  • RAS
    RAS Posts: 36,206 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    hi

    First please ditch any fee-charging DMP company and go with one fo the debt charities - http://www.moneysavingexpert.com/loans/debt-help-plan#help

    That way everything you pay goes towards your debt not the company's profits.

    Secondly, I suggest that you ring the trading Standards office closeest to your DMP providers main office and relate this tale to them. See what they say?
    If you've have not made a mistake, you've made nothing
  • 10past6
    10past6 Posts: 4,962 Forumite
    Add just to add to everyone's advice, take a look at my signature ;)
    Click here for Martins (MSE) advice on who to contact with Debt Issues - YOU HAVE NO REASON TO USE A FEE PAYING DEBT MANAGEMENT COMPANY- THEY CANNOT DO ANYMORE FOR YOU THAN THOSE LISTED IN MY LINK ABOVE.

    All information given by myself is offered informally and without prejudice - if in doubt seek help from a qualified and insured professional
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