charges for DMP

batshe

Hi everyone,

I have just been on the phone with payplan and will hopefully start my DMP in december. I had last month started with another company that was willing to charge me 900 pounds in the first 3 months and 25 pounds every month after to manage my plan. I was stupid as I did not understand they were going to charge me for the service but after some reading on the net I realised there were charities that do it for free.

Now i have a question, I have given my new account number to the first company and they are due to take 289 pounds of my bank account on the 1st of December but I want to cancel their services, can I just inform my bank not to pay them any standing order or is that not possible. I do want to start paying my creditors in december and can only do it via payplan as the other company will not pay my creditors for 3 months and packet all the money I pay them.
I am also worried that by signing the contract with the first company i will have to pay them anyway.
Please help, do you know how to solve this problem?

dancingfairy

Firstly well done on realising that going with a fee paying company is a mistake. You need to dig the paperwork out that they gave you - presumably you have a cooling off period? Don't forget you can always ask National Debtline for help on this or even Payplan might be able to help you.
I think it would be best to let the fee paying company know in writing you do not want their services and contact the bank as you have suggested and get the standing order cancelled.
df

batshe

Thank you,

I have not got a copy of the agreement, they left a lot of papers with me with information I will read today to see how to do it. Payplan told me to simply cancel the standing order with the bank and send them a letter which I will do, I just feel guilty as they have contacted my creditors (some anyway as they forgot some God knows why...) and I feel I have to pay them something.

insider66

batshe wrote: »

Hi everyone,

I have just been on the phone with payplan and will hopefully start my DMP in december. I had last month started with another company that was willing to charge me 900 pounds in the first 3 months and 25 pounds every month after to manage my plan. I was stupid as I did not understand they were going to charge me for the service but after some reading on the net I realised there were charities that do it for free.

Now i have a question, I have given my new account number to the first company and they are due to take 289 pounds of my bank account on the 1st of December but I want to cancel their services, can I just inform my bank not to pay them any standing order or is that not possible. I do want to start paying my creditors in december and can only do it via payplan as the other company will not pay my creditors for 3 months and packet all the money I pay them.
I am also worried that by signing the contract with the first company i will have to pay them anyway.
Please help, do you know how to solve this problem?

For this type of agreement the cooling off period is 7 days, so past that, but not to worry - simply cancel the standing order / direct debit with your bank . If you have agreed to pay by debit card and have given them your details for a future payment then you need to "lose" your card and ask your bank to send a new one...

As for feeling guilty - don't - this company will have made lots of money in the past for doing not a lot to cover the small amount of work contacting your creditors.

Hope this helps

10past6

batshe wrote: »

I just feel guilty as they have contacted my creditors (some anyway as they forgot some God knows why...)

And to think, you were going to be paying this shambles of an outfit :rolleyes:

batshe

Thanks everyone, I will finish with this agreement first thing tomorrow.

xxxx

savingholmes

Welcome and good luck... don't forget to join some of the challenges like make £10 a day to ease/speed your journey...

batshe

Hi everyone!!!

I managed to change to Pay Plan with no complications at all wich is really good!!

I have a little worry about my credit score now, I am thinking of moving home next year and I am worried that because of my bad credit score I won't be able to rent a new flat. When I rent my previous flat the state agent checked my credit score, does it mean they can refuse to rent based on the credit history or score?
If anyone has rented with a bad credit score please let me know what happened.

Thanks
xx

debtfreein4years

ive got an absolute rubbish score, but was upfront about it and have had no problems with renting. i am renting with my bf who has an impeccable credit history so i dont know if thats affected it.

good luck

batshe

Yes I will be renting with my partner too and he has a good credit score so lets hope that helps.

Thanks
x

bumblebee87_2

i think with private renting, anyone with a bad credit rating is a possible risky tenant, but if you are upfront with possible landlords/letting agents, and show you are on the DMP then you *should* be ok