Question re creditor on DMP

kimmi_b

Hi all

I am currently into my 5th month of my DMP with Payplan. Time has flown by and I have managed to pay £1117 towards my debt, god only knows what the interest and charges have put it back up to though!

With the majority of my creditors I have been very fortunate in that they have frozen interest for anything between 6 months and a year, or reduced it for me. However I owed £166.15 to Littlewoods Catalogues at the start of my DMP, which has now risen to £268.41 in interest and charges!!

They haven't acknowledged my letters and payment offer, instead I have now received a letter stating they intend to pass the amount outstanding over to a debt recovery service.

I am positive from reading other threads that negotiating the debt will become easier once it is sold on, but was wondering will the debt 'freeze' when it is passed over to the debt recovery company, or will they be entitled to continue to add the interest and charges onto the account?

buzzybee05

Hi Kimmy,

I'm quite new here! Try giving payplan a call. They should be able to answer that for you. I'm with CCCs and they said if ever i have any questions, to just give them a call. So i expect payplan would be the same. Or NDL are just as helpful.

HHH_2

Interest was frozen on all my debts once they passed to DCAs.

tishywish

I've had the same problem with Littlewoods, and they've now passed my debt onto Lowells. So far I haven't heard from Lowells apart from a letter saying they've taken over the account but I've written to them with my Payplan reference number and have told Payplan. They were adding charges at random to the debt - some months nothing, other months £12 or £24. My account was split into two so sometimes they wer really helpful and added two lots of charges to each account - I think I'm glad they've sold the debt to Lowells TBH!

jopwo_87

In my experience once passed over to the DCA's, they all added on their own cut which was any amount from £30 - £150. Once they've done that they have always frozen the amount for me with negotiation, but they have to make their money so i very much doubt they wil not add anything on for you either.

kimmi_b

Thanks guys for all your replies. Was very concerned about the number of charges being added on, very random - one month 2 lots of charges, another month 3 lots etc etc. Was going to offer them a few pints of blood as it seems that might quench their thirst lol! My case officer at Payplan also thinks this is good news as they will freeze interest (but likely bung their own charges on).

Am furious at Littlewoods for adding almost £100 worth of charges though - how do they expect people to get themselves out of a bad situation if they don't give you some leeway? I don't expect special treatment, but I have acknowledged my debts and will happily pay them all off until the end, without even asking for a reduced full and final so for them to behave like that is appalling.

Oh well, onwards and upwards, tomorrow is another day and all that. Debt free in 2013 I hope!