Could Joining Payplan jeopordise other arrangements

LostBoy

Hello,

I have several personal arrangements with several creditors. however, my biggest creditor, HBOS (approx £50K), have advised they will not freeze interest on any of my accounts unless I join an independant party. - ie Payplan.
My worry is that by doing this it will ruin my agreement with other creditors who may not be happy about getting less if i go through payplan. - i also have to consider that even via Payplan HBOS still may not stop the interest.

my other main creditor is Northen Rock (£30K) who have said they wont stop interest at all - unless a court judgement. although at the moment they have accepted 30% of original payment not to take any further legal action. - this doesn't make sense either because the loan is increasing every month by double what I am able to pay them.

what should I do??

regards

GeorgeUK

Have you considered a Debt Arrangement Scheme (DAS)
http://www.moneyscotland.gov.uk/das/das_display_home.jsp?p_applic=CCC&p_service=Content.show&pContentID=3&

This will stop interest and charges, but not sure if you would be eligible. Might be worth looking at if some are threatening action against you.

Payplan would expect you to split the money you have available equally between your creditors. Each would get x%

Can you post up who they are, the amount owed and the current repayments?

LostBoy

do you mean the reduced amount or what they should actually be getting?

I have looked at your link and probably would qualify for a DAS. Why would neither CCCS nor PAyplan even mentioned one to me before?

I have spoken to CAB several months ago (they also never mentioned a DAS). however, with respect, they were a waste of time.
my situation is basically this: Im self employed and my income has dropped. my wife and I have a disposoable income of approx £450 per month for our creditors. creditors are (approx Figures):

MBNA - £4K
HSBC - £3K
EGG - £3K
HBOS Visa - £10K
HBOS MC - £9K
Mint - £3K
Thomas Cook Visa - £4K
Northern Rock Personal Loan - £30K
HBOS Personal Loan - £13K
Direct Line Personal Loan - £7K
HBOS overdraft - £6K
HBOS Overdraft - £6K
Family Loan - £19K

We have our own mortage and a second property - the rental income contributes to our disposable monthly income. - there is an approx combined equity of £45K across both properties.

hope this helps
regards

GeorgeUK

I was really trying to get a feel of how much you may be able to pay if the DAS was an option. I don't know much about DAS but nationaldebtline should hopefully be able to advise. I'm not even sure if it is a legal arrangement or not (ie what would happen if you were unable to maintain payments)

Have you tried claiming back bank charges, vredit card charges or any missold payment protection insurance (PPI)?

LostBoy

I have no PPI. I have started to ask creidtors for the original CCA. - but haven't received anything back yet.
also, i have made complaints to the financial ombudsman about HBOS (5 accounts above) and NR regarding not stopping the interest unless i go via a 3rd party (ie payplan or CCCS). - although I have been paying over £200 to each for the lst 6 months - not stopping the intereset means theat the outstanding balance owed to HBOS and NR over the 6 months period has increased by £12K:mad: :mad:

No other claims have been made to refund charges.

Also, i have jusy spoken to Payplan and they dont even know what a DAS is:eek:

MBNA, TC, EGG, HSBC, Mint and Direct Line have all frozen interest and agreed to a reduced monthly payment.

what do you think I should do now?

debrag

I suppose it all depends on the decrease/increase in payment to creditors. Most will accept the DMP weather they stop interest is another thing.

If you stick to the saem budget then there won't be a change

GeorgeUK

I think Payplan and CCCS deal mostly with English debts so may not be fully aware of the Scottish legislation. A DAS is not available in England. It may be worth asking if they have a Scottish dicision that may be able to advise you. It sounds like a DAS would be the best option for you - basically an interest free and threat free DMP.

Have a look at the nationaldebtline site. I'm sure there is something on there about DAS and they may suggest who to contact.

If you have charges that you can reclaim, i suggest you do so asap. You can send a subject access request (cost £10) which under the Data Protection Act allows you to request a copy of all transactions for the past 6 years and also copies of the documentation they hold on you. This will include a copy of the original CCA with signatures which you don't usually get with a basic CCA request.

LostBoy

Huge Thanks GeorgeUK. :T but im not getting too carried way just yet.!!

Just spoken to nationadebtline. - have been more knowledabgle and helpful than either CCCS and Payplan. - atlest they knew what a DAS was and how it differs from a DMP.

They have given me the contact details of a local Accredited Money Advisor who will be able to advise if I am in fact eligible for a DAS.

will keep you posted.

regards

LostBoy

Also, how long do the creditors have do produce the Subject Access Request?
and what should I do with it once I have it?

regards

GeorgeUK

They have 40 days to produce a copy of the CCA.

I am doing one for my brother (he has a defaulted loan) but i am getting advice from the consumeractiongroup. It seems if you require certain documents, it is best to specify in the request letter what you want. When signing the letter, don't use your normal signature.

The SAR in this thread is if the debt is still with the original creditor.
http://www.consumeractiongroup.co.uk/forum/scotland/184976-loan-charges-enforcability.html#post2000059

There are posts later that suggest altering the SAR and would advise to follow those directions as required.

LostBoy

Can I pursue the SAR directly from the creditors as well as signing upto a payment plan with a 3rd party?

Coming back to the DAS, I have just spoken to a local Accredited Money Advisor and have arranged to meet with them on Monday morning. - will let you know if they decide a DAS is indeed the best option for us.

thanks

and why should I sign the SAR differently??