Debt Management Company Swindled Me - Need Advice Please

n_s_2

Hi, I've got 2 credit cards total debts of £5500, I recently had to join a debt management company to lower payments due to the loss of my job. Although I've had alot of problems with them seriously, they havent been sending off payments to my creditors and pocket £20-£30 fees for themselves. Today, I woke up to find my car had disappeared, running around like mad but realised the finance company terminated the contract and towed it away because they hadn't recieved payments since December 2008!!! I've been making regular payments to the debt management company but they've obviously swindled me! What's even more dodgy is that they changed their name from A.D.S to FreshStart recently and will not pick up any of my calls. At the beginning of the contract with the debt management, they adviced me not to contact my creditors and let them handle it instead but when I payed an outstanding balance and closed another account, they were furious! I think it's because they lost out on the fees!
Getting to the point, I dont know what to do know, the car finance company wants £6k right now or will auction my car and send me a remaining bill, although I negotiated that I will settle out with the monthly fees but they want an outstanding bill of £500 but they wont promise to release the car back. It's none of my fault because I was making regular monthly payments to the debt management company and its all fallen back on my head.
I'm going to make a complaint to the office of fair trading on monday and the ombudsman and get advice from citizens advice bureau but if anyone has any helpful tips, please share
Thank you.

RAS

Hi

Was the car on HP or is it a loan?

If it was HP, then the car belongs to the finance company and the debt should never have been included in the DMP as it is and was a secured debt.

Numpty_Monkey

If your with a fee charging company for your DMP ,
dump them and contact one of these
Non-profit Debt Counsellors' List

marty99

Hi

Ime just about to consider starting a debt mgt plan. Had option of a trust deed as i live in Scotland. My debts are 18k but got poor credit rating!!! Are dmp's good, will they always sort out the probs and pay the creditors?? Luckily i do not have any secured debts.

n_s_2

RAS wrote: »

Hi

Was the car on HP or is it a loan?

If it was HP, then the car belongs to the finance company and the debt should never have been included in the DMP as it is and was a secured debt.

Yes it was HP, the DMP told me its fine and encouraged me to not get in touch with the finance company and send them all the letters etc. At one point I payed some arrears to the finance company because the DMP took my money and never payed them! As and when the DMP found out they were furious! Told me off to let them handle it .. BUT :mad: clearly .. they're just taking my money and pocketing it!

If I was to know that it shouldn't have been included in the DMP, I wouldn't have done it, but now I know its a secured debt.. financed against an asset (the car) .. I'm in big trouble!

I filed a complaint to the Office of Fair Trading, The Financial Ombudsman, Citizens Advice Bureau and Payplan which CAB recommended me to, they told me that they work with some financial company .. FSA i believe .. and clearly stated that they wont charge me any fees to sort out my debts.

Anyone dealt with PayPlan ever?
I've had to fend for myself because businesses are going in to administration, and its much easier to be self-employed and offer something environment friendly and earn something good out of it too.. When I become debt-free soon I hope!
Is there any way of keeping finance in order with out using debit cards, banks, credit cards, savings accounts.. I wouldn't want to keep money in my house either.. but does anyone know of any risk free solutions to put it somewhere safe?

Thank yoou for all your replies This forum deserves a donation for all ppl like you who give up their time to help others! :T

I_know_my_ABC_and_my_CMYK

How soon after the car was purchased by finance did you enter into a dmp with the fee paying company?

You may also consider changing your post as your statement saying the company swindled you could be libellous.

dotstar24

hi i've just read your post, i think its disgusting whats happened to you. take them to the cleaners!!