Debt Worries

Heather88

Hi i am new here and just wanted some advise really.

Myself and my OH are in around £2,500 worth of debt with HSBC and were really struggling to pay it off with out being charged interest and feeling like we were flshing money down the toilet. So we decided to try using Debt Release Direct. We have been using them for 2 months but today i recived a phone call from HSBC telling me if i dont pay the amount in full (i myself owe around £700) that it will get passed over to a debt collector. I said i was using Debt Release Direct but the man on the phone said the amount they recived each month wasnt enough.

I called DRD and advised them of the coversation and they told me that it will be ok and no-one will be coming to my house to take anything, but i am still worrying.
Has anyone here had anything similar happen to themselves or used DRD?

Thanks

milliemonster

Hi Heather, firstly you would be better speaking to one of the fee free debt charities like payplan, cccs or national debtline, I haven't heard of DFD but I bet they are charging you for their services (it will be coming out of your payments) whereas if you were with one of the debt charities, everything you are paying would be going off your debt.

Secondly, HSBC are scaremongering and by the sounds of it its working, at the end of the day you can only pay what you can afford, HSBC will not send bailiffs round, they may sell your debt onto a debt collection agency but that's a good thing as they are generally easier to negotiate with, more likely to stop interest, accept reduced payments and even offer reduced full and final settlements.

Have you done an SOA on here yet?

BenS1

http://www.consumeractiongroup.co.uk/forum/formal-solutions-bankruptcy-administration/232531-debt-release-direct-have.html

Doesn't look very promising. I would cancel any dealings you have, they seem to be taking money from debtors and not giving it to creditors. It would be best to speak to HSBC to find out the last payment was made and how much is outstanding for now, and then query Debt Release Direct about your 2 payments.

I'm sure someone will come along and check to see if I have missed anything You can always find advice/help about your debts on here, and you won't need to pay a penny for it

Heather88

yes they are charging us, which i though most companies did until i spoke with someone at work today who said they dont.
What is a SOA?
Thanks for th reply

Heather88

BenS1 the payments have been recived from what i was told over the phone he just said that i wasnt paying HSBC the amount of money they wanted, basically. thanks for that link though and i will definatly check out the other companies.

beanielou

SOA is statment of affairs
Basically what you have coming in & going out each month.
Ditch the fee paying co asap.
Cancel your DD?SO to them.

Heather88

Do you thinki would be able to claim the money i have paid to them back as they needed two £150 payments before the plan begun?

beanielou

Would doubt it.
whts in their terms & conditions?

Heather88

Their T&C state after 7 days of the plan being set up they will not refund the money i have paid.

beanielou

Theres your answer then Im afraid.