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StepChange_Pavan

cpsnip wrote: »

Hello,

I am in a DMP via payplan. They advise that a DMP is a "Gentlemans Agreement".

However, I have one creditor out of a total of seven, Halifax, who keep moving the goalposts every six months or so. They put me back on the phone harassment list; start charging more interest than my payment and generally make things difficult. Each time they come to a reduced interest agreement after a while, but I still accrue charges and interest. The agreement doesn't seem to last long and the amount that I owe does not really reduce. The upshot is that the projected end of the plan, originally 5.5 years, is still over 5 years, despite the fact that I have been paying for nearly 2 years now?

I have been refused an IVA application by Payplan because my debts will be cleared within 5 years anyway, (this was said at the start of the DMP, again after one year and again in March this year), but in view of the way that Halifax behave, there is absolutely no guarantee that this will be the case.

I honestly feel that I have been and am being, at best, mis-directed. This DMP carries no guarantees and I could find in 5 years time that I will still owe a substantial sum. Since I will be on a State pension by then, I would rather have fixed an IVA 2 years ago, which would have been finished within another 4 years, but Payplan wouldn't let me. Now 2 years further down the road, I still have a debt extending beyond 5 years and at least one creditor who regularly evidences that there is no agreement at all! I can't believe that this is right?

Any thoughts or advice, appreciated, thanks

Hi cpsnip and thanks for your post.

It’s difficult to say what your options are without looking at your situation in more detail.

Payplan are right that there is no guarantee that your creditors will stop interest and charges when you are on a DMP, but I can understand your frustration at the debt not getting any smaller.

If you’d like us to look at your situation you can use our Debt Remedy facility (http://www.cccs.co.uk/ref/drcu) to see if an IVA is an option for you. There may be reasons why you won’t qualify but we can look at this for you.

If you’re not confident with computers or would prefer to speak to an advisor then you’re welcome to ring our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

If you phone us it may be possible to refer you directly to a counsellor for immediate advice. Alternatively, we will arrange for an appointment to be booked at a time convenient for you.

Kind regards,
Pavan

StepChange_Pavan

maccabeatle wrote: »

hello..

i have run up a debt of around £2500 with my 'very catalogue online' account.i have never missed a payment in 4 years although i have mainly paid the minimum payment monthly.i am an ex bankrupt about 4/5 years a ago and i vowed never to get in trouble again...but here i am.
i earn a poor wage [£100] a week as a barman.i have 3 kids and a wife.my job is about to be lost at the end of the kids holidays due to the company i work for going bust.
i want to pay 'very' every penny i owe them but the minimum payments alone are working out at about £109 pounds a month..i struggle to meet it but i always have.unfortunately due to an incredibly high interest rares i am getting nowhere with the outstanding amount i owe them.my brother has advised me to 'max the account' and 'screw them over' because i have a total credit accsess on the account of 6/7 k.
however i really dont want to do that after my previous bankruptcy problems which are long behind me with my lesson learned i hope!.
is there any way in which 'very' would accept a freeze on the interest in which i owe them allowing me to concentrate on just paying off my balance at say £80/£100 a month.should i ring them or is there a company out there that could help me..any advice would be welcome as i feel as if i am sinking into a familure scenario.
p.s
i fully accept that the only person responsible here is me and i have allowed myself to get in this situation with my eyes wide open.i am stupid
i know...

thanks in advance.

Hi maccabeatle and thanks for your post.

I’d recommend that you put together a budget which shows what you have coming in and lists all your expenditure. If you send them a copy of this, they’ll be able to see that you can only afford a certain amount.

Like mum2one has mentioned, it’s important that this figure is realistic and something that you can stick to – so don’t underestimate your expenditure.

You can also include a letter, explaining your situation and that you’re doing everything that you can to offer them a reasonable amount. You can also ask for their consideration in freezing the interest and charges whilst you get back on your feet.

You could also look at ways to maximise your income, such as getting another part time job if this is an option.

I hope this helps, but if you need any more detailed advice please call our free helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

Kind regards,
Pavan

StepChange_Pavan

Tarkan2068 wrote: »

Hi there iv run a debt with black horse which started in november 2009 bought a hpi car for 12,000 then after like 8-9 months i decided to do my start up my own bussiness so sold the car for 6,000 and took out a loan from abbey which was called then for 7,500 after like 5-6 months the company went bust so i made a lost but then i found a company called fresh start and started making payments for £150 a month and afte like 6-7 months they transferd me over to harrington brooks and i started paying them 250 a month which i can afford at the moment, in januray when i spoken to my advice manager he told me that i owed blackhorse 5500 and abbey 6800, and 2 weeks ago i won like 5000 in a casino so i decided to call my debt manager company so i could clear the debt of and blackhorse didnt accept the offer of 5000 to them and said to them that it was droped to that price cause they stoped the intrest and chrages and so that if i want to clear the debt of i have to pay them like 8500 my adviser made them another offer of 6000 and they still didnt accept the offer, so im stuck in what to do cause i want to be debt free asap can you advice me in what to do please.

Hi Tarkan2068 and thanks for your post.

If they’re unwilling to accept the offer as a full and final settlement, you could use this money to clear the debt with the highest interest, and then offer reduced payments towards the remaining debt.

Harrington Brooks should be able to arrange this for you but they may charge a fee.

If you’d prefer this money to go towards clearing your debts quicker you can get in touch with us. You can call our free helpline on 0800 138 1111 and we’re open Monday to Friday 8am - 8pm.

I hope this helps,
Pavan.

rlcj

Hi can anybody help us? My hausband has had a bad past when it comes to credit and we are slowly trying to clear these. Today we recieved a letter from Credit Security Limited saying that wer have ignored recent letters (that we have nit recieved) and are sending a debt collector to call at our house. Is it too late to try and set a payment plan up? Also we've had one from Equidebt acting on behalf of Aktiv Kapital for an outstanding balance of £4898.95. We haven't had any credit near that amount since around 2005 for my husbands car before we met. He hasn't paid anything on this debt since 2006 but where do we stand? I need to know firstly what the debt is for surely?

bethbethbeth

hi, i guess i am young and foolish but here is my tale and my question: i am in my first year of university and i have zero money at the moment. nothing coming in at all. i worked last summer but i can't find a job at all right now, and i obviously can't claim benefits during the summer as i am a registered student. i have missed two payments on my phone bill and two payments on credit cards, but i simply have no money to pay them off. i also have an outstanding payday loan payment of near enough £500 to pay off. i am 20 and i have nothing. no assets, no goods for anyone to take. i am so worried. i know now that i have a poor credit rating and can't find a loan. where next? i also have a social anxiety disorder so i find talking to people on phones terrifying. i can't sleep at night. how can i get some help? the next time i will have money is when my student loan comes in at the end of september.

StepChange_Pavan

paulo1paulo wrote: »

Hi guys, please excuse me as this is my first post...
I'm looking for some advice/help in regards to Full & Final Settlement Offers... Your time will be greatly appreciated and I will post the outcome of my conclusions to support others in a similar situation...

I'm currently in debt to the sum of £14,750.00... I have been with Payplan for the past 3years now... Unfortunately last May I found myself compromised with income due to an injury at work... I have been off work since, which as you can imagine is taking it's toll financially... I have been making reduced payments to Paypal since last July to the sum of £6 per month... They are distributing it accordingly to each of my six creditors (£1 each per month)... I have no idea when i will be able to commence work as my injury is still very much disabling...

Thankfully I am now in a position where i will be in reciept of £5000.00 inheritance money within the next 8weeks (processing)... I have spoke to Payplan about this and they recommend that a settlement will only be successful at 50% (£7,375.00)... Unfortunatley i'm unable to find this amount due to my circumstances...

Should i attempt the negotiations myself in writting with template letters??? Do i inform them of where i have got the funds to settle (is this nessassary) or just request a settlement without explanation??? Has anybody any experience with the creditors below in regards to the percentage they generally settle for??? Also how much would each creditor settle for in my current situation (Percentage/££££)??? I have read throughout this forum that in some cases people have managed to settle their debts between 30-45%, I really hope that this will be the case for myself and i can put my Uncle's inheritance towards a greater cause... I have stated the nature of the debt and it's origin incase this has any baring on the negotiations????

I currently owe:
1)Wescot Credit Services/Arrow Global-£4500.00 (Loan), who are acting on behalf of MBNA banking, of whom placed a default on my credit score in Feb 2011, when the debt was forwarded on to the new creditors...
2)Moorcroft Debt Recovery Ltd-£250 (Overdraft)0, who are acting on behalf of LLoyds TSB , the debt was forwarded in Dec 2010...
3)BLS Collections-£3000 (Credit Card), who are acting on behalf of Lloyds TSB, the debt was forwarded in Dec 2010...
4)Mercers Debt Collections Ltd-£1250 (Credit Card), who are acting on behalf of Barclaycard, the debt was forwarded in Nov 2010...
5)Mercers Debt Collections Ltd-£2750 (Overdraft), who are acting on behalf of Barclaycard, the debt was forwarded in Nov 2010...
6)Opus-£750 (Credit Card), who are acting on behalf of Citi Bank, the debt was forwarded in Dec 2010...

Any advice/help given will be very much appreciated and in return I will recycle all advice given and practised through my own experience, for other's support and help calls... Thank you all sooooo much for your time and effort reading through my situation and for the support i have recieved within this forum, my grattitude is infinate!!!

paulo1paulo

Hi paulo1paulo and welcome to the forum


It’s difficult to say what your creditors will be willing to accept. I’d recommend that you use the template letters and gauge their responses.

Like you’ve read on a previous thread, it’s a good idea to state that the funds are coming from a third party so you’re not obliged to pay it if they don’t accept.

If you’d like some help with how you should approach your creditors or you’d like some template letters you can contact us.

You can call our free helpline on 0800 138 1111 for an appointment to speak with one of our counsellors. Alternatively you can send us your email address in a private message and I can send you the template letters.

I hope this helps.

Kind regards,
Pavan

StepChange_Pavan

rlcj wrote: »

Hi can anybody help us? My hausband has had a bad past when it comes to credit and we are slowly trying to clear these. Today we recieved a letter from Credit Security Limited saying that wer have ignored recent letters (that we have nit recieved) and are sending a debt collector to call at our house. Is it too late to try and set a payment plan up? Also we've had one from Equidebt acting on behalf of Aktiv Kapital for an outstanding balance of £4898.95. We haven't had any credit near that amount since around 2005 for my husbands car before we met. He hasn't paid anything on this debt since 2006 but where do we stand? I need to know firstly what the debt is for surely?

Hi rlcj and welcome to the forum

You could contact the collection agencies to find out who they are collecting on behalf and where the debt has come from.

It’s important that you come to a mutual agreement to pay this debt at a rate that you can afford. It isn’t too late to set a plan up so you just need to contact them and offer them a realistic payment.

Before you do this you can put together a budget showing all your income and expenditure. This will support your offer and show that you can’t afford to offer any more. You can read more about the debt collection process on our website: http://www.cccs.co.uk/InfoCentre/EnglandandWales/Creditoraction.aspx

I’d also recommend that he gets copies of his credit file which will detail exactly how much he owes and who to. This link tells you how to apply for your credit file: http://www.moneysavingexpert.com/loans/credit-rating-credit-score.

If he’d like some more detailed advice on his options he can contact us.

He can use our online debt advice service Debt Remedy (http://www.cccs.co.uk/ref/drcu) or call our free helpline on 0800 138 1111 to speak with a counsellor. We’re open Monday to Friday 8am - 8pm.

I hope this helps.

Kind regards,
Pavan

StepChange_Pavan

bethbethbeth wrote: »

hi, i guess i am young and foolish but here is my tale and my question: i am in my first year of university and i have zero money at the moment. nothing coming in at all. i worked last summer but i can't find a job at all right now, and i obviously can't claim benefits during the summer as i am a registered student. i have missed two payments on my phone bill and two payments on credit cards, but i simply have no money to pay them off. i also have an outstanding payday loan payment of near enough £500 to pay off. i am 20 and i have nothing. no assets, no goods for anyone to take. i am so worried. i know now that i have a poor credit rating and can't find a loan. where next? i also have a social anxiety disorder so i find talking to people on phones terrifying. i can't sleep at night. how can i get some help? the next time i will have money is when my student loan comes in at the end of september.

Hi bethbethbeth and thanks for your question.

Try not to worry – they can’t take money that you haven’t got. You can read more about the standard debt collection process on our website: http://www.cccs.co.uk/InfoCentre/EnglandandWales/Creditoraction.aspx

It’s likely that they will cut off your phone if you’re unable to pay the arrears. This will make it a non priority debt like your credit card and loan.

It’s important that you make your creditors aware of your situation. You don’t have to call them if you don’t want to and sometimes it’s better to write so you can keep copies of everything you send.

I’d recommend that you write a letter explaining your situation. You could put together a budget to support this but you’ve already mentioned that you don’t have any money coming in.

If possible, send them token payments of £1 per month as a gesture of goodwill until your circumstances improve. You can also ask for their consideration in freezing the interest and charges, although there's no guarantee that they'll agree to this.


If you’d like some more detailed advice you can use our online debt advice service Debt Remedy (http://www.cccs.co.uk/ref/drcu) or call our free helpline on 0800 138 1111 . We’re open Monday to Friday 8am - 8pm.

Kind regards,
Pavan

ssgtsnelly

Hi,

I am currently going through the process of sending my signed plan agreement to CCCS and have two questions please.

1) Can I send a payslip for proof of income and if so how many do you require?

2) If I have outstanding payday loans can I take a screen shot of the outstanding balance from my PC as proof of debt as I do not get any sort of paper statement from them?

I thank you in advance

climbintheladderouttadebt

Hi,
Not been on in awhile. Cleared a lot of debt over a couple of years. Last one left, with a DCA, is just over £1,000. I've tried offering the £381 I have saved but they want double that, which I just don't have at the mo. I'm not refusing to pay, I'm trying very hard to get this sorted. I am just wondering, can the DCA take child benefit into account when they work out your income? An Edinburgh-based DCA have done so in my income-expenditure form and I wanted to be sure of where I stood? Many thanks!