applying for a loan whilst on debt managment agency?

euronorris

Nicolejan wrote: »

My husband was made redundant 18 months ago and couldnt find work. He had never been unemployed before. I only work part time and we have 3 children. My priority was keeping a roof over their heads. We contacted the CCCS immediately as we thought it the responsible thing to do and entered into a debt management plan. Prior to this we had not missed any payments.My husband has been working for the last year but he now works for an agency for almost half the hourly rate but he works every hour he can.I hadnt realised i could be breaking the terms of my contract. Im just trying to find ways to dig myself and my family out of this hole we are in.

Nicole, if obtaining a car will help you to gain a promotion, and therefore, a salary increase I would suggest contacting the CCCS again about your DMP.

I believe (please correct me if I am wrong), that you could arrange to lower your repayments for a while to save up for a car, and then increase the repayments afterwards.

It may not be a suitable solution for you, but it's worth a try.

Otherwise, have a look at the up your income thread for ideas on making things easier for yourselves financially.

x

euronorris

misshopson wrote: »

the purpose of the loan was to pay of some of the debts and coming off debt management plan. thanks guys for ur advice

You want to consolidate then?

Not a good idea. Firstly, you'd probably run up the CC's and overdraft again (as so many of us have done) and only end up increasing your debt.

Secondly, the only companies that would loan you money at the moment are not reputable and would charge a ridiculous amount of interest. Again, you would be vastly increasing the amount you owe and the repayment term.

If you are finding the DMP too tight money wise, then either discuss it with the DMP company and perhaps the repayments can be lowered. If not, also have a look at the 'Up your income' threads.

Question though - You're not paying anyone a fee for your DMP are you? You can the same service for free (through the CCCS for example) and you could then use the fee you are paying the other company towards your debt repayments and clear the debt sooner.

x

misshopson

hi euronorris

yes i am paying the debt managemtn plan company fees every month. i didnt know i could go else where for a free service thanks for the advice x