Is this right? Cannot enter IVA

mjm3346

Payplan like CCCS do not charge fees.

Choo_Choo wrote: »

:wall: - say that enough times and we might believe it!

Up to you if you believe it or not, they both state it (does not mean to say they are the best option) and payments made to them are paid in full to creditors as in the posters case


Payplan-

How our Debt Management Plans are funded
Payplan is funded in a unique and innovative way. Rather than charging our clients, we receive donations from the credit industry.
Please note: While Payplan receives donations from the credit industry, we remain completely impartial and deal with all creditors - not just the ones that donate!

CCCS-

We are funded and supported almost entirely by the credit industry. It is this unique mechanism that allows us to provide our services totally free to consumers.
All funding is provided as a voluntary contribution by these organisations and reflects the value they attribute to the help and support we provide households in the UK, the charity’s beneficiaries

continualdiamond

The other company IS the company who told me £15,000 was the min that each person needed.

Where in a joint DMP and were looking into a joint IVA.

I have been passed onto vincent bond as recommedation for a DMP, don't know much about them yet, going to look into it tonight as well.

However they did ring last night and i spoke to them briefly and was told we could go into an IVA and have sent me some emails with information.

Charco_2

How wonderful MJM, so Payplan and CCCS are funded in a unique way (which one is it unique for?) that describes almost exactly how IVAs are funded!?

Described as "donations from the credit industry" by one company and as "a fair share contribution" by the other...
I can translate that though if you like: They are both paid on a case by case basis, they carry out work and get paid for it. Why does the Credit industry pay instead of the client? I mean, we all know the credit industry gives you nothing for free, and isn't remotely interested in the problems of the little guy! Anybody's guess really, but my guess would be that the credit industry has a decent say in what advice is given!

As shown not just by this example but by the numerous posters on here and elsewhere who have lingered for a year or more in a DMP with these "charities" facing up to 16 years of debt repayments without the merest mention of an IVA.

Continual: I'm not surprised the other company said an IVA was not an option either, see what Vincent Bond have to say BUT bear in mind that they are not insolvency practitioners. They will want two payments from you before referring you on to an IP, like asking you to pay for the keys to the door to Narnia when in reality you can find an IP all on your own... they are already named on the website owned by Vincent Bond.

Choo_Choo_4

Thank You Charco!

BOTH STATE THAT THEY DON'T CHARGE FEES therefore it MUST be true .. do the people that work for CCCS and Payplan not get paid either?!

Sorry it's just funny how they portray themselves as these great organisations who do everything for FREE when in reality they're no different from every other Insolvency Practitioner - who is also in effect paid by the Credit Industry - client pays ONE MONTHLY CONTRIBUTION in an IVA - the proposal is drawn up and needs to be accepted by the creditors (Fees scrutinised and either accepted or rejected) - so IPs are paid in the same way that Payplan and CCCS are - only difference being:

They're upfront and honest about it instead of pretending to be providing a Free Service.

CONTINUAL - best not to pay anyone for finding you an IP as Charco has also said - you'll be able to do that yourself ...

debtinfo

I think i should point out at this juncture that the OP and MJM were saying that they do not take fees from the amount the person pays for their DMP's, i think you ave jumped to the conclusion that they were talking about IVA's. The Payplan website quite clearly says that they do not take any of the money that the person pays in fees for a DMP but that its sister company the payplan partnership who do the IVA's do take a montly fee out of your payment

sorry to spoil a good bandwagon

How our Debt Management Plans are funded

Payplan is funded in a unique and innovative way. Rather than charging our clients, we receive donations from the credit industry.
Please note: While Payplan receives donations from the credit industry, we remain completely impartial and deal with all creditors - not just the ones that donate!
Our reputation has grown over the years, winning huge support from other creditors and organisations that are keen to provide all members of the public with a totally free debt management service. However, we always work to get the best solution for you. Our aim is to find you a solution that is sustainable and realistic so you can repay your debts at a rate you can afford.
Read more about our free Debt Management Plans
How our IVAs are funded

Unlike most Insolvency Practitioners our sister company, The Payplan Partnership, do not charge any upfront fees.
The monthly payments that you make into your arrangement will cover the payments to your creditors as well as our fees for putting together and supervising the arrangement.
In short, the creditors agree that they will accept a lower return from the arrangement. In addition you only start paying once your arrangement is agreed so if we are unsuccessful, you will not have to pay for the work that we have done for you up to this point.

Charco_2

I wasn't talking about IVAs!

I'm talking about the poor service they provide in the pseudo charities because of where their funding comes from.
I'm talking about the way they favour the banks because of which side their bread is buttered on!
I'm talking about how "charitable donations" actually translates into "the bank pay us on a case per case basis" (CCCS: fair share contribution)... ie - the banks have an interest in the service provided and so for me, that lacks impartiality!

I'm asking why the banks would pay for such a service when the service already existed and the clients paid for it!? If you say the banks do it out the kindness of their dumb old hearts, I may just fall out of my chair laughing!

I'm wondering how the banks manage to fund this "free service" - what makes it more profitable than letting the client pay for their own DMP? (I surely dont think you'll deny that profit is all the banks are interested in bottom line!) And so it comes down to the quality of advice and who has a "say" in that advice! I suspect it also includes the stoppping (or not) of interest and charges.


Sorry to spoil your droning condescending drivel!

debtinfo

And being advised to go into an IVA by an IP who take fees is more impartial. Note that i am not saying some people should not be in IVA's it is clearly the right situation for some people, Just that charco has feels it nesessary to deride the debt charities whilst ignoring all the bad advice given out by IVA providers.

Charco_2

I do not.

When it is due I have very publicly criticised advice handed out by IVA companies. I have criticised the way the industry is run in terms of fly by night companies making a quick buck by advertising products they do not provide collecting a fee and then selling the case on to companies that DO provide solutions.

I am here every day offering a word or two to people considering IVAs and also to those already in IVAs so that they wont get over-run by their IPs.

It just so happens that THIS THREAD is not about bad advice from an IP, it's about questionable advice from a debt "charity".

As for being advised by an IP to go into an IVA and impartiality, I dont deny that it is the IPs best interest to offer this solution - i aint no fool! However you cant fit a square peg into a round hole - but
1) it's a heavily regulated industry and
2) it will only be accepted by the creditors if it is a viable solution.

But that doesn't mean if the cap fits you should wear it: just because an IVA would suit your situation doesn't mean that other solutions wouldn't also suit you (and there is paperwork to sign to indicate that you have been made aware of the alternatives.

It's maybe not perfect but helping to inform people is the only solution. The better you understand, the better equipped you are to make your decisions.

Choo_Choo_4

Debtinfo - I think the point is that there are people who have CCCS and Payplan on a pedestal simply because they brand themselves as "charities", "do not charge fees" bla bla bla ... but the bottom line is they get paid (in a round about way) the same as any other Debt Solution Company and very often the IPs are slated on here for being upfront about the fees they charge.

It's not that I am discouraging people from getting advice from Payplan & CCCS but don't be so naive to believe all that they portray ...

debtinfo

Since you seem to have an insight into how they REALLY work perhaps you could clear up the question.

In a debt management plan

with CCCS or Payplan and the debtor pays £100pm, how much gets paid to the debtor's creditors.