Advice re insurance offered by Payplan

ProdigalThumb

Hi,

My wife and I have been struggling with debt for years and we have finally admitted to ourselves
that we can't go on like this any longer.

We have debts totally about £60,000.

After much research, discussion and advice sought, we decided to talk to Payplan. We spoke to them for the first time last week.
They were very friendly and helpful and it was a great relief to finally
be doing something positive. We decided on a Debt Management Plan.

Today our case was passed to our account manager to be put forward and the account manager called us to double-check all the details etc.

The call took 45 mins. The first 15 minutes was about the debts, budget etc and the other 30 minutes were trying to sell us 3 different types of insurance cover.

Now this miffed me slightly. If we were to sign up to all 3, it would cost £80/month. Eh? I thought we were going to reduce our costs. Not only this but the £80 comes off the £xxx that we pay to Payplan to distribute between the debtors, so it takes longer to pay the debts off.

Maybe I'm over-analysing this or looking at it all wrong. I'm told we're not obligated to take out any of the insurance. I was very pleased with the details of the DMP and the budget but this other bit just got my hackles up.

Has anyone else started a DMP with Payplan? Did you take the insurance?

I'd be very interested to hear what you have to say.

Cheers

MyLastFiver

Yes - they are pushing the insurance but just tell them no. If you want/need whatever type of insurance they're selling, shop around and get the best deal. This may be through Payplan, but may be from another provider.

Payplan are not a charity but they do offer a DMP service for free. Don't be miffed by them trying to sell you financial services - just tell them no!

If you really don't want the sales patter, then you can do your DMP through CCCS, who *are* a charity (I think)

fatbelly

ProdigalThumb wrote: »

The call took 45 mins. The first 15 minutes was about the debts, budget etc and the other 30 minutes were trying to sell us 3 different types of insurance cover.

My opinion of payplan has just decreased!

RAS

I agree.

If the new rules prevent banks from selling PPI within 7 days of offering a loan, i am astounded by this.

Go to one of the debt charities, PT.

And speak to the OFT about this call.

loupoppins

we had talks with payplan briefly about setting up an IVA. Found them very pushy and they also tried hard to sell me insurance. Totally put me off tbh. Wouldn't ever consider using them again:(

ProdigalThumb

Hi All,

Thanks to all that replied to my post a couple of months ago.

I just wanted to post an update:

We actually decided to go ahead with Payplan. We're very glad we did. We now have a budget that we can stick to every month.
Everything is categorised and we now find we have a little extra money at the end of the month.
Our creditors are all getting paid their share of the DMP and the calls and letters from them should calm down over the next
couple of months (until all departments within each company learn we are with Payplan).
Any calls we get at home, we just tell them we're with Payplan, our reference number and contact name at Payplan.

My original posting was about the insurance that Payplan were trying to sell us. We actually took one of them out
because it was worth it. They were a little pushy at first with the insurance but I suppose this is how they make
some money to fund the service.
You don't have to take any insurance they offer you. Just say no. They will still work on your behalf.

There may be other ways of handling your debt but for us Payplan is working well.
It's a huge weight off our shoulders and a lot less stress in our lives.

All the best to those that are still deciding what to do.

3431Anna

ProdigalThumb wrote: »

Hi All,

Thanks to all that replied to my post a couple of months ago.

I just wanted to post an update:

We actually decided to go ahead with Payplan. We're very glad we did. We now have a budget that we can stick to every month.
Everything is categorised and we now find we have a little extra money at the end of the month.
Our creditors are all getting paid their share of the DMP and the calls and letters from them should calm down over the next
couple of months (until all departments within each company learn we are with Payplan).
Any calls we get at home, we just tell them we're with Payplan, our reference number and contact name at Payplan.

My original posting was about the insurance that Payplan were trying to sell us. We actually took one of them out
because it was worth it. They were a little pushy at first with the insurance but I suppose this is how they make
some money to fund the service.
You don't have to take any insurance they offer you. Just say no. They will still work on your behalf.

There may be other ways of handling your debt but for us Payplan is working well.
It's a huge weight off our shoulders and a lot less stress in our lives.

All the best to those that are still deciding what to do.

I am with payplan and have been for about 4 months now and they have been very helpfull, they did try to sell me insurance I did sign up for one but not for the others, they were fine and still did my plan for me which is running well up to now