Question about token payments

bomechina

After talking to CCCS I was advised to offer token payments (£1 per month) towards my debts.

As I occasionally get some extra shifts at work would it be ok to send more than the £1 token payment if and when I have extra money or would the companies I owe then expect more than the token payment every month?

Sorry if its a daft question

DarkConvict

Its a sensible question.

Personally i would put the extra in a saving account (if debts are with banks, use a bank that is totally separate like the co-op/barclays). Your payments should always be worked on your worst figures (most stable income)

If you pay more they will usually expect more. The savings can then be used to make full and final settlement offers.

bomechina

Thanks for the quick reply.
I will see about getting a savings account set up then. It could even be the start of my daughters uni fund, (well it may fund a night out at freshers week for her lol).

DarkConvict

Personally i would keep it to yourself, if not atleast as an emergency fund, for lifes little problems. Also remember some creditors do charge interest still and in some cases it maybe best to try and pay more to those to get the debts down. Or make offers on smaller debts so you can close some accounts. Life is much easier when you have fewer accounts to try and deal with, regardless of the amount owed, more accounts equal more annoying letters.

What you tell CCCS is your choice, and is in confidence. But it maybe worth telling them what you are doing, personally i think they would agree although there is a ask a CCCS person a question at the top of this forum if you prefer to ask it informally.