Debt management companies

Nelsons_Mother

Has anyone had any dealings with a company called Valour finance?

Recently both a friend and myself contaced Valour for debt management advice however when my friend contacted her creditors they suggested that she speak to Payplan as all the money goes to your creditors rather than the 17% that Valour would have taken. We both spoke with them and found our monthly payments to be higher than those qouted by Valour. In my case it was because Payplan said I had to take into account all unsecured loans ( I had wanted to keep my mortgage out of it but as part of it is an unsecured loan I was unable to do so). Valour had told me that I could chose which unsecured loans I could cover with the plan. This still worked out well for me but unfortunately not so well for my friend whos repayments with Payplan work out higher that her existing debts leaving her in a position where she is stuck with the plan from Valour. Unfortunately due to the conflicting advice she is concerned about trusting them now and I feel awful that mine has been sorted and she now seems to be in a worse position than before so I thought I'd see if anyone on here had ever dealt with them and see where the land lies so to speak.

Thanks.

Tixy

Hi

Its best to use one of the charities (read this link) https://forums.moneysavingexpert.com/discussion/2077631
Payplan are also an option although not a charity as they don't charge fees. Suggest your friend perhaps looks at CCCS.

Deep_In_Debt

you shouldn't really be able to pick or choose which creditors are in a dmp either - all unsecured debt should be included, otherwise it could be seen as favouring one creditor over another. 17% of your monthly repayment is a lot of your money that they are taking. For this reason, creditors are more likely to accept a dmp from a non-fee charging company.

Your friend could always do it herself or as Tixy has mentioned, CCCS is worth a try.

dlb

Please do not go with one af the fee paying firms, i stupidly did when i started out on my dmp over 4 years ago now and after 2 years switched to payplan.
If i had gone with payplan from the start i would be 2k less in debt, payplan and cccs are there to help for free, so as no fees are taken you will clear your debts faster.
Good luck

3431Anna

My husband is with a fee paying Debt Management Company he due to have his reveiw I have suggested going with Pay plan, but he is worried incase his creditors won't accept his payment offers because he has moved his plan away from the lst company and that the will start to put interest on again or put the reduced interest rate back to the full rate

jockinleeds

3431Anna wrote: »

My husband is with a fee paying Debt Management Company he due to have his reveiw I have suggested going with Pay plan, but he is worried incase his creditors won't accept his payment offers because he has moved his plan away from the lst company and that the will start to put interest on again or put the reduced interest rate back to the full rate

?
But the creditor would be getting more by using another 'free' company, so they would surely be more accomodating in those circumstances.

I'm with CCCS. Never had any problems.

Nelsons_Mother

Thanks all for your suggestions, it was things like having been told that I could choose which creditors could be included that started to ring alarm bells about their credibility. Thanks again.

dlb

3431Anna wrote: »

My husband is with a fee paying Debt Management Company he due to have his reveiw I have suggested going with Pay plan, but he is worried incase his creditors won't accept his payment offers because he has moved his plan away from the lst company and that the will start to put interest on again or put the reduced interest rate back to the full rate

It is so easy to swap over to payplan when i did swap after 2 years all that happened was that the set up process was easyier and faster with payplan, i made the usual payments that the fee paying company normally did for one month to my creditors, i didnt even inform them i was swapping, then by the time next payment was due payplan took over the payments and informed them they were to deal with them, not one creditor questioned it as they were reciving more money.
Really its just like a annual review and you can afford to put more koney in so why would they question it, they still get the money they are used to getting and more on top, plus you will be debt free alot sooner....i spent over 2k in fees to the fee paying company over 2years...that could have gone off my debts!! Now every last penny goes to my crediotrs and payplan are great as soon as you tell them you wish to swap from a fee paying company.
Good luck