Debt Management Agreement - HELP

jen2006

Hi

I was wondering if anyone can give me some advice. I have been on the net for two weeks now and can't seem to get nay help with my dilema.

I joined a Debt management Company two years ago. I have made payments every month to them and the charge 16% of payments made.

I now feel that I have did the wrong thing. I am at my wits nd. What i would like is to get a debt consolidation loan and start to improve my credit rating as I hope to buy a house and settle down in the near future but if continue with the debt management I will have an appaling credit rating for at least another 9 years.

Can anyone advise if it is possible for me to cancel the agreement with them and get a consolidation loan.

I hope someone can help.

thank you

madduck

Who have you arranged your DMP with? By the sounds of it, it is one of the fee charging companies and not one of the charity based organisations ie CCCS and Payplan. They are really great - every penny you pay into the DMP goes directly to your debt - thereby reducing the time period needed to pay off the debt.

It might be worthwhile getting in touch with one of them for some independant advice as to what is the best course of action for you before launching into a loan. Chances are that if you are in a DMP your credit rating will be shot to pieces and the likelihood of getting a consolidation loan at a reasonable interest rate is remote.

jen2006

Thanks a million for the reply.

I just really want out my arrangement. It is with chiltern. I don't even mind paying high interest for the next two or three years and then hopefully my credit rating will be repaired enough to go to a high street lender and get a reasonable loan.

To be honest i just really don't know where to start

laccal

they are just the middlemen who pay your creditors on your behalf so you should have no contract with them. they will probably try and tell you something bad will happen but all you need to do is pay your creditors yourself and then work out your loan if you want.

your creditors are the ones who you owe not the dmp so as long as they rec. their agreed monthly payment then there are no probs.

give payplan or cccs a call and they will tell you to stop paying this company immediately (trust me i had same prob)

good luck just remember you do not owe the dmp anything

Rgc_3

jen2006 wrote:

Thanks a million for the reply.

I just really want out my arrangement. It is with chiltern. I don't even mind paying high interest for the next two or three years and then hopefully my credit rating will be repaired enough to go to a high street lender and get a reasonable loan.

To be honest i just really don't know where to start

Hi

i dont mean to add to your woes but check the get out clauses with chiltern in your paperwork(they will have a clause somewhere im guessing)

I honestly think your firt port of call is cccs or payplan to help get the focus and figure out how to get away from chiltern.

I must admit i dont think a conolidation is your answer but at least talk to cccs/payplan

good luck

james32_uk

Talk to CCCS or Payplan who will advise you (free) the options that are best in your situation.