Should we stop payments so the debt goes to a DCA

CeeBeeDeeBee

Hi

We have a few debts left in my wifes name after all mine were dealt with in my BR.

She has been on a DMP with the CCCS since December 09.

The debts are 3x unsecured personal loans, 2x credit cards and an overdraft totalling around £40k

At the current rate it will take 20 years to clear them in the DMP so we are thinking of trying to get some F&F settlements.

I'm pretty sure both the credit cards are unenforcable but there seems to be no talk of that any more on here - is it worth going down that route or does it make more of a mess of her credit file?

I have written to all the creditors and asked for up to date info including who owns the debt, at present I believe they are all still with the OCs and just on a suspended status in arrears.

To move things on to allow F&F settlements should we stop paying so the debt gets moved on to recoveries dept or a DCA?

Thanks

Ids61

Hi I personally would not stop the payments, if there to high for your budget you could always reduce them.
F&f settlements are your best bet.
As for unenforceable aggrements there
seems to have been a shift in the courts,other forums still go down this line and defendents succeed some times.
If the debts are very old I would think you could settle at a fraction of the supposed debt.
Good luck

CeeBeeDeeBee

Thanks for the reply.

As far as I know only the overdraft has actually been 'terminated' and sent to their recoveries dept but I am waiting for confirmation from all of them.

The DMP has been running for over a year now and looks like it could go on indefinately until they are cleared in 20 years time.

We were wondering what would be the best way to clear these, with the minimal outlay and to have clean credit files in the shortest time.

If we carry on with the DMP that will give us a bad credit rating for the next 20 odd years whereas if we stop the DMP, let the debts go out to recoveries we can clear the debts and have a healthy credit rating in 6/7 years.

CeeBeeDeeBee

Bumping - anyone able to help?