Welcome finance and empingham resolution

anne333_2

Hi,

I recently entered into a repayment plan of £80pcm to empingham resolution after getting into arrears with a welcome loan. The balance of the loan was £6306 when the debt taken over by empingham. I have since now paid 4 regular payments as agreed and decided to have a look at my credit report tonight and this is what i discovered: Default Balance:£6,306Current Balance:£8,805Repayment Period: Monthly Payment: £240 over 49 months Defaulted On:25/01/2011File Updated for the Period to:05/06/2011
Was I wrong to assume that now the debt has been passed on and I have entered into a payment plan maintaining payments as agreed that ay charges or interest would be stopped and I would just have to pay the balance of £6306 ?? Please can someone advise as I dont want this debt to keep rising when I am trying my hardest to face up to it and repay and claer it.

Many thanks

redapril

hi there,

the interest and charges are not automatically frozen just because you have entered into a payment arrangement with them, you will need to write to them and ask them to confirm to you in writing that they will freeze interest and charges. there should be a template letter on this site somewhere that you could use.

anne333_2

Many thanks for your reply,

Do you think I would be better contacting CCCS and try and enter into a plan with them to repay this debt along with a couple of other small debts i need to pay off ? Welcome are so difficult to deal with, and if they do not freeze interest or charges it looks like my monthly payments wont even cover this and the debt will just keep escalating.

corks_2

hi, dont go to CCCS all that will happen is they'll end up offering you're creditors £1 each and you'll still be paying this in 30 years time.

Empingham are quite well reknowned for freezing interest and charges, you'll probably find that the credit rating info has came from Welcome, write to them requesting for your credit rating to be updated with your up to date balance.

RAS

corks wrote: »

hi, dont go to CCCS all that will happen is they'll end up offering you're creditors £1 each and you'll still be paying this in 30 years time.

Empingham are quite well reknowned for freezing interest and charges, you'll probably find that the credit rating info has came from Welcome, write to them requesting for your credit rating to be updated with your up to date balance.

Where did you get that rubbish from? You have a DMP with payplan who offer the same service as CCCS and a slightly more generous SOA.

amersall

If op has ppi on this loan,and knowing Welcome there very well maybe,then they could look at claiming this back,this will reduce the balance.
If the loan was post jan 2005 then the FSCS are dealing with Welcome loans,would be worth giving them a ring and check.
http://www.fscs.org.uk/contact-us/

If it was pre jan 2005 then they go after the insurer,if they get no joy from the insurer then the FOS can help.

anne333_2

Yes I did take out ppi with this loan and have recently contacted welcome to request a claim form which I should recieve anyday now so hopefully the balance will be reduced. Should I just continue with the payments to empingham as agreed and contact welcome about the outstanding balance they have on their records , and also welcome have obviously added lots of charges due to missed payments, defaults etc, will I be able to reclaim these back as this will also reduce my balance significantly?

corks_2

RAS wrote: »

Where did you get that rubbish from? You have a DMP with payplan who offer the same service as CCCS and a slightly more generous SOA.

Firstly i admire your research RAS. :T

Had a DMP with Payplan yes, however decided to set up arrangements with creditors on my own as i found out that the likes of CAB/CCCS/Payplan use tools like the BBA Trigger Figures to increase expenditure figures as opposed to using my actual figures I gave them, a 10 year DMP with Payplan turned into an 18 month arrangement when I calculated myself and i'm now debt free apart from a credit repairing credit card which i pay in full each month to try and repair the damage.

Dont get me wrong CCCS/CAB/Payplan do great work, a damn sight better than the likes of Debt Free Me, Valour Financial and the rest of the fee charging con DMCs however these companies are over worked, under funded and under staffed and a lot of people could quite easily come to arrangements with creditors themselves if they spent one evening with a calculator and their statements. Anne here has came to a mutually acceptable arrangement with Empingham, why get the CCCS involved?

Anne my advice is call Empingham and just ask if interest and charges are frozen, chances are they will be. Also ask what your current balance is my guess is Welcome have provided old info to experian etc.

I believe the FSCS are proactively contacting Welcome customers who may be eligible for a refund, if you are you will have been contacted already, no harm in giving them a call to enquire though.

corks_2

anne333 wrote: »

also welcome have obviously added lots of charges due to missed payments, defaults etc, will I be able to reclaim these back as this will also reduce my balance significantly?

I've dealt with Welcome personally, you can try but you'll probably just receive a copy of the terms you agreed with the charges section highlighted.

Welcome have been hit hard by this PPI redress situation, hence the FSCS stepping in, they're clutching to every penny they have.

Corks

amersall

anne333 wrote: »

Yes I did take out ppi with this loan and have recently contacted welcome to request a claim form which I should recieve anyday now so hopefully the balance will be reduced. Should I just continue with the payments to empingham as agreed and contact welcome about the outstanding balance they have on their records , and also welcome have obviously added lots of charges due to missed payments, defaults etc, will I be able to reclaim these back as this will also reduce my balance significantly?

Dont think you will get the charges back,but when you get the compensation from FSCS, i believe you can cancel the ppi and recieve this back to you,i know this has happened with others and if if you can do this then that is the balance reduced even more.

anne333_2

Thanks for all your help guys, I will just try claiming back my ppi once i get the forms from welcome and also contact empingham again to confirm all interest and charges have been stopped and continue with payments as arranged.

Lesson learnt from all of this, I will never ever borrow again from sharks such as these!!