I have DMP, but starting to struggle to meet those payments

RoastUK

I've got myself in a bit of a pickle and could do with some advice.

I set up a DMP with Payplan about 3 years ago now, but over the last couple of months ive had to buy a car for work. I was paying my agreed amount but was struggling to live. As such I made a really stupid error and went to payday loans. Its got to the point that were im so stretched that I cant afford my DMP payments. I sent a reduced amount and now ive got creditors threatening me with all sorts of action and well its all a mess. I've had to send a reduced payment by £100 to Payplan, but i'll be able to make up the rest as i have advanced £120 of my monthly salary for the end of next week.

Ive hard a debt referral company call me today and they say because ive reduced the payments bailiffs will be coming. I live with my parents and I literally owe nothing (my dads name is on my car). Can they actually come into my parents house?

Does anybody have any ideas what I can do or im I at the stage of going to Bankruptcy?

Thanks for your help

Deep_In_Debt

Don't listen to these debt referral companies - they want your business and will charge you for it and will speak a lot of hot air in order to get it. Bailiffs won't come - you'd have to go to court first and default before it gets to that stage.

Get back in touch with Payplan, and they can relook at your budget and reduce it if possible. I wouldn't advise sending the extra as if you are struggling, then the creditors may expect if every month and if you are reducing your repayments it could open a can of worms.

Speak to Payplan, CCCS or National Debtline who will all offer you free impartial advice.

RAS

RoastUK wrote: »

I set up a DMP with Payplan about 3 years ago now, but over the last couple of months ive had to buy a car for work. I was paying my agreed amount but was struggling to live. As such I made a really stupid error and went to payday loans. Its got to the point that were im so stretched that I cant afford my DMP payments. I sent a reduced amount and now ive got creditors threatening me with all sorts of action and well its all a mess. I've had to send a reduced payment by £100 to Payplan, but i'll be able to make up the rest as i have advanced £120 of my monthly salary for the end of next week.

Well, you need to ring Payplan and ask to review your payments, so that you can afford them.

If they refuse, talk to CCCS

Payday loans was really stupid - you are not allowed to take extra credit on a DMP and Payplan could dump you for it.

However, what you need to do is ring and suspend next month's payments until you have sorted out the payday loan.

Even if it measn that they dump you.

RoastUK wrote: »

Ive had a debt referral company call me today and they say because ive reduced the payments bailiffs will be coming. I live with my parents and I literally owe nothing (my dads name is on my car). Can they actually come into my parents house?

Does anybody have any ideas what I can do or im I at the stage of going to Bankruptcy?

Which muppets was this? You need to write to them and advise them that because of their lies and threatening behaviour, they are required to remove your phone number form their records. If they ever ring you again, you will report them to the Information Commisioner.

What I guess they have siad is that they may take legal action which may include bailiffs.

They cannot just send bailiffs, only the court can and you would have lots of opportunities to talk to the court to explain your circumstnaces before that was possible.

the debt referral company are lying little barstewards and do not deserve to speak to you again. Buy a whistle, if any debt cpmapny rings, quote your Payplan number and refuse to speak to them. If they refuse to go, blow the whislte in the phone.

And if BR was the best option, then Payplan would have told you long ago.

RoastUK

Thanks guys this is very reassuring. I think I can see a few things that will get rid of the pay day loan as I didnt go for anything really high, and I wouldnt want to run the risk of getting dumped by Payplan as they have been really helpful.

Again thanks for the advice guys it is more than appreciated.