Cancelling Debt Management Plan

xx_Sparkle_xx

Hi, all im a new member here so firstly wanna say hi! x

Im currently with a debt management company, but I have just started a new job and have to wait a month before getting paid, I missed my payment to debt company last month and I am going to miss it this month too. I am looking into cancelling it anyway, does anyone know if I will be able to do so now, or will I have to pay the missed payment from October?

The reason I am cancelling is I currently pay £90 to them however they are taking £30 of this, surely I will be better going to the companys I owe directly and negotiating a way of paying them off.

Anyone else cancelled theyre debt management plans and dealt with the company directly? Its just that everytime I ring them to cancel they talk me out of it by using scare tactics saying I wouldnt be able to negotiate a realistic payment plan with the company directly.

Thanks x

Tixy

You can cancel even if you've missed a payment to them - although it may be part of the T&C that you will owe them the £30 fee for this month. You probably also have to give wirtten notice to cancel (some require 2weeks notice, some a month) - so you may owe them £30 for this month as well (check your T&Cs).

A lot of people do manage to negotiate direct with their creditors and take over their own DMP from a fee paying company. Basically if you keep the same ratios of payments but up each one to take into account the £30 fee then they are not going to complain (ie if someone currently gets £20 presumably you'll now be able to pay them £30?)

The other alternative is to approach one of the charities and see if they will run a DMP for you (for free).

xx_Sparkle_xx

Thanks for that, going to be brave and give them a call...Not going to let them talk me out of this time either lol