Worried about a debt to close to home?

falko89

I am on a DMP with CCCS, I have an account with the credit union, because they are in the town I live I have been making extra payments to them, CCCS pay them £5 a month, I've been paying them an extra £60 purely because as I mention they are in my home town, I know the cashiers and a relative is on the board, CCCS after a review say I need to stop this as I can't afford it and I can't its leaving us broke but feel I need to as they are so close to home. The debt is about £900 but I have £500 worth of savings so only £400 debt I guess. What do I do?

HappyMJ

falko89 wrote: »

I am on a DMP with CCCS, I have an account with the credit union, because they are in the town I live I have been making extra payments to them, CCCS pay them £5 a month, I've been paying them an extra £60 purely because as I mention they are in my home town, I know the cashiers and a relative is on the board, CCCS after a review say I need to stop this as I can't afford it and I can't its leaving us broke but feel I need to as they are so close to home. The debt is about £900 but I have £500 worth of savings so only £400 debt I guess. What do I do?

You have to follow what CCCS advise. You cannot prefer one creditor over another. If you have £60 a month spare then you either save it for an eventual full and final settlement offer or preferably for emergencies or increase your contribution to your DMP as a whole. The amount will then be equally divided amongst all your creditors.

My advice.....stop paying them extra. Your relative shouldn't know anything about your account standing but if they do find out then just explain it's a short term thing.