Payplan annual review - am I being paranoid?

beckstar1975

Hello

we've had our annual review with Payplan - and as well as the usual questions they've asked us about our mortgage and secured loan, how long we have to pay it off, what we owe etc. Problem is we have enough equity in the house to pay off the debts, but then we'd have absolutely nothing. We are offering £750 a month for about £46k of debts, so would be debt free in about 5 years. Mortgage got 24 years left and secured loan 14 years.

Is it normal to ask about this, and would they pass this onto my creditors? If so could they make us bankrupt rather than waitng for 5 years?

ack - we've done 3 years before and everything fine - don't know why I'm worrying now.

Am I being paranoid, or could this be passed onto creditors and could they make us bankrupt?

Cheers

Rebecca

sharp82

Think you're just being a little paranoid.

If the creditors have been happy receiving the amount for the past 3 years, then there is no reason for them to rock the boat

fatbelly

Agreed. Payplan should be acting in your best interests and not giving information to creditors other than that which is required to justify your DMP.

An application for your bankruptcy (a) may not succeed as you could offer security by way of defence and (b) would not mean that creditors would be paid in full anyway - the Official receiver takes their fees first and these can be 25-30k where property is involved.

The creditors would know this. If they just sit tight, they get paid in full over 5 years