Pay plan miles out with balances

chelle1981

Hi all,

Just wondered if anyone else has experienced payplan being miles out on some balances- luckily I check my noodle credit report on a monthly basis and scrutinise balances as I had a issue where payplan were not making payments on time even though I was paying them in advance.

Anyway I thought payplan would update balances on a regular basis and get an accurate figure- wrong- barclaycard refuse to freeze interest and as I result I am merely chipping away at balance. Luckily I have been putting money away each month as a sort of emergency fund/ to pay payplan a lump sum at end of plan.

I have asked pp for updated balances and they have been a bit stroppy with me tbh!

Oh well shall see what they come back with

antonic

As a former satisfied customer of PayPlan, I have to defend them by saying that they do stress thats the balances you start your DMP with *MAY* differ greatly with the same balances once your DMP has been running for a while.

They DO NOT guarantee that interest will be frozen on your debts - is this what has happened to you ?.

They also advise that if you have any problems with any variances to let them know so they can take it up with your creditor(s).

You need to remember that PayPlan exist as a shield between you and your creditors, any queries regarding balances are for you to resolve - something I dont have a problem with.

eyeopener2

Can't comment on payplan but with stepchange you update your balances as they change (if they are markedly different). I religiously checked mine against my monthly statement s, and if I didn't get a statement just contracted the creditors to find out what it was.

Can you not just tell pay plan your balances on all your accounts on a regular basis, and ssk them to update, to keep everything in check. That way you are in control with no horrible surprises.

And isn't it funny how everybody has a problem with Barclaycard.

chelle1981

Hi, yes I know payplan do say that can't freezes all interest and I wasn't blaming payplan for this- what I was saying is that my balances change when payments are made but I would have thought that at the yearly review they would get corrected up to date balances - is this not part of a review that they look at income and payments and work out a new ecd?

Barclays are just mean! Lol- they do still kindly send me a statement each month

Anyway-.payplan are getting new balances for me and I think I will just keep checking noodle and update payplan with new balances-

Thanks off the comments guys xx

dazla

Hi

I am in the same position with you with 'way out' balances with barclaycard, I'm with payplan too. But be very careful about updating the balances with payplan, as they will re-distribute your payments to all your creditors again, with the most share going to the highest outstanding balance, being barclaycard. They did this to me last month after I sent them the latest balance from barclaycard, but then they reduced by payment to mbna who then threatened to default me for breaking the terms of the debt repayment plan. This has caused me a lot of stress over the last week and as a result I have had to take the mbna card out of the payplan arrangement and pay them direct the original payment amount to avoid a default. I've been in the payplan for 3 years so don't want a fresh default as i only have another year left on the plan. I wish payplan had warned me about what could happen if i supplied them with updated balances, I wish I had kept quiet about it and I could have kept my mbna card in the payplan. If I were you I wouldn't supply payplan with the new balances, maybe do it when your near to the end of the plan

Suseka

I have no experience with payplan as my DMP is managed by SC -but I understand they are pretty much the same in terms of how they operate. Having subscribed to the DMP mutual support thread, a source of information which is beyond value, I soon realised the keeping my account balances up to date were my responsibility and that's exactly what I do pretty much on a monthly basis.

I've just negotiated a 1% interest charge on both my OH's barclaycard accounts, so I would advise writing a letter to them. We've been in our DMP for a year now and it took around 3months for them to stop charging interest and marked the credit file with a AP marker. At the annual review time they reinstated full interest charges, but after contacting them to explain that our circumstances had not changed and that we were set to remain in our DMP for the duration they agreed to default the accounts and charge the 1%.

Dazla - defaults are what most folks on DMPs are pushing for, oftentimes that means interest and charges are frozen or reduced significantly and the 6 year countdown begins. So personally I'm more than happy that most of our creditors have now defaulted us. That way our credit file should be clear less than 2years following the end of our DMP. So defaults are not to be worried over and you might want to reconsider your decision to take the mbna account out of your DMP with payplan. Just a thought.

Siberianski

i would ditch payplan they were a nightmare too deal with

dazla

As I'm nearing the end of my dmp I don't want to incur another fresh default which will remain on my credit file for another 6 years. My other defaults will drop off in a couple of years, so this is why i am going to remove the mbna card from payplan

Suseka

That's fair enough, you need to do what's right for you -although you could of course challenge a fresh (as opposed to backdated) default. If paying off MBNA seperately sorts the whole thing out then great.

DS4215

dazla wrote: »

As I'm nearing the end of my dmp I don't want to incur another fresh default which will remain on my credit file for another 6 years. My other defaults will drop off in a couple of years, so this is why i am going to remove the mbna card from payplan

If they have already defaulted you once on that account, then I'm not sure that they can do it again.

Karen777

Hiya
I only just realised pp didn't automatically update balances so am now updating them myself every month. No one has reduced interest in the year I have been in the dmp either but have had default notices from HBOS. I have now written to everyone asking to reduce interest but not feeling hopeful! To be honest I am only just feeling up to speaking to and contacting creditors and so haven't really engaged in the process as much as I should have done but now trying to change that - but to get back to the point of the original post, no I didn't realise that the PP balances were way out either! Was a bit of a shock to say the least and makes a huge difference to my debt free date.