Advice re Payplan DMP

CU_5393

My wife and I are 2 years into our DMP...we pay just over £1k per month. We are comfortable with this figure, we have increased out payment 3 times from the start and are making good progress. We have never had to furnish Payplan with any documents i.e. Payslips and bank statements.

We have received a letter today regarding our second annual review in which they say they will require the aforementioned documents. As I say, this wasn't requested when we started the plan nor at our first annual review. I am concerned that they will suggest that we can or should pay more.

Whilst my wife and I are more than happy to increase our payments as and when we can, I don't want this to be dictated by Payplan. It's not that we have been dishonest, but we have worked out a budget that allows us to live whilst putting the greater majority of our disposable income towards our debt.

Can anyone advise as to the best course of action? Do we just give them what the want? Can they compel us to increase our monthly payments? Or could this jeopardise our agreement. I am happy with Payplan, everything is going really well and there is light at the end of the tunnel. I just don't want to end up paying them every last penny of disposable income that we have, which would ultimately make things harder than they are already for my wife an I and our two young children.

Your thoughts/advice is appreciated.

Standingtall

Hi CU_5393

I was in the same situation as you late last year and was equally surprised to be asked for statements and payslips. My personal changes since my last review were huge and to compound the issue, all the bills and a new mortgage following relocation were all in my new husbands name! Additionally I was between jobs and in the process of negotiating final contract details with a new employer. I was, however, wanting to increase my payments a little - not a huge amount but enought to keep chipping away.

However, it turned out I was worrying for nothing. The adviser on the end of the phone simply stated that I could not be requested to do anything I did not want to as this is an INFORMAL agreement. We did adjust my expenses a little to smooth out some budgetry adjustments but generally speaking I think they were just happy I was continuing to stick to my plan and was making inroads towards reducing the debt.

I wish you look and just try to be forthright with the advisor. Maybe you could add in cigarettes or similar to up your costs a little if necessary.

Good luck.

dancingfairy

Seems a bit odd, perhaps they are just trying to cover themselves in case they are audited/inspected?
A dmp is an informal agreement and Payplan are working on your behalf. As such I would say you do not have to give them these details. On the other hand they could, in theory tell you that they are not prepared to help you anymore. Frankly I suspect this will not be the case and that if you discuss it with them, then all will be fine
If they did for some strange reason insist or become stroppy (which I very much doubt) then you could approach anther charity type organisation or indeed just do it yourselves and continue to make the same payments. Your creditors won't give two hoots how they are getting the money, as long as the money is coming in they will be happy. Self managing, as well, would, of course give your more flexibility when it comes to perhaps offering full and final settlements.
df

Jofro90

Just received exactly the same email and in the same position as you and your wife. Managing our budget happy to pay more as I have had a small pay rise but saving as we are expexting our first baby by pure mirical of NHS funded IVF!
Just wondered what the outcome was of your review? Did you have to supply bank statements?
Many thanks

Depth_Charge

Hi

Interesting thread

As others have said a Debt Management Plan is an informal arrangement and these providers are working on your behalf with some of them receiving creditor contributions / donations.

If you are happy with your providers then stick with them but there is the option of running your own DMP with creditors expected to treat you exactly the same if you do and even more so given the FCA TCF initiative.

Citizens Advice have their own established online self administering debt management plan system that might be worth a look if you ever consider running your own, the other providers are now fully aware of its existence if you get the drift:)

https://nedcab.cabmoney.org.uk/dmp.asp

http://www.cabmoney.org.uk/

Always get full independent, impartial advice if you are not sure on anything

Best Wishes

DC

Gavwolves1

Hi, I act on behalf of my mother for her dmp... Again payplan have now asked for bank statements 3 years in. Her dmp is largely accurate but I did inflate some bills when setting up so she was not totally on the bread line. Therefore I don't want to provide bank stats. Anybody said yes to them and just not sent them? Advice would be gratefully received.

sillymeme

Gavwolves1 wrote: »

Hi, I act on behalf of my mother for her dmp... Again payplan have now asked for bank statements 3 years in. Her dmp is largely accurate but I did inflate some bills when setting up so she was not totally on the bread line. Therefore I don't want to provide bank stats. Anybody said yes to them and just not sent them? Advice would be gratefully received.

I had my review last week.....I also got asked for the statements and payslips.

I didnt send anything. I called to make an appointment and thought they might query why I hadnt sent them in at that point, but they didnt. They were also not mentioned or requested at all during the actual review.

I had been on token payments for three months and my statements were a mess anyway....so if asked I was going to state that they wouldnt be much use.....but the fact I hadnt sent anything was not brought up at all. We just went through the incomings/outgoings in the usual way

Meatloaf1981

There's no requirement to send these documents, but they ask for them to ensure they are accurately representing you. If you are not happy with that arrangement, go self-managed like I have and you'll find that the parameters are entirely set by you and other than having to deal with each creditor individually yourself, there really is no difference except you're in greater control.

Gavwolves1

Thanks both that's a great help. I will just say yes but not send them... I may go self managed for my own dmp if I had to but I would rather stick with payplan for my mums as she would only worry. As long as they don't cancel the arrangement if I don't send them. I'm just going to say she doesn't get statements but I will try and get them as i'm not actually commiting that way. Thanks again you have put my mind at ease.

Meatloaf1981

Payplan won't cancel anything. If the appointment rolls round and you tell them there is no change, they will take that at face value. They are not there to catch you out, they only want to help you out of debt sooner so if you're able to pay more, they would encourage you to! It's simply them acting responsibly.

pedrothewheel

I too have my review coming up and in the past I have been able to submit my figures, i have my amount every year I have been with them, I am so worried about this review as our salaries have gone up quite a bit from the last year, but one of our costs has gone up considerably and we unfortunately can't foresee easy when this may happen, has anyone had this problem or has anyone had payplan refuse to go ahead with a review without the necessary paperwork?