Payplan's new T+C's

vadc01

Hi - I'm currently in a DMP with Payplan, have about £9K left to pay which is down from £21K and has an estimated 4 years to clear. I work full time and as part of my job for the last few years I do sales and so get some commission on top of my basic salary. My payments have increased over the years from £95 a month to £220 - I'll be honest but I've never declared the commission I get as it varies, and if I'm on holiday or off sick I obviously don't get anything. I've also been in a position before where I've had no money at all to cover me if anything when wrong with e.g my house, an emergency etc also I don't want to give every single penny to Payplan in case something happens. So now I've had an email saying as part of their new T+C's they WILL ask to see proof of earnings and expenditure, and if there is surplus you'll have to pay it, or leave the DMP. Can this be enforced? And if I were to come out of the DMP, would my creditors look for me to pay more anyway if they knew about the surplus? I know I should be more focused on paying my debt but I don't want to not be able to treat myself for the next 4 years! Any advice would be appreciated.

National_Debtline

Hi vadc01


If Payplan were to "enforce" their new terms and conditions, it would most likely be in the form of withdrawing their assistance. There won't really be much scope for you to challenge or protest this. If you decide that you are unable to comply with their requests, you will need to look at approaching creditors yourself or engaging another (ideally free!) debt management service.


Any sensible budget should allow you scope to put money by for one-offs, emergencies, running repairs etc. and overtime/commission payments can make it easier to do so. It's just a question of what that "rainy day fund" figure is and whether it appears reasonable and proportionate to your creditors. While in an informal arrangement like a DMP, you have more flexibility over what you put aside - the flipside is that your creditors aren't blocked from reinstating interest/charges or going to court if they feel hard done by.


Hope that helps


Dennis
@natdebtline

rizla_king

I would switch dmp provider of do it yourself. payplan are all about getting people into ivas etc nowadys, and this is just something to help that