Advice needed

Jimmy333

Hi there
First poster here, I am looking for some advice
I am on DMP ,i owe roughly £20000 to 3 different credit card companies(between £1.5k to £4k each),2 loans,an overdraft and also a paypal credit account(£750).I started the DMP in April and I pay monthly £420-that includes the fee for the debt management company(I realised too late that I could set up the DMP for myself).

My questions are:
-can I make a final settlement to paypal(I am thinking in the region of £450 or so)without having an bad effect on the other creditors?

-all my creditors have frozen interest but 2 havent actually agreed to the DMP,should I worry?

-At the moment I feel I can afford an extra £100 per month,should I ask for an increase in the monthly payment ? my worry is that I wont be able to make this payment

Thank you for your help -sorry for any mistakes ,english is not my first language

sourcrates

Hi,

Your first job should be to axe the debt management company and either manage it yourself or use stepchange who offer a free service.

You are just wasting your money otherwise, it could be going towards your debts.

Jimmy333

I am not sure if I can cancel with them without paying extra money,i will check with the terms tomorrow.
If I redo the management plan will I get another default with my creditors or I can just pick up where I left?

thanks

sourcrates

Jimmy333 wrote: »

I am not sure if I can cancel with them without paying extra money,i will check with the terms tomorrow.
If I redo the management plan will I get another default with my creditors or I can just pick up where I left?

thanks

Debts only default once, you can usually cancel these agreements with a certain notice period, the problem with such companies is that they go bust on a regular basis, and any money you have paid them, is lost for good.

We gets lots of posts from people where this has happened, some have lost thousands of pounds with no chance of getting it back, one lady lost nearly £20,000 pounds.