Which Way To Turn????

Eager_Elephant

Hi,

I don't think anyone has mentioned Payplan. Their website is here http://www.payplan.com/.

I have not personally used them but another debt forum I use has a lot of people who are using them/have used them and they seem to be getting on fine.

I would give them a ring and they will be able to give you some ideas straight away and then you will be given a telephone appointment for a money specialist who will run through everything. They will tell you if you need a DMP, IVA or Bankruptcy.

I definitely think it's worth ringing another company to get advice - you can never have too much advice.

Alternatively what about Citizens Advice Bureau, ring your local one first and see if they have money advisors and if so you will need an appointment which can be a few weeks away. If this happens they advise sending letters to all creditors explaining that you are seeeking 3rd party help and can you pay token payments until your appointment and you have sorted a budget.

Any more questions fire away

EE

fatbelly

Malestrom wrote:

I don't like the fact that CCCS have recommended two clients to both use Debt Free Direct, it smells fishy to me. There are plenty of Insolvency Practioners around that you could actually meet in person to discuss your IVA.

Absolutely correct, Malestrom! CCCS should not be recommending one particular IP. And usually wouldn't recommend an IVA unless there was a business involved or some more unusual factor. I'll try to find out what's going on here.

zAndy1

Well I'm about to send all the forms back to debt free direct , I need to get moving on this as things are going pear shaped very quickly at the moment. Is an IVA really not a good option? I fail to see what the problem is with it to be honest, I mean 5 years to be debt free is a very tempting proposition considering the alternatives. Do you think a DMP is a better option but £70k of debts paid back at £500 per month will take almost 12 years to repay and that's if all interest is stopped (is that what usually happens with a DMP?). Debt free direct certainly seem to be very keen to advise an IVA although perhaps my situation dictates that recommendation, I'm not saying they recommend that to everyone (I don't know).

zAndy1

I have an appt with payplan tomorrow night so I'll wait and see what they say before sending the stuff off to debt free direct I think..

Malestrom

I think thats a good move zAndy1, at least if they give you the same advice then its clear that you're doing the right thing. I wonder if they'll also recommend DFD though? I would also ask DFD what fee's you are paying and maybe compare this with an IP that is more local to you. Oh, and of course DFD are very keen to push the IVA, they make a lot of money from it!

davebrown

I was informed that an IVA will hurt your credit ratings and future credit potential just as much as Bankruptcy will. Does anyone know anymore of this ? I'm considering bankruptcy at the moment as I'd rather get out of debt sooner than later and not end up paying a third party for the next x years when the outcome sounds the same.

Murtle

I recently read (int The Times) that one of the benefits to going down the IVA route is that if you are declared bankrupt there are a number of professions that you can not enter/remain in. One of these was in holding a license for a restaurant or pub.

zAndy1

The main reason I'm not considering bankruptcy is because we'd lose our house. We've put a lot into our house and would really struggle to get a similar property in the future. The kids are settled where we are and it's a nice area which counts for a lot. I'll see what payplan have to say and go from there. Maybe a DMP is worth thinking about, at least we won't be expected to release any equity in our house after the 5 year IVA period is over. If we're expected to do that it's going to cost us another £200 per month approx for the remainder of the mortgage term (which currently has 22 years to go). Maybe 11 years of £500 a month payments is a better option?

zAndy1

Is there any difference in terms of damage to credit rating between a DMP and an IVA?

rossie_3

Hi All

I have been reading through all the comments about DFD and IP and the DMP. I myself as stated at the beginning have 47k worth of c/card debt and also have a 70k with my parents who mortgaged there house when they didn't have one to get me out the s**t. I can no longer pay the mortgage to my parents aswell as a 47k debt along with the general cost of living and having 2 children, with just 3600 a month coming in so I either go bankrupt or do the IVA. There are no other options for me to enable me to get this problem dealt with asap.

Most of the people that I have read about on this forum are in the same situation and are basically crying out for help, just like I am. The problem that I have is that I felt unworthy, I thought that buying expensive items ie Gucci, Prada, Versace and so on and having my garden landscaped at the cost of 10k would make me seem important and wealthy to people who had hurt me, so I would seem more powerful than them. The point is though, I don't, when the credit ran out on one c/card I would apply for another. It is a downward spiral from there on. The fix was quick and would only last a few days and I found myself taking days off just to spend money that wasn't mine. All you people out there who are in the same situation as me or are heading that way...THINK!!!. I can't sleep at night, my marriage suffers because of it, and all I need to make me feel worthy is my childrens faces when they get up in the morning. That to me is priceless and it has taken me 6 years to realise this and over 100k worth of debt. To me any comapny that is willing to help me get out of this situation asap is worth talking to. I have everything depending on it and to me all of this ring around stuff just delays the process and allows the debt to grow.

All the advice that this forum offers has been great medicine to me, and has made me realise that I am not the only one, but, I just hope that with councelling and the support of the CCC's that less and less people have there lives destoyed by these company's who offer credit to people who they know can't afford it.

I look forward to reading on x