Advice wanted please

jo.anne

12 months in on a debt repayment plan. Majority of the creditors have been great and frozen the interest. Already paid £3500 off my debts in one year. Quite disappointed with Fashion World and Virgin Credit Card had they will not freeze the interest. Is it worth me stopping their payments through the payment plan and having the debts defaulted and sent to a debt company has I am already aware my credit record is shot so wouldn't make a difference, or would the payplan plus the debt company I am with advise against this? 

ceremony

How big are the debts and how high is the interest? How long will it take to clear?

fatbelly

It's unfair for those two creditors to be treated differently so I'd say yes - probably Payplan won't  like it but run it past them.

jo.anne

Capital one Credit card owe £681.49 repaying back @ £27.96 a month - Interest is 26.4%
Very Credit card owe £1000.37 repaying back @ £52.72 a month - Interest is 30.34%
Very Catalog owe £639.05 repaying back @ £30.98 a month - interest is 40.44%
Virgin Credit Card owe £864.33 repaying back £36.66 a month - Interest is 17.48%
I have had my annual review and over the last 12 months I have repaid £4,044 of that £3036 was paid off the debts and the rest £1007 was interest between the above accounts. I am not good at math and figures but I know I would have rather of had the extra £1007 paid off my debts. Can you give me advice, should I stop paying these debts with Payplan and just stay with the ones who are helping me, then  let the four above default and be passed to a credit agency where interest will then be frozen and I can come to an arrangement with them (my concern here is I will continue to get charged interest and also missed payment charges)  It took a lot of strength and advice from here to start my DMP and the ones who haven't frozen interest have really disheartened my resolve to clear my debts.

fatbelly

We're saying yes - stop paying them until they freeze interest.

Singlespeeder

"Very Catalog owe £639.05 repaying back @ £30.98 a month - interest is 40.44%"

40.44% of  £639.05 is £258.43

You're paying about £372 of which £260 is interest. You'd still owe them £527 after a year.

It's probably a little more complex than that, but not much.

It's criminal.