Dont know what to do.

tinkerbelltoulle

Well I earn about £980 a month of which first off I pay my debt consolidation company and my rent which is £500, then I have direct debits of about £100 everymonth which is £600 already. When I joined the debt company i still had a few more creditors I decided to deal with myself as thought it would be cheaper but i keep getting statements each month with a largish amount on each and Whenever I dont have enough money to pay one It obvioussly means it has doubled the month after and I am having more money out everymonth then what I earn. Would I be able to ask the company to make their payment smaller or see if I could put my other debts in it? Also I have been thinking about contacting all my creditors and asking if I can have low paymets on everyone myself and cancel the debt company as I find the company is keeping about £50 of the money I spend each month.
i hope every one can understand this and hope someone will have some advice for me.

~Beanie~

If you are with a debt company then you should have included ALL your creditors, not just some of them.

I would suggest that you speak to one of the free debt management companies, such as CCCS, and get them all sorted. CCCS wont charge anything, why pay someone £50 when this could be put towards clearing what you owe.

GeorgeUK

Hi tbt welcome to the forum.

Can i ask - is this a fee paying company you're with? There are free debt charities that set up DMP's for free so you could get in touch with them and see about rearranging the payments. Have you been getting statements from the creditors that the company are dealing with?

I suggest you post up a Statement of Affairs (SOA) so we can see what the income, expenditure and debts are. We may be able to suggest other areas to make savings.
http://www.makesenseofcards.com/soacalc.html

hypno06

I agree - please please give CCCS or one of the other free companies a call to talk things through with them. You do not need to take their advice, or move your DMP to them, etc, but it would certainly be worth a chat.

In addition, if you are paying in any way for your DMP, moving to CCCS or one of the others (payplan, CAB, National Debtline) would reduce these costs and ensure that every penny you pay goes direct to the debt, not to the debt company, so your amount outstanding reduces quicker.

The link to the site to do a proper statement of affairs is a good one - pop up your details and we will see what we can suggest to try and free up more money for you.

RAS

Hiya

Contact one of the debt charities listed here http://www.moneysavingexpert.com/loans/debt-help-plan#help

That way your £50 is going to pay off your debts not to someone else's profit margin.

CCCS_Alan

Hi Tinkerbelltoulle

Welcome to the boards. As has been suggested, a SOA would be helpful to see if any one has any ideas to help you reduce outgoings just to get rid of that debt a little quicker.

Paying through a debt consolidation company and paying other creditors yourself sounds a bit difficult. What ever your solution you really need to have all your debts dealt with in one place. If you keep a few cards to deal with yourself you may have the temptation to re spend on them thinking you can afford it, and only succeed in getting further away from your goal of been debt free.

Paying £50 per month to a middle man may not sound a lot. But it means if you had a free service you could be paying £600 a year more off your debt and they could be dealing with all your creditors for you.

As the other posters have advised you can look in many different areas for this type of free advice and support, and the sooner the better. After seeking advice you may find out that a DMP is not your best option as something else may be more suitable for you in your circumstances.

You can try our online advice facility called Debt Remedy where you can complete a financial statement and be provided with advice on the best way to deal with your situation.

Good luck and keep us posted

CCCS_Alan

tinkerbelltoulle

I still do get statements from the creditors they are dealing with-and one even phones me every so often to say they need a financial statement to say i still need reduced payments.

10past6

tinkerbelltoulle wrote: »

I still do get statements from the creditors they are dealing with-and one even phones me every so often to say they need a financial statement to say i still need reduced payments.

Hi tbt

What's the name of the DMP company you are using?

tinkerbelltoulle

Churchwood finance

LostBoy

I have just joined the forum and I'm looking at using Churchwood. However, reviews are looking grim for them. I have an SOA where should I post it please? thankshttp://images.moneysavingexpert.com/images/forum_images/smilies/confused-smiley-013.gif

Kudox

Do not use a company who will charge a fee, go to cccs or payplan, who are free charities who will help you. Do a search on the boards and you will find links to all these and where to post your soa.
Why pay when someone will give you better, impartial advice and set up any plan for free.