How Do I Convince Mother In Law?

Queen.Bess

Hi Everybody! Please help!

My Mother in Law has finally decided that her finances need bringing under control. She and my FIL have plenty of credit cards on them and want them gone! Previously when we'd spoken about what she'd like to do, she was going to go to either CCCS or National Debtline, which I was happy with! However, she's now talking about going to a company instead because apparently what they offer is a better deal.

I don't think she's right and so I'd be very grateful for reasons to give her as to why she would be better going to a non-profit debt organisation.

Thanks!

chevalier

If she goes with a fee taking company then less money is going to her creditors, and it will take longer to pay off the debts

CCCS, Payplan and National Debtline are well respected in the industry and are more likely to get agreement from creditors to stop interest and charges, meaning that more of the monthly payment goes to pay off the capital.

chev

GeorgeUK

Be very careful about this "deal". Are they offering and IVA or something? Tell her to stay clear. If their finances are not too bad, they may be able to sort itout without a DMP and pay it off early using 0% cards. Can't get much better than 0%.

Can you tell us what she is thinking of doing or the company she is considering signing up with?

Most companies touting IVA's will make £5,000 for each one they set up. That's why they think all people that come to them should go on one.

RAS

Hi

I can assure you that the comapny will have told here she will get a better deal with them

First off, she needs to know exactly what the fee structures are at the company.

Secondly NDL do not offer DMPS etc but they offer independant advice.

One thing you could do is suggest that she needs to shop around and get detailed proposals from CCCS and the company at least and then get independant advice from NDL about her options.

The other thing that you could do is do a search on the company name on here and see what sort of reports come back?

Queen.Bess

Thanks everybody! I'll get more details from the MIL and see what her plans are. I think what she's focussing on is the fact that the company say they can help her clear her debt quicker, but I'm not convinced!

I'll pass your ideas and comments on and see what she says. Thanks again!