A question about : Dmp help
Hi everyone wonder if you can help me.
Just over 6 years ago I found myself in debt with credit cards and in a way to get it sorted I joined a debt management company.
I was told I should be debt free within 5 years which isnt the case and the amount I owed dosent seem to have come down alot.
Checking my statement's they hardly pay anything to my creditors and seem to take a hefty monthly fee.
Over the years they save money in to a pot which they are ment to use to offer my creditors an amount to pay off a debt, which has never happened, currently there is Ј1760 in it.
Am seriously considering stopping this plan and doing it myself to pay it off quicker and so not to be paying a fee each month.
My question is if I ring them and cancel the plan, what happens to the money in the pot?, do they refund it to me or will they try keeping it?.
Thanks in advance, Nathan
Best answers:
- Can't help you with the money in the pot thing, but you really need to either self manage or use one of the debt charities like step change or CAP.
Paying the monthly fee is just keeping you in debt longer, and helping no one except the company. - Thanks for the reply.
Am just intrigued as to what happens to this money as I have been paying into this plan for over 6 years.
Thanks anyway - I dont see why you shouldnt be able to get this back, who is the dmp with?
- Compass debt counsellors, long eaton
- I've just got off the phone to them, they tried talking me out of cancelling my plan.
long story short they have agreed to cancel my plan and refund the money from the pot.
I will now be seeking advice via payplan now.
Thanks - cant find anything on there website to say what the tersm are, bound to be something in your paperwork what the terms are should you leave
- I was stupidly in a fee taking DMP with DFH before realising they are free ones out there
I have since been with StepChange and have no complaints with them
Good luck - Could you do any full and final offers with the amount in the pot?
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