DebtMatters DMP - Can I ask for frozen credit card balances to be reduced?

[lewis94]

I have three credit cards that are all frozen and on a debt management plan, paying a sum of agreed money to all. I keep getting companies offering to get the credit card companies to drop the outstanding debt by upto 70%. Can I enquire about this to the individual companies or does it have to come from a reputable company?

 

I owe £9k, £5.5k and £8k and would rahter does this than go through an IVA or would that be better in the long term?

 

Thanks

[silverfox1961]

Hi,

Don't pay anyone to do what you can do yourself for a much reduced amount.

Two ways to go

1. send a CCA request to the companies to see if the agreements are enforceable OR

2 Send a SAR to the companies to see what they hold on you and to see just how much they have stiffed you in charges which you could then reclaim.

 

While your debt remains with the credit companies, they will keep on applying charges and interest. You can ask them to reduce or freeze the interest but it's not always successful.

 

Is the DMP Payplan or CCCS. if not, dump the one you're on as you are paying them what you could be paying to the free DMP's which go off your debt, not to them.

 

Don't think about an IVA at the moment.

 

fox

[andydd]

Surely the OP said that the interest is already frozen and Id guess that thyere would be no extra charges.

 

I'm in the same situation, but I doubt that they would agree to reduce the actual balances, however I have already CCA'd and SAR'd them and it would appear that they are not enforceable agreements so that's the route I would go instead of trying to get balances reduced.

 

Andy

[silverfox1961]

I made the assumption that the accounts themselves were frozen but not the interest.

Lots of companies freeze the accounts but continue to add charges and interest until the account is cleared

[lewis94]

All three accounts are frozen, however my HSBC credit card is still having interest applied. I asked them way back in December 2008 to freeze the interest and they just didnt want to know. The company I am with is Debtmatters, which having read about is not the best way to move forward. I am trying to get my affairs in order and then transfer to payplan.

 

I am now sending out SARs for each ot the companies. What specifically would I need to look for?

[silverfox1961]

When you get your SAR back, check the statements with a fine tooth comb and also check any screenshots they send you. Once you have worked out what they mean, it can show up a load of info but until you get them back you don't know.

You should get copies of letters sent to them and replies from them but if you want transcripts of phone calls, you may need to tell them dates and times of the calls you made.

You should get a copy of your agreement and t's & c's

If the account has been defaulted, there should be some reference to this and hopefully a copy of the default notice.

If the account has been terminated then a notice of that too.

 

that's all I can think of at the mo.

 

fox

[andydd]

I contacted Payplan and they suggested filling in an I&E sheet and contacted Egg and Cap1 myself and they froze the interest and charges on my account quite easily and accepted a min payment of £10, its now only £1 as i was just made redundant, Barclaycard are being a bit more stroppy but i think they'll fall in line.

 

Andy

[lewis94]

I have a debt management plan that has been running for 3 years now with 3 credit card companies.

 

 

I have maintained payments on all of them without fail.

 

 

I have now got into trouble (due to work problems) with another loan company who I was keeping up payments for.

 

 

They are asking me to take out another management plan and pay them.

 

 

I have offered a resonable £120pm payment which is proportional to the others I am paying.

 

 

Can they force to me start another DMP ?

 

Any advice appreciated