Pay Day Dillema

[enaid]

Re: Pay Day Dillema

Don't know if anyone else has asked but have you any PPI on the loans and CCs that you have either to claim on or if mis sold claim back?

[Guest]

Re: Pay Day Dillema

No Debt2014
My Reply
Thanks for the advice, i am prepared to go for the DMA route and would definately do anything possible to get out of this mess. I understand the risks involved in terms of the credit history. I have managed to maintain all my payments so far and this would be the first time my credit record gets tainted unfortunately, but I have not choice now.

There is a few things i would like to know.

1. Can you explain to me about getting the default notice and how to go about it.

The creditor will default you when you start your plan, as soon as you miss a couple of minimum payments

2. I have done a bit of overtime over the christmas period and am likely to get an extra £800 for that. I was thinking of spliting that between the two Pay Day loan companies and offering to pay the rest in instalments. Is that a good idea?

This is going to be a long term agreement, i would just use your basic pay for the calculation, the dmp company will instst that you treat all your existing creditors the same, so if you are trying to setle any accounts i would do it before you start your DMP.
What are the details of the Pay Day loan companies? if you have paid a laegr proprtion of the inoitial contract, they may accept a small full and final if presented with the possible alternative of a few pounds a week under a DMP.


3. My driving expenses are quite high because i work about 80miles from home (80 miles to and from home), calculated at about £14 for 10 litres of petrol for the journey for a six day shift, if i do overtime on the sixth day. It could be less if i dont do overtime.

Not sure which way you are going but Pay plan and CCCs do a telephone interview where they ask you about the details of your vehicle and the distance to and from work, i would ensure that you are generous in your estimates, they calculate how much you need for fuel using their software, as i said previously i have found the figure they give is on the generous side anyway.

4. Will the DMP consider my overtime pay, sometimes i dont get it, hence i did not include it in the balance sheet. But i am willing to use my overtime pay to settle some of the debt. Please help

I would not mention it at all, just use your basic wage for any calculations.

Put any extra money you have in a secure account for a rainy day.
.

Pay plan do not ask for proof of income they do not generally require payslips so it is up to you to ensure thst you comit only what you can afford in the worst possible scenario (when there is no overtime avilable).

Peter

[labman]

Re: Pay Day Dillema

I hope not or we are all in trouble.

Many on this forum has been invoved in setting up a DMP at one time or another, in as much as we have advised how to go aboujt getiing one up and running.

I am of course aware that to run a DMP for someone else you need a credit lisence, but i Dont think any of us do that.

At the Credit Union we are helping people set these up all the time more and more often unfortunately,

Peter

If you are helping people discharge debts via the Credit Union you should apply for a CCL under Category E2 (I assume your a not for profit organisation). Technically you are, I think, breaking the law:

http://www.oft.gov.uk/shared_oft/bus...ces/oft147.pdf

The forum is a different beast completely.

[Guest]

Re: Pay Day Dillema

If you are helping people discharge debts via the Credit Union you should apply for a CCL under Category E2 (I assume your a not for profit organisation). Technically you are, I think, breaking the law:

http://www.oft.gov.uk/shared_oft/bus...ces/oft147.pdf

The forum is a different beast completely.

Credit unions do not require a credit liscence , neither do people who give informal advise otherwise sites like this would need them.

These are now large oppertions consisting of millions of members country wide under the umberella of ABCUL i am sure they would have this covered.

Credit Unions handle peoples money on a daily basis(and have done for many years) and are regulated by the FSA to presume that there would not be a degree of advice being offerd by an organisation that states as its whole purpose to be one of helping people out of debt is absurd.

CUs have been opperating for many many years we have never been prossecuted yet. It may be that Abcul our cenrtral body hold a liscence, i do not know and frankly i dont care.

I have peraonally issued hundreds of loans from the CU to dichage debts. To be more accurate we issue the check to the customer and they discharge it but on occaision with the permission of the member we will address the check directly

Peter

[Shadowcat]

Re: Pay Day Dillema

Sorry if someone's already put this, but a useful PDF download on this site:

http://www.nationaldebtline.co.uk/en...ebt_advice.php



Shadowcat.