Bank Charge Money Refunds - Opportunity To Pay Priority Debts

Filed Under  Financial News, Personal Finance, UK Debt News  |  Leave a Comment

OFT Can Rule On Fairness Of Bank Charges

The recent test case decision allowing the Office of Fair Trading (OFT) to rule on the fairness of banks’ unauthorised overdraft charges could mean that many people struggling with debt are refunded money.

Customers have been reclaiming charges since the beginning of 2006, and the BBC estimates that in 2007, despite the fact that banks claim their overdraft charges are not unfair, approximately 378,000 claimants were refunded around £784 million.

Payplan Free Debt Advice

Payplan advise that those who are struggling to prioritise their living costs and meet monthly payments to credit cards and personal loans should use any overdraft charge money refunds or lump sum payments as an opportunity to reduce their debt. Priority costs include missed mortgage repayments, late payments towards the council tax bill and ensuring fuel bills such as gas, electricity and oil are up to date.

Using Payplan’s free debt advice service, and making the most of a financial opportunity like an overdraft charge money refund, could be the first step to dealing successfully with a larger debt problem. Payplan can help people manage their debt using a free debt management plan (DMP), and money refunds from the banks can go some way to solving a person’s debt problems.

To find out how, call Payplan free on 0800 917 7823 or submit your details online for immediate free debt advice.

‘IVA Council’ Continues To Contact People In IVAs

Filed Under  IVA News, Personal Finance, UK Debt News  |  4 Comments

The IVA Council (IVAC), who in October last year was forced to remove logos similar to the official Insolvency Service logos from its website, still appear to be actively sending letters to people in IVA arrangements, as recent comments on Payplan’s previous article ‘IVA Council’ makes false claims suggest.

Insolvency Service Statement

The Insolvency Service has recently stated the following on their website:

“The Insolvency Service would like to make it clear that we are in no way associated with an organisation called the IVA Council.

IVAs are a flexible and effective means of dealing with debt. For debtors they provide protection from creditors, debt forgiveness, flexibility in terms of what assets are included, and none of the restrictions, which apply in bankruptcy. For creditors they provide a better return than could be obtained in bankruptcy.

IVAs allow debtors to repay their creditors that which they can reasonably afford and resolve their financial problems, and are supervised by licensed and regulated insolvency professionals.
The principal statutory alternative to an IVA is bankruptcy. Bankruptcy should always be the last resort as the debtor will lose control of their assets and will be subject to bankruptcy restrictions, potentially up to 15 years.

Consequently The Insolvency Service does not condone any implication that people in IVAs should stop paying and enter bankruptcy. If you have had any communication from the IVA Council or other third parties suggesting that you stop making payments under your IVA you should discuss this with the supervisor of the IVA and seek advice from professional, qualified advisers before taking any action.”

As the Insolvency Service make clear, anybody who receives a letter from the IVA Council or for anybody who is struggling to meet their monthly payments in an IVA, they should seek immediate advice from their IVA Supervisor, who should be more than eager to assist.

IVA Council - Original Concerns

Below are some of the original concerns about the IVA Council:

There was NO ‘Consumer Credit Licence’ number evident. You need this to be able to give debt advice, according to the requirements set out by the Office of Fair Trading

There were NO ‘Limited Company’ (Ltd) details, registration number or company address which is a mandatory requirement on all emails and letters from any Ltd company

They used the logo of IP trade body R3 in the past, which it NEVER had permission to do.

They offered NO ‘Data Protection’ registration details which is necessary for a business that will be recording data.

Credit Today published that ‘numerous attempts’ to contact IVAC had been unsuccessful (25 October 2007). Jonathan Baker, The IVA Council’s (IVAC) auditor later told Credit Today that the IVAC had been foolish by advising recipients of their letter to stop making payments into their IVA arrangements.

How to Get Free Bankruptcy Advice

If you are in an IVA arrangement and are being encouraged to petition for bankruptcy from a third party, again, contact your IVA Supervisor immediately.

THERE IS ABSOLUTELY NO NEED TO PAY SOMEONE ELSE TO PETITION FOR YOUR BANKRUPTCY

Payplan believe that all people struggling with debt should have access to free debt advice and that they should be made aware of the best debt solutions available to them. That is why Payplan provide free debt management plans, IVAs with no up front fees, and free debt and bankruptcy advice.

Call Payplan on 0800 917 7823 or contact their advisers online for free and ethical debt advice within 24 hours.

MORTGAGE CONCERNS FUEL CALLS TO DEBT HELPLINE

Filed Under  Financial News, Mortgage Advice, Payplan Press Release, Personal Finance, Press Releases, UK Debt News  |  Leave a Comment

Worried Homeowners Call Debt Helpline

Turbulence in the mortgage market has prompted an increase in calls to Payplan’s debt advice helpline. Debt counsellors are speaking to people whose mortgage payments have gone up and can no longer cope with this bill, in addition to their other monthly commitments.

A survey of new callers to Payplan’s debt helpline, a free debt solutions service, showed that more than 50 per cent of people had noticed an increase in their mortgage payment. Of these people, 35 per cent admitted that concerns about their mortgage had prompted their call to Payplan’s debt helpline.

John Fairhurst, managing director, said:

“We are speaking to a lot of people who are deeply worried about their ability to stay afloat and keep up with all their outgoings. The current turbulence in the mortgage market means it is a worrying enough time for prime customers - so for those people with bad credit histories, it is even more troubling.”

Payplan’s Special Repossession Advice Team (0800 917 7819)

Payplan’s Special Repossession Advice Team (0800 917 7819) gives advice to people who are facing repossession orders. This team includes mortgage advisers, who are on hand to give expert support to people in distress.

Mr Fairhurst went on:

“Our team speaks daily to people with mortgage arrears and many of these individuals and families are scared that they will lose their homes. Our team is able to ease the worries of callers and advise them of their rights. We will do everything in our power to ensure they keep their home.”

Last month, statistics from the people Payplan helped, showed that mortgage payments accounted for an average of 40 per cent of net income. A survey of new callers to Payplan’s debt helpline found that a third of people have paid priority bills, such as mortgage payments or utilities, using a credit card.

Rising mortgage costs means that the money left over at the end of the month to pay unsecured debt is reducing. It is important that people look at their secured and unsecured borrowings together and Payplan is the only debt solutions service that can do this in house.

Payplan’s Special Advice Team is also helping people in debt management plans who are coming to the end of two-year fixed rate mortgage deals. Mortgage advisers from the team can access the whole of the market, and are working hard to find the best deal so that debtors can continue to keep up repayments to creditors.

Information for Editors

Payplan provides free, ethical and immediate debt help to over 100,000 people every year, working closely with organisations in the field of money advice and consumer and employee welfare.

Press office contact - For more information please contact the Payplan press office on 01476 541980, 07812 736861, or email Jayne Newton.

Contact Payplan

Freephone 0800 917 7819 six days a week to speak with an experienced debt adviser from our Special Advice Team. Lines are open 8am to 9pm Monday to Friday and 9am to 3pm on Saturdays. Or visit the Payplan website to submit your house repossession problem online.

225 Million Pounds Over 3 Years To Help Poorest Pay Utility Bill Debts

Filed Under  Consumer News, Personal Finance, UK Debt News  |  Leave a Comment

Utility Bills Debt Help

Energy Secretary John Hutton has engineered a deal with the UK’s six biggest energy companies to potentially help the poorest households meet their fuel bills and clear utility bill debts.

Over the next 3 years, an extra £225 million will be found for social assistance programmes, designed to provide financial support to consumers struggling to pay their gas and electricity bills. The UK’s biggest energy firms who aim to help reduce fuel poverty are British Gas, Scottish & Southern, E.On, Scottish Power, NPower and EDF.

Help Welcomed By Payplan Clients

Any extra financial support from the energy industry will be welcome news to callers to Payplan’s free debt help telephone service, who, during the last 9 months, have seen a 9 per cent rise in their monthly utility bills.

Contact Payplan free on 0800 917 7823 or online further free debt advice to help you prioritise your utility bill debts.

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