how do i get out of a debt consolidation contract?
Sep 02, 2009 in
Personal Finance
Luke A
I signed up a to a debt consolidation company to clear my debt, the company is called Gregory Pennington and they take a monthly fee, with me it is 25 pounds a month and they said they would take care everything, to cut a long story short, they havent been making the payments to the banks on the agreed times and I have had set up new payment plans and talk to the banks, they have not stuck the there side of the contract, is there anyway i can get out of it?
I signed up a to a debt consolidation company to clear my debt, the company is called Gregory Pennington and they take a monthly fee, with me it is 25 pounds a month and they said they would take care everything, to cut a long story short, they havent been making the payments to the banks on the agreed times and I have had set up new payment plans and talk to the banks, they have not stuck the there side of the contract, is there anyway i can get out of it?
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4 comments
Judy on September 4, 2009 at 9:27 pm
They will not pay your bills.
Their thinking is risky.
They think if you do not pay your bills, the creditors will get nervous and settle. It’s a gamble, because sometimes, the creditors just take you to court.
/
Glib on September 5, 2009 at 7:57 pm
You can cancel your agreement with GP at any time. If unsure, i would talk to one of the free debt charities such as CCCS or Payplan for confirmation. They can also help with setting up a DMP (that you don’t pay for). They may be able to get the creditors to freeze interest and charges better than trying alone and will be able to comment on what you should allow for your budget so you are not putting too much pressure on yourself.
Also worth looking at the moneysavingexpert forum for tips and ideas on cutting expenditure. Especially the Debt-Free-Wannabe board.
HarryB on September 8, 2009 at 5:17 pm
Hi
I have added a few links at the bottom of companies that can help you.
MARIE M on September 8, 2009 at 6:39 pm
It looks like you feel really screwed up by this problem. Hope you may found helpful here .