Dispute regarding Simple Debt Solutions

[sayenna.1]

Dispute regarding the firm called:
Simple Debt Solutions

Background:Been in IVA since July 20009. Recently sold my property and they are pressurising me to place proceed funds into their account until they can arrange creditors Meeting. though this is not written in my agreement, They ahve asked me where the funds are being kept..Advised them of my intention to sell in July 2010 and offered them lump sum but no meeting set up to date. Am currently still paying monthly installments but feel harassed at present byt their tacctics.


Nature of dispute:Harassment


Dates of relevance:
July 2010 to date

Contact names:
Sarah Doyle

[gary_d_carnell]

From my experience these people are sharks - do not touch them with a barge pole. Harassment seems to be their speciality, debt advice definitely isn't. My wife set up an IVA with them owing 17000 their only service is to have added 7500 in fees to this. Sarah my advice to you or anyone else unfortunate to be caught in their web is to seek legal advice - perhaps legal aid.

[gary_d_carnell]

http://victim-of.blogspot.com/

[kallis3]

Hi and welcome to both of you.

Sorry you have had such problems, and we have had a lot of negative posts on here about the company.

I would suggest to both of you that as you have a problem with them, you go through their internal complaints department to start off with and see if that helps.

You can try emailing the IP directly via this link;

http://www.insolvencydirect.bis.gov.uk/fip1/

[gary_d_carnell]

Hi Kallis, I appreciate the advice [8D] but I did not use the term sharks lightly, in my opinion they are evil and their internal complaints department is unlikely to be different. Best advice is not to become involved with them, however once in a hole at some point you have to stop digging. Hence why I am seeking legal advice.

[kallis3]

I can understand your frustration and anger but you do need to go through the official channels first - when that fails then you can take it further. At least then you have proof that you have done all that you can.

[ginger3232]

I am with Kallis on this - save yourself the expense - dig out your wife proposal it will set out all the fees in that - I also assume you wife signed the proposal?

In my humble opinion unless you could prove you contract unfair in terms and conditions - you better off saving your money and clocking this up to experience.

If your not happy with the company then use their internal complaints - if still not happy then the Finanical Omnubusman (they will bounce the complaint back if you dont use the internal complaints system)

[kallis3]

That's what I thought as well ginger - once you have exhausted the internal complaints, then is the time to go further.

[gary_d_carnell]

Yes you are both right. I am however going to seek legal consultation. I will also get my wife to initiate the complaints procedure.

For you information my main complaints are based on the belief that Simple Debt Solutions should have offered help and advice in exchange for a reasonable fee. Without sounding patronising my wife is a salesmans dream, always trusting and thinking that people who a acting friendly are actually her friends. Me I'm old and cynical [:)]

This resulted in Simple Debt Solutions setting up an IVA for her that it should have been obvious that she could not keep to. This led to multiple extensions (despite the fact that then it should be even more obvious) where SDS could just rack up more fees.

I two years they racked up 7500 and no payments were made to creditors, everything she paid went to them.

Next despite their high fees, they did not even restructure her debt. I approached the creditors directly most of them bit my hand off when I offered 70-80%. Proving how easy it would be if SDS could be bothered.

Finally (these are just my major complaints though) on the 11th August SDS sent her an email and I quote "I have spoke to your Supervisor who has advised that if you pay the remaining balance owed to Max Recovery of £1,006.88 together with our remaining fees of £2,420.00, that your IVA will be concluded". I paid this but now they want more money, they are either liars or incompetents. They now actually want the money I obtained as debt reductions through my own efforts with the creditors.

This might all be legal but IMHO should not be. I think that it is amoral to take advantage of a woman drowning in debt with 4 young children to support and take this as an opportunity to make huge amounts of money (their service effectively added 44% to her debt in just over 2 years). I think there are more honourable people being locked up.

I'm sure that my wife is not alone with the company. So am posting here and here http://victim-of.blogspot.com/ so that others can be warned before they fall into SDSs rapacious grasp.

[ginger3232]

Gary - sounds complicated.

If you dont mind me saying why not go down the the internal complaints /FinanancialOmubusman route first, for the reason it may uncover more relevant information. If you then choose to down the legal route then you will have more information to use as part of your case.

It wont cost anything apart from time, however the moment you get a legal firm involved it will cost a few hundred quid a letter.

Regardless - hope all the debts sorted and hopefully put this to one side and move on quickly.

Unfortunately in all "trades" there are good and bad firms, its unfortunate that with debt, it usually involves people who are at a vunerable stage in life.

[gary_d_carnell]

Very complicated and incestious

Immediate Financial (House and Home Care Ltd) the company who put my wife in contact with Simple Debt Solutions, share the same registered office and Simple Debt Solutions. Simple Debt Solutions are part of the Leonard Curtis Group. Mr Maloney who SDS say is the insolvency practitioner for the IVA works for Leonard Curtis, although there website indicates he is a chartered accountant. Make what you like of this arrangement.

[kallis3]

Don't forget that there are several companies who have two arms - one is DMP and one IVA and I imagine they share the same registered office as well.

Mr Maloney is actually an IP - he is listed as such on the Insolvency Service website.

[Pandy]

gary, I hope you can sort this out , a lot of people pay for a while befoire anything is paid to creditors although 2 years does seem a long time, what does her proposal say regarding fees. It should set them out.

Also by approaching the creditors yourself and offering them money have you not breached your wife's IVA anyway because that is showing preferential treatment to some creditors as they will get more than others.

[gary_d_carnell]

Hi Kallis, I talked to an accountant friend last night and it appears that the Institute of Chartered Accountants as well as the Institute of Insolvency Practitioners as well as others can "licence" an insolvency practitioner. As for the multiple companies The company my wife approach (via money expert.com) was Immediate Financial, this company then put her in touch with Simple Debt Solutions who they share a registered address with (part of the Leonard Curtis Group). Most people would be made to believe these are separate companies. I can understand why SDS exists as a part of LC group. But only reasons for IF that I can see is so SDS can distance themselves from claims made by Immediate Financial such as "Write off up to 75% of your unsecured debt" or "It is a formal agreement between you and your creditors whereby you repay what you can afford, usually over 60 months, after which, the outstanding debt is written off.". Maybe another reason is that it would appear that one company is independently endorsing the other. Can you think of any other reasons why Immediate Financial would exist?

[gary_d_carnell]

Just down some more digging. MoneyExpert.com (One Star Financial Ltd) nothing to do with MoneySavingExpert.com, but I would suggest named to suggest it is a similar organisation, also shares an address with Immediate Financial and Simple Debt Solutions. I suppose you could say this is just clever marketing but for me it smacks more of deception.