DMP & Mutual Support Thread - Part 10

Hi ploppy,
Yes you can pay online if you still have access to the accounts. I just sent cheques from my new account t but I guess you don't have one of them yet! Or postal orders but they charge I believe.
The beginning is like limbo land but it will settle. The creditors will give sc the up to date figures so don't worry about that!
And yes hang on to your overtime, sc do not recommend using this as it isn't guaranteed income each month.
I also kept a notebook and wrote down everything so it was all in one place.
Now go and relax!
Puzz.x

moneyworrier89 wrote: »

Hi Sazzie,

I am so sorry if I sound silly I am just so worried.

Don't apologise, you are definitely not silly and try not to worry.

Exactly 6 months ago I was about to set out on my DMP journey with SC. I was anxious beyond belief. I thought the bailiffs would come knocking, I thought debt collectors would come round and demand that I hand over cash (didn't have any to hand over). Then, I found this board and all of the lovely people on here gave me SO much support and advice. I had so many questions and each one was answered sympathetically with a bit of humour.

In the beginning I had a few calls from the catalogue company, they were a bit grouchy so I simply changed my phone number. As easy as that.

All of my creditors froze interest (even BC :eek:) and I've paid off £3K.

For the first time in decades I am in the black at the end of the month and I sleep soundly at night with hardly any money worries.

Ask away if you have any more questions - this is the nicest board on the forum

January2015 wrote: »

Is it wrong to be thinking about going up to our overdraft limit before stopping using our original current account. I was thinking of taking some of the 'overdraft' and putting it aside towards our emergency fund....does make me feel somewhat guilty though but I have put on StepChange info the full limit of the overdraft for that debt:o

Sounds like a great idea to me, get it sorted ASAP

For all the new DMPers who are currently in full panic mode, please don't forget that the start of a DMP is a real emotional rollercoaster and the first few weeks can be tough.

Prepare yourself that your debt can go up a little at first. It's hard to accept but it all generally settles down after this.

Have a script ready for unwanted phone calls, "Hello I am in a DMP with ******, they are authorised to represent me, my reference number is XXXXXXXX". If you feel like you can't even face this, put the answering machine on or unplug the phone or turn the sound off.

There is no question that is too daft to ask. If there is, I probably asked it more than once!

This time 3 years ago, I was exactly where you are now. Within 8 weeks I was on my way and never looked back and it's all down to the support of this thread. This thread is here to help, advise and support you.

I did it, you can do it. We will hold your hand all the way.

TTFTM x

January2015 wrote: »

Thank you TTFM for those inspirational words

I am having my first real wobble tonight now I've got the pack. Strange as I have been so impatient for it to arrive. I am panicking that I haven't built up an emergency fund and am thinking I won't send the activate pack email off until I'm sure the salaries go into the new account and until I've accumulated just a bit more emergency fund.

If I send off the activate DMP email this weekend how long will it be before they collect the first direct debit...just wondering if I have any time to put any funds aside before that happens, because life will be quite tight after that.

It is up to you, if you want the dmp to start in March rather than Feb then let sc know. You will need to send token payments £1 is fine to all creditors in the interim. An emergency fund is a necessity.
Puzz.x

Morning all

Newbie message

I know there is a lot of activity on the thread at the moment, many newbies who are posting, and quite a few lurkers at a guess (that's ok, we don't mind, one day you'll feel up to posting and smile about how worried you were).

I agree with what's been posted already busy the regulars, and I think all the queries have been answered.

So general Newbie Advice,:D setting up and starting out is probably to most difficult time you will face in your DMP, so don't panic if it all seems scary and too much :eek:. Facing up to the fact you can no longer pay your debts is a massive step and very confronting for many people, this is life changing stuff so worrying is absolutely normal. :sad:

Now you've done the horrid thing of adding it all up (often a shock) you've worked out (with SC or whoever) how much you can pay back, that's the crucial bit done, just a matter of getting the paperwork sorted.

Despite SC being the largest debt charity, some call centre people know nothing about them, that's ok, they are just ignorant, don't let it worry you.
All debt collection sections know about SC, some are better equipped to deal with it than others. Often the people at the front end that you speak to know nothing about how the system works, remember you do, you are better equipped than them, don't let them scare you.

It doesn't matter if you choose to DIY DMP or SC, the plan is the same, you are paying them what you can afford and they can't have anything else. They 'reject' the plan, tough luck, keep paying it just the same, they'll get with the programme at some point.

Some creditors will let you know they have accepted, some will just accept it and show something on the statement, some will not say anything but just stop or reduce your interest, HBOS and BC will probably still charge you interest in some form, don't panic over it, it extends your DFD but there are things you can do, start on page 1 of the thread when you have a spare few hours and then decide what to do.

Overtime and non regular bonus payments, no you don't have to declare these, and you can choose to save them to your emergency fund, make some extra repayments to reduce your DFD, save up for F&f payments when you get enough, or even....shhhh ...spend them on a little treat but don't tell anyone. Most people go for a combination of the above, all depends on your priorities.

When you start out and your DFD is generally 4-10 years away, you think, I want to pay as much as I can straight away so the creditors think I'm doing my best. Actually I don't think they care much, as long as you keep in touch and keep paying what you agree - so don't cut your budget so fine that you are having 4 years of hell instead of 6 years in moderate comfort. I'm not saying do your shopping at M&S, and have 4 holidays a year, but just leave yourself the option of buying a cake at birthday time, a new pair of shoes for DD and maybe a very cheap caravan break once a year.

Default letters are good, they look scary :eek: but they mean the creditor is actually looking at what you pay and putting your account into limbo. If your account goes to a DcA this is usually good and they are mainly not the scary people you see on the Tv, :cool: they have all been very reasonable, and just want you to keep in touch and keep paying.

There will be wobble times,:( if you have to reduce a payment, when a creditor starts grumbling :mad: or just because DFD seems a long way off, but we've all done it, you come here log on and we'll all get throu it together.

If you are having trouble with creditors, :mad:eg Lloyds troubles BDF, when they shift to a DcA I'd continue to pay, the payments seem to get to where they should eventually, but if you are worried, send a recorded delivery letter to the collections team at the creditor, quoting your account number and SC ref and saying this is what is happening, these are the payments that have been made, please make your sure your accounts are up to date and let ask them to reply to you in writing so you have confirmation. It does take several months for an account to get over from creditor to DcA and often the information is limited but it's just like the original set up and the DcA will let you know to change the payments in SC, and you can just log in and do it.

I hope this helps, there are lots of scenarios I haven't covered, but in the main it's grit your teeth, keep plodding through and it will all settle down.

One day soon, you will be able to say like Ellie I will be debt free next year :j:j