DMP & Mutual Support Thread - Part 9

Madgirl · 12 February 2013 at 10:04PM

Hiya

I've had confirmation that my DMP has been set up and my first payment is due 1st March (although due to new bank account not able to be set up yet, I need to find a way to pay other than direct debit).

I've received my first creditor letter, from MBNA confirming that they accept the SC payment plan and will freeze interest for the duration of the plan. However they have said that the first payment was due 27th January and I need to make a payment to maintain the plan - am I best to send a token payment for the time being until the DMP payment is made, with a letter explaining?

Also, I have received default noticve letters from other creditors but nothing confirming that SC have been in touch. Do I just leave these for the time being as they will hear from SC regarding the DMP?

Does anyone have a template spreadsheet that I can use? I am a bit of an Excel geek, but would like to see what others use....no point in reinventing the wheel so to speak!

Hope everyone is doing ok.

Madgirl x

bertman · 12 February 2013 at 10:37PM

Here's a question for DMP's out there. Has anyone done anything on the new green deal initiative? Our boiler is on borrowed time and will need replacing soon, we don't have the cash for a new one and this deal seems to offer a way of getting it replaced but paying through your electricity bill - apparently the savings fund the new boiler.
I have read through Martin Lewis' write up and it seems pretty clear, the only issue I think we may have is that our credit rating is non-existant now as we have been defaulted by most of the companies we owe to now.
Any thoughts would be welcome....

bertman · 12 February 2013 at 10:43PM

Madgirl wrote: »

Hiya

I've had confirmation that my DMP has been set up and my first payment is due 1st March (although due to new bank account not able to be set up yet, I need to find a way to pay other than direct debit).

I've received my first creditor letter, from MBNA confirming that they accept the SC payment plan and will freeze interest for the duration of the plan. However they have said that the first payment was due 27th January and I need to make a payment to maintain the plan - am I best to send a token payment for the time being until the DMP payment is made, with a letter explaining?

Also, I have received default noticve letters from other creditors but nothing confirming that SC have been in touch. Do I just leave these for the time being as they will hear from SC regarding the DMP?

Does anyone have a template spreadsheet that I can use? I am a bit of an Excel geek, but would like to see what others use....no point in reinventing the wheel so to speak!

Hope everyone is doing ok.

Madgirl x

Hi,

MBNA were the first of our creditors to get back to us and accept the DMP. Some of the others did, some didn't. Its strange that some accept the payment plan, freeze interest on statements but never acknowledge that you are on a DMP.

I use a basic excel sheet that adds up all the debts along with seperate DD's for things like gas, electricity etc. I also like having another tab with a graph showing how the debts are falling - it makes me feel better to look at it.

Some other guys will have super duper sheets with VLOOKUP etc, but that's another topic.

Good luck!

Madgirl · 12 February 2013 at 10:48PM

Hiya

Thank you, still learning!

I'll keep an eye out on what the other creditors say and make token payments where required to keep up good relations until the first payment is made. Do you think thats the best idea?

I've put together a spreadsheet but the graph sounds like a good idea - very inspiring!

Madgirl x

ImJustAPoorBoy · 13 February 2013 at 12:25AM

Hi guys.

I've just sent back the forms to start a DMP with StepChange.

Although I've only just started to read through these forums, it's been great to hear other peoples experiences going through this.

I'm looking forward yet nervous to starting this process. Looking forward to being able to properly budget for things like maintaining the car, food, clothes etc, without having to just try to get by, on whats left after paying off the debts (if anything at all).

However I am worried about getting calls/letter from debt collectors etc. I have up until this point managed to keep up with at least the minimum repayment amounts on all of my debts. If I'm advising the companies that I am in difficulty and providing them with my budget etc through the DMP, will the companies still aggressively pursue me for my debts, or will they likely be easier to deal with provided they receive what has been deemed affordable to me?

Thanks

Time_to_face_the_music · 13 February 2013 at 11:29AM

Julie67 wrote: »

We've also made another decision that may seem crazy to some but I've decided not to return to teaching. The reason I left was due to stress related illness (I was a senior manager in education) I thought that I could return to teaching but I can feel my health deteriorating and the stress levels returning. My dh is a wonderful man and after a long chat we have decided that I would be better doing something else. It's not that I don't want to work I really do, it will help us get debt free so much more quickly but not at the expense of my health and the affect that has on our family life.
So we have decided that working from home would be best for me for now. I have some ideas which I'm going to look at this week (tutoring on line is one possibility) anyway feel much happier for having made this decision together. It may mean a longer time to our debt free date but at least I will be sane, kind of:o

I don't think it is crazy at all. Your health has got to be the most important thing.

My OH would do anything to escape from teaching but he has no idea what he could do instead

Time_to_face_the_music · 13 February 2013 at 11:36AM

ImJustAPoorBoy wrote: »

Hi guys.

I've just sent back the forms to start a DMP with StepChange.

Although I've only just started to read through these forums, it's been great to hear other peoples experiences going through this.

I'm looking forward yet nervous to starting this process. Looking forward to being able to properly budget for things like maintaining the car, food, clothes etc, without having to just try to get by, on whats left after paying off the debts (if anything at all).

However I am worried about getting calls/letter from debt collectors etc. I have up until this point managed to keep up with at least the minimum repayment amounts on all of my debts. If I'm advising the companies that I am in difficulty and providing them with my budget etc through the DMP, will the companies still aggressively pursue me for my debts, or will they likely be easier to deal with provided they receive what has been deemed affordable to me?

Thanks

Hi ImJustAPoorBoy and welcome :hello:

Having the budget to actually live instead of borrowing from Peter to pay Paul every month definitely makes life a lot easier. It took me a few months to get used to the idea of actually having money in the bank at the end of each month!

There can be quite a lot of letters and calls at the start of a DMP but they do quickly die down once the creditors realise they are getting paid. I think it took us about 6 weeks and then it all went quiet and all we usually get now are monthly statements.

Good luck and please stick around and let us know how you are getting on. Anything you need to know, just ask, someone usually knows the answer

cocoloco · 13 February 2013 at 4:51PM

On the way of DMP...

I try to be pro-active and complete letters to creditors (not posting it yet) with token payments before my meeting with Payplan on Monday.

I felt that I was strong enough (at last) only to have a cry in work for an hour yesterday after somebody talked to me off hand (they were under stress) looking like a complete numpty:o

I'm not looking forward the Current Account switching at all- I'm getting paid monthly so my pay won't be paid into the new account until March so I hope to set up my DMP starting in April. I opened a Natwest account on Monday on-line but i guess it will take a few days for the paperwork to get sorted.
My plan is to pay my Mortgage DD and my 2 loan DD (one with current bank)and some utility DD on the 1st of March as normal then do sweep and take anything left and close all DD and SO and close the account. My OH gets paid weekly and he can change his bank details with minimal notice. Is this plan make any sense? I hope we be able to build up a little nest egg this way- my 13 years old car getting MOTed on 25/02/13 + road tax due by 31/02/13 and makes me really worried about repair costs.

I keep reading the previous threads to give me courrage and find the advise priceless. I'm so greatfull that there are other people other there who can share their tale of DMP and advice.

PS- funnily enough my OH received an in-house MBNA form saying that he may have been missold PPI and to fill out a form if he wishes to make a compliant about it. I checked the form, its legit and we have nothing to loose by completing it even that I can't remember having PPI (not anymore anyway). I think I read on this forum that we can still receive PPI refund on this account even if default and go on DMP? Is it right or was i just dreaming (somethimes I read the forum at the middle of the night if I can't sleep from the worry). Any advice would be greatly welcome.

RonniesMummy · 13 February 2013 at 5:36PM

cocoloco wrote: »

On the way of DMP...

I try to be pro-active and complete letters to creditors (not posting it yet) with token payments before my meeting with Payplan on Monday.

I felt that I was strong enough (at last) only to have a cry in work for an hour yesterday after somebody talked to me off hand (they were under stress) looking like a complete numpty:o

I'm not looking forward the Current Account switching at all- I'm getting paid monthly so my pay won't be paid into the new account until March so I hope to set up my DMP starting in April. I opened a Natwest account on Monday on-line but i guess it will take a few days for the paperwork to get sorted.
My plan is to pay my Mortgage DD and my 2 loan DD (one with current bank)and some utility DD on the 1st of March as normal then do sweep and take anything left and close all DD and SO and close the account. My OH gets paid weekly and he can change his bank details with minimal notice. Is this plan make any sense? I hope we be able to build up a little nest egg this way- my 13 years old car getting MOTed on 25/02/13 + road tax due by 31/02/13 and makes me really worried about repair costs.

I keep reading the previous threads to give me courrage and find the advise priceless. I'm so greatfull that there are other people other there who can share their tale of DMP and advice.

PS- funnily enough my OH received an in-house MBNA form saying that he may have been missold PPI and to fill out a form if he wishes to make a compliant about it. I checked the form, its legit and we have nothing to loose by completing it even that I can't remember having PPI (not anymore anyway). I think I read on this forum that we can still receive PPI refund on this account even if default and go on DMP? Is it right or was i just dreaming (somethimes I read the forum at the middle of the night if I can't sleep from the worry). Any advice would be greatly welcome.

I had a cry in work the other week, so your not alone! I felt like an idiot and now everyone keeps going 'Are you okay, are you sure?' all the time!! Very annoying!!

With regards to the PPI i believe you can claim it back even if it is in default and on a DMP.

I am currently waiting for the 25th of the month so I can see my debts begin to decrease!

x

Ellieseleven · 13 February 2013 at 6:53PM

Just wanted to drop by and say Hi to all the newbies on here... well done to you all for finding the courage to face your problems and good luck with your DMP's

I'm sure that we've all shed some tears along the way (and will continue to do so) - I always try to look at the positives in my situation. We're into our 3rd year of a DMP and have been able to cut our DFD by several years along the way. Life is much more pleasant than it was pre-DMP and although we don't have a lot of money we enjoy life and are able to sleep (I was a regular night owl, constantly worrying how we would make ends meet).

Most of our creditors have frozen interest and I look forward to seeing our debt come down a little each month. I have spreadsheets for everything and enjoy going through "what if" scenario's

My OH is a constant thorn in my side as he just doesn't "get" the whole cutting back side of things but I just carry on regardless and have paid back approx. 13k+ over the last couple of years.

The phone calls drove me mad at first but they do die down and I felt so guilty at paying a reduced sum (I had never missed any payments). I felt loyal to my bank of 20+years (they still apply interest!)

For us a DMP has been the best thing that we could have done. We can't get credit but we don't want it. I need a decent car for work as I travel a lot but so far I have managed to pay for servicing and repairs out of our emergency fund.

We have a brighter future to look forward to and for the first time in years I can see a debt free future

This forum and the advice and friendship from it has always been and continues to be my lifeline. It motivates me, allows me to let off steam when I need to, gives me advice, helps me to see that I'm not alone etc. etc.

For all of those of you that are just starting out, hang in there! It does get better and better and that DFD starts to become clearer the further along the journey that you travel:)

Take care all
Ellie xx

DMP & Mutual Support Thread - Part 9

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