DMP Mutual Support Thread - Part 12

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  • Very well done for facing up to, and tackling, your debt problems. StepChange are incredibly helpful. Even though your credit will be compromised, it's a small price to pay for knowing that you're getting help.

    As someone else pointed out - sorting out the situation re your bank account is one of the first things to do.

    Good luck and keep us posted :T
    Debt-Free as of 12th September 2017

    £[STRIKE]12,000[/STRIKE] > £0

    :beer::j
  • Well I know this shouldn't be good news but I feel it is. step change dmp just starting and had 2 letters today accepting my payment plan and stopping interest and charges from now. I should have done this months ago instead of struggling on. Hope the rest continue .
  • Dandytf
    Dandytf Posts: 4,795
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    edited 13 September 2017 at 6:35PM
    Well I know this shouldn't be good news but I feel it is. step change dmp just starting and had 2 letters today accepting my payment plan and stopping interest and charges from now. I should have done this months ago instead of struggling on. Hope the rest continue .

    I had over 12-18 mths at least before I setup step change dmp since 2012.

    I would have probably avoided it with temp payment plans though step change dmp has been nothing short of amazing.

    Their helpful staff ammend my plan when my circustances change-though I’ve only made 1 what I call serious
    change earlier this year when my pay was reduced due to shift change-permanently.

    Hope your’s runs as planned though never fear contacting step change if required.
    Replenished CRA Reports.2015 Zoe i nav -67-131 miles top charge. Savings depleted. VM Stream tv M250 Volted to M350 then M500.
  • Hi all,

    Finally sent my application off to StepChange for processing.
    Can feel a massive weight off my shoulders already.
    I'll admit there were times I got scared about losing access to finance, and at times I tried to convince myself I could overcome this and get out the hole, but I've put my sensible hat on and realised enough is enough.
    It's been a constant borrowing stream for the last year and it ends now.

    Starting with positive strides I've opened a new bank account, and personally changed all my direct debit details with my priority debts.

    Next I need to tell my unsecured creditors that I'm entering into a DMP.
    I feel as if I'm cheating Halifax though, as I told them I was having difficulties repaying my personal loan so they upped my overdraft to cover last months payment, and gave me a repayment holiday for the payment due at the end of the month, which they'd use the money to reduce my overdraft back down. Long story short I can't afford to pay it, so that agreement will have to be broken. Luckily all my wages will be going into my new account.

    Starting to feel a little nervous about all the impending letters and phone calls I'll be getting, but I'll deal with them one step at a time.

    Sorry for this irrelevant information, just helps me to keep on track by writing it down!
  • It's a huge step making the jump isn't it. I'm only 3 weeks in but am sleeping!
    I didn't tell all of my creditors as Step change write but the ones I did were very nice.
    MBNA especially were great and I got a letter today that they've stopped all charges and interest.
    I wished I'd done it a year ago but I struggled on, paying one of against the other.
    I'm pleased in a perverse way that I won't be able to get credit. I filled the car up last night and paid with a debit card which was weird but my purse is a lot lighter!
  • Hi, hope someone can help!

    Totally confused with starting a DMP. I was looking at doing a self managed one but now am thinking of going through step change due to my confusion in it all.

    One thing that I am trying to figure out before starting anything though is that from reading these boards, some people talk about 'token payments' and '£1 payments' for 3 or so months so that they can get some savings behind them. Is this done before you start a dmp or is this something that you do afterwards? Is this something that step change arrange, or do you just pay it via standing order etc before you even talk to them?

    Its just finding out where and how to start. 3 months of £1 payments sounds too good to be true. Maybe i should ring stepchange, but i wanted to ask you guys first.

    Many Thanks
  • Hi all, I'm new here and just starting out on my journey.

    I have a quick question that I hope someone can answer.

    My husband and I have 3 joint current accounts with Nat West (all in credit). We have filled out the paperwork to remove my name from all 3 and I have opened a basic bank account with TSB. In time he will close 2 of them and just keep 1.


    My question is I have a NW loan and a NW CC. Once I have stopped the DD from one of our NW accounts can they reinstate the DD once the account is in his sole name? Also more worryingly can they take the full amount I owe them via 'setting off 'from his account as it was once joint and in credit?

    Thanks in advance.


    Hello,
    Yes, they 'could' go after money in other NatWest accounts.
    Halifax tried that with me, for a personal loan.
    Better off cutting all ties.


    Good luck.
    DMP launched 04/07/17 left to pay = £14,238.79 (£16,982.82 original debt.) Thanks to MSE & all you wonderful Forum Peeps!:T
  • Puzzcat
    Puzzcat Posts: 4,200 Forumite
    susieA wrote: »
    Hi, hope someone can help!

    Totally confused with starting a DMP. I was looking at doing a self managed one but now am thinking of going through step change due to my confusion in it all.

    One thing that I am trying to figure out before starting anything though is that from reading these boards, some people talk about 'token payments' and '£1 payments' for 3 or so months so that they can get some savings behind them. Is this done before you start a dmp or is this something that you do afterwards? Is this something that step change arrange, or do you just pay it via standing order etc before you even talk to them?

    Its just finding out where and how to start. 3 months of £1 payments sounds too good to be true. Maybe i should ring stepchange, but i wanted to ask you guys first.

    Many Thanks

    Hi,

    No this is something that you will have to do yourself prior to starting a dmp with stepchange. The way I did it was to do the SC online step remedy and obtain a sc reference that you can then quote on your paperwork. I informed sc when I wanted to start and didn't send my paperwork back until I was ready. I wrote to each creditor advising I was in financial difficulty and offered a £1 token payment for 3 months whilst I set up my dmp. I had very little hassle and all my creditors accepted this and then my dmp from sc kicked in.

    The purpose of the token payments is to allow you to save for an emergency fund as you will have no access to credit going forwards, it also helps to get the accounts defaulted quickly which means they fall off your credit report 6 years from default date rather than ap/ar markers which remain on your file for 6 years from when the debt is settled.

    Hope that makes sense!

    Good Luck..
    Puzz. x
    Christmas 2020 £109
    I love my dmp started in Nov 13 with SC. Self Managed 2016 57% done
    £60062/25384.84 - 13222.60k UE

    MY DIARY
    http://forums.moneysavingexpert.com/showthread.php?t=4768685
  • sourcrates
    sourcrates Posts: 28,711
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    Ambassador
    susieA wrote: »
    Hi, hope someone can help!

    Totally confused with starting a DMP. I was looking at doing a self managed one but now am thinking of going through step change due to my confusion in it all.

    One thing that I am trying to figure out before starting anything though is that from reading these boards, some people talk about 'token payments' and '£1 payments' for 3 or so months so that they can get some savings behind them. Is this done before you start a dmp or is this something that you do afterwards? Is this something that step change arrange, or do you just pay it via standing order etc before you even talk to them?

    Its just finding out where and how to start. 3 months of £1 payments sounds too good to be true. Maybe i should ring stepchange, but i wanted to ask you guys first.

    Many Thanks

    Hi,

    People do it in different ways but the gist of it is to save up an emergency fund before you start a DMP.

    This is incase unforeseen expences crop up, which usually do.

    So a few months of non payment or just paying £1 a month to each creditor is how folk achieve this.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • Thank you for your responses. So just to break it down...

    Go through stepchange helpline to get a reference number

    Write to debtors and say I'm setting up a dmp with stepchange this is the reference number with them and I'm going to pay £1 until it's been set up

    Wait a month

    Ring stepchange and say I wish to go through with the dmp

    Wait a month then send back the paperwork that I'm assuming they send me

    Then start the dmp and hopefully have everyone agree.

    Is that kinda the process?

    Thanks again guys, really appreciate it
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