Debt Management Plan

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  • Deep_In_Debt
    Deep_In_Debt Posts: 8,579 Forumite
    Photogenic First Post First Anniversary Mortgage-free Glee!
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    Agree with the 2 posters above, I've been with StepChange since 2008 and they do manage the debts. They will send him a pack with all the info he needs, along with template letters. All he has to do is give them a call when he wants to go ahead with it and they will do the rest and set it all up for him.

    He will need to send out the template letters with a token payment to his creditors whilst the dmp is being set up, but apart from the StepChange will do the rest.
    Debt 30k in 2008.:eek::o Cleared all my debt in 2013 and loving being debt free :)
    Mortgage free since 2014 :)
  • Freshstart2012
    Freshstart2012 Posts: 104 Forumite
    edited 7 December 2012 at 9:53PM
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    Hi Guys

    Could it be possible that the OP son does not have enough free cash to set up a DMP with StepChange and they want him to self administer. I'm sure that they have a minimum deposit of £100 per month and maybe that is why the private company may have said that it will take 40 years to repay, as they will accept a lower deposit. The free companies prefer a DMP not to last for to long, however with a private company it's the longer the better, more fees for them.

    I may be wrong however ;)
  • SuperSeagull
    SuperSeagull Posts: 197 Forumite
    First Anniversary First Post
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    When the paper work arrives from Step Change I will sit down with him and look at it, as they say 2 heads are better than 1
  • Heffi1
    Heffi1 Posts: 1,291 Forumite
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    Have a look at their website while you are waiting for the paperwork to come, it might answer a few questions for you.

    http://www.stepchange.org/
    :) Been here for a long time and don't often post
  • KirstyO
    KirstyO Posts: 287 Forumite
    Debt-free and Proud!
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    Freshstart2012 wrote: »
    Hi Guys

    Could it be possible that the OP son does not have enough free cash to set up a DMP with StepChange and they want him to self administer. I'm sure that they have a minimum deposit of £100 per month

    I thought stepchange minimum was £5 per creditor per month? I only pay £44 a month based on my SOA.
    Debt free on 2nd January 2015
    Next savings goals:
    £5k emergency fund
    £4k holiday of a lifetime fund
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