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  • FIRST POST
    • fermi
    • By fermi 10th Jul 15, 6:32 AM
    • 39,159Posts
    • 46,984Thanks
    fermi
    DMP & Mutual Support Thread - Part 11
    • #1
    • 10th Jul 15, 6:32 AM
    DMP & Mutual Support Thread - Part 11 10th Jul 15 at 6:32 AM
    Welcome to the DMP mutual support thread.

    Here you can find help in starting and running your DMP, self managed, Stepchange, Payplan and any other DMP all welcome here. There is help on getting interest and charges stopped, how to start with an emergency fund, defaults, token payments and lots more.

    If you are in a DMP or thinking of one, this is the place to be. We are a non judgemental and all questions welcome.
    Originally posted by Sazzie23
    Once again the old thread was getting a bit large, so here is a fresh thread.

    The previous thread can be found here: Click ---> DMP & Mutual Support Thread - Part 10

    Or click here for the last page of posts on the old thread. ---> Last Page

    Sazzie23's fantastic post of the month winning post from the previous thread is repeated below.

    Best wishes with the DMPs everyone.
    Last edited by fermi; 12-07-2015 at 8:50 AM.
    I'm a Board Guide on the Debt-Free Wannabe, Bankruptcy, Credit Cards and Loans boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com. Board guides are not moderators. If you spot an inappropriate or illegal post then please report it to forumteam@moneysavingexpert.com

    Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB

    IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed
Page 245
    • January2015
    • By January2015 9th Mar 17, 6:44 PM
    • 1,489 Posts
    • 4,267 Thanks
    January2015
    Evening all

    So I have come home today to various letters from my creditors requesting that I respond to them with income and expenditure. They have enclosed documents to do this.

    But confused as step change have sent this to them ... Contacted... And I have first payment going to them in April that is then being distributed. Do I just ignore these letters?
    Originally posted by S1Ebbz
    I would ignore them. File them away, but ignore them.

    If you feel unconfortable ignoring them (some people do, and that is understandable), just post a letter saying Stepchange are dealing with your affairs and they should receive requested information via SC shortly.

    Things like this are annoying little glitches in the DMP journey but they are nothing to worry about.
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k DMP now 26.58% paid. That means our debt is in the £60k's
    £1k emergency fund (member #84) £1,138/£1k
    Xmas 2017 £1 p/day challenge No. 20 - £357/£730
    Make £10 p/day Feb £74.31, Mar £664.37
    • motivated
    • By motivated 9th Mar 17, 6:46 PM
    • 445 Posts
    • 853 Thanks
    motivated
    Evening all

    So I have come home today to various letters from my creditors requesting that I respond to them with income and expenditure. They have enclosed documents to do this.

    But confused as step change have sent this to them ... Contacted... And I have first payment going to them in April that is then being distributed. Do I just ignore these letters?
    Originally posted by S1Ebbz
    Hi S1Ebbz

    I had a letter the other day from BC which said exactly the same. I had already contacted them through the secure messaging service to explain our situation so I ignored it and filed it along with the other documents I have.

    I am leaving all of mine to SC.
    M
    I have arrived in DMP Land and I like it. I may stay a while
    April 2017 £82,500 - DFD July 2024
    • sourcrates
    • By sourcrates 9th Mar 17, 7:31 PM
    • 9,867 Posts
    • 9,648 Thanks
    sourcrates
    Evening all

    So I have come home today to various letters from my creditors requesting that I respond to them with income and expenditure. They have enclosed documents to do this.

    But confused as step change have sent this to them ... Contacted... And I have first payment going to them in April that is then being distributed. Do I just ignore these letters?
    Originally posted by S1Ebbz
    Most likley to be computer generated, so won't take your circumstances into account.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    • heavenlyharry01
    • By heavenlyharry01 9th Mar 17, 9:16 PM
    • 54 Posts
    • 84 Thanks
    heavenlyharry01
    Evening all,

    Well I'm still on the complaint mission, so just an update... Vanquis said no, they don't agree, no they won't default me and yes I can take it to the fca - so off I go! Today's post bought much more exciting news though, the Co-Op have found in my favour and should've registered a default in 2014, (I had missed payments before my DMP as they were the highest payment and I couldn't afford) because of this they are not going to register a default at all, they are also writing off the £1800 balance I owe them and they apologies for any inconvenience! Woo hoo! Fingers crossed for more post like this!

    Hope you're all well xx
    Originally posted by MrsSammyB

    That's awesome news! Well done.
    I missed what your complaints are regarding though, is it the time they have taken to default you?
    • heavenlyharry01
    • By heavenlyharry01 9th Mar 17, 9:23 PM
    • 54 Posts
    • 84 Thanks
    heavenlyharry01
    Creation seem to be my pain in the butt! They have sent another letter today which has again ignored my letter saying we wont be giving them our payslips, and ignoring my offer of £1 payment.
    Its really patronising, "I don't think you understand the seriousness of the situation and "I am sure this debt is causing you considerable worry"
    I think my plan of action with them, is to again send our budget sheet, and offer of payment, and also include the letter saying I will not be sending payslips. And maybe even photocopy their letters they have sent. Unless anyone has better advice?


    Barclays have written, stating they will accept our £1 monthly payment.


    Argos have written confirming they have terminated the account and will be registering a default.


    Need to get some time to draw up the letters and file the paperwork
    • k_a_t_h_r_y_n
    • By k_a_t_h_r_y_n 9th Mar 17, 11:04 PM
    • 1 Posts
    • 0 Thanks
    k_a_t_h_r_y_n
    Help please
    Hi

    Myself and my husband are 3 years into a dmp, original debt was £40,000, we now owe just shy of £25,000. Unfortunately we have had to lower our repayments as my income dropped by 2/3.

    We have approximately £50,000/£60,000 of equity in our house and I was wondering if there was a way of freeing up some of this equity to pay off the debt. We are currently on a really good mortgage and we don't want to lose the rate in an ideal world.

    Is there a way we could have a second mortgage for just the £25,000?

    Our existing mortgage company won't do it, I've already asked the question.

    In my little everything will be okay dreamworld I was hoping to be able to combine both the mortgages when our credit. Score has recovered (6 years as opposed to the current 12 years on dmp)

    I hope this makes sense.
    • Keezing
    • By Keezing 10th Mar 17, 12:13 AM
    • 156 Posts
    • 110 Thanks
    Keezing
    Hi

    Myself and my husband are 3 years into a dmp, original debt was £40,000, we now owe just shy of £25,000. Unfortunately we have had to lower our repayments as my income dropped by 2/3.

    We have approximately £50,000/£60,000 of equity in our house and I was wondering if there was a way of freeing up some of this equity to pay off the debt. We are currently on a really good mortgage and we don't want to lose the rate in an ideal world.

    Is there a way we could have a second mortgage for just the £25,000?

    Our existing mortgage company won't do it, I've already asked the question.

    In my little everything will be okay dreamworld I was hoping to be able to combine both the mortgages when our credit. Score has recovered (6 years as opposed to the current 12 years on dmp)

    I hope this makes sense.
    Originally posted by k_a_t_h_r_y_n
    Hi Kathryn,

    The only recommended way to release equity from an asset is to sell it.

    Your credit file will make it very difficult to remortgage or to take out a secured loan, and neither are advisable as they increase your debt and put your home at risk.

    Keezing
    • Sazzie23
    • By Sazzie23 10th Mar 17, 9:56 AM
    • 2,572 Posts
    • 10,425 Thanks
    Sazzie23
    Hi

    Myself and my husband are 3 years into a dmp, original debt was £40,000, we now owe just shy of £25,000. Unfortunately we have had to lower our repayments as my income dropped by 2/3.

    We have approximately £50,000/£60,000 of equity in our house and I was wondering if there was a way of freeing up some of this equity to pay off the debt. We are currently on a really good mortgage and we don't want to lose the rate in an ideal world.

    Is there a way we could have a second mortgage for just the £25,000?

    Our existing mortgage company won't do it, I've already asked the question.

    In my little everything will be okay dreamworld I was hoping to be able to combine both the mortgages when our credit. Score has recovered (6 years as opposed to the current 12 years on dmp)

    I hope this makes sense.
    Originally posted by k_a_t_h_r_y_n

    Hi, welcome to the DMP thread, I see you've made great progress already. While I think I understand why you'd like to put this currently unsecured debt into a mortgage, I don't honestly think it's such a great idea.

    For a start, if something else went wrong and your mortgage repayment was threatened, your house would be at even greater risk. Secondly, you'd be paying interest on the debt (if you are still paying interest, let us know what/who/how and we'll try to help with strategies to get the interest cut).
    Thirdly, I think you'll struggle to get anyone to go for it on a prime and sub-prime is really dodgy with massive charges just to apply and dubious variable interest rates.

    So my advice would be stick to the DMP for now, reclaiming any bank charges/PPI or other monies you can reclaim and hang on in there.

    Hope that doesn't burst your dream bubble to forcefully and just enlightens you to a different view

    Saz
    Debt -it's a fight that I'm winning, dealing with debt one day at a time.
    Estimated DFD August 2018 - 2031 - now 2027

    Guide dog Tess, missing Scotland 2 years

    DMP support no438.
    • carbootcrazy
    • By carbootcrazy 10th Mar 17, 12:52 PM
    • 3,409 Posts
    • 19,387 Thanks
    carbootcrazy
    Thanks for the quick response. Generally speaking is there any bank that are ok with people going on DMP? I currently bank with Natwest so unable to choose Natwest/RBS if memory serves me right so am considering Barclasys/Co-op.
    Originally posted by Bowkers
    Sorry I haven't been around for ages. Impossible internet and phone connection for months. I know we live in a rural area but it had got ridiculous. Shiny new service provider now smoothly up and running and I feel part of the world again

    Just a quick reply to you, Bowkers (although a lot of time has elapsed since your post and you'll no doubt have found another bank by now). I opened a basic account with Nationwide, all done online remarkably quickly. Certainly no question about DMP or debt. They are a very well thought of bank/building society, lots of us on here use them.

    Good luck
    Make £10 A Day Challenge 2017. Jan-Feb: £504.21. Mar: £410.81
    3-6 Months Emergency Fund Challenge #12: £1000.00/£3000. This is such hard going but I will do it.

    Original Debt: £56804 (@ LBM 02/13). Paid : £31170. Balance: £25634
    • carbootcrazy
    • By carbootcrazy 10th Mar 17, 1:05 PM
    • 3,409 Posts
    • 19,387 Thanks
    carbootcrazy
    I am seriously considering applying for a DMP but have a few concerns. My debts are secret and only one very close friend knows about my struggles, I do not want my family finding out.
    I have filled out all the stepchange details on their website and they have given me a plan, but I have not applied for their DMP pack yet.

    Will me entering a DMP affect my family members ie blood relatives(who I live with) chances of getting a mortgage?
    How likely is it I'll get contacted by debt collectors?
    I really need to try to do this without my family finding out, is this possible?
    Originally posted by henrryyyy
    Sorry, henrrryyyy, had horrendous internet connection issues so haven't been on here much recently. I would have responded to your worries straightaway if I'd seen them before

    Firstly, please don't lose any sleep about anyone else knowing about your debts etc. Not a single person knows anything about mine (apart from people I owe money to and the lovely folk on here). Even my OH doesn't have the faintest suspicion. Just so long as they are your debts and not joint in any way you'll be fine. No one else at your address will know a thing about them (unless they open your letters or have access to your email account).


    You will also find once your DMP is up and running that the horrible avalanche of phone calls from creditors will stop. My worry initially was that OH would answer the landline phone to one of these people but luckily he never did.


    Please don't worry about debt collectors. Those TV programmes where bailiffs come round to seize goods are a very far cry from most of our situations. It is usually when the debtor has failed to comply after court action has been taken. I doubt anyone will knock on your door asking for money.


    I see that sourcrates has given you some reassurance . He always give very wise advice

    Good luck
    Last edited by carbootcrazy; 10-03-2017 at 1:11 PM.
    Make £10 A Day Challenge 2017. Jan-Feb: £504.21. Mar: £410.81
    3-6 Months Emergency Fund Challenge #12: £1000.00/£3000. This is such hard going but I will do it.

    Original Debt: £56804 (@ LBM 02/13). Paid : £31170. Balance: £25634
    • Talia74
    • By Talia74 10th Mar 17, 1:52 PM
    • 3 Posts
    • 2 Thanks
    Talia74
    Hello Everyone, We are going to start a DMP with SC, Following the excellent advice on here we will be starting it in July to give us time to build up an emergency fund and also to cover ourselves until we have changed to a basic bank account and sorted our direct debits out,

    What we would like to know if someone would be kind enough to help is, we have 2 credit cards with Barclaycard and my husband banks with Barclays, we are already 2 months in arrears with both cards, now stepchange has suggested we make a token payment to them each month until we start the DMP, which is not a problem but our fear is that if we do this it will flag up and they will cotton on and try to grab any money in the bank account, as we know they have the right to offset,

    Ideally we would look at making a token payment no later than the end of this month (when our new bank account should all be sorted) but stepchange say we should send a token payment asap? what would everyone advise on this please?
    • sourcrates
    • By sourcrates 10th Mar 17, 2:41 PM
    • 9,867 Posts
    • 9,648 Thanks
    sourcrates
    Hello Everyone, We are going to start a DMP with SC, Following the excellent advice on here we will be starting it in July to give us time to build up an emergency fund and also to cover ourselves until we have changed to a basic bank account and sorted our direct debits out,

    What we would like to know if someone would be kind enough to help is, we have 2 credit cards with Barclaycard and my husband banks with Barclays, we are already 2 months in arrears with both cards, now stepchange has suggested we make a token payment to them each month until we start the DMP, which is not a problem but our fear is that if we do this it will flag up and they will cotton on and try to grab any money in the bank account, as we know they have the right to offset,

    Ideally we would look at making a token payment no later than the end of this month (when our new bank account should all be sorted) but stepchange say we should send a token payment asap? what would everyone advise on this please?
    Originally posted by Talia74
    Really, i wouldn't bother with token payments, your going to default anyway, why delay the inevitable ?

    Banks have processes to run through, its unlikely they will be on the ball that quickly to be honest.
    Anywere else you can hide the money till the new accounts opened ?
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    • Talia74
    • By Talia74 10th Mar 17, 4:21 PM
    • 3 Posts
    • 2 Thanks
    Talia74
    Thank you for your reply
    I assume from reading posts on here that defaults are what we want to happen? but I also thought that the token payments were just a way of staying in 'contact' although my first thought was to NOT pay anyone anything (11 creditors - just over £50K in total ) until a new bank account is up and running!

    Sorry if any of my questions seem a bit silly, its just that we are brand new to this, although very happy to have our heads out of the sand, finally!
    • sourcrates
    • By sourcrates 10th Mar 17, 4:32 PM
    • 9,867 Posts
    • 9,648 Thanks
    sourcrates
    Thank you for your reply
    I assume from reading posts on here that defaults are what we want to happen? but I also thought that the token payments were just a way of staying in 'contact' although my first thought was to NOT pay anyone anything (11 creditors - just over £50K in total ) until a new bank account is up and running!

    Sorry if any of my questions seem a bit silly, its just that we are brand new to this, although very happy to have our heads out of the sand, finally!
    Originally posted by Talia74
    Dont worry, its perfectly understandable that you have questions.

    Ideally you want defaults as soon as possible, only way to achieve that is either to pay nothing for a few months, or pay considerably less than the contracted payment would be.

    Myself, i would simply write to each creditor, inform them your seeking help from stepchange, and a DMP will be the most likely result of this, tell them your taking some time to assess your situation, and you anticipate payments will begin in July.

    Stress the fact you will keep them informed of any changes to this.

    Thats it, job done.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    • Talia74
    • By Talia74 10th Mar 17, 4:48 PM
    • 3 Posts
    • 2 Thanks
    Talia74
    Thank you so much, your advice sounds like a good plan, will make a start on those letters!, should we quote our stepchange ref. number in the letters at this stage?
    So pleased we have finally made steps to get out of this mess, I know its going to be a long haul (9years if they all freeze interest/charges) but the relief even after 2 hours on the phone to stepchange is immense
    • sourcrates
    • By sourcrates 10th Mar 17, 5:13 PM
    • 9,867 Posts
    • 9,648 Thanks
    sourcrates
    Thank you so much, your advice sounds like a good plan, will make a start on those letters!, should we quote our stepchange ref. number in the letters at this stage?
    So pleased we have finally made steps to get out of this mess, I know its going to be a long haul (9years if they all freeze interest/charges) but the relief even after 2 hours on the phone to stepchange is immense
    Originally posted by Talia74
    Yes quote the SC ref number by all means.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    • motivated
    • By motivated 11th Mar 17, 9:06 AM
    • 445 Posts
    • 853 Thanks
    motivated
    Hi all

    Please forgive me if this is a really stupid question

    I have logged onto my DMP and it says Annual review date 2018 and my estimated DFD April 0008 I cant work out when this is as I was told I was looking at approx. 7 years

    Am I just being thick
    M
    I have arrived in DMP Land and I like it. I may stay a while
    April 2017 £82,500 - DFD July 2024
    • MrsSammyB
    • By MrsSammyB 11th Mar 17, 11:17 AM
    • 20 Posts
    • 53 Thanks
    MrsSammyB
    Ooh MrsSammyB I need advice!!!

    Co-op are our last predator not to issue a default and it is driving me mad!!

    What did you do to get the default? What did you say in your letter?? They threatened a default in November but it still has an AP marker on our credit report

    Any help gratefully received.

    Take care,

    BDFSH x
    Originally posted by BeingDebtFreeStartsHere
    Hi BDFSH,

    I have been token paying them since around November last year to try and force a default, but I just wrote them a letter saying I wanted an official complaint raised as they've known about my financial difficulties since May 2015 and had not registered a default. It was a short letter, said I felt they weren't treating me fairly by not defaulting me and as a resolution to my formal complaint, I wanted a default immediately, backdated to may 2015 and a refund of all interest and charges since then. Voila - loan written off and no default at all! It's honestly worth a try xx
    Mrs B ❤️

    LBM May 2015 - Stepchange DMP started August 2015
    Debt May 2015 £43,464
    Current (Feb 2017 £32, 328
    • MrsSammyB
    • By MrsSammyB 11th Mar 17, 11:21 AM
    • 20 Posts
    • 53 Thanks
    MrsSammyB
    That's awesome news! Well done.
    I missed what your complaints are regarding though, is it the time they have taken to default you?
    Originally posted by heavenlyharry01
    Yes, simply that! I have complained to all creditors for not defaulting me and have asked as a resolution to default me and backdate default to May 2015 (when I stopped paying) and refund any charges and interest since then. Had a result with lloyds too, they refunded me, added a backdated default and sent me £150 cheque for the inconvenience! Still awaiting some replies, so will keep you updated xx
    Mrs B ❤️

    LBM May 2015 - Stepchange DMP started August 2015
    Debt May 2015 £43,464
    Current (Feb 2017 £32, 328
    • carbootcrazy
    • By carbootcrazy 11th Mar 17, 12:33 PM
    • 3,409 Posts
    • 19,387 Thanks
    carbootcrazy
    Hi all

    Please forgive me if this is a really stupid question

    I have logged onto my DMP and it says Annual review date 2018 and my estimated DFD April 0008 I cant work out when this is as I was told I was looking at approx. 7 years

    Am I just being thick
    M
    Originally posted by motivated
    No such thing as a stupid question, motivated. However long we have been on our DMPs there often seems something unusual or unexplained that comes along to confuse us.

    I can't understand the end date of your DMP either, it's certainly not you being 'thick'. Why not phone SC, if that's your DMP company, and ask them ? They don't like DMPs to go on for too long and if they told you at the outset that it would take you about 7 years that should be what it will take. Don't worry about it too much and give them a call.

    Good Luck
    Make £10 A Day Challenge 2017. Jan-Feb: £504.21. Mar: £410.81
    3-6 Months Emergency Fund Challenge #12: £1000.00/£3000. This is such hard going but I will do it.

    Original Debt: £56804 (@ LBM 02/13). Paid : £31170. Balance: £25634
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