DMP and new bank account

skintandscared_2

Hi everyone. I'm new on here ... I wish I'd found this site years ago!!

I have been struggling for a while now, just managing to make the minimum payments on my cards but having nothing left to even buy food with, so the cards come out to pay for everything. A 0% card is coming to an end and I simply can't afford a hike in minimum payment.

I'm seriously considering phoning PayPlan or CCCS but I'm so terrified of what will happen. Will my employer or landlord find out????

Also, one of my credit cards is with Abbey National, who I bank with. I also have a £2,400 overdraft on that account which is up to the limit every month.

If I change banks now, move my bills direct debits and my salary payments, will the overdraft become one of my creditors?

Plus ... how do I know the new bank isn't in any way associated with one of the cards I've got? All the banks seem to be linked these days!!! I was considering going to Lloyds bank (for a basic account with a debit card, no overdraft) but I don't know if they are associated with any cards I have? The cards I have are:

Barclaycard
Tesco card
Lombard card & Lombard loan
Egg card
Post Office card
Abbey credit card

A quick chat with an advisor at the CAB has taught me that my monthly repayments could go down from £1250 to about £650, once they allow me money for food, etc. That would allow me, for once, to pay for things out of my own salary and not use credit cards ever again. But I'm terrified of my employer or landlord finding out and sacking me or kicking me out of my flat!!!

Anyone got any words of advice? Thanks in advance...

pau11n3

I would advice you make that call to CCCS they will help you... it was the best call we ever made...
good luck...
Pauline

sunshine38_2

Good evening and welcome!

Would you like to grab yourself a cuppa and take a few deep breaths - you are in the right place for some help.

Right, I'll try what I can to help at the moment with all those "scary" thoughts because it certainly doesnt help to have thoughts like those flying around your head at bedtime now, does it?!

skintandscared wrote: »

I'm seriously considering phoning PayPlan or CCCS but I'm so terrified of what will happen. Will my employer or landlord find out???? - I dont see any reason why anyone would have to "find out" if you went on a DMP unless you want them to know. I guess it would depend on what your occupation is maybe?

You could try phoning Payplan or you can complete and online "Debt Remedy" calcuation via the CCCS website (so you dont have to actually speak to someone!) and put some details into that. You dont have to commit to anything just yet, so dont worry. I wouldnt worry too much about actually speaking to either of the charities because, honestly, they are lovely (well, I used CCCS and they were fab with me).


[Also, one of my credit cards is with Abbey National, who I bank with. I also have a £2,400 overdraft on that account which is up to the limit every month.

If I change banks now, move my bills direct debits and my salary payments, will the overdraft become one of my creditors?] - Yep! Been there, done that (or should I say, doing that!). Abbey have been great over the overdraft and have agreed repayments. The card was via MBNA and they have taken longer to stop interest and accept the payments.


[Plus ... how do I know the new bank isn't in any way associated with one of the cards I've got?] - I will try and find you the link for this - there is one somewhere on here.

[I'm terrified of my employer or landlord finding out and sacking me or kicking me out of my flat!!! ] - Please try not to worry too much. Try contacting Payplan or CCCS and then take things from there - little steps at a time.

I hope some of that information helps.

Sx

Kudox

HI I'm just begining a DMP with cccs, for me the best thing i've done in a long while. Cutting up the cards was a brilliant moment.
Cant say for certain but pretty sure your employer or landlord wont find out.
I got a safe bank account with the coop and from what i've read on here a lot of people reccomend them.
I'm sure lots of people will be along soon with more advice.

MissKJ

I am in the same boat as you Skint and scared. I rang payplan tonight on advice of national debt helpline. We have no more money to draw out and no more cards to use. It isn't that i have got worse, I am earning more now than ever, but the credit crunch has stopped me robbing Peter to pay Paul. And you know what, I am glad I can't carry on doing it. Its time to deal with it once and for all.

ajaney

Welcome to the Debt Free board!

If you are thinking of phoning Payplan or CCCS, you will need something called a SOA - Statement of Affairs. this is a list of your income & outgoings. If you post it up here, members will advise on ways to save & help you get your budget in shape before you contact Payplan or CCCS.

Go to www.makesenseofcards.com & click on statement of affairs. Once you have finihed it, click on format for MSE & then post on here.

We're ready to help any way we can!

Numpty_Monkey

What pauline, sunshine and the rest have said is very good advice:T :A



As far as i know there is no need for your landlord to even know
maybe depending on your job , but extremley doubtful your not in charge of a bank are you :rolleyes:

Ok a few links to things that will help you and us
Non-profit Debt Counsellors' List
These are all free, CCCS debt remedy is a good place to start

I did have a link to "linked" banks but its a bit out of date so i won't post it
maybe one of the clever ones can

The SOA calculator
http://www.makesenseofcards.com/soacalc.html
post the results on here and the people here:A will be able to give advise where savings can be made:eek: it might not feel like it but you are in charge now:T

skintandscared_2

oh wow, such lovely replies and so quickly... Thanks so much.

My job is a legal secretary so I work the legal field but I'm not a lawyer or anything like that. I know lawyers can't have financial difficulties without affecting their jobs but I don't think the same thing applies to support staff (I hope!)

I did a very basic SOA for the CAB lady but basically it just covered the essential bills like rent, gas/elec, water, council tax, mobile phone and TV/BB/landline, and after that (plus my debt payments) I had £20 a month left. That's without ANY food, clothes, car stuff or anything. The lady filled in some sort of form which put in the various average allowances for things and worked out that my disposable income would allow a payment of about £650 a month to someone like CCCS and I would still have enough to live on. She thought that would be enough for the creditors to accept payments, as I would pretty much have paid everything off after 5 years (if they dropped or froze the interest).

I just owe so much. My partner has been out of work for a long time and I've been trying to cope but I just can't any more. I'm useless at admitting failure too, but I seriously have!!!

craigers

I don't know where you live so don't know how practical it would be for you, but I recommend the Clydesdale Bank/Yorkshire Bank Readycash account. To my knowledge they aren't linked to any of your current creditors.

The Readycash account is a basic bank account but the jewel in its crown is that you actually get a Maestro debit card, as opposed to the Solo/Electron/cash cards you get with most basic accounts. There's no overdraft, no cheque book, and they don't pay interest, but you can set up direct debits and standing orders, and there is a limit on the number of charges they will place on your account at any time I believe.

Numpty_Monkey

Silly smillie warning





with the help from people on here you will be a toothless budgie
(suckseed)

skintandscared_2

Numpty monkey that was my first real LOL for a very long time!!

I live in Herts and work in the City of London. I need a bank where I can pay money into my bank in person. When my OH does work he gives me some money towards the bills. My only reason for wanting a debit card is that I can do my food shopping online to reduce the impulse buys and not use the car. I will have a salary of approx £2k per month going in so would I just be able to get a normal account? If I sorted it out now, while my credit rating is still good that should be alright. But when I go for the DMP, will my change in credit status mean that they could cancel my new account? I don't even know what reason to give for wanting to open a new account - obviously I don't tell them I'm about to go onto a DMP...