Debt Management Plans??

maxmax

hi everyone,
could anyone help me with the following...

1 what is the criteria to get on a debt management plan?

2 our loans/credit cards etc...come to about £750 per month,with both our incomes we are about £250 a per month short(after paying mortgage,cars etc),does this mean we would be likely to pay £500 per month to our creditors if we were on a dmp,

thanks for your help folks,
max

~Beanie~

You will be asked for details of your income and outgoings (not including any debt repayments). Your outgoings need to include everything, so you need to budget amounts for things like haircuts, birthday/christmas presents, car tax etc etc. If there is any income left over after that, it will be used to repay your debts and shared between your creditors.

I think CCCS like you to have at least £100 per month available to repay debtors but I'm not sure if all DMP providers have the same criteria.

GeorgeUK

Have you tried cutting back to get the funds you require? Going into a DMP will affect your credit rating so you will not get any good interest rates for things like mortgages. Also you won't be allowed to take out any more credit while in the DMP.

Have you posted up a SOA anywhere yet?
https://www.makesenseofcards.com/soacalc.html

fatbelly

maxmax wrote: »

2 our loans/credit cards etc...come to about £750 per month,with both our incomes we are about £250 a per month short(after paying mortgage,cars etc),does this mean we would be likely to pay £500 per month to our creditors if we were on a dmp,

In broad terms, yes. CCCS or Payplan would tweak your budget - the dmp has to be affordable and realistic.

I've had a look at the SoA you submitted on the other thread and this is probably the best option at the moment for you. But I suggest that you talk to CCCS and Payplan. Both may suggest an IVA, which would work in theory but there are lots of problems with them.

Martin's got a pdf guide here