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CCCS_Sarah

bunnygreen wrote: »

Hi,
My husband and I are just going through the process of a DMP. We have the paperwork to sign and send and will be sorting it out this weekend. I just have a couple of questions...

- I will set up a bank account this weekend - I assume that we make sure our work pay us in the new bank account and transfer the Direct Debits for all non-debts to the new bank account. Do we cancel all of the other direct debits?
- one of our debtors is an unsecured loan with Northern Rock as part of the together mortgage they offered. I was advised that Northern Rock may try and make this a secured loan to make it a priority debt. However, we already have a secured loan and the value of that with our mortgage is the amount our house is worth - so surely they won't be able to make the loan secured?
- We have an account with Next, although there is no balance on there, do we have to shut it down? We would only intend to pay for clothes there and then instead of by account, but my guess is we won't be allowed to do this? This one isn't as important as we won't be buying clothes for a while!!!

Part of our budget includes things that are shown monthly, but may only be paid yearly. Are we allowed to put this money into a savings account ready for us to draw upon when we need to or are we not allowed to save anything

I think that's it for now! I have to say, it feels a big relief to be sorting out our debts. I can't wait for it to get started.

Hello,

You would need to cancel all the direct debit for the unsecured creditors and transfer the priorities to your new account.

For you northern rock account, the unsecured part will be included with the list of creditors as this is not secured and therefore does not take priority over other debts. You must highlight that you are allocating the payments purely for your mortgage.

Did you receive an additional letter in your pack to forward NR? If not, use this letter:

Northern Rock PLC

Your Name
Your address including postcode.

Your Account number s
Loan
Mortgage.

DATE ..


Please be aware that I am currently suffering financial difficulties. In an attempt to deal with my situation I have approached Consumer Credit Counselling Service. They have advised me on an action plan to deal with my unsecured debts.

I am therefore intending to pay my mortgage [secured loan] payment separate to my unsecured loan. I will be paying this in by Standing Order. Please ensure that the funds paid to my mortgage account are applied correctly. This way my mortgage account will not go in to arrears.
This payment is effective from ………………..[date]

I shall be contacting you separately regarding payments to my unsecured loan.

Please acknowledge receipt of this letter, sent by recorded delivery, within 14 days.

Thank you

Yours etc..

……

When you are on a debt management plan one on the conditions is that you don’t use any credit this unfortunately does included catalogues and store cards.

You will have money allocated in your budget to use for clothing and footwear, so you should not need to use credit.

Hope this helps

CCCS_Sarah

vanandal wrote: »

I'm in an IVA (SINCE jAN 2005), I have been diagnosed with cancer and have received treatment, but had to have time off work mostly unpaid, I informed the IVA practitioner, who said a 4 month break would be ok.However today received a notification that we have missed more than 2 payments and they have issued notice saying we are in default ( obviously !!). I'm inclined to say sod it ! and make myself bankrupt. P.s. I also know that the IVA practitioner has not kept their part of the deal and have not made payment to all my creditors within the IVA. Advice please, would be grateful.

As you IVA is a legally binding agreement unfortunately I would be unable to offer advice and I would recommend that you contact your IP to discuss this.

Do you have it in writing that they agreed to a 4 month break? If not you could always ask for the notes on your account, as after you had the conversation it should have all been noted on your account. This is called a Subject Access Request – they may charge you £10 for this.

bunnygreen

CCCS_Sarah wrote: »

For you northern rock account, the unsecured part will be included with the list of creditors as this is not secured and therefore does not take priority over other debts. You must highlight that you are allocating the payments purely for your mortgage.

Did you receive an additional letter in your pack to forward NR? If not, use this letter:

Hi Sarah,

We didn't receive an additional letter as I realised after we had asked for the pack to be sent that the unsecured part needed to be added to our debts (can't believe I missed that off!!). When I phoned to add this on, I wasn't advised that a different letter should be sent, they just said to send a copy to them too. So, I sent it, but just made it clear that it was for the unsecured part.

I phoned Northern Rock today to ask if they could separate the Direct Debits and they said that they couldn't do anything until they received the form that I sent to them today.

However, I think I will send this suggested letter that you've posted in addition, so that it's clear and then set up a standing order once my new bank account is set up. Does a standing order get paid that day? I.e. do they receive it the same day that it goes out of the bank? Or should we set the Standing Order for a few days before it normally comes out?

Thanks
Charlie

ineedhelp2008

Hi there

I am contemplating contacting CCCS re a debt repayment plan, but hopefully only regarding my husband's and possibly my credit card debt.

My husband is self employed and due to the state of the economy his work has taken a real nose dive and we are now struggling. He is PAYE at the minute in a very low paid factory job.

Everyone is getting paid at present, however my husband missed a credit card payment last month and now the minimum payment has doubled and we haven't got a hope in hell of making it.

The cc company have telephoned him and he explained the problems we are having, they weren't really interested but pretty much encouraged him to go on a DMP.

My question is, we bought a sofa last year on a 'buy now pay next year' plan and it is due for repayment in six instalments in january. How will this work? Is it classed as a secured payment and therefore a priority or will they become a creditor? If they do, will our sofa be reposessed?

We also have a self assessment tax bill due in january which at present we can't pay. How would this work?

Many thanks for any help in this.

tobethisgirl

hiya,

if someone could give me some advice i would be very grateful

a few years ago, i got myself into a mess with money. i was going through a divorce, suffering from depression and other issues, and ended up in around £9'500 of debt. this is made up of credit cards, overdrafts and various smaller amounts. i have some ccjs i imagine, but i don't know how many and for what amounts.

two years ago, after working hard to get my life together, i left the town i lived in and started training to be a nurse at university. i never told my creditors my new address or paid anything for about three years. stupidly, i tried to forget about my debts. having managed to 'successfully' avoid them for all this time, except for the odd letter to my previous addresses, i rarely thought of them. when i did though, it did scare me.

i want to try and put this right. i want to pay them off, but as i literally only earn enough to live at present, this isn't possible.

my plan is to write to my creditors (i still have previous letters etc) and explain the situation and apologise, offering them a token payment of perhaps £1 a month until i qualify and get a proper job next summer, with the idea of paying more (perhaps with the help of cccs) at that point.

am i being niave in thinking they will accept this? that me getting in touch, explaining my circumstances and promising more in the future, will be enough? i really just want to pay them off, get on with life and start repairing my credit record, with the hope of one day putting it behind me. i think once i finish uni, i should be able to pay them off in a maximum of 3 or 4 years.

thanks for any advice.

basketcase1002

Hi, I caught a fraction of Martin on GMTV this morning but didn't catch all of it. He mentioned getting rid of overdrafts and also referred to Abbey National and the Alliance and Leicester.
Could anyone advise me of the full discussion on this. Was he talking about a credit card from these people, if so how do you transfer the overdraft. Also how do I know which is the best for me?
Thanks in advance for your help.

shellfishb5

CCCS_Matthew wrote: »

Hi there.

Although HSBC haven't taken anything from your current account, there is no guarantee so it's definitely important you get one elsewhere. If it's taking a while to get another account open, could you possibly arrange to get your income paid into a family member's account? Are you having trouble opening another account, or is it a case of waiting a couple of weeks for the new one to be set up?

Regards,
CCCS

Mathew
Thanks for your reply i have managed to get new bank account sorted out, had to wait to get my driving licence back, which arrived yesterday as i hadnt got address changed. Went into my local NatWest was after a Step Account and they offered me a Current Plus Account which allows me to have a cheque book and overdraft if i wanted one. So have changed bank details with work and sorted out my D/Ds ready for December. Have to wait till i get my debit card then move money over from old account with HSBC, just hope they dont go taking any money out in the mean time.:T
Regards
Andy

CCCS_Alan

gettingsorted wrote: »

Hi just started a DMP with cccs I wanted to know if it would be possible to pay extra off any debts if I got any extra money i.e from ebay, could I just do this or would I have to go through cccs. Any advice would be great

Hi Gettingsorted

Welcome on board. We look to treat all creditors fairly so if you are making extra money it is best to save it up for 3 months and pay extra onto your DMP so every creditor benefits.
If you start paying regular monthly increased payments, creditors would come to expect this and then question it when it disappears.

Regards

CCCS_Alan

CCCS_Alan

parsamonious wrote: »

Hi

We'd really welcome your comments on our situation as posted elsewhere on the forum. I've cut and pasted our SOA below and would be very grateful if you could help. We have an appointment with an IP in a couple of weeks time so have some time to change our minds about going down that route.

"brief history, myself and wife have sank into financial dificulty, no excuses, simply spending more than we earn. We've tried to borrow ourselves out of it but just gone further under, we're at the point that although we both have good jobs and earn well we simply don't earn enough to cover all our debts. We've sold the toys to cover monthly payments. Recently been to CAB who advise IVA and have an appointment with them. However reading this site it seems that we may have an alternative with CCCS. I've filled out their forms and reckon with CCCS and huge efforts to reduce our monthly expenditure we would possibly be able to avoid IVA. I'd really appreciate any thoughts, (already accept that the Sky will have to go, we get broadband phone & telephone package) We moved house just before the down turn in house prices (not in negative equity yet, but not really concerned as we don't plan to move for decades)"



Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 1570
Partners monthly income after tax....... 3262
Benefits................................ 72
Other income............................ 0
Total monthly income.................... 4904

Monthly Expense Details
Mortgage................................ 1198
Secured loan repayments................. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 195
Electricity............................. 29
Gas..................................... 50
Oil..................................... 0
Water rates............................. 25.55
Telephone (land line)................... 11
Mobile phone............................ 60
TV Licence.............................. 11.61
Satellite/Cable TV...................... 48
Internet Services....................... 0
Groceries etc. ......................... 400
Clothing................................ 80
Petrol/diesel........................... 250
Road tax................................ 30
Car Insurance........................... 34
Car maintenance (including MOT)......... 30
Car parking............................. 10
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 525
Medical (prescriptions, dentist etc).... 20
Pet insurance/vet bills................. 20
Buildings insurance..................... 20
Contents insurance...................... 16
Life assurance ......................... 25
Other insurance......................... 185
Presents (birthday, christmas etc)...... 30
Haircuts................................ 80
Entertainment........................... 40
Holiday................................. 100
Emergency fund.......................... 0
Total monthly expenses.................. 3523.16

Assets
Cash.................................... 0
House value (Gross)..................... 265000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 0
Total Assets............................ 271000

Secured Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 260000...(1198).....0
Total secured debts........... 260000....-.........-

Unsecured Debts
Description....................Debt......Monthly.. .APR
Loan...........................11000.....258...... 5.6
Loan...........................10500.....239...... 5.6
Loan...........................4600......203...... .0
Credit Card....................17500.....410.......15.0
Store Card.....................445.......42........26.49
Credit Card....................8862......222.......18.9
Loan...........................24500.....370...... 9.9
Overdraft......................1000......50....... .0
Credit Card....................250.......7.........17.9
Credit Card....................12750.....241.......17.9
Total unsecured debts..........91407.....2042......-

Monthly Budget Summary
Total monthly income.................... 4,904
Expenses (including secured debts)....... 3,523.16
Available for debt repayments........... 1,380.84
Monthly UNsecured debt repayments....... 2,042
Surplus(deficit if negative)............ -661.16

Personal Balance Sheet Summary
Total assets (things you own)........... 271,000
Total Secured debt...................... -260,000
Total Unsecured debt.................... -91,407
Net Assets.............................. -80,407

Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission.

======== Enter any other useful information below ========
two adults one child living in house, two cars (nothing flash)which we both need for work

Hi Parsamonious

I have highlighted in blue some areas that may be questioned by your creditors if you approached them with your budget.
If you are experiencing financial difficulties it unfortunately also involves changes in lifestyle, to reduce expenditure in the aim of becoming debt free quicker and reducing costs to reasonable figures that your creditors would expect.
Things like holidays would normally be classed as luxuries so would be something creditors would be unhappy about, and to try and reduce if possible areas like food, clothing and haircuts. I am unsure about what the other insurance cost is for but this does look high.

If you have an appointment booked with a counsellor, or have used Debt Remedy the costs highlighted will normally be questioned.

Regards

CCCS_Alan

CCCS_Alan

tomb_raider wrote: »

Hello,
I've been on a DMP with CCCS for almost 5 years (was with Gregory Pennington for few months before that!) The last payment was today (1st November) which was almost £160 less than the usual direct debit of £527.
When I checked my bank statement online the direct debit has gone out for the full amount of £527!
Could this be because it's a Saturday & the direct debit amount is 'provisional' according to my bank statement?
Or is it an error by CCCS?
I was budgeting on the lesser amount being taken & so now will be really struggling next week. I can't contact CCCS until Monday so it's a bit worrying until I can actually talk to someone there to get it sorted.
Then I saw this thread on here & hope you might be able to put my mind at ease.

Hi Tomb Raider

Unfortunately the office is normally closed over the weekend unless we are working through any backlogs of work that we may have.

Hopefully you have spoken to us regard your payment but if not call the number on your monthly statement and they will be able confirm your figures and hopefully refund the difference if it has been being overpaid.

Regards

CCCS_Alan