help!

moneyworry_2

I have been on a debt management plan for 5 years now with a non fee charger.

In the past year ive lost my job through ill health, seen my realtionship breakdown and lost everything.

In the past year I needed dental treatment which ended up costing £700! I couldnt afford to pay it as i was on a DMP and felt ashamed calling them. I got sent a credit card by my bank and used it to pay the dental bill then i got a massive elecric bill and put this on the card as i couldnt afford to pay that.

I recently had a winfall of 10k and should be able to pay most of it all off. If i pay off that credit card that i used will these creditors know? I have really been stuck and feel so ashamed now, i was doing so well slowly paying off this debt and just stabbed myself in the foot

moneyworry_2

Has anyone else been in this sort of situation? I'm really really stuck.

whitewing

moneyworry,

someone will help you. Can't help myself as I don't know enough. Sounds like you've been having a rotten time though

moneyworry_2

I just dont know what to do, i cant bring myself to call the debt management company i know they wont be very happy. I'm so ashamed

whitewing

If you know you should call the DM Co then call them. You'll feel better when you have. They'll be used to people slipping up..

Has anyone else got any ideas?

moneyworry_2

weak as it sounds im just 2 scared to call them. Im worried that creditors will find out if i pay this card off then start contacting them to pay debts off.

Has no one else ever been in this situation?

skintandscared_2

I think it depends on how much of the £10k would it take to pay off this card, what would be left to offer to your DMP creditors and how much you still owe to your DMP creditors?

I have no idea about the correct course of action but if it were me and I could pay off that card and still have something left to send to my DMP manager to pay a chunk to each of my creditors I think that's what I would do..... and just tell the DMP manager that that chunk was all I'd received...

Then I would cut up the card, vow never to do anything so stupid again that could wreck my DMP and get used to budgeting again!!!!

But this course would definitely depend on how much was still left to pay on the DMP....

moneyworry_2

i dont use the card now, i was just stuck at what to do all this piled up before i got the money. I needed the dental treatment and i needed to stay warm as id just had a major operation.

Everythings just gone wrong, ive been sitting on this money wondering what to do with it. Pay the card off that i shouldnt have used then work on the older debts I just dunno, my head is a shed!

moneyworry_2

i owe about 10.5k to the creditors on the dmp and 1000 on the card

skintandscared_2

So you could pay the other card off and pay £9k to the DMP manager to give to your creditors? That would only leave you with £1.5k left to pay off! I would DEFINITELY do that.

I know it's probably the wrong thing to do but if DMP don't know about it and your DMP will be cancelled if you confess to it, I would just learn your lesson and get rid of it. You will still have a massive amount to offer to your creditors.

Or you could keep the £9k in a separate account and wait for F&F settlement offers of course...

moneyworry_2

Yeh I could do that, i have ready somewhere about people getting a % of their debt written off to settle it with a lump sum?

I was worried that if i paid this card off the creditors will see it as being treated unfairly and penalise me in someway.

I'm so confused, i just want it all to go away. I sound pathetic i know but its really bringing me down.