Credit card use before DMP or Loan Payment Holidays??

hunnybee

Hi all,

I have just posted this in ask CCCS counsellor but I thought I would post it here too to ask if anyone has any knowledge, wisdom or experience to share on this topic!

My husband and I are going to apply for a DMP very soon as we have hit crisis point. Basically we are now at the point of only just making minimum payments each month but we are having to use credit cards to pay for basics such as petrol and food etc. I have heard of people being declined for DMP due to recent use on their credit cards so I'm not sure what to do.

Should we contact creditors and ask for payment holidays? I don't want to just default on a payment, but we are not going to be able to manage without them and make the minimum payment. Also we have just had some massive energy bills come in too which makes things even more stressful!

What would our best options be? I have tried to ask HSBC for a payment holiday from my loan just to get myself sorted, which to be honest a few months break from that could make a huge difference and maybe even prevent us having to do a DMP, but they basically said they don't do that (nothing like being helpful!)

The second question is that my husband has just applied for a new job which offers more money. The downside is that it does not have a company car option and he already has one with his job. We do not want to get into more debt by buying a new car so if he is successful he would have my car and I would take on a lease car at work, which of course is going to affect our finances. Would it be better to wait to do this before a taking on a DMP?

I would really appreciate any help or advice!

Many thanks