DMP Mutual Support Thread (Part 6)

pinkpower

Hi everyone. Having had months of sleepless nights, i realised that I can't do this any more. I was getting more and more into debt, using credit to meet the shortfall and have finally decided enough is enough. Despite paying shedloads to my creditors the balances are just not going down, so it feels like I'm throwing money down the drain. Added to this two credit card companies have just announced they are raising their credit rates, based on the fact that I' m only paying the minimum payments - how's that supposed to help me pay more?! So I've taken the plunge and contacted contacted CCCA to ask them to set up a DMP. I had a shock when I saw the total debt, but at least feel that I'm doing something about it.
I cancelled the DDs that are due to do out at the beginning of next month - is that too soon? I'm not sure if I should have waited for all the forms to come through. I'm not in arrears at the moment but will be if I only make token payments next month. Could someone give me a link to a hold action letter, or should I just make minimum payments and wait for the letters to arrive?
I know I have a long road ahead, but at least I feel I'm starting to tackle the problem. I've spent hours reading the posts on this thread and it looks like I'm in good company.

debtfreewish_2

hi pinkpower
I know what you mean, when I saw my total debt I was shocked I got into debt mainly by using credit to pay off debt if only I'd known about this site before going down that neverending path. A DMP seems to be the best option of getting out of this spiral. I recently had trouble with my direct debits as I cancelled them too late and ended up going way past my overdraft so your probably better off cancelling them early. I was advised by payplan to make token payments until the dmp kicks in.
Good luck

pinkpower wrote: »

Hi everyone. Having had months of sleepless nights, i realised that I can't do this any more. I was getting more and more into debt, using credit to meet the shortfall and have finally decided enough is enough. Despite paying shedloads to my creditors the balances are just not going down, so it feels like I'm throwing money down the drain. Added to this two credit card companies have just announced they are raising their credit rates, based on the fact that I' m only paying the minimum payments - how's that supposed to help me pay more?! So I've taken the plunge and contacted contacted CCCA to ask them to set up a DMP. I had a shock when I saw the total debt, but at least feel that I'm doing something about it.
I cancelled the DDs that are due to do out at the beginning of next month - is that too soon? I'm not sure if I should have waited for all the forms to come through. I'm not in arrears at the moment but will be if I only make token payments next month. Could someone give me a link to a hold action letter, or should I just make minimum payments and wait for the letters to arrive?
I know I have a long road ahead, but at least I feel I'm starting to tackle the problem. I've spent hours reading the posts on this thread and it looks like I'm in good company.

Apple38

jles49 wrote: »

just started dmp creditors rbs, egg, capital one and barclaycard who is likely to agree to this

Hi jles49

I am two weeks in from starting the DMP ball rolling; Egg, Barclaycard and RBS are among my creditors. I thought from past experience of a late clearing payment that Egg would be on the phone constantly, but I haven't heard a peep out of them. Nothing from CCCS either to tell me they have accepted or declined, but I'm interpreting their silence as a good thing.

Barclaycard have not been so shy! Up until two days ago I was receiving between 8 and 10 calls a day. Most on my home phone, a couple on my mobile and one (always around lunchtime) on my work number. I have ignored them all because of a bad experience with Nationwide last week. Anyway, I had intended to call them tomorrow, but as of two days ago no calls at all. I checked on line and my minimum payments have been reduced to 0. Again, I'm being optimistic and reading it as a good sign.

Mint (RBS card) sent me a nicely worded letter giving me lots of info to give to CCCS. No phone calls. However, my statement came through today with the full interest added on, request for arrears and no mention of a DMP.

The only company who have replied to accept the DMP in a clear manner were M&S. Interest frozen for a whole year. :j

So, my experience has been a horrendous week, that has quietened down considerably, apart from Nationwide, but that's a whole other story...

Hang in there, everyone around here says it gets better. I'm reminding myself of that every day.

Apple38

debtfreewish_2

Im a newbie to dmps and from reading this very helpful thread it seems to me that before my dmp starts I should update my contact details with my creditors with one phone number I dont mind being hassled on. I guess I was naive in thinking that if a company is undertaking the dmp for you they dealt with the creditors so you didnt have to. This is all sounding quite scary. This might sound stupid but my biggest fear is having threats from debt collectors coming to remove property, or ccjs and attempts to take our house. Are these things very likely. Sorry if this seems stupid but I have been on the brink of starting a dmp before but chickened out as I was afraid of all this even though I know theyre really the only option to being debt free other than a IVA.
Thanks guys for all your posts - very helpful

Apple38

pinkpower wrote: »

Added to this two credit card companies have just announced they are raising their credit rates, based on the fact that I' m only paying the minimum payments - how's that supposed to help me pay more?! .

Hi Pinkpower

That was what pushed me over the edge too. Two cards raised rates to 22% and 23% :eek: Before, I could just about fool myself that I could pay things off if I put my mind to it, but I lost all hope after that. Then one of them had the cheek to call me to ask me why I hadn't used the card for several weeks!

I would send token payments only. If you send minimums, they may question why you can't continue to do that. Someone with more experience will be along to confirm or correct that, I'm sure.

I shredded all my cards today. It was a lot easier than I thought it would be.

Take care
Angel38

mouncey

Great to see you back Ray. You have been an inspiration and a great source of advice and support for us DMPers! Hope you're keeping well.

LoveMarmiteOnJacketSpud

From my experience, when you first start with CCCS you still get calls from your creditors but once they have received one or 2 payments they will deal with CCCS instead of you. Once you have notified all creditors that you are on a DMP with CCCS wait for their next contact....if they do ring you again tell them they need to speak to CCCS and that you are no longer dealing with the matter.

Twit_Head

[QUOTE=debtfreewish;23594907._This_is_all_sounding_quite_scary._This_might_sound_stupid_but_my_biggest_fear_is_having_threats_from_debt_collectors_coming_to_remove_property,_or_ccjs_and_attempts_to_take_our_house._Are_these_things_very_likely._Thanks_guys_for_all_your_posts_-_very_helpful[/QUOTE]

Hey what do I know I'm a newbie too! - but from through trawling all sorts of info (including this site) I know a CCJ is possible but if you are paying all you can reasonably afford no court would impose a greater amount on you.
I don't believe debt collecters would be allowed entry to your home even with a CCJ. I think there is something called a charging order that could be imposed if you did have to go to court, which would only come into effect if the house was sold, so your property is safe. Sure I have oulined the worst scenario and for most people all this doesn't happen.
I am sure someone with much more knowledge and a fully comprehensive answer will come along soon but good luck!
I am only just starting my own DMP but like you have sweated and fretted before going down this route. It took me over three months of exploring and researching all possibles before taking the plunge but you soon start to feel like you're in control of your life.

DMP Member 330

capcom99

I sent all my token payments and template letters out today,Transfered my salary to my new bank account and rung payplan again.

I created all my new DD's with my new bank- Car insurance,phone etc...

And have left the HSBC behind.

I feel in control and pro-active.

It's nerve racking and stressful but liberating too. Payplan have been nothing but supportive.Told me to ignore all the lies the creditors are sure to give me in the coming weeks and get on with it. They said No-one has the right to judge you.

I logged into Justabank (payplans online service) and finally saw a central place for me to attack my debt.I can make one off payments etc...hassle free.And see all my creditors.

I finally,as Twit Head says, feel more in control of my life.I'm proud of myself.

Best wishes to all who are on the DMP Journey and to all the newcomers who embarking on their quest to rid themselves of debt. I never want credit again.

scouselad1974

Hi everyone

I hope you are all looking forward to the weekend, I just thought that I would update you all with my DMP progress.

So far the majority of my creditors have accepted my DMP apart from a couple who are making things as difficult as possible.

One of these is a company I owe a very small amount to and the other is a company who accepted reduced payments and froze interest, when I tried arranging a self managed DMP, but now that I have gone through CCCS they have started to add interest and charges and refuse my offer :mad: I'm all DMPD out this week so I will tackle that problem next week.

On the positive side I have managed to reduce some of my debts this week by having my PPI refunded, aswell as interest and charges.

Setting up my DMP with CCCS has been the best thing that I have done and I would reccomend them to anyone struggling, although it hasn't been easy.

I am not the type of person who is willing to just sit back and let CCCS do all of the hard work, when creditors have refused the offer made by CCCS or refused to freeze interest I have written to my creditors myself and asked them to reconsider, so far so good, although it's still early days yet.