DMP Mutual Support Thread (Part 6)

bigmommamuppet

symesd wrote: »

DILEMA - Help please!

have got a letter from my mortgage provider (currently on a fixed rate of 4.74% until Jan 2011) offering to extend our fixed rate until 28/02/2015..., no cedit check or anything just fill in forms and all done... We have until 5th Feb to make our decision.

Do we do this of take the risk & go onto a variable rate (currently 4.24%) so we would be about £50 better off..... but would be variable rate.

The dilema is, if we let the fixed rate end we would have £50 more to pay to our DMP - pay off sooner. BUT the rate may go up (or down) - do not like the uncertainty.

Or extend the fixed rate - but we want to move house (cannot at moment as we are in negative equity) which make me think we cannot move at the moment or in the near future so would be better with the security of a fixed rate.

Help please - to extend the fixed rate OR Not.....

Thanks

If it was me I'd take it, £50 is not much for peace of mind for 3 years. Just think if it went up then you would perhaps have to reduce your DMP thus extending your DFD so there's always a flip side to the coin.

We're on SVR with NR @ 5.89% I think, with no hope in hell swapping to anyone cheaper so we just have to plod on with it.

symesd

Thanks... I thinks my minds made up - make sense to get the foxed rate extended - if we are in a position to move house it will not be any time soon not with our current level of debts - was spending a little time in tcloud cookoo land for just a moment - no we must extend and fix it.... the last thinkg we need if our mortgage going through the roof especially when we are in negative equity.

elsie52

Fraggle,

We are on a DMP and we had to reduce our monthly payments 11 months into our plan.OH had to take a reduction in pay by 10%. I absolutely dreaded contacting Payplan, but was left with no other option. It was fine......at the end of the day we were willing to pay back our debts, and were paying as much as we could realistically afford. Just remember, they can't have what you don't have.! You need to feed yourself and keep well, to ensure that you are earning a wage.

I am sure that you will be okay, speak to CCCS.

shandypants

bigmommamuppet wrote: »

It's my LBM Anniversary:T:T

1 year ago today it was payday and I finally realised that I couldn't continue with burying my head in the sand. Our wages had gone in and we didn't have enough money to pay all the bills including our mortgage etc and eat. We had also run out of credit, then main source of funding the shortfall for a long long time.

So I told DH the truth and the amount of debt we were in (82K :eek: I had managed to hide it for years), lets say that was one of the hardest conversation that I've had in my life and at time I thought he was going to leave.

But 1 year on were happily married, debts have reduced by £8k only owing £74k now . We've been paid today and I have money to feed us comfortably, take the kids to the cinema on Sat and buy them new shoes. No CC bills to worry about post Christmas which is a really really good feeling and will manage to squirrel away some money for a rainy day.

Yes in the beginning it was traumatic with calls & letters etc but it soon stopped, we don't have credit, but with budgeting you don't need it. We have a home which is full of fun and imaginative ways of entertaining ourselves cheaply;). And for the 1st time this year we're planning a holiday without credit (somewhere cheap and cheerful, and funded by me ebay sales and money I get for sometimes helping out my neighbour with her ironing.)

Take Care

Becks

Bigmamamuppet I hope in a years time I will be able to do the same, its been a long time since I was able to pay for a holiday and not just finance it using my credit cards. I start my DMP on 1st Feb scary xx

pure_dead_dopey

DotNetter wrote: »

It's scary but make sure you spend an hour and get all the Notification letters done, in envelopes and put stamps on them and then post them asap!

my DW and I went through this back in November/December and started our DMP this month with CCCS.

I'm keeping a blog of events as tehy unfold so feel free to have a read of that (the link is in my signature).

Good luck and keep us all posted!

Cheers,


Wayne

Thanks for thisn never not made the payments before and I keep expecting the sky to fall on my head to-day. BUT its got to be done so here we go,

pure_dead_dopey

DotNetter wrote: »

It's scary but make sure you spend an hour and get all the Notification letters done, in envelopes and put stamps on them and then post them asap!

my DW and I went through this back in November/December and started our DMP this month with CCCS.

I'm keeping a blog of events as tehy unfold so feel free to have a read of that (the link is in my signature).

Good luck and keep us all posted!

Cheers,


Wayne

thanks for the support, its just something we have to get through but its been really useful to read about other peoples experiences.

Twit_Head

shandypants wrote: »

Bigmamamuppet I hope in a years time I will be able to do the same, its been a long time since I was able to pay for a holiday and not just finance it using my credit cards. I start my DMP on 1st Feb scary xx

Cheap breaks can be done! Not the Ritz or a world cruise but look at 'The Sun' £38-00 caravan deals or Travelodge £9-00 rooms. At least you have a change of scene and a chance to recharge (and credtiors can't reach you on your home phone )
I've just stayed away on a £1-00 a night Camponile hotel deal. Brill!(Unfortunately all rooms are gone now for this promotion) but worth looking out for similar offers.
DMP might seem scary now but you will learn to adjust and it becomes part of life. Good Luck!


And a big WELL DONE to Bigmamamuppet - 'You done good'

'Twitty'

ianmak

symesd wrote: »

Thanks... I thinks my minds made up - make sense to get the foxed rate extended - if we are in a position to move house it will not be any time soon not with our current level of debts - was spending a little time in tcloud cookoo land for just a moment - no we must extend and fix it.... the last thinkg we need if our mortgage going through the roof especially when we are in negative equity.

Prob a bit late but wanted to put my penny's worth in...

I dropped 4% at the end of my FR (6.48 down to 2.5!), but didn't bother telling PP. That's a lie, I did tell them, but said I'd update them in a couple of months. It was getting close to chrimbo! I ended up getting a bit twitchy, so went onto another FR - 3.99% for 2 years, and have updated PP appropriately. Hopefully the creditors will be happy with the extra they're getting!

The only thing that bugs me is the companies are getting rid of the SVR, and going over to a MVR (or summat like that), which sits quite a bit above the BOE rate.

emmiloam

symesd wrote: »

DILEMA - Help please!

have got a letter from my mortgage provider (currently on a fixed rate of 4.74% until Jan 2011) offering to extend our fixed rate until 28/02/2015..., no cedit check or anything just fill in forms and all done... We have until 5th Feb to make our decision.

Do we do this of take the risk & go onto a variable rate (currently 4.24%) so we would be about £50 better off..... but would be variable rate.

The dilema is, if we let the fixed rate end we would have £50 more to pay to our DMP - pay off sooner. BUT the rate may go up (or down) - do not like the uncertainty.

Or extend the fixed rate - but we want to move house (cannot at moment as we are in negative equity) which make me think we cannot move at the moment or in the near future so would be better with the security of a fixed rate.

Help please - to extend the fixed rate OR Not.....

Thanks

I personally would take the fixed rate. Interest rates can't go down any further so there's only one way for them to go. When this happens nobody knows but for the sake of £50 is it really worth the risk?

We're fixed in to our mortgage for another 2 years yet but it's transportable so should we want to move then we still can (obviously funds permitting).

Anyway, just my opinion of course, but think it's a good offer.

Em

Moosey21

Thanks Katkins2! I shall take your advice and keep on badgering them the same way they do me! Lol!!