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Freezing Interest

Sorry for moaning on again!!!!

But at what point do creditors freeze the interest? I owe more now (because of reduced payments) than I did before I started the DMP!!!

The estimate of 5.5 years is slowly becoming unrealistic.
Proud to be dealing with my debts :wave: :wave: :wave:
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Comments

  • Broken_hearted
    Broken_hearted Posts: 9,553 Forumite
    I think it varies from lender to lender. Could you not phone and ask them to freeze interest. We were paying £20 per month to Halifax and they were adding over £70 per month in charges. So we ended up owing £500 more than when we started.
    Barclaycard 3800

    Nothing to do but hibernate till spring






  • dmb37
    dmb37 Posts: 74 Forumite
    Thanks for the reply. I am with Payplan and they have said they will do all the negotiations ( if I negotiate with any of the creditors this could jeopodise the DMP) . Their statement says that they cannot guarantee interest being frozen.
    A DMP is the best solution to my debt and I do want to pay back what I owe but without the interest ( they must have had thousands out of me already!!!).
    I will see whats what in a couple of months.
    Thanks
    Proud to be dealing with my debts :wave: :wave: :wave:
  • System
    System Posts: 178,356 Community Admin
    10,000 Posts Photogenic Name Dropper
    Have you had any letters from your creditors agreeing to offer of repayments? I have had 7 of my 12 creditors accept my offers (i'm with Payplan) but I have only had 3 letters, 2 from MBNA and one from Capital one. Both of these have agreed to freeze the interest and nullify any charges they have put on since I started the DMP. So have you had any of the letters? Do you know how many have accepted the offers?
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • dmb37
    dmb37 Posts: 74 Forumite
    Hi Lenny
    I am receiving statements with the reduced payments listed. However I have never received any letters to inform me that they are freezing the interest. I will have a look closer at my statements.
    With all this stress......Deathclock estimates I will be dead before the debt is paid.......lol

    Thanks
    Proud to be dealing with my debts :wave: :wave: :wave:
  • System
    System Posts: 178,356 Community Admin
    10,000 Posts Photogenic Name Dropper
    Hey you've got less than me. What do Payplan say? Ask em. Gove em a phone. At present they are taking up to 2 weeks to reply by email.
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • dmb37
    dmb37 Posts: 74 Forumite
    It's about two weeks for me too via email. I know it's my DMP but I feel as though I don't want to hassle them because they have a enough to do. I will give them a ring tomorrow.

    Thanks Lenny
    Proud to be dealing with my debts :wave: :wave: :wave:
  • System
    System Posts: 178,356 Community Admin
    10,000 Posts Photogenic Name Dropper
    Yeah do it. Do you know, I think the majority of the caseworkers are dutch or Belgian (Flemish) and they are located in Holland or Belgium. DOes anyone else think this?
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • Josie64
    Josie64 Posts: 246 Forumite
    lennymfo wrote:
    Have you had any letters from your creditors agreeing to offer of repayments? I have had 7 of my 12 creditors accept my offers (i'm with Payplan) but I have only had 3 letters, 2 from MBNA and one from Capital one. Both of these have agreed to freeze the interest and nullify any charges they have put on since I started the DMP. So have you had any of the letters? Do you know how many have accepted the offers?

    Lloyds TSB , capital one and La Redoute ( catalogue) accepted our offers but Barclaycard are being right baskets! they won't deal with CCCS and have now said they will send a collector to the door:mad:

    we are with CCCS but we don't even have enough income for a DMP so we have had to contact the creditors ourselves, so today (13/7/06) we have gone to CAB for further help and advice who are writing letters on our behalf , we havn't been happy with CCCS but everyone is different who they feel happy dealing with
    __________________
  • I work for a debt advice company and have nearly finished setting up my DMP with Payplan. I asked my case worker about the freezing of interest and the gist of the answer was:

    If the interest and charges aren't stopped the account will eventually be passed on to a debt collection agency. At this point, the interest and charges do stop.

    Not exactly what I wanted to hear but it makes sense. HTH.
  • i spoke to play plan today regarding intrest
    ( my dmp started last month my first payment to payplan is 25th may)

    they told me that some creditors will stop interest when paylan offer them a payment adn some will wait for 3 - 6 payments b4 stoping interest.......
    she also said some will jsut sell the on quickly....

    and MBNA will tell you alsorts to try and get ypu to pay more .
    Debit was £64k (light bulb Feb 05)
    Debt now 60K Dec 07 DFD= nov2019 :confused:
    "The only time money comes before work is in the dictionary"
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