Debt Arrangement Scheme - Scotland

Jilly38

Thanks so much Miss P for your tips and advice. I am soooo grateful:). Thanks for the link also. I think as you say, the DAS may be the lesser of all evils for me too. At this point I can't see what else offers the guarantee of interest to be stopped and guarantees that my property isn't at risk as long as I keep up my payments. At the end of the day, if I can't pay the minimum payments my credit report is going to be terrible anyway and after this experience I don't want any more credit as long as I live!! My only worry is the mortage deal in a couple of years.

Well, I will keep you posted. Off to the advisor on Thursday. Just hope it goes okay. I am on tender hooks everyday to see what post falls through the door meantime. I hope I can get all this sorted out before it gets any worse?!!:eek: Thanks again, will post again soon,

Regards
Jillyx

Jilly38

Hi there

Me again! I had a second visit to CAB on Thursday when I thought I was meeting with the money advisor who can deal with DAS. Unfortunately I only got to meet with a volunteer who took my paper work that I had been asked to provide. I now have to wait again to see the money advisor.........she is unsure how long!

I defaulted this month for the first time. This was because I am about to have less hours at work and therfore my wage will reduce. Trying to be organised.....I contacted Payplan who were in the process of setting up a DMP for me. I believe they sent a letter to my creditors but after reading advice on here I discovered DAS. I subsequently contacted CAB and following an initial appt I then went to my second appt on Thursday past. CAB told me at the initial appt to cancel Payplan as they could not deal with me if I was with them and was told I would meet the money advisor at the next appt where he would advise me on my situation. I therefore cancelled Payplan.

I am now not so sure if I have done the right thing. I have wrote to all my creditors and only paid half of my required payments this month as this is the funds I have left without the extra hours. I have now received phone calls now and default notices. As I am still to be paid for some extra hours I am not sure whether to try to meet this months minimum payments. I will though shortly, not have this money available and therefore in the next couple of months be back to defaulting.

I am now not sure when I will get a further appointment from CAB to see about a DAS. I think DAS might be the best option for me, as interest frozen and I have equity but now I just don't know if I should have stuck with Payplan as at least I could have had a DMP in place?

Can anyone give me any advice? I am now worried sick wondering in the meantime what kind of action my creditors will take. Can anyone advise what usually happens after default notice is issued? I am worried sick a debt collector will arrive at my door. Am I being premature about this? I intend to keep paying reduced payments to my creditors. Also I have seen that in some other postings people have accessed DAS advisors through other avenues. Does anyone else know where I could get info as to if other advisors available near my area or have anyone used CAB and how did they find their process went?

I have also been asked to provide a SOA to one of my creditors (John Lewis Master Card) do you think I should do this now or wait till I go back to CAB? All my debt is mine alone although I do have a partner. He knows I have some debt but not as much as I have! One other creditor was willing to make an "arrangement" but it would be more that I would want to pay a mont once I lose my extra hours but do I just go for it meantime? I now feel in total limbo. I am sorry to ramble, but any advise would be much appreciated.

Thanks in anticipation!
Jilly:(

pure_dead_dopey

Hi Jilly

Don't worry Jilly no one will come to your house at this stage and even if they did you can just tell them to get lost, they have the same rights as the milkman. I wouldn't keep paying as much as you can but £1 tokens and stick the rest of the money somewhere as an emergency fund. Your creditors will think no more of you if you begger yourself paying the minimums, trust me. If you are in difficulty you are now just another debtor who can't pay their bills to the banks. I know this sounds hard but it is the truth. CCCS do DASs as well and they do have a Scottish office, I have no idea how busy they are (very busy I would think) but it might be worth a call. I also think some councils in Scotland have Money Advisors who can help set up a DAS as well. At this time, you need to try to be calm and look after yourself and family first, the creditors come a long way down the list. They will try to put loads of pressure on now when you are "new" to all of this and scared and a bit embarrassed about it all, you are at your weakest and they know it. My advice would be read everything, speak to everybody and then make the best decison you can for your and your family, putting yourselves first. This is unsecured credit, creditors and DCAs have very few powers and virtually can do nothing but huff and puff until they get a bit of paper from a court, which is a very long way away. So try to stay calm, you've made a good start finding out about DAS (which is a bit of a secret!!!) but don't jump in until your sure its the best thing for you. I would be looking at a DMP which is more flexible and I would also look at UE, depending how old your debts are. Don't enter into any "arrangements" with anyone just now, send token payments as I said of £1 while you work out how you are going to deal. A couple of months now could benefit way down the line. Good luck and keep posting

Jilly38

Hiya

Thanks so much for your advice and tips. I have found this forum so helpful and it is a relief to know that others are so helpful in passing on their experiences, advice and understanding. I haven't really told anyone about my situation as, as you say it is rather embarrasing. I just wish I had sought help earlier. I didn't really realise their could possibly be a glimmer of light at the end of the tunnel!

Sorry to be a bit "thick"! but can you confirm what a "UE" is? Thanks for also letting me know that CCCS may be an option for DAS. I did actually take a look at their web site just today. I will give them a call and see what they say. I would be happy to go for a DMP if I thought interest could be stopped.

Do you happen to know that if you enter into a DMP if you own your property and their is equity will creditors try to force you to sell for their money? Two of the companies I owe is Goldfish Baclaycard (£3500) and MBNA (£4500) and so far from what I have read I think these companies may be quite forceful/harrassing. So far Barclaycard have made it quite clear they will take any monies that I have with any other affiliated accounts or companies to off set the debt (not that I do have any monies in any other accounts). I currently bank with Santander so think that I am safe on that front? All together I have 7 creditors and a total of £20k debt!

Well thanks again for the advice. I'll keep posting too. So nice of you to take the time to reply. It is so much appreciated.

kind regards
Jilly:)

Jilly38

Hiya
I'm back again. I am not sure if there is anyone still out there!

Following the last advice on here I took a look at CCCS. After completing their Debt Remedy they suggest a DMP for me. How do I know what is the best route to take now?! I feel I unsure where to turn now as I was going to go with Payplan but changed my mind as I attended CAB and I now feel they have left me high and dry as I do not know when another appt will be. Is a DAS to severe an action for me with the £20k unsecured debts? What do I do meantime???????????????

Can anyone let me know if I should give my creditors a statement of income and expenditure? Should you do this of your own back? I provided one to CAB but now one of my creditors have asked me for one and sent me a form. Can anyone tell me - do I put the whole mortagage on (as it is joint with my partner) or do I split it in two and just put my half? I have only included my monthly payment as our money is separate to a degree and all debts are only mine. I am halfing all monthly bills and just putting down my share. How do you work out the pro-rata payments? The creditors form is asking me to list all my other creditors. I know just don't know what to do now. Can anyone advise?:(

Thanks in anticipation
Jilly

pure_dead_dopey

Hi Jilly

So sorry, been away at the GNR with my DH.

can I sugggest you give CCCS a ring, and discuss the whole situation with them? No one will take your house immediately, it is a very very long process before an unsecured creditor can get near it, and you are a very long way away from that, so try not to worry about that for the moment. They CANNOT take what you haven't got so they can be as forceful as they like, its mostly just huff and puff because they have very very few rights and mostly rely on scaring you into immediate action. I wouldn't send anyone at the moment my I&E until you have it sorted either with a DMP or DAS. A DMP can be set up in around 4/6 weeks, if it doesn't work for you then you could look at a DAS, when we had our DMP that was my immediate plan. As it was, we have 22 creditors, only got 4 phonecalls, people were thick and reading from a script but no one was nasty, and 20 stopped interest, the other two reduced interest eventually. So it wasn't really that scary. UE means unenforceability, and your debts must have been started before 2007 for this to be effective, see here for more info http://forums.all-about-debt.co.uk/index.php.
Don't be bullied into giving anyone private information, just file all such rubbish in the bin. Send a letter saying you are in difficulty and are sorting it out and send tokens of £1 to each creditor, then speak to CCCS and read everything on here. The honest best way to go is to make a informed decision. Good luck and keep posting

Jilly38

Hiya

I just popped by here to see if anyone had called by! I have posted tonight on the Debt Free Wannabe Diaries. I am still trying to get to grips of where the best place for my posts are!!! The information shared here by you and fellow posters is so helpful.

I have called CCCS but the guy I got knew nothing about DAS. I am getting paper work sent out for a DMP though. I'll have a read through and see what I think. It is really hard to know what the best route to take is. I could really do with seeing the CAB advisor but I just have no idea when this will be. I feel I need a little more clarification on DAS and DMP.

I have had calls today from John Lewis and Creation who are after a SOA. I have done one of these so don't know where to send it or not? I get the impression they may be willing to agree to something if they have SOA. I would only been offering pro rata payments which I got from a link from on the forum, which allowed you to complete a SOA and then worked out what to offer your creditors. I haven't heard at all from some creditors but they have all now cashed my cheques that they were sent for half this months minimum payment. Do you know if it is okay to send cheques? I note some people send postal orders. I still have my current account at present with Santander. I don't think any of my creditors are affiliated to them. I have had letters from Barclaycard warning me they will off set monies from any accounts with them to pay of my debts.

Well my head is spinning!! Thanks again Jilly

Jilly38

Hiya

Can anyone advise if this SOA looks okay to send? Any help would be great. I am getting presurred into sending one asap.

Statement of Income and Expenditure

Name

Number in household
1
Account No:

Dependant Children under 14 years
0
Postcode:

Dependant Children aged 14+
0
Date:

Number of non Dependants
0


Number of vehicles in household
1


Calculated on a monthly basis:

Income £

Earnings 1400.00

Total Income 1400.00


Essential Expenditure

Mortgage 525.00

Buildings & Contents Insurance 20.00

Life Insurance 25.00

Council Tax 80.00

Gas 20.00

Electricity 20.00

Telephone & Mobile 40.00

TV Licence 7.00

Car Insurance 28.00

Road Tax 5.00

Fuel 50.00

MOT & Car Maintenance 10.00

Total Essential Expenditure 830.00





Housekeeping

Housekeeping 180.00

Clothing/footwear 20.00

Total Housekeeping 200.00

Other Expenditure
Health (dental, prescriptions etc) 10.00

House (repairs, maintenance) 10.00

Hairdressing/Haircuts 11.00

Cable & Internet 12.00

Total Other Expenditure 43.00

Total Income 1400.00

Total Expenditure 1064.00

Surplus (monthly) 327.00

Debt Details & Offers to Creditors

Unsecured Debt Description
Debt(£) Offer(£) APR
John Lewis: £6000 89.00 16.9%
MBNA: £4100 60.00 34.9%
Barclay Card:
£3600 52.00
Ikea: 2600 39.00
Creation: 2511 39.00 39.9%
Capital One: 2100 30.00 26.9%
Premier Man (Catalogue): 1200 18.00

Thanks
J

pure_dead_dopey

Jilly, you need to send £1 token payments only until you come to a decision. CCCS have a Scottish office and they most certainly do know about DAS cos they were always trying to get me to do one!!! Please don't send anything regarding your income until you have an agreed budget within a DMP or a DAS. They may offer you an agreement but you can be sure they will want as much money as possible and they want more than everyone else, any of the debt charities will work out a budget for you which is reasonable, you must be able to live on the budget and the creditors get what is left, not what the want. People send POs because it is not unknown for crediotrs to lift signatures from one document to another under the guise of reconsititution. You can send £1 tokens by PO or online banking(which is what I did). They will agree eventually to a payment plan and are just harassing you at the moment, don't panic and don't give in. Did you have any luck with a money advisor at your local council??

Jilly38

:)Hi Pure Dead Dopey

Thanks for your reply. I have yet to hear from the CAB advisor. The woman said I would get an appointment sent via post to see money advisor although she said this would be a couple of weeks! As I had at first contacted payplan and was about to set up a DMP but then heard of DAS and went to CAB I wrote to all my creditors to explain my situation. I would have held on a bit longer if I had realised that CAB was going to take so long. I am feeling a bit stuck at the moment as I don't know what advice they would give me and thefore don't know quite how to proceed.

My SOA was completed via "making sense of money" website and gave me pro rata payments for creditors. Did you think my SOA was unrealistic? I did also do one for CAB and they have this. The pro rata payments are also around the same suggested by payplan when I was going to go with them. CAB don't do anything about contacting my creditors etc until I have been again and seen the money advisor. So although I have been to CAB twice now I still don't have any other info on options and DAS. I did phone CCCS but the guy had never heard of DAS. I'll try giving them a call again. When I completed my SOA on the website it did advise me that a DMP would be probably only be a temporary measure for me with the amount of outstanding debt I have - £20k and now only bringing in £24k per annum.

Do you think it is possible to make arrangements with creditors yourself? I have read some posts where people have managed their debts themselves rather than using a third party. I spoke with MBNA today. The woman there said that she could make an arrangment with me and that they would be looking for £68 month although couldn't stop interest/charges at the moment. I said that I was thinking of something like £60 which is what I have on my SOA. She said that I should send in my SOA and then they would take it from there. I was quite worried about dealing with MBNA and Barclaycard as from reading other posts it would appear they can be very difficult. So far I have had a few phone calls and default notices but this has not been as bad as I thought. I have kept in touch with my creditors and hope that this helps. Am I living in fantasy land? I did read something that for the first 30 days or so they can't harrass you......do you know if this is correct and when I default on next months payment this will then change and get a lot worse? I feel like I have dipped my toes into the water but on the edge of falling in.................and drowning!:rotfl:It is just daunting not quite knowing what will happen next.

I feel that if I could arrange payments meantime while I wait again to see CAB this would give me some breathing space. I also wanted to see if I could get something sorted so that my debt isn't spiraling with charges/interest etc. Some of the creditors seemed to think this could be an option but want the SOA first. What do you think I should do? I also have a partner but he is not aware I have as much debt as I do. He does know I have some debt. I know I should tell him but I wanted to try to get something sorted out so I feel like I am slightly in control. Do you also know if it is safe to send payments via internet banking?

Apologies to go on and on and on and on again!!

Jilly