Floundering around!

happyhaddock_2

Hi all, first post so please be gentle with me:o. After many years of head stuck in the sand and constantantly rolling up and shuffling around our debt on credit cards and loans, we've finally had a major lightbulb moment and decided enough is enough.
We've always managed to make the minimum payments and repayments and never missed any until Jan this year when a couple of unexpected bills knocked us sideways and the wheels have come off:eek:. This has caused us to finally face up to the amount we owe and we have contacted CCCS who have advised us to go on a DMP.

Sooo I have today set up a basic bank account on their recommendation, we've been with our bank for nearly 30 years:( and am just looking for a bit of reassurance and support that we are doing the right thing, if you wonderful people could oblige:D.

The main concern is that most of our debts are not in arrears and the creditors are not aware of any problems, we only have two accounts in arrears, a Halifax cc and Kays catalogue and these have only been missed since Jan. But CCCS have advised us to treat all our creditors the same which I do understand but do we really have to mess up all the ok accounts and what will their reaction be other than furious_pale_

Sorry for the long post but just need a bit of support before we finally commit and burn all our bridges, thanks for any advice:)

fatbelly

CCCS are usually OK. They arrived at their suggested strategy after you gave them full info about your circumstances.

We can't really pass comment unless you give us the same info, so if you want to post a statement of affairs, use this link

http://www.makesenseofcards.com/soacalc.html

pure_dead_dopey

Hi Happy Haddock

Welcome to the forum

We were in a very simillar position to yourselves, big debts which we were managing to service, used up all our savings, some pension payouts and cards were all maxed out. CC companies kept driving up the interest rates, so although we struggled to pay the minimum payment, the balance didn;t actually ever come down so we were peddling like fury and not actually going anywhere, would have been 304 before debts were paid off. We entered a DMP with CCCS on 1st Feb, most of our accounts were up to date and they have all had their reduced payment this month. It didn't really make a difference that we were up to date, the vast majority accepted the DMP with no problem and the only guys who have queries were the nationalised banks, RBS and Lloyd.Hbos, both of whom queried our fall from financial grace. They are however reducing interest,(Lloyds/Hbos and RBS say they will cease interest but because we have not been "delinquent" for long enough, it will take 3 months. So all in all, not terrible and the weight has been lifted from our shoulders and can see a very distant wee light ant the end of a big long tunnel!!

happyhaddock_2

Many thanks for the replies, Fatbelly I don't quite feel up to posting my SOA on here just yet, am still in a bit of shock from finally confronting the position we're in and am happy to go with CCCS just wanted to know what the consequences will be. May post it in time though:)

PDD: I could of written that, it fits us to a T , thanks very much sharing it's exactly what I needed to hear think we're just scared of making the final leap even though it's what we need to do and will make things easier, really fed up of being constantly in debt and struggling:o. Did you change bank accounts and if so was it easy, am dreading this as have been with them years:(

pure_dead_dopey

happyhaddock wrote: »

Many thanks for the replies, Fatbelly I don't quite feel up to posting my SOA on here just yet, am still in a bit of shock from finally confronting the position we're in and am happy to go with CCCS just wanted to know what the consequences will be. May post it in time though:)

PDD: I could of written that, it fits us to a T , thanks very much sharing it's exactly what I needed to hear think we're just scared of making the final leap even though it's what we need to do and will make things easier, really fed up of being constantly in debt and struggling:o. Did you change bank accounts and if so was it easy, am dreading this as have been with them years:(

Hi Happy

Yes I changed our bank account to the co-op right away, I have a visa debit card, no overdraft or chequebook. They supply you with online banking services so no problem paying DDs etc. One thing I will definitely tell you that as far as banks are concerned, there is no such thing as loyalty, it simply does not exist. Their only aim is to get as much money as they possibly can while doing the absolute minimum in terms of customer service. When you apply for a basic account with a bank where you should have no debts, there is no credit check anyway so you will be accepted, then it just a matter of changing the DDs for your priorities and your off. We have a great thread going over on Nataz's thread "Starting my DMP on !st Feb", lots of people starting on the DMP more or less together, we've been helping each other and covering most of the ups and downs, pop over and introduce yourself, some wise heads there who are great.:):) We also have an obsession with shopping in Aldi and the dangers thereof:rotfl::rotfl: Its only money, really.

happyhaddock_2

Thats brill PDD got my a/c with the co-op set up ready so I'll start the ball rolling tomorrow:T will also check out the other thread and do an intro:). I'ts funny after years of not thinking about it I've now gone completely the other way and am not wanting to spend anything;)

bertman

Hi OP, good luck with whatever you decide to do. We had our LBM in January this year after struggling for what seemed like an eternity.
All our debts are (like yours) up to date apart from the Halifax, they let me go on a reduced payment till we sorted ourselves out but then put the difference on the balance which sent us over the credit limit - so they then nicely hit us with £12.00 overlimit fee and a £12.00 missed payment fee each month. Oh and they have also hit us with 3 default notices for December, January and February!!!
We are starting to pay back the debts and moving balances to lower APR's but the Halifax want us to contact the CCCS or similiar which could mean us going onto a DMP, this seems a strange thing for them to want us to do as it could mean us paying them less???
Whatever happens most of the guys on this forum are brilliant, its nice to know there are people out there who will help - and give you support when you need it.

pure_dead_dopey

happyhaddock wrote: »

Thats brill PDD got my a/c with the co-op set up ready so I'll start the ball rolling tomorrow:T will also check out the other thread and do an intro:). I'ts funny after years of not thinking about it I've now gone completely the other way and am not wanting to spend anything;)

I know exactly how you feel, I actually thing i have been kidnapped by aliens, I was the biggest spendthrift ever and now I've gone 2 months without using a credit card and have gone 13 days in Feb withut actually spending any money. Totally unbelievable.

It will be OK:)

bluebag

happyhaddock wrote: »

Thats brill PDD got my a/c with the co-op set up ready so I'll start the ball rolling tomorrow:T will also check out the other thread and do an intro:). I'ts funny after years of not thinking about it I've now gone completely the other way and am not wanting to spend anything;)

Hehehe, funny how that happens isn't it? Moneysaving gets to be quite an exiciting challenge! Keep with it and you'll be OK.
It's quite simple really, spend slightly less than you earn, save a little and pay up front for everything. Easy to say, quite hard to do these days though.
Wishing you all the very best.
bb.

happyhaddock_2

Aww thanks very much for the kind words and support it really means a lot. I must admit I got quite choked at the end of my tele call to CCCS, I think it's just such a relief to finally confront it all .

Bertman, Halifax is our biggest problem as well, it was after talking to them, they were particularly horrible:(, that I realised that we couldn't do it on our own and decided to take action, so perhaps they did us a favour really:rotfl:

Thanks again guys:T