DMP Creditor Agreement Expiraton

scouselad1974

Hi

I'm 8 months into my DMP with CCCS and everything is going well apart from a problem with Halifax (Aqua)

They accepted my DMP and froze interest from the start, but now without warning have started hassling me constantly, with automated telephone calls every day as late as 11.10pm. Anyway I am dealing with this side of things, thanks to the help I received from everyone on my other post

What I want to know now is, when a creditor accepts your DMP, usually it is for 3/6/12 months ?
When this time period expires, do creditors automatically revert to standard collection tactics etc, or do they contact you, to let you know that your agreement is about to expire.

Aqua did not write to let me know that they had accepted my DMP in the first place, but obviousley they had, as interest was frozen and my minimum repayment was set at my DMP payment.

They did not contact me to let me know that my agreement had expired and the first I knew of it was when I received a statement with added interest and a minimum repayment of nearly 100 times more than my DMP repayment. Is this the norm ?

Should I expect this every 3/6/12 months.

DarkConvict

Sorry to be brief but im in a rush :P

You can stop the phone calls, give this a read - http://forums.moneysavingexpert.com/showpost.html?p=11571485&postcount=4

The DMP is informal creditors can accept, withdraw, change there opinion at any time.

scouselad1974

Hi

Thanks for the link, I have had a letter from Aqua today, stating that they will not set up an agreement with me unless I send them a list of creditors with up to date balances, and proof of income.

This seems strange, as I have been on an agreement with them for the past 6 months, without giving them this information, unless CCCS provided them with this.

CCCS have sent them my proposals on Fri or today, so should I ignore this letter ?

I'm not happy sending them my accounts, as I am Self Employed.

Numpty_Monkey

Ignore the letter and forward it to CCCS ,

Deep_In_Debt

Creditors are not legally obliged to freeze interest at all whilst you are on a dmp.

Creditors work in different ways - some will accept immediately and indefinitely, some will freeze for a period of time and will let you know, and others will just add the interest when they feel like it. I've experienced all of all this.

I'd ignore Aqua's letter and forward it to CCCS - Aqua will have all the information from CCCS already. Ask CCCS to send details again and take it from there.

National Debtline website has a good template letter you could use to write to your creditors to ask them to freeze interest.

scouselad1974

Hi

Thanks for your replies guys

I sent the stop interest letter at the same time as my CCCS budget, and they replied asking for proof of income etc.

As you say they already have this info from CCCS otherwise they wouldn't of accepted my DMP for 6 months in the first instance.

I think it's right that they should ask for an update of your budget every 6/12 months, because no doubt some people do take the !!!!, but it would be nice if they informed you of this before starting collection procedures and telephoning you all day every day up until 11.10pm.

Anyway CCCS have re sent my DMP proposals and I have sent a complaint to their complaints department as well as a copy of my letter to several different addresses I have for them, so It's a case of wait and see.

pure_dead_dopey

Good plan Scouselad,
In my dealings with Lloyds/BoS their collections department reduced interest for a period of 3 months and told me it would automatically start up again in three months if I didn't make contact and reassure them that my circumstances hadn't changed. I asked if they would notify me of this and they said no, on my head, I had to keep them up to date. Now I don't think this is a reasonable way to conduct business but if speaking to them regularly stops or reduces the outrageous interest, I am prepared to do that. So when you get this bit sorted it might be handy to ask them what happens next to spare yourself this type of stress. Of course, the guy I spoke to might just be making it all up but you never know??

scouselad1974

Hi

I totally agree, if it means having interest and charges stopped plus 6 months of peace and quiet I am prepared to send an updated budget and ask CCCS to update them one month before my agreement expires.