DMP Mutual Support Thread - Part 7

Fisyear

Hi as you can see I am new to posting on this site, even though I have been browsing for years. I thought we could control our debts, but it has now got to the stage where the payments are getting too much and we barely have enough for food and petrol, never mind clothing our children. So yesterday I got in touch with Payplan and am hoping they can help us through this difficult time.

I have to get a list of all our debts together and will speak to Payplan early next week. Can anyone help me with what happens next, if I go on a DMP should I change my current account now and have our wages put into another account? If I should do this does anyone know of a bank not connected with Santander, Barclays or RBS? Also how much are you allowed for food, petrol, school lunches and other weekly expenses on a DMP?

There is so much I am unsure of but the stress of all this debt is getting too much, will it get any easier?

ianmak

Fisyear wrote: »

Hi as you can see I am new to posting on this site, even though I have been browsing for years. I thought we could control our debts, but it has now got to the stage where the payments are getting too much and we barely have enough for food and petrol, never mind clothing our children. So yesterday I got in touch with Payplan and am hoping they can help us through this difficult time.

I have to get a list of all our debts together and will speak to Payplan early next week. Can anyone help me with what happens next, if I go on a DMP should I change my current account now and have our wages put into another account? If I should do this does anyone know of a bank not connected with Santander, Barclays or RBS? Also how much are you allowed for food, petrol, school lunches and other weekly expenses on a DMP?

There is so much I am unsure of but the stress of all this debt is getting too much, will it get any easier?

Hi ya and welcome.

It's best to change your account now, and move over to a basic account that doesn't contain an Overdraft. The Co-Operative Bank Cashminder, or the Natwest(?) step account are good bets, though I'm not sure if the latter are linked to RBS?

Not sure on allowances, I get £190 for household expenses, but I live on my own, and I don't have a car now so no petrol. I do spend out £320 a month on train fares though, and I know when I told PP about this they were a bit twitchy and wanted to make sure I could prove I was paying this amount!

Someone will be along to answer more than I can!

Fisyear

Thanks ianmak, I will look into the Co-op bank account as I Nationwide seems to be part of RBS. All advice is greatly received.

the_tooth_fairy

Twit_Head wrote: »

Thanks guys - just trying to have a framework, and keeping to routine is helping me to keep it all together at the moment.

But I'll be back - bigger and uglier than before

Twitty x

I'm so very sorry, words aren't enough really.
It sounds like you are keeping it all together, (isn't that what us women do?) and being the daughter your mother always knew she had.
BTW, you aren't capable of ugly, sorry to burst that bubble, hun!
We will all be very glad to hear how you are doing. Keep posting when you feel up to it.

Very Best Wishes,

ttf xoxoxo

the_tooth_fairy

I have to get a list of all our debts together and will speak to Payplan early next week. Can anyone help me with what happens next, if I go on a DMP should I change my current account now and have our wages put into another account? If I should do this does anyone know of a bank not connected with Santander, Barclays or RBS? Also how much are you allowed for food, petrol, school lunches and other weekly expenses on a DMP?

Welcome, Fisyear! Don't worry, Payplan have a list of the people you can bank with. We have been with them for 16 months, and I can honestly say, it gets so much easier as you go along. The weekly outgoings were my biggest worry,but they allow for a reasonable budget to work with.
Check out the Old Style Money Saving thread. Warning! you will be up all night reading it!
Good Luck, and over estimate your outgoings to Payplan a little, you never know when you need a few pounds to help out with family emergencies. Just remember you are trying to fairly pay back what you owe!

ttf

Fisyear

Thanks ttf, your reply has really helped. Knowing that you have been with them 16 months now and things do get better is good to know.

toots1607

Hi

Does anyone know the answer to this, Im on a fixed rate Mortgage and in April this year it ends, I am also on DMP, dow this effect my rate etc, I have never missed my Mortgage payment.

Thanks

mikon

toots1607 wrote: »

Hi

Does anyone know the answer to this, Im on a fixed rate Mortgage and in April this year it ends, I am also on DMP, dow this effect my rate etc, I have never missed my Mortgage payment.

Thanks

toots1607

Your DMP will not affect your mortgage rate. What will is when your fixed rate comes to an end you may struggle to get another competitive rate as the banks/building society will check your credit rating and being on a DMP you will probably have Defaults registered meaning that banks will not or may not be keen to lend to you and if they do the rates will not be very good.

The alternative is to speak with your current lender and see if you can change mortgage products when the current one ends this may avoid a credit check taking place but I am not sure. Someone else may be able to advise on that.

Hope this helps.

ianmak

mikon wrote: »

toots1607

Your DMP will not affect your mortgage rate. What will is when your fixed rate comes to an end you may struggle to get another competitive rate as the banks/building society will check your credit rating and being on a DMP you will probably have Defaults registered meaning that banks will not or may not be keen to lend to you and if they do the rates will not be very good.

The alternative is to speak with your current lender and see if you can change mortgage products when the current one ends this may avoid a credit check taking place but I am not sure. Someone else may be able to advise on that.

Hope this helps.

Toots, I change to a new fixed rate with my mortgage provider everytime my fixed rate ends. It should be noted that I have a default registered to the same company, though that is for an current account overdraft rather than on the mortgage.

Hopelessly_Hopeful

ianmak wrote: »

Toots, I change to a new fixed rate with my mortgage provider everytime my fixed rate ends. It should be noted that I have a default registered to the same company, though that is for an current account overdraft rather than on the mortgage.

That's encouraging Ian.

I'm with the Northern Rock so not ever so hopeful. Just keep plugging away!

I've just updated my DMP spreadsheet. I have 12 creditors, one due to finish in August. Four have notched down into lower thousand this month, that's a good feeling!

Hope everyone is well.

HHx