DMP Mutual Support Thread - Part 7

Raksha

I just thought I'd say 'hi' to everyone else on the good ship DMP. We are about to start ours with PayPlan after struggling for more years than I care to think about paying out more than we could afford. Even though I've just been made redundant, we will have more available cash than we did when I wasearning. We can finally, legitimately begin to 'live', the kids can have some pocket money, and we might even get a day out or even a holiday as a family.

mikon

Hi everyone

Looking for some advice on Full & Final Settlement (F & F).

I am on a DMP with CCCS and have been for 8 months. Four of my debt are

£238
£195
£75
£128

I have been offered £300 to pay them off by a relative and I was thinking of writing to them and asking them to accept 40% of the final figure.

My concern is how will the other creditors view this, will it cause them to re apply interest. The up side is more money will be available on a monthly basis to pay them back. Also how do CCCS view partial F & F.

Has anyone gone down this route I am seriously thinking of doing this it will reduce my creditors from 11 down to 7.

Thank You.

Hopelessly_Hopeful

Just passing through but wanted to wave hi and welcome to the Newbies in particular

HHx

suze72

mikon wrote: »

My concern is how will the other creditors view this, will it cause them to re apply interest. The up side is more money will be available on a monthly basis to pay them back. Also how do CCCS view partial F & F.

Has anyone gone down this route I am seriously thinking of doing this it will reduce my creditors from 11 down to 7.

Thank You.

Hi Mikon

I haven't gone down this route myself, but I have read posts saying that CCCS do not look favourably on this.
I suppose the issue could be that the remaining creditors may think you have more money than you admit to on your soa. Mind you I'm not sure how much information your creditors have access to re how much you pay the others.

suze72

B17c wrote: »

I'm starting a DMP with the CCCS on 1st of Feb and i have set up a new bank account as i have a loan and overdraft with my current bank ( firstdirect)... do i need to have cancelled my firstdirect bank account before my DMP starts? Wages will not be going into that account anymore but could firstdirect still take money from it anyway for my loan repayment, (although i HAVE cancelled the direct debit,) making me overdrawn over my limit and then charging me for it?? Or do i not cancel any accounts and just let CCCS and creditors come to arrangements?

Hi there

I had this problem when I started my DMP. I didn't think about formally closing the bank accounts, and as a consequence ended up with a load of charges for unpaid loan and credit card (despite cancelling the direct debits), so definitely close the account if you can.

toots1607

Hi Guys

Just wondering if anyone has had this problem when they were on a DMP or is it just me. I seem to find that after everything is paid I have not a lot to live on for the week. Does this get better as your debts go down or worse I know this is a silly question but all I seem to do is worry were the next pound or two pound is. Thanks for listening guys .

Raksha

I thought that the whole idea of a DMP was to give you enough to live on (so long as it's not extortionate) and then use what's left, divided equally) to pay off your creditors.

Raksha

suze72 wrote: »

Hi Mikon

I haven't gone down this route myself, but I have read posts saying that CCCS do not look favourably on this.
I suppose the issue could be that the remaining creditors may think you have more money than you admit to on your soa. Mind you I'm not sure how much information your creditors have access to re how much you pay the others.

I may be wrong, but as I understand it, if you do have a lump sum available to pay off debts, you should pay it all to your DMP company who will then divide it equally between all your creditors.

ianmak

toots1607 wrote: »

Hi Guys

Just wondering if anyone has had this problem when they were on a DMP or is it just me. I seem to find that after everything is paid I have not a lot to live on for the week. Does this get better as your debts go down or worse I know this is a silly question but all I seem to do is worry were the next pound or two pound is. Thanks for listening guys .

You just need to make sure everything is accounted for in your budget. It's taken me over two years to get a handle on budgeting, and I've decided the only way to do it is work out how much you can live on per week and stick to it.

So £40 for me, that's for food and everything else. I do a small weekly shop for the week, then leave the cashcard at home when I go to work, and take enough cash for the day. A couple of quid if need be!

You'd be surprised where your money goes, a coffee here, or an extra treat here... also work out how much you spend on food.

ianmak

B17c wrote: »

Thats what i plan on doing, i think thats a good idea... i think there is also a template letter somone has posted somewhere that says something along those lines if they start calling you all the time... something about harassment and you will only respond to letters...?!

I'm starting a DMP with the CCCS on 1st of Feb and i have set up a new bank account as i have a loan and overdraft with my current bank ( firstdirect)... do i need to have cancelled my firstdirect bank account before my DMP starts? Wages will not be going into that account anymore but could firstdirect still take money from it anyway for my loan repayment, (although i HAVE cancelled the direct debit,) making me overdrawn over my limit and then charging me for it?? Or do i not cancel any accounts and just let CCCS and creditors come to arrangements?

The bank will close the account anyway. If your loan is with the same bank, then they will offset and take the money anyway, regardless of it taking it over your OD, and adding charges etc.

Best hope they accept and stop adding charges quickly!