DMP Mutual Support Thread - Part 7

copperboom_2

Hello everyone!

I've just been sitting skimming through this thread for the past couple of hours, and it's been making me feel simultaneously relieved and terrified.

I've just gone into work after being unemployed for almost a year (my last day of work was 25th June 2010) and although I managed to keep my head above water with regards to minimum payments (using savings/robbing Peter to pay Paul) for the first six months, at the beginning of this year it all broke down, and I am now behind on payments with 4 credit cards and a catalogue account, as well as being over the limit on 2 overdrafts and in arrears for council tax. All in all I think I owe about £11,000 which is terrifying given I'm only 22, and I feel like a complete failure.

Anyway, when it all broke down in January, I got in touch with National Debtline and they helped me get some informal arrangements in place: I'm paying token payments to 4 creditors, a couple of them have frozen interest and I think 2 of them are defaulting but at least I sort of know where I stand with everyone.

Now I have some more disposable income (I've worked it out to be about £120 a month) I'd like to go into a debt management plan, and will be making the relevant calls at some point this week. I get paid on the 27th of this month so I'd like to get the ball rolling as soon as possible really, but I've got a couple of questions I'd like to ask you lovely people first.

Firstly, between CCCS and Payplan, which would you guys say was better? I know that CCCS are in some way affiliated with the credit card companies which makes me slightly wary.


Secondly, can I include my council tax arrears in a DMP? I'm assuming not, which is fine, but I'd like to know for sure.

Third off, I'm a bit worried about budgeting. The £120 figure is after filling out an I&E form which is in line with the guidelines for expenditure they give you (according to CCCS) and I think I'll be able to live comfortably but frugally within it, but I would love to be able to save a bit for in case the washing machine explodes or I'd like to spend a weekend visiting a friend at the other end of the country every now and again. So I'd like to set up a savings account but last time I spoke to National Debtline they said that any savings or assets I had would understandably have to be used to pay my debts. Am I allowed to keep a small emergency fund? Should I stash the cash under my mattress?

Finally, what sort of documentation will Payplan/CCCS want from me? Bank statements? Wage slips? Would like to be as prepared as possible

Sorry if any of these questions have been asked before but as I said, I only skimmed the thread.

Thanks a lot.

Copperboom

Twins

I just wanted to say a huge heartfelt THANK YOU to everyone on this forum. I really don't think I could get through this without all the advice and support. I am at the very early stage of DMP and I know I have many, many hurdles to get throught but knowing that you are all here is so comforting!! Have a good week ahead all! I hope you all have lots of good luck and less stress from the creditors

ukjs1976

katkins2 wrote: »

Hi folks,

Not been around for a while as my DMP has been plodding along ok. Just spent the last couple of hours catching up on the posts and found you've moved to this shiny new thread.:j

Well, its almost a year since my LBM, can't quite believe it tbh. I was so focussed and motivated to begin with and all was going well up until the last couple of months, not too sure whats happened since then!!! I've been completely RUBBISH at budgeting these past 2 months and am already skint with payday 2 weeks and 1 day away!! I'm just so bored of it all. I know that's a terrible attitude to have and I really need to rein myself back in and fast!

Does anyone else get like this? I know how to budget and was living well sticking to it, its just all suddenly gone out of the window. Think I may have to take myself back to day one and get the old spending diary out.

I'm so annoyed at myself for letting things slip....please feel free to give me a shouting at.....I think I need it lol!

And for any newbies reading this, please ignore my moaning, starting a DMP was THE BEST thing I could've done, even if I do need keeping in order now and then:rotfl:

Hope everyone's having a good day:D

I've been on a DMP since October 2010. I don't think I'll ever forget the feeling of "sick to the stomach panic" I had when I realised the reality of my situation. Anyway, the DMP took all the fear and panic away and continues to do so. What it also does is mean that I have a fairly big chunk of my pay deducted (nearly straight after pay day) to pay off my debt and leaves me with not much to live on. So my way of coping without going broke before next pay day is very regular logging in to my bank acount on the internet so I know "where I stand" and how much I have left to live on..until next pay day. It's not fun, it is boring.. but I would not swap it for the alternative again.

mikon

jcorbygas wrote: »

The address on my statement is

Opus Customer Services
PO Box 136
Sheffield
S98 1HB

0207 871 0464

Thanks jcorbygas for the address. I have wortie a letter but kind of think should I keep quite and just plod and not bother them or should I send the letter requesting statements.

But thanks for all your help.

Mikon

ianmak

copperboom wrote: »

Hello everyone!

I've just been sitting skimming through this thread for the past couple of hours, and it's been making me feel simultaneously relieved and terrified.

I've just gone into work after being unemployed for almost a year (my last day of work was 25th June 2010) and although I managed to keep my head above water with regards to minimum payments (using savings/robbing Peter to pay Paul) for the first six months, at the beginning of this year it all broke down, and I am now behind on payments with 4 credit cards and a catalogue account, as well as being over the limit on 2 overdrafts and in arrears for council tax. All in all I think I owe about £11,000 which is terrifying given I'm only 22, and I feel like a complete failure.

Anyway, when it all broke down in January, I got in touch with National Debtline and they helped me get some informal arrangements in place: I'm paying token payments to 4 creditors, a couple of them have frozen interest and I think 2 of them are defaulting but at least I sort of know where I stand with everyone.

Now I have some more disposable income (I've worked it out to be about £120 a month) I'd like to go into a debt management plan, and will be making the relevant calls at some point this week. I get paid on the 27th of this month so I'd like to get the ball rolling as soon as possible really, but I've got a couple of questions I'd like to ask you lovely people first.

Firstly, between CCCS and Payplan, which would you guys say was better? I know that CCCS are in some way affiliated with the credit card companies which makes me slightly wary.


Secondly, can I include my council tax arrears in a DMP? I'm assuming not, which is fine, but I'd like to know for sure.

Third off, I'm a bit worried about budgeting. The £120 figure is after filling out an I&E form which is in line with the guidelines for expenditure they give you (according to CCCS) and I think I'll be able to live comfortably but frugally within it, but I would love to be able to save a bit for in case the washing machine explodes or I'd like to spend a weekend visiting a friend at the other end of the country every now and again. So I'd like to set up a savings account but last time I spoke to National Debtline they said that any savings or assets I had would understandably have to be used to pay my debts. Am I allowed to keep a small emergency fund? Should I stash the cash under my mattress?

Finally, what sort of documentation will Payplan/CCCS want from me? Bank statements? Wage slips? Would like to be as prepared as possible

Sorry if any of these questions have been asked before but as I said, I only skimmed the thread.

Thanks a lot.

Copperboom

Ok, CCCS and PP are much of a muchness, tho they both calculate payment allocation in a different way.

With Council Tax, I think it's a critical debt, and not one you can include. If you pay monthly, I'm sure any arrears get added onto any remaining payments. That's what happened when I first started my DMP and changed bank accounts (and the council didn't get their payment in time).

I never have any savings, but if you have any extra cash, then yeah you can have a savings account, but obv if you're saving 50 quid a month, that could be better put towards your debt...

mikon

TWINKLE wrote: »

Hi - I would really appreciate any advice, I commenced my DMP in January 2010 and have to date paid around £3000 off my debts (£10,000) to go. I had a couple of shaky moments at the beginning of my DMP, but quickly got back on track again. However, I pay by funds transfer and am due to make a payment of on 10 May. I have had quite a few unforeseen circumstances this month and am struggling to get this months amount together. Does anyone know if my DMP will be stopped if I fail to pay the full amount?

Twinkle

I am with CCCS and have had some unforeseen expenditure like yourself and will be making a reduced payment to CCCS. I am reducing this months payment to creditors by £400. I spoke with CCCS and explained the situation and they were very supportive. They have adjusted this months payment.

They advised me to write to my creditors informing them that a reduced payment was being made this month. They also said that it probably would not cause any problems.

I am resuming normal payments next month, well I say normal I will be revising my monthly payments down by £120 per month due to increase in living costs, petrol etc.

The simple fact of life is that I cannot pay what I have not got.

Hope this helps you TWINKLE.

Best wishes

Mikon

copperboom_2

ianmak wrote: »

Ok, CCCS and PP are much of a muchness, tho they both calculate payment allocation in a different way.

With Council Tax, I think it's a critical debt, and not one you can include. If you pay monthly, I'm sure any arrears get added onto any remaining payments. That's what happened when I first started my DMP and changed bank accounts (and the council didn't get their payment in time).

I never have any savings, but if you have any extra cash, then yeah you can have a savings account, but obv if you're saving 50 quid a month, that could be better put towards your debt...

It wouldn't be anywhere near £50 - more "whatever's left at the end of the month"! But good to know I can still have a savings account.

Council Tax situation is tricky. It's from last year and the reason I'm in arrears is the council's fault - the first six months I lived in the property, they continued to bill the previous tennants despite me sending them many letters to tell them I'd moved in, and even going down to the council office every week. Anyway, after a while they realised there were new tennants and billed us as normal, but when we moved out in August (just after I lost my job) there was about £800 in arrears because of the mess up at the beginning of the tenancy. My flatmate paid his half up front but because I wasn't working I paid mine in instalments - initially £50 a month but now £20 because times are hard. I live in a flat where council tax is already included in the rent now, so it's not tacked on to an existing bill and they're starting to get heavy, insisting on an I&E form to make sure £20 is really all I can afford. Luckily I've just started this job so could probably clear the remaining balance in 2-3 months but it's all very stressful and if I could put it on a DMP it'd certainly make my life a lot easier.

fairsats

mikon wrote: »

Quick question:

Is anyone with OPUS previously CITI. The reason I ask is I am wanting to know if you still receive monthly statements from OPUS? I received regular monthly statements from CITI but since they were taken over by OPUS I have not had one statement anyone had similar experience?

Thanks

Mikon

Yes...I get a statement every month..and they have lowered interest to .695%

ali.rtw.traveller

Hi all, just wanted to drop a quick post to say i'm so pleased with myself this morning, managed to get cap 1 to remove the interest and charges they added for April, these were added the day i called to notify them i was changing from a dmp with Valour finance so a self dmp. Guy on the phone informed me they would continue with no interest or charges as with my previous dmp but lo and behold the statement showed they were added the same day, girl on the phone this morning tried telling me it was because i wasn't in a payment plan with them at that point as i'd not sent in my income and expenditure. Anyway after half hour of her going back and forth they have removed £113 interest and charges and confirmed no more will be added in the future, just feel really happy with this and thought i'd share

TWINKLE

Hi - I've just contacted CCCS about the possibility of making reduced payments to my creditors this month and revert back to my usual payments next month. For some reason my Tax credits have been reduced from last month by £70 per month (wasn't notified as to why by tax credit office). CCCS say they would like to do a review in June to make sure we've enough to live on. They were very nice, so why do I hate making those phonecalls? Hopefully my creditors will be as understanding!