Update on DMP since 2007.

sam89

Thought I'd post this here too, hope that's OK .

Hi Everyone, just thought I would pop in, say hello :wave: and give a quick update on our DMP. Nice to see some familiar names, big hugs to anyone who remembers me.

We've been on a DMP with Payplan since Sept '07 and since then have reduced our debt from £104,000 :eek: to £59,000 .

All our creditors have stopped interest, some really quickly (M&S, HFC, Capital One and MBNA). The lady at M&S was so lovely and understanding she made me cry, but I know you'll understand how emotionally fragile you are at the start of a DMP .

First Direct were our biggest creditor (£20,000) and also accepted straight away but charge interest at 0.5% above the base rate; which is fine and is about £17 a month just now.

Citibank and Egg took about 3 months to accept but since then have applied no interest.

Debenham's credit card was awful, lots of phone calls and applied huge amounts of interest (they increased our rate as soon as they knew we were in trouble). They sold the debt to CL finance after 6 months and they have been fine to deal with, zero interest and just a monthly statement.

Lloyds TSB were the biggest pain of them all. A year and a half of agreeing, then withdrawing agreement, applying interest some months and not others. Constant phone calls and rude, ignorant phone monkeys. I passed everything to Payplan initially but Lloyds ignored them, then I got angry :rotfl:. A recorded letter to their chief executive, stating we refused to deal with them by phone, explaining our DMP and requesting interest stopped. Next statement came with a refund of interest, no calls for over a year now and just a monthly statement with zero interest :j.

During this time we've managed to live quite comfortably and I initially told people we were tightening our belts due to the credit crunch/recession, no-one blinked an eye-lid. I think there are a lot more people in debt and worried than we realise :cool:. We saved up for and bought a car (£600 ) and have a holiday booked and paid for in September. I totally sympathise with those who're struggling to budget, 3 years into it and I still have months where we overspend but on the good months I'm able to stash away an emergency fund and so far it's always balanced out.

So, I hope that I've given hope to those thinking about or just starting a DMP. The creditors eventually accept they will get what you give them. You can live life on it, it's the best thing we ever did and in another 3&1/2 years we'll be debt free. It will be like winning the lottery :T.

Good luck to all and I'll try to pop in a bit more often to see how you're doing :beer:.

Cat-astrophe_2

Hello,
Thank you for this 'look into the future'... I'm just starting a self-managed DMP and so far 4 out of 9 creditors accepted (I sent letters and 1st round of cheques out 1 month ago).
I was worrying about the budgeting side of things, as I have never budgeted in my life (hence me getting into this mess) and was wondering how people afford Christmas and birthdays.
However, I'm going on holiday to Brighton next week with my sister.. and obviously not using credit cards! Eeek I thought.. but already have the cash for the hotel ready and waiting It's amazing how much you think about buying stuff when all you can use is your debit card - I wish I had done that years ago!
Ah well, here's to my *ahem* years on the DMP and look forward to hearing about your 'lottery win' when you reach your DFD... have you any plans for then?

mummum2

Wow, that's fab, congrats to you both. I also started in the Sept of '07 with debt of 64K, now at 37K, was with a paying DMC and took it upon myself to self manage in april this year. All good well, thank the Lord, still Lloyds have not stopped interest with me, but paying back at a lower amount. DF 2014, but hoping/pushing/praying to get this done in 2012!!

We will get there and yes, I think it would be like winning the lottery. Can't wait, then massive surge to pay off mortgage, then saving account hoping that none go down the route of C/O.

MM2

Stokers

Thanks Sam - I started a DMP via Payplan at the start of the year oweing £50k.

Most of the Creditors have been pretty good but everytime I start to feel slightly better another letter or phone call arrives to rock the boat.

Your post has arrived at just the right time. There is light at the end of the tunnel.

Many thanks

Stokers :j

Happytogetdebtfree

Well done sam89 thats great news i wish you all the best x

true27

Thanks for sharing Sam89 - I'm just starting out with PayPlan and its fantastic to hear such a success story as yours !!

dmb_2

Thanks for update. It's good to hear from people further on down the line.

I started my DMP with CCCS last December and so far everything going well. My main problem is being able to save money in an emergency fund. I can budget ok and have set up two online internet savings accounts - 1 for 'building up' fund and 1 for car tax, insurance and so on. I put money into these accounts on payday but towards end of month end up raiding them again. One has now got £1 the other about £8:eek:

Any tips gratefully appreciated

Good to hear that you're doing so well:)

Deep_In_Debt

Well done Sam.

I started my dmp with CCCS in Jan 08 and some creditors immediately accepted and others took a while. One even had the gall to send a doorstop collector but I wound him up and after that, the creditor accepted my dmp and still have.

I had a fair bit of hassle from Hellifax and I wrote to the world about it. They soon stopped their harrassment and apologised. That was in Oct 2008 and since then, I've not had a call from any creditor. I get the odd letter which just gets filed in the shredding pile.

It was a bit of a rollercoaster to start with but for the last 18 months or so, it's not really been a problem.

Good luck.

mikon

SAM89

What an inspiration, I have just made my first DMP payment to CCCS who will distribute it to my creditors all accepted except Barclay Bank. It is great to read that the rollercoaster ride of ups and downs at the beginning do pay off and things do settle down. Reading your story has inspired me well done to you both. I just hope mine runs a smoothly as yours.

Regards

loupoppins

well done, great to hear good stories.:T
Our DMP is a nightmare...dont understand where we're going wrong.:(
Total debt of just under 50K:eek: Been on DMP for just over3 years with CCCS. All creditors (5) a nightmare initially. So far 2 CCJ's and 1 Charging order:(:( LLoyds initially accepting our payments...still adding interets though,now after 3 years have decided not to and are threatening court action. Totally skint every month.Trying to raise 6 kids on nothing. No chance of being debt free for about a million years, and just had enough really....:(:(
Anyway,glad to hear DMPs do work out sometimes!;)

at_my_wittsend

sam89 wrote: »

Thought I'd post this here too, hope that's OK .



Lloyds TSB were the biggest pain of them all. A year and a half of agreeing, then withdrawing agreement, applying interest some months and not others. Constant phone calls and rude, ignorant phone monkeys. I passed everything to Payplan initially but Lloyds ignored them, then I got angry :rotfl:. A recorded letter to their chief executive, stating we refused to deal with them by phone, explaining our DMP and requesting interest stopped. Next statement came with a refund of interest, no calls for over a year now and just a monthly statement with zero interest :j.
:beer:.

Please could you give me the address you wrote to? I need to send them a letter. Been on my DMP for 2 years almost and they have been awful to deal with throughout and now they are getting worse. Am paying them what I can afford and now they are taking me to Court, nice.

Re CCCS, in the beginning I found them to be brilliant but now, everytime I call them to say Lloyds being a pain or some other problem, all they say is I have to phone the creditors and deal with it. I have told them that Lloyds wants info from them, all I get is, I need to speak with them. Also notice that they keep pushing to up the plan and cutting stuff back on my outgoings to up the money, not good.

Really worried that if I end up going to Court over Lloyds or other debts, they will take into account my situation as it stand today but I know every year my financial circumstances change and in 3 years time will completely change and will not have the money I have today as my entitlements for tax credits and child benefit will have ended and I will be left relying on my wage. The whole thing scares me. Having paid off £4000 over the last two years the total I owe is more than it was 2 years ago because Lloyds just add whatever they feel like in interest and charges and back payments. :-( I will never pay off what I owe. This was explained to me from the start that interest might not get stopped etc but you would hope companies can see you are making every effort to pay it all off.

I can't go b/rupt because of work and home - rented but have a clause to which I signed, I would be evicted if declared b/r or did IVA.

Have so much other stuff going on in life that is more pressing than the above money worries at the moment are really not needed to be at the foremost of my mind. It's all just getting too much. A very long dark tunnel with no light.

Also, anyone know, what happens on a DMP if a partner was to move in? Again, all my money would drop and whilst I would have someone living with me, they wouldn't be able to give me a match on what I would lose? I know we wouldn't open up any joint accounts etc but I don't want them being chased for my debts.

What a flamming mess :-(