Reducing DMP payment/Moving question

jenevieve

Hi to all debt-free wannabes.....

I am interested in your thoughts on a potential scenario.........

I have had my DMP through CCCS for 14 months and pay £928 a month. I should have paid everything off in 4-5 years (depending on interest and charges accumulating - all of which have been reduced/frozen).

I currently house-share (and have done for 3 years) (which allows me to pay such a large chunk of my wages towards my DMP).

I pay £550 monthly (rent plus bills) and we share food costs. If I were to get a place of my own my outgoings would likely increase by £200 - £300 monthly.
Obviously my monthly payment would have to reduce to accommodate my new outgoings total.

I have 2 questions:

1. Has anyone had any experience of moving mid-DMP and am I right in presuming that it is better to rent privately with good references to avoid the expected negative credit check?
2. Would the CCCS and my creditors be likely to get on board with this?

I am quite keen to get my own place after 3 years sharing. Long-term renting is likely to be a reality for me.
I am just exploring my options so all opinions welcome.
I think I asked 3 questions actually....:D

Many thanks for reading this.

davidjwest

I had DMP with DFH who I was very unhappy with as they misled me and so I got rid of them around 6 months into the DMP. I just wrote to my creditors explaining the situation with an SOA and offered to keep the same payments and they all agreed to this and continued to freeze interest. In theory they may agree to reduced payments but that's probably asking quite a bit - although if you change the standing orders to reduced payments I'm sure they wont refuse them.

One of the creditors has said they are going to review the payments in October, so wish me luck with that one!

Jinx

I administer my own DMP and I regularly update my payments to my creditors, it goes up when I have a contract and down when I dont! I just inform all the creditors of the current situation and adjust the payments accordingly (I pay by recurring online payment) I dont wait for them to 'approve' the change, they get what I can afford.

So basically if you choose to move, that is up to you and your creditors can only get what is available....HTH

jenevieve

Thanks Jinx - you are right; they cannot have what I haven't got.

How long have you done your own DMP? Was it a real hassle when you started? I have been with the CCCS and so they did all the hard work for me.
I guess at least doing your own you can be more flexible and are in full control, although I've no complaints with the CCCS.

Jinx

Hi Jenevieve

I've been doing my DMP since Nov 2004 when I realised I couldnt continue they way I had been....

Using this site as guidance I wrote to my creditors and basically told them I couldnt continue and this is my statement of affairs, I owe you x so you can have y from my available cash.

The creditors did all freeze the interest and they did all default me (totally trashing my credit record) and I have repaid a LOT of money over the last 6 years. (edited to say 23.5k is a lot to me, others owe/have repaid more, Im not detracting from that!)

The upsides are a sense of relief when the DMP is up and running and the fact you know the letters are just standard and not a real threat of court... The downsides are the same repetitive letters from each creditor around twice a month and the trashed credit rating and I changed my number due to the amount of calls and its now x-directory.

This site is amazing.... I dont think Id have had the confidence over the last few years without it...and my now hubby who I met a year into my DMP :kisses2: Support is everything!

We will all get there eventually and the time passes quickly :j

jenevieve

You sound like you've done so well and are completely confident and in control. I had to reduce my DMP payment a couple of months ago for one month due to car repairs. CCCS were brilliant but I had to call my creditors to explain.
I was so scared of actually talking to them as it was the first time I would have done so but it went okay and they were all polite and understanding (which was a big relief!!)

What is most lovely to hear (and I know this may sound a bit sappy) is that you have met someone after starting your DMP. I kind of think I'm washed up and unwanted because I am such a financial idiot!!!

Your post gives me hope.....:o

Jinx

Awwww thanks

I didnt tell my other half the full extent of my debts when we got together, but he knew I had debts. You know its love when they offer to pay off the debts.... (not that he could afford to, I owed so much!)

Fortunately for me, my OH is a tight sod LOL Well not really, but he looks after the pennies so he can spend on stuff that IS important to him... That attitude has been a great help to me, if I had met a spendthrift Im not sure what effect that would have had.

PS We met on an online dating site... worth EVERY penny...:D:D:D Dont wait to be debt free to date, get out there... cheap comedy nights, orange wed at cinema... go for it!

Im not always in control, I have down days, but close friends know my situation and a few are in the same boat so we can be supportive. I think if im truly honest there will always be this low level anxiety until I am debt free...but each month brings it a smidge closer....:)