Advising Creditors - any advice?

Jilly38

Hi there
I am quite new to this forum but have found other advice very helpful while trying to find my feet dealing with my outstanding debt.

I wonder if anyone can help by advising me - should I let all my creditors know what debt I have and how much to whom? One of my creditors (John Lewis Mastercard) have sent me a form asking me to complete giving my income and expenditure. The form also asks what other debts and with what companies you have outstanding. Is it okay to give them this advice? So far they have been quite understanding. The form asks about "pro rata payments". I owe the most to them £6000. In total I owe £20k to 7 creditors.

I had been going to go on a DMP with payplan but then heard of the DAS Scheme which operates in Scotland (I am in Scotland) and therefore have been to CAB where I am now waiting to hear from the money advisor. I am not sure how long I will wait. I have also now spoke with CCCS who recommend a DMP too. I would like to still see the money advisor at CAB but am concerned about how long this might take. In the interim I have notified my creditors of my current situation (reduced income) and thefore this month only made half of my minimum payments. I have had some default notices but have not heard from other creditors yet.

Can anyone advise - do you think you can sort out reduced payments yourself or will this only be done via DMP? I am now not sure what the best route to follow would be. My main concern is I am a home owner with some equity. All my debts are in my name and all unsecured. Can anyone advise how long it will be before companies take further action, pass account to Debt Collectors?

Sorry to ramble on but any advice would be appreciated.
Regards
Jilly

reall

Your right to seek further help from a professional.I would suggest that the payments you make to any of the 7 creditors are realistic for yourself until you have been able to make an arrangement.As you may not be giving companies the minimal amounts under the agreement you will default in any case.Different companies have different procedures as to when they pass debt onto debt management companies. contact payplan,cccs or even download material to help to do a budget income/expenditure to figure how much disposable income after paying priority obligations eg.food,house,gas/electric,travel costs and main bills.You can then send them a letter showing that you have worked it out.ALL companies will try to get more out of you but stick to your guns and tell them you are seeking professional unbiased help to sort out your problem.Perhaps to agree an amount for a two-three months until you know what is going on and ask that they freeze interests and charges too.Keep in touch but do not change the amount you give until you are on a programme for example debt management plans as this would affect your integrity.Just keep the money separately Until you restablish and be fair .WORK IT OUT OVER 100% EG.200 POUNDS (DISPOSABLE INCOME TOTAL) list from the highest balance to the lowest look at aprs too .
hope this gets you going
reall