DMP advice

kwh

Hi all,

I know there are lots of these posts on this forum, so apologies if my one is taking up space/annoying anyone!
I am in quite a bit of financial trouble.
My main problem is Payday Loans. Payday loans aside, I can afford all of my loans/credit cards without any trouble. However the last year or so, I started out taking one loan here and there for emergencies, then another, and another, and now I've got a lot of them (around 6). And I can't pay them, so everymonth I try to pay what I can but end up extending them and now I'm at a point where it feels like it's never going to end.

My debts are as follows:
Barclaycard credit card- £500 outstanding (o/s)
Egg loan- £9403 o/s, £182 a month
Natwest Bank loan - £2020 o/s, £60 a month
RBS cc - £1100 o/s, £50 a month
Safe Loans - £175 o/s
Toothfairy Finance - £136 o/s
Wonga - £780 o/s
Payday Express - £400 o/s
QuickQuid - £1100 o/s
Lending Stream - £617 o/s
Txtloan - £220 o/s

As you can see- it's a mess.
If I go on a Payplan/CCCS etc, will this help do you think? Or is it best to try and negotiate with the payday loan people by myself?
I'm confused and struggling. I realise this is my own fault but it needs to stop NOW, I can't carry on like this.
Any advise would be great.

FYI, my salary is £1798 a month after tax.

Many thanks in advance.
K

Tixy

Hi - your post is entirely welcome, no need to apologise for it!

Payday loan companies (in general) don't seem to like/respond to people try to negotiate with them direct but most seem to accept DMPs fairly easily if you choose to do one with one of the charities.

Its really hard to get out of these spirals once you are in them. I would definitely suggest you do at least talk to one of the charities to discuss your options.

kwh

THanks for the response Tixy. I've heard some things about Payplan that aren't great... is there a general consensus for the best DMP provider out there?

Stuckinarut

I'm with CCCS for my DMP, and can honestly say it was the easiest thing i've ever set up. The letters and phone calls stopped coming in fairly quickly, and all but one credito accepted there proposals. The one who didn't I sent a letter to and they finally agreed. Ive been with them nearly 2 years and its the best thing I did.

Tixy

CCCS are officially recommended by MSE, they are a charity. And I think overall they would come top of most people's list - see this link
IMPORTANT - Where to seek professional impartial advice about your debts.

Payplan are not officially recommended (as they are not a charity) but they also do not charge fees for running a DMP and many people on here do use them and are happy with the service.
Equally there are some people who have had a few issues with them in terms of trying to sell them other products or missing payments to creditors.

dundeedoll_2

Nothing useful to say at all, just wanted to say how :eek::eek::eek: I was when I saw an advert for quickquid on tv this morning and it said at the bottom of the screen that the interest rate was (something like) 2272%

:eek::eek::eek: OH MY GOD :eek::eek::eek:

saltnvinegar

kwh wrote: »

Hi all,
I know there are lots of these posts on this forum, so apologies if my one is taking up space/annoying anyone!

If I go on a Payplan/CCCS etc, will this help do you think? Or is it best to try and negotiate with the payday loan people by myself?
I'm confused and struggling. I realise this is my own fault but it needs to stop NOW, I can't carry on like this.

Hi KWH :hello:

You're in exactly the right place. Please don't feel you have to apologise for posting!

That first post is never easy and I know it would have been a massive step for you to make it so a big well done for facing up to things and starting to take control.

:T:T:T:T:T:T

Definately speak to the CCCS who are absolutely brilliant and will be able to discuss your options and advise you on the routes you can take.

I would also suggest posting your statement of affairs (SOA) on here as there may be many ways you can save money and pay back your debts without having to look at some sort of debt management.

You can enter one here and publish it to the MSE site:

http://www.makesenseofcards.com/soacalc.html

These would be the best places to start.

I could write a really long post here but wouldn't want to bore you!

It may help you to read my LBM here and I also started a thread on how to deal with payday loan companies here.

Polite warning though - there are serious consequences you need to fully understand before you go down the DMP journey. Hence why its important you speak to someone like the CCCS who will be able to give you all the info you need to make an informed choice.

Best of luck with sorting out your debt and see you on the forum!

Best

SnV

kwh

Hi there,
Thanks all for the replies to my post here. Since my last post I have begun to set up a plan with PayPlan. They've been really helpful. The only thing with the PayPlan is, I have a situation with a Barclaycard. It's my dad's account which I am a named cardholder on, and the debt was basically entirely run up by me. But because it's in his name, I can't include it. The minimum payment is around £110 a month and it's down in the payment plan as a family loan. I explained about this to my advisor but she said that I need to see if my dad will pay it for me at the moment.

He won't. He's already been understanding enough with the other money that I owe to him so it isn't really feasible. Any advice on how I could get around this? I don't want to agree to the plan and then have to pay £110 out of my housekeeping allowance.

Thanks again,
K

kwh

Here is my SOA:
Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 1798
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1798
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 550
Management charge (leasehold property).. 0
Council tax............................. 35
Electricity............................. 15
Gas..................................... 15
Oil..................................... 0
Water rates............................. 18
Telephone (land line)................... 0
Mobile phone............................ 35
TV Licence.............................. 12
Satellite/Cable TV...................... 25
Internet Services....................... 0
Groceries etc. ......................... 210
Clothing................................ 20
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 100
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 20
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 12
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 30
(Unnamed monthly expense)............... 0
Total monthly expenses.................. 1097

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 0

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
Barclaycard....................500.......20........0
Egg loan.......................9403......182.......0
Natwest loan...................2020......60........0
Dad loan.......................5000......200.......0
Micro Lend (PD loan)...........390.......0.........0
Txtloan (PD loan)..............220.......0.........0
Lending Stream (PD lo..........617.......0.........0
QuickQuid (PD loan)............1100......0.........0
Payday Express (PD lo..........400.......0.........0
Wonga (PD loan)................780.......0.........0
Toothfairy (PD loan)...........136.......0.........0
Safe Loans (PD loan)..........175.......0.........0
RBS Credit card................1100......50........0
Total unsecured debts..........21841.....512.......-

Monthly Budget Summary
Total monthly income.................... 1,798
Expenses (including HP & secured debts). 1,097
Available for debt repayments........... 701
Monthly UNsecured debt repayments....... 512
Amount left after debt repayments....... 189
Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -21,841
Net Assets.............................. -21,841

Tixy

Erm...

did you forget to include something on your list of outgoings?;) whats your housing situation do you rent? pay board to parents or anything? if the latter then probably they have just increased your board by £100 per month.

Aside from trying to claw some of it back from something like that it might be hard to find enough to pay it each month.

Tixy

Who is the other adult you live with? do they have an income? are the costs (eg rent, groceries etc) for the 2 of you or just you?
How much have payplan suggested you pay each month?