DMP - think I made a mistake

Mookiemoo_2

It will because I havent started the DMP yet

I wanted an IVA but because I have a share in a house I can't go that route


I can stop the DMP now before I begin it and tallk to my credit cards tomorrow

I used pay plan who several of my friends got IVAs through but when IVA was not an option (due to house) they offered a DMP and it seemed so nice - paying X amount in one payment - declaring 30K and paying everything else through my company

Seems I'm going to have to try to fix this

Mookiemoo_2

Not - I have not made the first payment yet so will talk to cards tomorrow even though BC are in !!!!!!! india

Mookiemoo_2

only wanted the DMP so I could be stress free!

pmf63

Mookiemoo wrote: »

only wanted the DMP so I could be stress free!

I am not sure what you were expecting here. Did you not realise that any kind of financial arrange would effect your credit rating?

To be honest, the damage has been done and I agree with Hannah, you just got to make the most of what you have left. I don't think your question should be 'how do I stop/get out of it?' but it should be 'how do I minimise the damage?'

If you can pay off the default in full they will ammend you record as settled but the effect of the default will be there for six years.

ghostmadlittlemiss

So maybe she hasn't had her LBM completely yet. She's not the first to post on here before they really understand what a mess they're in and she won't be the last. But tearing her a new one for not being at the same level as others in her DF journey isn't going to help her come to that realisation, it'll just start a 'Me vs Them' mentality that means that when she truly needs help, she won't ask for it. We have a reputation as the friendliest board on MSE here, let's not ruin that and turn into Discussion Time in the Moneysaver's Arms just because a woman with a high income hasn't realised quite how knee deep in cack she is.
Kayleigh

CH27

Mookiemoo wrote: »

Thats the point - I have 15K in the bank and 60K in equity and an income of 4K a month but I stil cant rent a poxy 750 month flat!

If you have so much, why are you on a DMP?

ceejaydee23

and I know I'm no judge and jury, BUT how on earth would this person become so much "in debt" if they were never on the electrol roll? As surely thats one of the biggest things that any place giving any kind of credit would look at, as the proof of residence?

saltnvinegar

Apologies to the OP if this really isn't the case but I'm afraid I detect a troll here who is just looking to wind people up, theres just too much that doesn't ring true.

However if that is not the case then my advice is this...........

It sounds like you have been contacted by some dodgy debt management company who has told you want you wanted to hear and promised that you can 'wipe off your debts' or similar.

An IVA for someone in your position is just stupid and so is a DMP (based on the limited information you've posted so far). The reason I say this is:

1) You have massive equity in your jointly owned property which you do not live in. Your creditors will see this and go for a charging order on that property. Unless this is still your family home (and what I mean by that your OH and children still live there) you will have very little protection from preventing your creditors getting this granted.

2) You have £15k in savings. There is no point in having savings when servicing a credit card/loan balance. You should be using this to pay off your CC balances

3) Earning £80k a year you claim to be able to pay back the arrears/balances, and seem to be able to service your debts fine, so would suggest you are not (while in contract) in any financial difficulty.

A DMP is a voluntary agreement where your creditors agree to reduced payments if you can demonstrate you are in sustained financial difficulty. If you cannot demonstrate this your creditors are VERY unlikely to accept a reduced payment as you are effectively a 'won't pay' rather than a 'can't pay'.

What I would suggest is you post your Statement Of Affairs (SOA) using the following site:

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

Once you have completed this you can post the results directly to this forum and the members will be able to tell you whether a DMP is right for you or not (but based on what you have said so far I really suspect not) but also how you could reduce your debt liability on your current income/expenditure.

As far as what has already happened.......

If you have been defaulted correctly you won't get it removed

Its just as likely the lack of address history (electoral role) thats preventing you renting rather than one default. Look at it from a landlords point of view, you have a load of cash, willing to pay 3-6 months rent up front, but you have no address history, and a couple of missed payments on the credit file you do have. I would be worried about my rental property being turned into a cannabis factory!!

You need to deal with whats happened, and accept you may have to move to a different area where you will be accepted by a landlord.

Best

SnV

Mookiemoo_2

I am not a troll and it is 100% genuine.

I ran up the debt over a four year period where I had a problem with depression and alcohol.

I can pay it but I didnt want the constant stress of worrying what happens when I come out of contract.

No, I'm not a snob and I am not looking down on people. Fact is, 750 month rent on a 2 bed flat is not a lot - I'm not talking a 2K penthouse

but you know, I'll just go back to digging myself out of the mess thanks for nothing.

And the reason I had to borrow money from my mom is simple - current client pays 30 days in arrears, previous client within 3 days - so I had no income at all for three months.

Now, I just got paid 15K - the reason I looked at the DMP was to try to smooth tings over

Thanks vfor nothing guys.

Mookiemoo_2

Note - until I went the DMP I had no issue with getting credit at all - I just wanted to do it more easily and without the hastle - and since I didnt want credit I had no problem with taking the hit

I just didnt think it would affect me being able to rent