Hi, new here and want to start a DMP

PatJay

Hi all, just joined the forum and would like some advice if possible.

Two years ago while self-employed, the recession hit me like many others and my income went way down. After years of always paying my credit card debts on time I had problems making the minimum payments. I contacted some of the companies by phone for help, but they were most unhelpful, so reading round the internet I started applying to all of them for copies of CCA's. Most of them sent back very little, ranging from nothing to application forms. I put them in dispute and stopped paying them (couldnt afford to anyway).

Two years and lots of ''letter tennis'' later Im in the same position with the same debts and lots of defaults and threats. Nobody has actually taken me to court yet, but it may only be a matter of time. As for the unenforceability route, I get conflicting messages as to whether or not this still works.

I now have a job and my financial situation is such that I could pay all the credit card companies a certain amount every month by setting up a self-run DMP. The thing is, I would also like to let them know that even though I'm agreeing to pay them some money every month, I would still defend myself in any court case by claiming that they dont have an enforceable agreement. How would this be received by the cc companies?

And can anyone give me any advice on setting up my own DMP?

Tks

PatJay

Tixy

Hi

If you want to set up your own DMP National debtline website is a good place to start as it has a lot of useful template letters etc.

I'm not sure about telling your creditors you would still defend any court action, I think people would usually wait until any decided to actually take action to defend at that point - keeping all the paperwork and copy letters etc to use if it happens.

Being taken to court is very rare anyway - and you say you feel it is only a matter of time - yet if your debts are unenforceable and you have told them are aware of this (or that you believe they are), then your creditors would be unlikely to take you to waste money taking you to court.

Regarding does unenforceability work - well if your debts are unenforceable then they won't be able to take you to court to pay. They can still register defaults on your debts (which I am sure they will have done already) and can still continue to report to the CRAs. So it works in that you cannot be taken to court but does mean your credit file is wrecked for 6years after the defaults are entered.

PatJay

Hi Tixy, thanks for the reply.

I have meticulously kept all paperwork between me and the cc companies, so if they take me to court I'm prepared.

I didnt realise they rarely take people to court, I thought the opposite happened these days, including chancing their arm with reconstructed agreements in the hope that a judge might not be too up on the subject. I thought by setting up a DMP it might keep them away from court, especially as I'm a home owner with equity they might chance their arm.

As I consider them unenforceable, would you think its better paying them nothing, as I've been doing for the last couple of years, with a good chance of them not going to court?

PJ