DCA's and debts....

kiwikaz

How long does it take before your debts are passed on to outside DCA's ?

We've currently got 13 creditors and 2 of them with Blair Oliver & Scott who I believe are " in-house " DCA's.

We're on a DMP with the CCCS but would at some point if we're able to offer F & F's at a reduced % of our debt in order to become debt free asap.

The amount of debt me and OH have is horrendous and it's well and truely getting me down.
I would've liked to have been able to do PAD's when I could but have been advised by the CCCS not to do this.

Karen

HappyMJ

Couple of months to up to and even exceeding 6 years. Could be anything. They may even never sell the debt on.

kiwikaz

Oh heck.

Perhaps we could try and do F & F's with our existing creditors ?
We have almost managed to double our payment since starting our DMP so maybe our creditors are hopeful that they might end up receiving the full existing oustanding balance.

As an aside. Has anyone been doing PAD's while on a DMP with the CCCS ?

Karen

Tixy

CCCS are right you shouldn't PAD to your debts as you need to treat them all fairly, so any overpayment should be split equally.
Maybe you could set up a savings account and put your PADs into that ready for when you might be able to make F&Fs.

If your payments are quite high compared to what the original payments before your DMP were then it does reduce the chance that your debt will be sold on. But even in-house DCAs can be open to F&F offers at some point down the line (maybe not at such a low % as external but you might even find they offer you an F&F themselves at some point).

How long is your DMP forecast to last at the moment (if you kept with the current repayment level and didn't do any F&Fs)?

DevonGirl

Hi Kiwikaz

The more I read on the Debt Free Wannabee thread, the more I'm convinced that companies just make it up as they go along. Sometimes you'll hear that a creditor has immediately agreed with a DMP and frozen interest, and then you'll read another post that says theat the same creditor is refusing to accept a DMP and piling on the interest. Of course, everyone's circumstances are different, but sometimes there just seems no rhyme or reason.

Regarding PAD, I've also been looking into this but like you say CCCS say no, as it's favouring one creditor. There are 2 other options - pay the small amounts into a savings account as, as you know, money is quite tight on a DMP and you can use it as an emergency fund or maybe as a treat. Alternatively, save up for F&F offers for some of your smaller debts. I know CCCS don't like that but it's worked for me. None of my creditors have said anything when a small debt has suddenly disappeared off the DMP (18 months ago). Now down to 5 creditors from 7 at the beginning.

Finally, sorry to hear you're feeling down. You say your debt is 'horrendous' but please take a little comfort from the fact that you have been strong and faced up to them, and are slowly chipping away at the total figure. When I'm feeling down, I always have a look on this site at the Long Haul Supporters thread, DMP mutual support thread and also the Debt Free diaries. Maybe use some of your PADs and go and have a little treat today?
DG

kiwikaz

Tixy wrote: »

CCCS are right you shouldn't PAD to your debts as you need to treat them all fairly, so any overpayment should be split equally.
Maybe you could set up a savings account and put your PADs into that ready for when you might be able to make F&Fs.

If your payments are quite high compared to what the original payments before your DMP were then it does reduce the chance that your debt will be sold on. But even in-house DCAs can be open to F&F offers at some point down the line (maybe not at such a low % as external but you might even find they offer you an F&F themselves at some point).

How long is your DMP forecast to last at the moment (if you kept with the current repayment level and didn't do any F&Fs)?

Hi Tixy and thanks for your reply.

Our debts at the start of our DMP were just under 90k. Our initial payment was £ 350, then £ 470 and now is £ 620. Currently we're looking on another 12 1/2 years on our DMP if all stays the same.
As things stand I can't envisage our payments will increase for the forseeable future.
It will be hard to squirrel away cash but I think that may be the best way forward. I don't want to !!!! up our DMP with the CCCS as they've been great and have made our debt situation easier to deal with.
I'll keep my fingers crossed that we may be approached to do a F & F by any of our creditors then and just hope we might be in a position to stump up the cash.

Thanks again for your reply.

Karen.

kiwikaz

DevonGirl wrote: »

Hi Kiwikaz

The more I read on the Debt Free Wannabee thread, the more I'm convinced that companies just make it up as they go along. Sometimes you'll hear that a creditor has immediately agreed with a DMP and frozen interest, and then you'll read another post that says theat the same creditor is refusing to accept a DMP and piling on the interest. Of course, everyone's circumstances are different, but sometimes there just seems no rhyme or reason.

Regarding PAD, I've also been looking into this but like you say CCCS say no, as it's favouring one creditor. There are 2 other options - pay the small amounts into a savings account as, as you know, money is quite tight on a DMP and you can use it as an emergency fund or maybe as a treat. Alternatively, save up for F&F offers for some of your smaller debts. I know CCCS don't like that but it's worked for me. None of my creditors have said anything when a small debt has suddenly disappeared off the DMP (18 months ago). Now down to 5 creditors from 7 at the beginning.

Finally, sorry to hear you're feeling down. You say your debt is 'horrendous' but please take a little comfort from the fact that you have been strong and faced up to them, and are slowly chipping away at the total figure. When I'm feeling down, I always have a look on this site at the Long Haul Supporters thread, DMP mutual support thread and also the Debt Free diaries. Maybe use some of your PADs and go and have a little treat today?
DG

Thanks Devongirl,

As Tixy and yourself have suggested I think I'll try and put PAD's into a savings account and try and build an amount of cash that could be used to pay off our smaller debts at some point.
The thought of paying off our debts over the next 12 years is soooo depressing.
I'm glad we did eventually take our heads out of the sand and deal with them tho I have to say. We're coping ok but as you said it's tight on a DMP and with prices rising it's making it even more so.
Thankfully all of our creditors accepted our DMP and most stopped charges and interest straightaway with the exception of Barclaycard who took a year for my CC but did it immediately for my OH. You're so right there just doesn't seem to be a format they follow when dealing with DMP's.

Karen.