My DMP experience

vixx

I have received so much help and advice on these boards that I thought I would add my own experience of setting up a DMP with Payplan.

I started off with aprox £29k of unsecured debt, racked up over the years of being silly with money whilst a student and living above my means after I graduated.

My lightbulb moment happened in May this year when the credit ran out and I was unable to meet the minimum payments for the first time.
I made an appointment with Payplan and they have been fantastic.

It all went ahead and PP took care of everything. I assumed I would get hounded with calls and letters. I have 8 accounts with 6 creditors.
I didn’t hear a peep, not a letter or single phone call from anyone. This was a massive relief. I know a lot of people panic over this but I really didn’t hear a thing.
It was such a relief.

I will pay £256 a month, and if all interest is stopped, will be on a DMP for 8 years. I aim to make full and final offers before this.
I was paying around £800 per month before and really struggling to live.
If I’d have continued as I was, I would never have been debt free as I was only paying the minimum, and every time I got a bit paid off on something, I was using it to live off.

A couple of weeks ago, I got letters from 4 of my creditors, all accepting my DMP and agreeing to stop all interest and charges.
Two have defaulted me straight away.
So it leaves 2 accounts that haven’t confirmed agreement yet (the smallest ones, funnily enough) but I am optimistic they will fall in line eventually – they have to!

I must add, all of the letters were really lovely, thanking me for letting them know of my situation and not threatening at all.

So, I am 2 payments in to my DMP, very new I know, and I’m ready to face any problems that arise in the future, I know there is a chance some of my creditors won’t continue to be so nice.

I just want to urge anyone in debt crisis to bite the bullet and seek advice from one of the non-fee charging companies. I was scared out of my mind every month that I wouldn’t be able to afford everything. It was causing me stress in my relationship, I felt tearful all the time.
I thought I’d never be able to have a baby as we couldn’t afford it, never be able to get a mortgage or have a nice car.

My OH went bankrupt last week so we are both dealing with our situation and can now expect a happy, debt free future. I can't wait for the day we are both free from the shackles of debt.

Now I feel like a massive weight has been lifted and I can see light at the end of the tunnel, I feel that I have been given a new chance to set my life on the right track and make plans for the future.

I am sticking religiously to my budget, and making savings where I can to put some away in the hope I can make full and final settlements in a couple of years time and finally be debt free for the first time since I was 18 years old. It feels good.

fermi

Thanks for that.

Positive experiences are in the majority I think. Problem with a forum like this is that people often only post when things are going badly, so posting something like this helps set the balance back a bit.

vixx

fermi wrote: »

Thanks for that.

Positive experiences are in the majority I think. Problem with a forum like this is that people often only post when things are going badly, so posting something like this helps set the balance back a bit.

Thanks Fermi, that was my intention. I've got so much help from these boards that I just wanted to reassure people it can be done and your life doesn't end after things like this, it begins again.