DMP & Mutual Support Thread - Part 8

ben80

Right, more questions... default is when you first default on the credit agreement and it's issued in a letter, yes? How about missing monthly repayments... do they count or classed as defaults or something else?

sickasachip13... WELL DONE!!

EDIT: Damn, I have 4 defaults, 3 from Feb-June 2009, so 3 yrs to go. Another from Mid 2010, so 4 yrs to go. I reckon on buying a house soon after the first 3 are gone. Will the 4th one cause me to get a terrible mortgage rate do you think?

sickasachip13

ben80 wrote: »

Right, more questions... default is when you first default on the credit agreement and it's issued in a letter, yes? How about missing monthly repayments... do they count or classed as defaults or something else?

sickasachip13... WELL DONE!!

Thanks :-)

I went through all my paperwork and the default notices are clearly marked and have some legal guff on them that must be standard. These are clearly issued and are not just notifications of late payments. Five of our creditors haven't defaulted which is a bit of a bum. I also checked the default status by signing up with noddle for free. They match my paperwork.

SAAC

klfairy

That is brilliant news!! I had visions of slogging to the end of the debt and then still bearing the badge of it for years more.

I'm dealing with CCCS now, who were lovely on the phone. I still think I've a long way to go to convince my OH though. He's quite head in the sand-y and seems to think everything will miraculously somehow be ok.

How does it work with irregular earnings? OH will be paid part basic and part commission. I have based all our budget figures on basic only because we don't know how much extra he'll earn. If he brings home, say £200 extra one month, do we get to keep that extra, or do we have to use it to pay off debts? Not that I'm saying we'd be daft, but it might be nice from time to time to have a treat if he's earned a bit extra (ie a takeaway or a few beers rather than avoiding paying debt iykwim).

ben80

CCCS say not to include overtime in the DMP, so I expect commission will be seen like that. I would seriously consider using any extra each month to pay off debts (most of the time!), you're be really thankful for it when your DMP ends months/year(s) earlier than you thought!

klfairy

ben80 wrote: »

CCCS say not to include overtime in the DMP, so I expect commission will be seen like that. I would seriously consider using any extra each month to pay off debts (most of the time!), you're be really thankful for it when your DMP ends months/year(s) earlier than you thought!

That's good; it's what I thought. I would intend to use most of it exactly like that, but just reserve a little as a reward here and there. I might be able to "sell" it to my OH this way too.

Actually I'm already making progress there. He seems warmer to the idea. I've pointed out that while our debts are getting smaller, they won't be shrinking by much any more since our income has halved. Our credit rating (not great but not terrible) is about to get shot anyway.

ben80

I've only been on here a few weeks, but from what I've read is that a lot of women are having trouble making their male partners face up to it... I'm a man and it took me long enough (i.e. may as well write off the first decade and a bit of this century!), so you're certainly not alone in that. I totally agree about occasional treats too, it serves to remind you of what you could be having regularly etc.

BlushingRose

Hiya gang, anyone able to help me with this question please?
https://forums.moneysavingexpert.com/discussion/4039227

Thanks x

BlushingRose

sickasachip13 wrote: »

BTW, whoop whoop for the SAAC famille. Our debt now begins with a 2 instead of a 3!

Excellent!!!

Congrats x

Time_to_face_the_music

sickasachip13 wrote: »

BTW, whoop whoop for the SAAC famille. Our debt now begins with a 2 instead of a 3! I'll change my sig when I remember how :-)

Keep plodding on folks. We've also lost another creditor, which is fabulous. From 19 to 16!

SAAC

Brilliant news SAAC :T

I love it when one of our debts drops from the X thousands to the Y thousands. Am currently looking at an extra £15 payment to bring our lowest from £1000 and a bit to £900 and something

AmyV_2

klfairy wrote: »

That's good; it's what I thought. I would intend to use most of it exactly like that, but just reserve a little as a reward here and there. I might be able to "sell" it to my OH this way too.

Actually I'm already making progress there. He seems warmer to the idea. I've pointed out that while our debts are getting smaller, they won't be shrinking by much any more since our income has halved. Our credit rating (not great but not terrible) is about to get shot anyway.

When we get more more, we have started putting it away (and spending a little bit on treats). Our experience is that with some creditors, the more you pay them the higher the interest goes. So our theory is, pay them per the DMP, but if we can build up a lump sum separately, wait until the DMP is nearly finished and pay them off with the lump sum.