DMP & Mutual Support Thread - Part 8

kellyandmatt

Good Evening Everyone

I hope someone here may have experienced what I am about to ask, as it has made me angry and upset, yet part of me is hoping that the anger and upset is unfounded.

We have been on a DMP for around three years now, opening debts of just under £30K, slowly chipping away has brought it down to a little over £22K. We recently received an Arrears information Sheet from Santander, this is perfectly normal and I normally only glance at them. This one I looked a little harder out and I cant quite understand what I am reading. It shows an opening balance(x) of £7164.56, we have made £550.44 credits(y) through our DMP, the Net balance is £6614.12 (x-y) yet the Gross Balance is £7536.58 (higher than the opening balance). There is a debit for "outstanding interest" of £922.46. Now I may be being thick here but does anyone know if the opening balance in six months time will be this statements Net balance, in which case I have nothing to worry about, or will it be this Statements Gross Balance which means they are adding this amount of interest every six months.

The DMP was starting to get me down anyway, slightly improved after reading through this inspirational thread, but this would be the last straw. I have been advised by somone I know at "TalkMoneywise" that an IVA may be better for me, but CCCS continue to advise me that a DMP is still my best option.

Sorry, I hope this makes sense to someone but I'm pretty damn up tight at the moment!

kellyandmatt

Growurown wrote: »

Thanks Tigsmom and TTFTM. I did wonder about trying to do it ourselves. After all it can't be that difficult because the elements are the most common thing to go so should be easy to get at hopefully.:)
Downside is I might see how grungy the oven is:eek:

As an electrician, elements are very easy to change, also as an electrician please please please make sure you turn the cooker off at the wall, to be super duper safe also turn the circuit off at the consumer unit (fuseboard). Sorry if that sounds obvious just being conscientious.:A

notgotenough£

Hi all.

Quick question. And please don't judge. But what are the consequences of taking out a credit card while on a dmp? Doubt will get accepted but might through vanquis or someone like that?
Thank you

antonic

notgotenough£ wrote: »

Hi all.

Quick question. And please don't judge. But what are the consequences of taking out a credit card while on a dmp? Doubt will get accepted but might through vanquis or someone like that?
Thank you

If your DMP provider finds out your DMP *should* be terminated, as when you start a DMP you agree NOT to take out new credit.

Hopelessly_Hopeful

kellyandmatt wrote: »

Good Evening Everyone

I hope someone here may have experienced what I am about to ask, as it has made me angry and upset, yet part of me is hoping that the anger and upset is unfounded.

We have been on a DMP for around three years now, opening debts of just under £30K, slowly chipping away has brought it down to a little over £22K. We recently received an Arrears information Sheet from Santander, this is perfectly normal and I normally only glance at them. This one I looked a little harder out and I cant quite understand what I am reading. It shows an opening balance(x) of £7164.56, we have made £550.44 credits(y) through our DMP, the Net balance is £6614.12 (x-y) yet the Gross Balance is £7536.58 (higher than the opening balance). There is a debit for "outstanding interest" of £922.46. Now I may be being thick here but does anyone know if the opening balance in six months time will be this statements Net balance, in which case I have nothing to worry about, or will it be this Statements Gross Balance which means they are adding this amount of interest every six months.

The DMP was starting to get me down anyway, slightly improved after reading through this inspirational thread, but this would be the last straw. I have been advised by somone I know at "TalkMoneywise" that an IVA may be better for me, but CCCS continue to advise me that a DMP is still my best option.

Sorry, I hope this makes sense to someone but I'm pretty damn up tight at the moment!

Morning

Sorry to hear your woes.

CCCS appear to rarely recommend an IVA. Pay plan seem to do more often. You can of course seek out a IVA practitioner.

Re interest, there is some guidance that that level shouldnt happen when you are in difficulty. Debtline would be the best people to advice as CCCS arent generally very proactive with these matters.

Another first step would be to submit a formal complaint to the company charging you interest. If you are not satisfied with their response call the FOS and submit a complaint to them, it's very easy to do.

Good luck, please do let us know how you get on.

HHx

Hopelessly_Hopeful

notgotenough£ wrote: »

Hi all.

Quick question. And please don't judge. But what are the consequences of taking out a credit card while on a dmp? Doubt will get accepted but might through vanquis or someone like that?
Thank you

Not judging but why do you need it?

HHx

Tigsmom

notgotenough£ wrote: »

Hi all.

Quick question. And please don't judge. But what are the consequences of taking out a credit card while on a dmp? Doubt will get accepted but might through vanquis or someone like that?
Thank you

Apart from the fact that you are breaking your agreement, IF you get accepted and your creditors find out they won't be very happy because they will think you obviously have some money to be able to make the payments on the new credit card which they will think you should be giving to them. Chances are they will add extra interest on again. If they check your credit report it will all show up there. If you are struggling on your dmp and need more money to live off you need to speak to your dmp provider about reducing payments.

talisker78

Morning DMP-ers.... is that a word? Probably not!

Had a small realisation this morning that I should be applying for child tax credits again. We had to stop in April as we were earning above the threshold but it just occurred to me that I'm now WAY below that threshold again. I made the call and did the application over the phone. It seems I'm entitled to £16 a week! Woo hoo! Every little counts, so very happy about that. they'll probably drop the threshold again next year and I won't get it then but at least until next tax year it will help a little bit.

:j

talisker78

I just got two stars next to my name....wow.

When do you get three?!

Standingtall

Hi All:)

For those of you with Payplan I am please to comment on how simple my Annual Review was. I had a polite email explaining that it was due and that whilst my Creditors are likely to want to see an increase in my monthly payment, it was accepted that this was not always possible.

As it turns out I have been able to increase my payment by around £20 which will be an extra 20% for each of the creditors, so we should all be happy. This is affordable for me due an increase in income (most of which was swallowed up by increased fuel cost - but c'est la vie).:j

I was able to amend my budget online which made the whole process far less stressful.

Well done Payplan, well done Creditors and well done Me:T