DMP & Mutual Support Thread - Part 8

sickasachip13

Hi all,

So, hit with a bit of a bombshell.... tax credit nightmare. The darling son turned 18 earlier this year and the tax credit stopped. Fair enough. But now tax credits have written a couple of times saying there had been previous overpayments (god knows how as we were always honest with them and we're never more than a couple of quid out on our estimates across the years). I spent literally hours trying to get through to them on the phone, pretty much gave up. Now we've had a letter demanded £1600:eek:

Now obviously I'm going to appeal it as I genuinely don't get it at all. BUT, if it sticks, how would this be treated on a dmp? I really don't want it to mess the whole thing up .

SAAC

Hopelessly_Hopeful

sickasachip13 wrote: »

Hi all,

So, hit with a bit of a bombshell.... tax credit nightmare. The darling son turned 18 earlier this year and the tax credit stopped. Fair enough. But now tax credits have written a couple of times saying there had been previous overpayments (god knows how as we were always honest with them and we're never more than a couple of quid out on our estimates across the years). I spent literally hours trying to get through to them on the phone, pretty much gave up. Now we've had a letter demanded £1600:eek:

Now obviously I'm going to appeal it as I genuinely don't get it at all. BUT, if it sticks, how would this be treated on a dmp? I really don't want it to mess the whole thing up .

SAAC

Sorry to hear this.

Tax is priority debt as far as I am away so you'll be allowed to reduce dmp whilst you pay it back.

Have you told HMRC you are on a DMP and asked for your payment options?

HHX

April99

Finally faced up to our mess yesterday, called cccs. Going to do us a dmp. She told me to cancel our dd's but I just can't bring myself to do it. I'm scared. We have no choice really. Keep thinking what if we plod along as we are, be more careful with money etc... But have tried it do many times, always pay the loans with a struggle but overdrafts and cc are a nightmare! Feel very ashamed We have got our selfs into this, my parents would be devestated if they knew we owed 28k and have nothing to show for it. Shocks me to be honest. Feel like I've let my children down too - not that they know about it but just feel like a bad mum. Husband is worried about the dmp too. I'm scared of the calls etc.. Can anyone find out about this? Is it likely we will get a ccj? Scared everything will get taken away from me. Really need some reassurance please. Can they take our house? Or is that totally safe providing we pay our mortgage?

Growurown

April99 wrote: »

Finally faced up to our mess yesterday, called cccs. Going to do us a dmp. She told me to cancel our dd's but I just can't bring myself to do it. I'm scared. We have no choice really. Keep thinking what if we plod along as we are, be more careful with money etc... But have tried it do many times, always pay the loans with a struggle but overdrafts and cc are a nightmare! Feel very ashamed We have got our selfs into this, my parents would be devestated if they knew we owed 28k and have nothing to show for it. Shocks me to be honest. Feel like I've let my children down too - not that they know about it but just feel like a bad mum. Husband is worried about the dmp too. I'm scared of the calls etc.. Can anyone find out about this? Is it likely we will get a ccj? Scared everything will get taken away from me. Really need some reassurance please. Can they take our house? Or is that totally safe providing we pay our mortgage?

Hi April99 - Please be reassured that going on a DMP will not land you up in court with CCJ's or bailiffs knocking at your door. There are a lot of us here and if you read the posts you will see that it very rarely gets that far. As long as you keep up your payments there should be no problems. I am really glad we went into a DMP. Like you I was worried and scared but over a year in I can honestly say it really hasn't been that bad. Yes at the start there were some phone calls but not nearly as many as I thought we would get. I think too that because you are going through CCCS things will be easier for you. They are very helpful and reassuring if you have any concerns. We spent many years struggling to make even minimum payments and the debt never seemed to go down, but now we are making real inroads into what we owe. Although we have to be careful about our spending life is so much easier now. I don't worry now whether I can afford to put petrol in the car, or how I can pay for the groceries. That is all budgeted for.

Many people do feel ashamed that they got themselves into such a mess but at least you are trying to sort it out and are willing to pay your debts and facing up to the problem. So cancel those DD's, start your DMP and start looking forward to a debt free future. Let us know how you get on.

Hopelessly_Hopeful

Morning and Welcome April

I agree entirely with GUO.

Please read the back pages, it's very empowering.

Welcome to your new life, you have already done some of the hard bits, think about what you have achieved not just what you have left to do.

You can start building your new life today.

What's the alternative.... yeah that the decision we all came to too!

Looking forward to getting to know you.

HHx

lizzy23

Growurown wrote: »

Hi April99 - Please be reassured that going on a DMP will not land you up in court with CCJ's or bailiffs knocking at your door. There are a lot of us here and if you read the posts you will see that it very rarely gets that far. As long as you keep up your payments there should be no problems. I am really glad we went into a DMP. Like you I was worried and scared but over a year in I can honestly say it really hasn't been that bad. Yes at the start there were some phone calls but not nearly as many as I thought we would get. I think too that because you are going through CCCS things will be easier for you. They are very helpful and reassuring if you have any concerns. We spent many years struggling to make even minimum payments and the debt never seemed to go down, but now we are making real inroads into what we owe. Although we have to be careful about our spending life is so much easier now. I don't worry now whether I can afford to put petrol in the car, or how I can pay for the groceries. That is all budgeted for.

Many people do feel ashamed that they got themselves into such a mess but at least you are trying to sort it out and are willing to pay your debts and facing up to the problem. So cancel those DD's, start your DMP and start looking forward to a debt free future. Let us know how you get on.

Hopelessly_Hopeful wrote: »

Morning and Welcome April

I agree entirely with GUO.

Please read the back pages, it's very empowering.

Welcome to your new life, you have already done some of the hard bits, think about what you have achieved not just what you have left to do.

You can start building your new life today.

What's the alternative.... yeah that the decision we all came to too!

Looking forward to getting to know you.

HHx

thank you both this is exactly what i wanted to log on and read this morning, this is exactly whats worrying my OH, that we may end up with ccj's and stuff, well todays the day some of my creditors find out that they won't be getting their full payment this month, its funny but i have just had my credit limit doubled on 2 of my cards and when my oh rang Santander to get a settlement figure they offered him another loan, just shows its still relatively easy to get in a mess

Time_to_face_the_music

sickasachip13 wrote: »

Hi all,

So, hit with a bit of a bombshell.... tax credit nightmare. The darling son turned 18 earlier this year and the tax credit stopped. Fair enough. But now tax credits have written a couple of times saying there had been previous overpayments (god knows how as we were always honest with them and we're never more than a couple of quid out on our estimates across the years). I spent literally hours trying to get through to them on the phone, pretty much gave up. Now we've had a letter demanded £1600:eek:

Now obviously I'm going to appeal it as I genuinely don't get it at all. BUT, if it sticks, how would this be treated on a dmp? I really don't want it to mess the whole thing up .

SAAC

Ugh am really sorry to hear that SAAC

My daughter has had a nightmare with tax credits over the last couple of years and never knows from one week to the next what is going on. And I have heard stories like yours from so many other people. They really need to get their act together and stop messing people around :mad:

Time_to_face_the_music

April99 wrote: »

Finally faced up to our mess yesterday, called cccs. Going to do us a dmp. She told me to cancel our dd's but I just can't bring myself to do it. I'm scared. We have no choice really. Keep thinking what if we plod along as we are, be more careful with money etc... But have tried it do many times, always pay the loans with a struggle but overdrafts and cc are a nightmare! Feel very ashamed We have got our selfs into this, my parents would be devestated if they knew we owed 28k and have nothing to show for it. Shocks me to be honest. Feel like I've let my children down too - not that they know about it but just feel like a bad mum. Husband is worried about the dmp too. I'm scared of the calls etc.. Can anyone find out about this? Is it likely we will get a ccj? Scared everything will get taken away from me. Really need some reassurance please. Can they take our house? Or is that totally safe providing we pay our mortgage?

Hi April99 and welcome :hello:

I think we have all felt like you do now. Embarrassed, ashamed, a failure etc, this is the rock bottom feeling after your lightbulb moment (LBM) and you have already done the most difficult thing .... admitted that you need help and contacted CCCS :T

The start up and first few weeks of a DMP is a real emotional roller coaster, I felt elated one moment because we were dealing with things at last, then in floods of tears the next minute because we didn't know what was ahead. A couple of months down the line, probably not even that long, I think it was around 6 weeks, everything had calmed down, no more phone calls, no horrible letters, no dreaded bills that I had no idea how we were going to pay and life was a totally different place. We knew our budget, lived within our means and had a small amount of money left at the end of the month :j

Many of us know that struggling to carry on and maybe it will get better soon feeling. It doesn't work, we just end up further in debt and worrying more and more how we will scrape through to the end of the month. It's not always easy and you need to be fully committed but it's a real solution to your debt and after a couple of months you see your debt actually reducing each statement, instead of remaining static or increasing each month

You will get tons of help, advice, experience and support here. No-one will judge or criticise, we are all in the same boat so hop onboard and join us please

AmyV_2

lizzy23 wrote: »

thank you both this is exactly what i wanted to log on and read this morning, this is exactly whats worrying my OH, that we may end up with ccj's and stuff, well todays the day some of my creditors find out that they won't be getting their full payment this month, its funny but i have just had my credit limit doubled on 2 of my cards and when my oh rang Santander to get a settlement figure they offered him another loan, just shows its still relatively easy to get in a mess

Hi Lizzy, re the CCJs - we got one quite early on from a lender who was just horrible and we hadn't done anything to deserve it. At first we were terrified as we had no idea what it meant. However, I can honestly say it hasn't mattered one bit, hubby's credit rating was shot to ribbons anyway (they're his debts, not mine). In fact it has its advantages - ie, no chance of interest being applied, and every year when we give each creditor a little bit more money as we increase the DMP, they get sod all of it :rotfl: as the CCJ will stay the same until it is finished.

But as someone else said earlier, it is very rare to see CCJs because it costs time and money for the lender.

Stick with us, you'll get good advice and often a good laugh on here !

D3P0

lizzy23 wrote: »

hiya folks, just waiting for settlement figures from 2 loans and my Natwest credit card to come through and my paperwork will be off to CCCS, i have cancelled my DD to 3 of my creditors for next month and my token payment letters will go tomorrow for 2 loans and 2 CC, have to admit i'm pooing myself, this goes against against everything that i have been brought up to think is right, but i know that its the only way to go,

Morning Lizzy,

The same as me. I'm from a family who believe if you can't afford it, don't have it, which is right. But from a generation where sadly we didn't listen!

Keep in mind you are doing the RIGHT thing. You are not ignoring the problem, or sweeping it under the carpet. It may make you feel bad but take heart you are doing something positive about it, and one day you'll be debt free!

Best of luck on your journey...