DMP & Mutual Support Thread - Part 8

Bettingmad

If the creditor rejects the dmp payment proposal thats their problem. It is very rare that they will refuse the reduced payment. I had a creditor who rejected my payment proposals for a year, they were still sent payment and never heard from them during the year. A year on they have accepted the proposal.
Try not to worry whether they will or won't accept, they can't have what you haven't got. If they are not happy with the amount they are getting they may default and sell the debt on to a DCA. In my view this is better as it is far more likely that interest will be stopped and there is a better chance of them accepting a lower full and final settlement further down the road.

lizzy23

grant1wish wrote: »

Morning All,

Thanks for all your help so far, and the virtual cuddle last night!

After sleeping for 2 hours I woke up and couldn't get back to sleep, and the wife is not currently acknowledging me.

During our heated conversation she just kept asking me what happens if one of the creditors does not accept the DMP and I couldn't answer her as I am not sure. Can someone advise please.

I have a list of jobs to do to try and get it all sorted for the 1st Nov. I am planning on going to Natwest today, but it looks like they take a payment from my current account to verify my details. I do not have the £1.10 in their so am guessing this will bounce. I was hoping by going in to a branch with my passport they might not have to do this.

Thanks again everyone

G1W

Creditors aren't obliged to accept the DMP, BUT are very likely to, i had all this with the other half, and basically at the end of the day they can't take what you haven't got, the way i look at it is, if a creditor wants to take me to court etc a judge isn't going to look favourably on them, we are after all not walking away from our debts we're trying to sort them out in a sustainable manner, good luck i'm sure she'll come round in the end its scary at first taking away that CC safety net, but i think its the only way to go

Allypops

G1W,

Even if they don't agree, the payment will still be sent to them. Like Bettingmad says they will in all likelihood default you (lasts 6 years on the credit file) and sell on to a Debt Collection Agency. They might threaten Court action athough not many people on a DMP seem to have experienced this. If it does go to Court, the court will make a judgement on what you can pay based on the Income and Expenditure you have so it's likely to be a very similar amount to what the creditor was getting on the DMP anyway (which is why there is little point in creditors going down this route).

Bettingmad

Wish Barclays would default me!!! They have now reinstated interest on my former Egg Card after having had it frozen for the last year to 6.9%.

For infor I got into a discussion with the Barclaycard advisor and was told that if the minimum payment is between 0.5%-1% then interest is frozen, between 1%-2%= 6.9% over 2% and it went up to 12% interest. They are nothing more than modern day !!!!!! Turpins

Time to send a CCA request for the old Egg card taken out in 2003.

TUS

I started my DMP with CCCS one month ago - with the first payment having been made to them today by CCCS. Some have accepted the offers, some have not responded. None have rejected. Oddly, I've not had a SINGLE phone call from any of them - which I had expected to receive - is this abnormal?

Huge relief to have it in action though - a weight has been lifted, I feel more organised and can see light! Plus I now know I can afford my kids xmas presents this year which was a worry (although it's still a modest budget - it's something).

haggyloops

Bettingmad wrote: »

TheLoan Company

CompanyHouse,

ChurchStreet,

Newtown,

Kent,

RS7 LDg


Dear Sir/Madam

Re:- Account/Reference************************

We are writing to inform you thatwe are seeking advice and assistance from CCCS regarding our current financial difficulties.CCCS Ref. No. *********

To this end, we would appreciate if you could hold any action on the above account for a period of at least 30 days to allow for a solution to be sought from CCCS.

Also, during this period, I ask that you freeze interest and/or any other charges accruing on the above account?

In view of our circumstances,would you please accept a token offer of £*** towards this month’s payment.

The above request is asked as per guidance issued by the Lending Code 2011, the relevant extracts are listed below.



Breathing space for personal customers

201. a customer can demonstrate to a subscriber that they are making a genuine effort to develop a repayment plan, using either a debt advice agency or a self-help tool the subscriber should suspend collections activity related to the customer’s current account, credit card and/or unsecured personal loan while discussions continue, for a period of 30 days.

202.The subscriber should confirm with the customer and/or their adviser that collections calls and letters will be suspended during the ‘breathing space’ period (except where required under Consumer Credit legislation) andshould discuss with the customer and/or their adviser how the account will continue to operate during the 30 day period.

203.Where the customer and/or their adviser provides clear evidence of demonstrable progress being made in developing a genuine repayment plan, butwork has not yet concluded, subscribers should extend the breathing space forup to an additional 30 days.

Interest and charges concessions

224.Subscribers should consider reducing or stopping interest and charges when a customer evidences that they are in financial difficulties. Such reduction/suspension decision should be based upon an income and expenditure statement indicating that they are unable to make repayments sufficient to meet contractual terms. Where a customer is able to make only token payments, their debt should not increase as a result of interest and charges levied. The assessment should reflect the customer’s lack of ability to pay rather than the stage an account has reached in the arrears cycle or whether they are using free sources of debt advice. Where a firm declines to allow concessions, they should be prepared to explain why to the customer or their adviser if requested to do so.

We hope you will act in a sympathetic way due to our financial difficulties and again ask that you will consider taking no further action on the account for 30 days and suspend interest and charges in line with the lending code.

We further ask that the enclosed postal order is only cashed by yourselves if you are in agreement with our current proposals

We look forward to hearing from you as soon as possible.


Yours faithfully


Mr A(Dont use regular signature)




Formatting has come out with a few errror unforunately

Thank you so much for this x

D3P0

All, not posted for a few days but it seems we're all hitting complications. Hope everyone is doing ok... keep smiling (even if it's the insanity creeping in!)

Growurown

TUS wrote: »

I started my DMP with CCCS one month ago - with the first payment having been made to them today by CCCS. Some have accepted the offers, some have not responded. None have rejected. Oddly, I've not had a SINGLE phone call from any of them - which I had expected to receive - is this abnormal?

Huge relief to have it in action though - a weight has been lifted, I feel more organised and can see light! Plus I now know I can afford my kids xmas presents this year which was a worry (although it's still a modest budget - it's something).

Hi TUS, we had very few phone calls too when we started our DMP last year. I was very surprised as I was expecting constant calls and harrassment but it just didn't happen.

Well done though, doesn't it feel great to be back in charge of your life again?

lizzy23

i have had one phone call to date, and that was from M & S and i have to say the lady was very understanding

Time_to_face_the_music

TUS wrote: »

I started my DMP with CCCS one month ago - with the first payment having been made to them today by CCCS. Some have accepted the offers, some have not responded. None have rejected. Oddly, I've not had a SINGLE phone call from any of them - which I had expected to receive - is this abnormal?

Huge relief to have it in action though - a weight has been lifted, I feel more organised and can see light! Plus I now know I can afford my kids xmas presents this year which was a worry (although it's still a modest budget - it's something).

8 months into our DMP, we have still never received acceptance from some of our creditors. Though we did find out last week that some had communicated their acceptance/non-acceptance directly to CCCS and not bothered to tell us.

We did have quite a lot of phone calls at first but only from certain creditors, so I think it depends on who your debts are with.

Am very glad to hear it's all going well and that you already have a budget worked out for Christmas :T