DMP & Mutual Support Thread - Part 8

toots1607

I havent been on for a while DMP ticking over nicely. Brief History I have a shared ownership on my house and the housing people have now put my rent up. I have taken the morgage increase for a year and cant do the rent as well so just done a review with CCCS and they have now lowered my payment by £78. Does anyone have any info on what creditors are like when you lower them down. They have also told my creditor that in sept my son does four mornings at playschool and I can work more hours and next sept goes to school so can hopefully increase my payment up again . Getting worried that the creditors can make me do things like IVA and I dont want to. Thanks for listening.

scared-sick

I am surprisingly calm considering I have just received my 1st default notice!!
I rang cccs straight away to see if I had to do anything about it but apparently I dont. Well I have read on here that the sooner the default the better so 1 down....8 potential to go!

One thing I am worried about though.....I had a credit card £11000 and I was paying just over the minimum of £130 every month. When I did the cccs online thing, where you fill in the bit about your debts, amount owed and monthly payments etc, when it came to this debt, I put the anoumt in (£11000) and the form filled in the repayment amount by itself of £330.
My dmp confirmation has come through and because they work it out on contractual payments cccs are now going to pay this debt at £116 per month. I really dont understand this. Anyone any ideas why the online form filled out this amount for me (it did the same with my overdraft too).

I am worried as I have read on here that companies wont stop interest if you are meeting minimum payments. Thing is, this is one of my biggest debts and with highish interest so it will take me forever to pay off if they keep the interest on. £116 is about £4 under the minimum amount. Where as if cccs let me put in the actual amount I was paying, I would have more chance of getting interest frozen.

Sorry for the rambling but I am worried about this and dont understand it at all.

Time_to_face_the_music

ianmak wrote: »

I'd imagine they just keep adding the charges. Just because there is an overdraft 'limit' doesn't stop them from going over it!

They are not going over the overdraft limit, they are increasing the overdraft limit to accommodate the charges :mad:

Time_to_face_the_music

Em586 wrote: »

we keep getting this too, my husband's meant to ring today (in his name) to cancel the overdraft facility and close the account so it can just be seen as debt and not an active account. They've refused our DMP payment too for the CC, so presuming we@re still getting hit with interest too. Will be writing letters if this doesn't change by next month's payment (this was our first one)

Thanks Em. it's really worrying, isn't it. Is the account you refer to with Lloyds TSB too? We had been warned that Lloyds TSB could be problematic to deal with and I can see this could be the case

Time_to_face_the_music

BlushingRose wrote: »

Part of Mr BR's DMP is also a current account OD. The bank requested that we closed the account before they accepted the DMP. Might be a suggestion to ask the bank to close the account as you're on a DMP.

Thanks BR but I don't understand how I can close the account if I have an overdraft. How does that work?

Sorry if I am being dim

Allypops

Lloyds kindly increased my overdraft a couple of times to accomodate their charges at the beginning of our DMP. Aren't they nice?!! They have dropped some of the current account charges now so the balance is finally beginning to decrease. Lloyds have continued to add charges on all accounts (reduced charges- but they are the only creditor that hasn't stopped interest completely) and unfortunately for me they are by far our biggest creditor. Hate them, hate them, hate them.....and breathe!! Rant over.

Time_to_face_the_music

Allypops wrote: »

Lloyds kindly increased my overdraft a couple of times to accomodate their charges at the beginning of our DMP. Aren't they nice?!! They have dropped some of the current account charges now so the balance is finally beginning to decrease. Lloyds have continued to add charges on all accounts (reduced charges- but they are the only creditor that hasn't stopped interest completely) and unfortunately for me they are by far our biggest creditor. Hate them, hate them, hate them.....and breathe!! Rant over.

Oh Allypops, they are one of our biggest creditors too and I have banked with them since I was at school and now, after a totally useless and very frustrating phone call to their collections department, I hate them too! Despite language problems, the person I spoke to patiently tried to explain to me how my account was in order and my debt would go down each month with the payment of my DMP but I should make them some extra payments which would reduce it even faster. I told them that I was unable to do this and all I wanted was for them to stop increasing my overdraft limit to accommodate my fees and interest. They said they could not do this despite me explaining that this would definitely reduce my debt faster.

Growurown

From what I have read on this forum previously I think most banks lay on the charges thick and fast at the beginning of a DMP. Most seem to stop after a couple of months once everything is set up. Some people in the past have posted that it took 6 months before they started to see their debt finally come down, instead of going up each month. Hopefully it won't take that long.

ravens72

Hi,
About a month ago my wife gave me the shock of my life and told me she was 25k in debt, she even took out a couple of credit cards in my name. How the banks allowed this to happen I will never know.

At first I was very angry and upset not too mention deeply hurt and upset my wife could do this to me.

Anyway I have 2 young kids and love my wife so walking away was not an option. My wife is now seeking proffesional medical help for her spending addiction and hopefully things are on the mend.


Im now on a dmp and starting to repay this debt via h the cccs.
The problem im having is that two of the creditors· ironically the ones that are in my name refuse to stop the interest. I feel at this rate i never get out of debt as the monthy payments are more than what i owe. This is made me even more angry as i didnt spend a single penny on the cards in the first place.

There collections department is in india so i end up speaking to someone who doesnt understand nor give two monkeys of my prediciment.

I feel nothing but pure hate towards halifax and bank of scotland.

Ive been told by the dmp that there is nothing i can do as they are not obliged to stop the imterest. I was just wondering if anyone has been in a simalar situation or can offer any advice.

sickasachip13

Hey Ravens

Sorry to hear about your troubles. At least it's out in the open now and, as you say, your wife is getting help. In terms of the % charges - there is a template letter on the National Debtline's website to send to creditors to ask them to stop, it's definitely worth trying this

http://www.nationaldebtline.co.uk/england_wales/debt_advice.php#6

And, if BOS and Halifax tell you they don't freeze %, they're talking nonsense, they've both frozen % on our accounts.

SAAC