Moving away from DMP Company 29 February 2012 at 8:13PM in Debt-free wannabe 18 replies 1.6K views

lala9

My partner has now told the DMP company (GP) that he no longer wants them to act on his behalf and we intend on doing a DIY DMP. The money he will save himself is £75 per month. We are going to distribute this between his 6 creditors proportionate to the amount owed.

This will save him around 3k and enable him to pay it off much earlier.

We intend writing letters to all 6 creditors explaining what has happened and appeal to their better nature by telling them we are going to up the payment. I'm a bit worried they will unfreeze the interest, is this likely to happen? GP said they may do that, but then they are just trying to frighten us into staying with them. Is it advisable to send them an updated SOA? Or, will a letter just suffice and send SOA if they ask. There are a couple that have defaulted but a couple that haven't frozen interest as yet, after nearly 2 years. Is there any chance they will? I'm just looking for other peoples experiences on this matter, any info gratefully received. My partner was a little reluctant to make the break, should we be worried?

Mort

Can't answer your questions, I was with Payplan - one of the non charging DMCs. This reply will get you back on page one

Congratulations on deciding to ditch the fee charging company:j

BlushingRose

If it were me, I'd contact one of the DMP charities and do my DMp through them x

lala9

Surely there are some peoples out there who have done this themselves who can give me some advice?

DS4215

Try it and see. Worst case you can go with CCCS or another free DMP provider in a month or two if they give you hassle. Most will probably be happy with extra payments.

lala9

DS4215 wrote: »

Try it and see. Worst case you can go with CCCS or another free DMP provider in a month or two if they give you hassle. Most will probably be happy with extra payments.

That's what I thought, it's worth a shot isn't it.

Issuma

Hi lala9
I manage my own DMP and have been doing for nearly 12 months but I did take advice from CCCS first, I used the template letters from the National Debtline site and just adapted them, all of my creditors apart from one have frozen the interest and a few of our accounts are now with DCA's but they've been fine.

I've just had my second review with most of them and yes they all wanted me to increase my payments but I just explained to them firmly but politely that as our income has not increased yet everything we purchase has then unfortunately we are not in a position to do so which they have all accepted.

I think what's important is to keep calm, be polite but firm and don't let anyone talk you into any arrangement that won't be sustainable for you.

Good luck if you do decide to 'go it alone' I'm always here should you need any advice.

lala9

Issuma wrote: »

Hi lala9
I manage my own DMP and have been doing for nearly 12 months but I did take advice from CCCS first, I used the template letters from the National Debtline site and just adapted them, all of my creditors apart from one have frozen the interest and a few of our accounts are now with DCA's but they've been fine.

I've just had my second review with most of them and yes they all wanted me to increase my payments but I just explained to them firmly but politely that as our income has not increased yet everything we purchase has then unfortunately we are not in a position to do so which they have all accepted.

I think what's important is to keep calm, be polite but firm and don't let anyone talk you into any arrangement that won't be sustainable for you.

Good luck if you do decide to 'go it alone' I'm always here should you need any advice.

Thank you so much Issuma for getting in touch. Nice to hear from someone with first hand experience, and positive experience at that. I've got a template letter I will adapt to our situation, ie explaining that we are moving away from GP and that will use the fee to distribute between the creditors. Do you think they will want to see a revised SOA at this stage. I know GP were going to write to the creditors to let them know they won't be dealing, so worried they will try and take advantage of my partners newly 'alone' situation.

Issuma

My advice for what it's worth...............I would send a revised SAO with your letter as your creditors will probably write back to you and ask for one, I normally try to be one step ahead and provide what I think they might want before they ask for it !!

If you send this voluntarily then your showing that your being open and honest and if it means that they'll all get a bit more then they shouldn't have anything to complain about

Good luck, remember a lot of going it alone is about holding your nerve and don't let anyone bully you, know your rights and arm yourself with the facts very often these companies rely on you not knowing what you (or they) can and can't do !!

shortie1205

Hi,I manage my own DMP and have been for 30 months now. I have used the cashflow process available through nationaldebtline. A specialist talks to you and agrees your input into the SOA has acceptable amounts for each outgoing.
You are responsible for all letters to creditors etc.
Doing it this way you get an official ' number' from one of the Debt advise agencies and a agreeded format for the SOA which is accepted by banks and the courts should anything go that far.
A couple of my creditors wanted to know my reference number otherwise they do not accept the DMP as ' offcial'. And they ask at each review for the same info.
Advise for managing your own DMP.
I keep all letters on a memory stick so can adapt and sent a letter at any time from anyplace.

lala9

Thanks Shortie that's helpful. Sounds like you have everything under control. I suppose you have backup doing it this way, still in control yourself but if anything goes wrong you can call upon the expertise of National Debtline, which is peace of mind I guess. I shall have a chat with my partner and see what he wants to do.