Weight off my back, but still not feeling 100% ...

Phedre

Finally went through my expenditure forms with CCCS yesterday, Will be paying back £809 a month on my £54,800 worth of debts.

It's a great feeling to know that as of 1st July it's all in order and the ball will be rolling.

Yet I still can't relax, it's affecting everything! I can't sleep, eat properly, or even think!
I keep thinking "what if"

what if they all continue to start charging interest
what if they want more money
what if they take me to court for CCJs ...

On average, credits will be getting about 45% of what they were getting before. In your knowledge is this enough?

Hopefully in a few months I'll be getting a sort-of payrise and so I'll be upping the £809 to £909 - but again, I just keep panicking.

I'm expecting the sh*tty threatening letters, and, being the wuss I am - I'm changing my mobile and landline numbers as I stress out whenever the phone rings ...

Nivea_2

let me re-assure you - i have started a DMP with CCCS for my £45k debt, I am paying £746 a month.
I have 5 creditors and they have all accepted the plan, even got nice letters from Barclayard and MBNA saying understand my circumstances and have stopped all charges and interests!
I haven't had one single phone call and I haven't had any horrible letters.
Please try not to worry, i was like you a few weeks back but you realise that you are doing the right thing and they can't hang you for it, once everything settles down you will feel much calmer about it all.
Also, forgot to mention in the letters they said that as long as i continue with the agreed payments on the plan they will not default me which i was very surprised about!

wannabee_in_credit

Just to reiterate what the above poster says. I've been in a dmp with CCCS for over 2 years (another 4 to go) and have had very little hassle from my creditors.
It did however take me 2 or 3 months of actually being on the plan for me to start feeling better, so you're not alone there.

Phedre

Thank you both, I'm not normally so "wobbly" about things, this has just hit me hard.
I could kick myself for not starting this sooner - if I had done this 2 years ago, I'd be so much closer to the end of the tunnel ...

(the debts are all in my name, but as I've explained in other posts, the majority are due to an ex running off with our money to America and then refusing to pay his 1/2 of joint debts, I've been with my now-hubby for a while and we've been struggling since day dot just paying off interest)

Hubby and I would like to up the amount to a round £1000 in a few months. We're just waiting for a few things to settle down and smooth out. IE - the anticipated pay rise on my side, and the pay rise on his.

I just want to get as much paid back as possible, as soon as possible.

While being defaulted won't be the end of the world as I own my own home in a lovely area and it's an ok size, I do worry that if I'm defaulted then it stays on for 6 yrs - is this correct?

If so - is it 6 yrs from the first default, or 6 yrs from the last? Realistically - I could have a terrible credit rating for 11 1/2 years? (5 1/2 dmp, 6 yrs default??)

I'm really sorry for all the questions, I'm just trying to make sure my feet are firmly planted on Earth and not in the heavens.

Nivea_2

yes, a default will remain on your record for 6 years, i worried about this at first but i am not bothered now, means i can't get credit for 6 years which is a good thing because my debts were me being stupid and spending what i haven't got with nothing to show for it
don't worry - big hugs - we are all in the same boat x

DS4215

I think they can only default you once (per debt), which will normally happen fairly early on - although this is not guaranteed. Once it has defaulted it will take 6 years to clear off your record.

Nivea_2

the default is 6 years from the date it is given so if you get it today it will stay on your record until 17th May 2018 - sounds like ages away doesn't it! problem with DMP is you could be near the end of your plan then the creditors default you, thats another 6 years. I think if you keep making regular payments and don't give them any hassle they don't default you but i may be inaccurate there

paulmapp8306

FWIW I have been on a DMP with CCS for 11 years - starting with £44k debts paying £500/month. I still had £18k and pay'd less than £100/month some 6 years later as curcumstances changed (I had kids).

It has nothing to do with how much you pay them - one your in a DMP they have to accept what is offered or risk getting nothing. Its about prooving you can only afford what is offered. If you can expect to pay more they will expect you to - BUT - if you SOE shows that you can only afford what is offered they will take it.

they may well keep charging interest for the short term - 6 months or so (probably 50% of your creditors will stop interest immediately though) - and generally your debt will increase in the short term because of this, however after that point interest is normally stopped. There may be one creditor that keeps applying interest over a longer period (Nat West for me - for 2 years though at a reduced rate of 2%) - but ultimately interest will be stopped completely.

Its a tough road but completely worth it.

Phedre

Thank you all! Fingers crossed that if they want to default me - they do it soon!

I'm 29 now, The thought of being debt free by my 35th birthday at the latest is a great feeling. How stupid is that??? To feel great about being debt free at 35!!!

Seriously, thank you for commenting; little things like this make me feel a bit better.
Only hubby knows about the DMP as I don't want anyone else to know (pride) - the internet is the perfect, faceless place! Again, sounds ridiculous, but our friends are very much "the Chipping Norton Sect" and we're already the ridiculed couple (as we're from very diverse (to put it kindly) backgrounds) - who needs enemies when you have friends like ours!!

paulmapp8306

Oh - just be carefull of the "default" front. Yes IF your creditors default your account it will last 6 years from that date - HOWEVER, if they agree a DMP plan they could register the debt as "agreed payment" on your credit file. This will run until the debt is cleared and would still show for 6 years after that point. Its not as bad as a default - but its not good either and will adversly affect your credit potential (you would not get a mortgage for instance until at least 3 years from the date a debt with an "agreed payment" is cleared).

For me that was 2 creditors out of 13 long term (more short term), and it is normally when the debt is kept with the original creditor. When they default your debt they tend to sell that debt on.

seymo1

Do you have to pay for this DMP with CCCS? How does it work? I want to know if it's something I should look at doing? Halifax have just closed my account but are still charging me interest on the balance!