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Lots of little debts amounting to a large debt.
OrangesOnFire
Posts: 2 Newbie
I have lots of little debts that I've been paying off on a dmp.
Im just throwing some ideas around, it's been a struggle (especially in the beginning) but I've gotten to grips with my finances and have recently had a promotion.
If anyone could offer advice that would be appreciated. I don't want to offend anyone who is in the beginning stages of debt crisis with my questions - it's awful at first. I know I still owe a lot but it's not increasing and I'm able to pay back more now.
Anyway, I'm £21,000 in debt and want to speed up my plan.
I have several options:
1. Stay as I am, only increasing my monthly dmp payment.
2. Refuse to pay some debts/Refuse to pay all debts - I have no assets, wait 6 years and I should be ok (very dubious action I know and possibly not something I could get away with, or could I?!)
3. Go IVA, but I have no assets so would this be worth it? My DMP Payplan advisor has suggested it. There are conflicting views on this.
4. Negotiate with each creditor and pay off some quicker than others. Would that invalidate the DMP?
Im just throwing some ideas around, it's been a struggle (especially in the beginning) but I've gotten to grips with my finances and have recently had a promotion.
If anyone could offer advice that would be appreciated. I don't want to offend anyone who is in the beginning stages of debt crisis with my questions - it's awful at first. I know I still owe a lot but it's not increasing and I'm able to pay back more now.
Anyway, I'm £21,000 in debt and want to speed up my plan.
I have several options:
1. Stay as I am, only increasing my monthly dmp payment.
2. Refuse to pay some debts/Refuse to pay all debts - I have no assets, wait 6 years and I should be ok (very dubious action I know and possibly not something I could get away with, or could I?!)
3. Go IVA, but I have no assets so would this be worth it? My DMP Payplan advisor has suggested it. There are conflicting views on this.
4. Negotiate with each creditor and pay off some quicker than others. Would that invalidate the DMP?
0
Comments
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- Well, it will get you there quicker
- With this you risk CCJ's which will stay on your record for 6 years after the CCJ
- To get comments on thsi you will need to post a Statement of Affairs. As I see it, this will probbaly stay on your record for 6 years from inception, so you should have done it much earlier - if you have managed without, now that you have more money, it seems pointless]
- If interest is frozen, there is no benefit in paying some off earlier than others and it is treating some unfairly. But if you are talking about reduced 'full and final' settlements, these are worth doing and are not unfair to other creditors because it brings you to the point that you can pay them off sooner.
Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0 -
Thanks for replying, good advice. Yes the settlement pot is a good idea actually.0
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