DMP & Mutual Support Thread - Part 9

Time_to_face_the_music

alyxzandra wrote: »

Thanks, Time to face the music. Can I please have a template letter as I intend to write to them. And maybe wipe off some of the debt!

Try something like this, customising it for each creditor:

You

Date

Them

Dear Sir/Madam

Re: [Creditor name] account No: XXXXXXXXXXXXXXX

Thank you for your letter/statement concerning the above account. I am sorry that you feel unable to suspend interest/charges on the above account.

As you are aware, I/we am/are in a DMP with XXXXXXXX, reference number XXXXXXXX. The majority of my/our other creditors have agreed to the offer of payment and agreed to suspend any interest charges still accruing. They have accepted that to continue to charge interest would not assist us in my/our present financial difficulties, and can only serve to increase my/our total debt.

I/we have already paid considerable sums in interest to my/our account. If interest charges continue, the monthly instalments I/we am/are paying will not even cover that interest. Also, the cooperation of my/our other creditors who have agreed to freeze interest already would be put at risk.

I am aware that XXXXXXX subscribes to the Lending Code which states that lenders will consider reducing or suspending interest and charges if these would cause the debt to increase or lead to the repayment term becoming too extended. I would therefore be grateful if you would reconsider your decision not to freeze the interest. This would mean that the monthly payments I/we make would actually reduce the balance outstanding to your company.

Please consider this letter as a complaint about the interest charges you are continuing to apply to my account. I would like to see these stopped immediately and previous interest charges refunded.

If you are unable to help me with this issue, I will have no alternative but to take this case to the Financial Ombudsman Service.

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

Yours faithfully

You

alyxzandra

Time_to_face_the_music wrote: »

I think our car is probably our biggest worry. We travel around 23,000 miles a year and already have almost 180,000 on the clock. It gets more expensive every year but have no idea how we would find the money to replace it

Actually we do have a bigger worry in our endowment shortfall but am currently trying to deal with that one.

Phew I said it out loud! Did you see that Twin?

I will not even start with my car troubles. My mechanic is brilliant and he allows me to pay him back at £75 per month, which is in our DMP. But, owe him a shedload of money as my car is a hunk of junk. Is it possible to take a few months off from your DMP to get another car using the money you would pay the creditors? I think they allow for emergencies and sounds like your car is ready to go to rust bucket heaven.

Hopelessly_Hopeful

Time_to_face_the_music wrote: »

I think our car is probably our biggest worry. We travel around 23,000 miles a year and already have almost 180,000 on the clock. It gets more expensive every year but have no idea how we would find the money to replace it

Actually we do have a bigger worry in our endowment shortfall but am currently trying to deal with that one.

Phew I said it out loud! Did you see that Twin?

I did indeed.

You are dealing with everything! Sometimes we just need to take the foot of the pedal and look after ourselves though

HHx

sharpeyes66

Hi

New on the site and this forum having just started our DMP with Step Change. All a little bit daunting and scary, though not as scary as making that first phone call to finally face up to the fact that my days of juggling and switching to keep on top of 0% rates were finally beating me. Feel positive that it was the best thing to do. Opened new bank account and the switchover is nearly complete. Got first letters through from MBNA agreeing to freeze interest on both mine and wife's accounts. Just 5 more cards and a bank account to go!!What do the initials LBM mean please when people post their figures and dates of DMP's etc

Time_to_face_the_music

sharpeyes66 wrote: »

Hi

New on the site and this forum having just started our DMP with Step Change. All a little bit daunting and scary, though not as scary as making that first phone call to finally face up to the fact that my days of juggling and switching to keep on top of 0% rates were finally beating me. Feel positive that it was the best thing to do. Opened new bank account and the switchover is nearly complete. Got first letters through from MBNA agreeing to freeze interest on both mine and wife's accounts. Just 5 more cards and a bank account to go!!What do the initials LBM mean please when people post their figures and dates of DMP's etc

Hi sharpeyes and welcome :hello:

Well done on getting started on your debt free journey :T

LBM = Light Bulb Moment :idea:

When it happens, it feels like the bottom has just dropped out of your world but it can be a real turning point. I like to think of it as the start of changing things forever. No more credit and on the path to a debt free future

sharpeyes66

Time_to_face_the_music wrote: »

Hi sharpeyes and welcome :hello:

Well done on getting started on your debt free journey :T

LBM = Light Bulb Moment :idea:

When it happens, it feels like the bottom has just dropped out of your world but it can be a real turning point. I like to think of it as the start of changing things forever. No more credit and on the path to a debt free future

Thanks, I just feel guilty and that I've let everyone down. Guess its worse as I worked for NatWest for 16 years so spent so long tut-tutting at people who didnt control their finances. My major concern is the fact that the cc companies will default on us as we have never missed a payment on any card to date and the impact on Credit Scores etc(not that we intend to ever go near credit again)

I'm hoping that in a couple of months time everything will have settled down. Think I'm going to be a regular on here now!!

Enough_Now

Hi everyone

I haven't posted for a while, been busy at work and trying to improve our house on a very tight budget.

I have just updated my beloved spreadsheet with April statement details which include my Month 5 DMP payments. I was very pleased (and a little bit proud) to see that I have managed to pay off just over 10% of my debt total. :T

I know that this interest free period (7/9 creditors) may not last forever but at least I will have made a good inroads to reducing my debt.

I am about to write to all creditors requesting confirmation of their required review date, as I don't want interest and charges to be added if some of them prefer six monthly reviews rather than StepChange's annual submission.

I still have two creditors charging interest, although both reduced by 50%. Do you think it is worth me writing to complain/request total freeze or will I be better off just leaving it?

Well done for all the successes and welcome to all joining us on this journey to debt freedom!


EN xx

Find_The_Real

Hello all

Welcome to the newbies on the board and good luck with your DMP journey.

Sorry to hear everyone seems to be having car troubles at the moment and I hope it is all resolved without being too painful, it is amazing how much it seems to cost these days with insurance and petrol before you even start to look at repairs.

Good luck to those trying to get interested sorted out, always write and complain until you get the result that is best for you as I always feel the price of stamp is still worth it.

I wouldn't feel too guilty sharpeyes about working for a financial institution and still being in debt, it can happen to anyone. I also used to work for a financial institution and I no longer have any worries about not paying my agreed amounts, although I can understand the initial guilt as I think most of us go through that. A few months on and it really does become less of a concern!

Is there any scope for an endowment mis-sell at all TTFTM as I am know there has been a lot of that along with the PPI claims. I hope you get that sorted as I am sure that is quite a worry at the moment.

Hopelessly_Hopeful

sharpeyes66 wrote: »

Thanks, I just feel guilty and that I've let everyone down. Guess its worse as I worked for NatWest for 16 years so spent so long tut-tutting at people who didnt control their finances. My major concern is the fact that the cc companies will default on us as we have never missed a payment on any card to date and the impact on Credit Scores etc(not that we intend to ever go near credit again)

I'm hoping that in a couple of months time everything will have settled down. Think I'm going to be a regular on here now!!

Morning

OK we will put you in the stocks, have our half hour of fun then welcome you into the family !

You'll find that the majority of people here never missed a payment either but realised with spiralling interest rates and extortionate charges and fees that there needed to be a rescue plan. Sacrificing credit rating is a necessary forfeit for this.

Hope your set up goes well.

HHx

Hopelessly_Hopeful

Enough_Now wrote: »

Hi everyone

I haven't posted for a while, been busy at work and trying to improve our house on a very tight budget.

I have just updated my beloved spreadsheet with April statement details which include my Month 5 DMP payments. I was very pleased (and a little bit proud) to see that I have managed to pay off just over 10% of my debt total. :T

I know that this interest free period (7/9 creditors) may not last forever but at least I will have made a good inroads to reducing my debt.

I am about to write to all creditors requesting confirmation of their required review date, as I don't want interest and charges to be added if some of them prefer six monthly reviews rather than StepChange's annual submission.

I still have two creditors charging interest, although both reduced by 50%. Do you think it is worth me writing to complain/request total freeze or will I be better off just leaving it?

Well done for all the successes and welcome to all joining us on this journey to debt freedom!


EN xx

Well done on 10%. Great to see progress in the right direction and that represents a significant milestone, in double figures!

Personally I'd hound the two charging interest but I'd let sleeping dogs like on the others rather than risk wakening the beasts. Your choice of course.

HHx