DMP & Mutual Support Thread - Part 9

dad2one

Well, further to my own last situation update. I did investigate all my creditors' own latest statements and balances, and was very pleased to see no added interest or fees to my debts. This, despite all the warnings that such could apply.

Even the overdraft debt, which is still in it's limit, and had one interest charge applied, has now had it removed and none more charged.

This, before me specifically asking or campaigning for it. I can only summize that they are doing what SC have asked of them.

I'm 3 payments in now.

I guess I'm lucky. So far, I've had a smooth ride through this.

All the best, people.:)

so_stressed_3

I am about to set up a DMP through step change. One of my creditors is Halifax with an overdraft and a credit card. I have been advised to open another account as Halifax will obviously close the current account with the od. I do have another basic account with Halifax that I could use but step change have said they may try to recover money from this account so best to open one elsewhere. The problem I have is that I also have a halifax joint account with my partner which is used just to pay bills from. He has no idea of the mess I am in and I don't feel ready to tell him just yet. These are all my debts. I am scared that Halifax will try to recover money from this account and I don't know how to avoid this without telling my partner. Can anyone advise me how likely it would be that Halifax would do this? Would it be worth phoning them first or could it make them less likely to accept the DMP? Please help!!!!

ianmak

lizzy23 wrote: »

just a question for fellow dmp's, how do you manage work expenses? i have to go away with work this week, i have a night in a hotel tomorrow and have had it dropped on me today i have to be in london for 10am on Thursday, this has completely wiped my emergency fund, although i get paid on Thursday so should be able to put some back, but its left me feeling a bit vulnerable and just wondered how others managed these things

I doubt this helps you but I have a works credit card that helps when I am away, but in the past I'd have awkward moments when I'm trying to find a spare pound or two to get something to eat. Other than that try getting your work to be invoiced for accomodation stays? Do they have anything in place for this sort of thing? Premier Inn Business accounts etc?

ianmak

I find people are very proud and are ashamed when they have to admit when they are in debt. I've suddenly realised since starting the DMP that I have no shame or get embarrassed about anything now, because I feel I'd reached a low point, and nothing is more embarrassing than getting into debt.

I remember trying to get a secured loan around 8 months before starting my DMP, for around 26k (20k debt, 6k of fun), I got turned down thankfully. 8 months later I'm in 38k of debt where things have escalated and I had no-where else to go. Sorta understand why people have committed suicide over debt.

Ask for help! Life is too short to live in misery I think.

ianmak

so_stressed wrote: »

I am about to set up a DMP through step change. One of my creditors is Halifax with an overdraft and a credit card. I have been advised to open another account as Halifax will obviously close the current account with the od. I do have another basic account with Halifax that I could use but step change have said they may try to recover money from this account so best to open one elsewhere. The problem I have is that I also have a halifax joint account with my partner which is used just to pay bills from. He has no idea of the mess I am in and I don't feel ready to tell him just yet. These are all my debts. I am scared that Halifax will try to recover money from this account and I don't know how to avoid this without telling my partner. Can anyone advise me how likely it would be that Halifax would do this? Would it be worth phoning them first or could it make them less likely to accept the DMP? Please help!!!!

Please see this from the CAB website:

Who is responsible for debts

If you have a joint account and your own personal account with the same bank or building society, the bank can transfer money from your personal account to cover a debt on your joint account. The bank might do this automatically, although in practice, banks will often ask your permission before transferring money in this way.
However, the bank can't transfer money out of your joint account to cover a debt on your own personal account, unless all the joint account holders have agreed to this or the terms and conditions of your joint account say this can happen. If the terms and conditions say this can happen, your bank must have pointed this out to the account holders.

If there's an overdraft on a joint account, each joint account holder is responsible for the whole of the money owing.


http://www.adviceguide.org.uk/wales/debt_w/debt_banking_e/joint_bank_accounts.htm

Not sure if this applies to credit card account too.

Please do open another account with a separate institution.

so_stressed_3

Thanks for the advice. There are horror stories on the web about banks taking money from joint accounts to cover debts of one account holder although it says it is rare and more likely from savings accounts.

Time_to_face_the_music

so_stressed wrote: »

Thanks for the advice. There are horror stories on the web about banks taking money from joint accounts to cover debts of one account holder although it says it is rare and more likely from savings accounts.

Hi and welcome so stressed :hello:

There are plenty of stories on this website too and it's something I would never risk.

Number 1 rule: Never bank where you have debt

http://www.moneysavingexpert.com/banking/setting-off

DanielleNic87

So I have sent my paperwork off today. I'm a little scared and anxious. Do I just wait now? I haven't got a chequebook for my new account yet so not sure how I can offer a token payment. I'm guessing a now cancel all direct debits from my account?

Growurown

DanielleNic87 wrote: »

So I have sent my paperwork off today. I'm a little scared and anxious. Do I just wait now? I haven't got a chequebook for my new account yet so not sure how I can offer a token payment. I'm guessing a now cancel all direct debits from my account?

You can make token payments with a postal order, but I paid mine with cash over the counter in the bank using the counterfoil on the bill. If your new bank account is set up then you can start cancelling all the stuff in your old account, and moving over the direct debits for your bills etc.

Time_to_face_the_music

DanielleNic87 wrote: »

So I have sent my paperwork off today. I'm a little scared and anxious. Do I just wait now? I haven't got a chequebook for my new account yet so not sure how I can offer a token payment. I'm guessing a now cancel all direct debits from my account?

I set up each direct debit in the new account and then cancelled the corresponding one in old account.

I made our token payments by online bank transfer, not SO or DD just a simple transfer payment.

It's all a bit scary but strangely liberating too!