DMP & Mutual Support Thread - Part 9

Puzzcat

AmyA86 wrote: »

Hey all, my DMP isn't set up yet but I sent off letters to make companies aware. I have now received a reply from Next saying they will accept a payment of £1 for 3 months starting in March then revisit. Problem is they are still looking for this months min payment, asking for £113 which is due by 13th Feb. Do I pay this?

Also haven't yet contacted my bank as still going through switchover, I have a loan and overdraft with them, anyone got any advice on how best to contact them to make them aware? The bank is the one that is scaring me the most.

And once again Thankyou to you all for making this less terrifying lol!!

Hi Amy,

I would just pay the pound from now on until the plan is set up, you can save what you would have paid into an emergency fund.
I just wrote the standard letters to my bank, one for each debt and again included a token pound for each debt.
Puzz.

janerobinson55

Hiya we are on a DMP and have been for the past 5 years and stll have approx another 6 years to go


We also have a mortgage and also a secured loan on our house and 2 cars on finance.


We have just found out we r expecting our 3 rd child and I am stressing about money and how we will survive financially whilst I am on maternity leave.


We have approx £35000 to £40000 equity in our house. I am looking at options to help us out. Would we be better selling our house and starting over again by renting for a while. By releasing the equity this would pay our secured loan off and the 2 cars and leave us with just the DMP which we could increase payment on and finish in approx 3 years leaving us debt free.


I feel that we r at a stage where we have no money each month and I am worried all the time about it. Another option is to totally cut our losses and go bankrupt and begin again this way.


HELP any advice greatly needed


Thanks Jane (a worried and stressed debt free wannabe) xx

Time_to_face_the_music

AmyA86 wrote: »

Hey all, my DMP isn't set up yet but I sent off letters to make companies aware. I have now received a reply from Next saying they will accept a payment of £1 for 3 months starting in March then revisit. Problem is they are still looking for this months min payment, asking for £113 which is due by 13th Feb. Do I pay this?

Also haven't yet contacted my bank as still going through switchover, I have a loan and overdraft with them, anyone got any advice on how best to contact them to make them aware? The bank is the one that is scaring me the most.

And once again Thankyou to you all for making this less terrifying lol!!

Not a word to your current bank until safe bank is set up with wages and essential DDs set up, then when your money is secure, then tell old bank.


Never worry about loyalty to any creditor, they won't show any to you!

janerobinson55 wrote: »

Hiya we are on a DMP and have been for the past 5 years and stll have approx another 6 years to go

We also have a mortgage and also a secured loan on our house and 2 cars on finance.

We have just found out we r expecting our 3 rd child and I am stressing about money and how we will survive financially whilst I am on maternity leave.

We have approx £35000 to £40000 equity in our house. I am looking at options to help us out. Would we be better selling our house and starting over again by renting for a while. By releasing the equity this would pay our secured loan off and the 2 cars and leave us with just the DMP which we could increase payment on and finish in approx 3 years leaving us debt free.

I feel that we r at a stage where we have no money each month and I am worried all the time about it. Another option is to totally cut our losses and go bankrupt and begin again this way.

HELP any advice greatly needed

Thanks Jane (a worried and stressed debt free wannabe) xx

Hi and welcome Jane :hello:
Who is your DMP with? 11 years sounds like a long time.

Was your finance on your cars already in place when you set up your DMP? If so, will they be paid off soon, freeing some cash?

If needs be, you can always arrange to drop to token payments while on mat leave but it could be another option to explore new avenues for getting rid of your debt.

Sazzie23

janerobinson55 wrote: »

Hiya we are on a DMP and have been for the past 5 years and stll have approx another 6 years to go


We also have a mortgage and also a secured loan on our house and 2 cars on finance.


We have just found out we r expecting our 3 rd child and I am stressing about money and how we will survive financially whilst I am on maternity leave.


We have approx £35000 to £40000 equity in our house. I am looking at options to help us out. Would we be better selling our house and starting over again by renting for a while. By releasing the equity this would pay our secured loan off and the 2 cars and leave us with just the DMP which we could increase payment on and finish in approx 3 years leaving us debt free.


I feel that we r at a stage where we have no money each month and I am worried all the time about it. Another option is to totally cut our losses and go bankrupt and begin again this way.


HELP any advice greatly needed


Thanks Jane (a worried and stressed debt free wannabe) xx

Hi Jane - congratulations on expecting no 3.

Must be worrying for you, I wonder if anything has changed in the debt fields since you started your DMP. Some of the long term DMPers have been talking about an IVA , I really don't know the implications or if this would be suitable now whereas perhaps it wasn't in the past, but could it be worth looking at? Maybe ask SC for advice is you haven't already. Probably wouldn't work but could you extend your mortgage to reduce your payments or something like that.

Obviously you are happy with your DMP provider, or self managed, hope you are non fee paying and non interest paying, if not read back through thread to find out more.

Have you done all the MSE recommended things like a regular DMP review, reclaim Ppi and bank charges? Am just thinking of ways to get the debt down as much as possible before you sell or ask for reduced payments. If you do decide to go down the rental route, remember to account for the massive costs now involved in some rentals, it's an absolute ripoff, some agencies even charge you to collect the keys :mad::mad:

And come back, we don't get many DMP babies on here

janerobinson55

We r with StepChange and they have been brilliant. We had our car finance after the DMP which Step change knew about as due to work we need reliable cars.


I think I will contact StepChange and ask their advice. Originally we were only on the DMP for 5 years but due to a change in circumstances we had to drop our payments by half which has made the plan much longer


The car finance will be paid off in 3 years.


Thanks for all your advice. I think I will get all the figures together as am not sure selling the house will be worth it, if we don't end up pretty much debt free !!!!!!!!!!


jane xxx

Monkeyballs

Morning all!

Sorry, I've been a little quiet on this forum for the last week as I've been having broadband issues and after midday today may have the same problem again (Grrr...).

I've started a new thread asking this but I'm wondering if I should have just used this thread instead because I'm wondering... Has anyone any experience of switching banks to take advantage of one of he offers (I.e. the £100 Halifax and £5 pcm for paying in over £1000)?

I've not applied as I'm assuming that I'll just fail the credit checks due to my DMP and would rather not waste my time or theirs and have the check on my file if it's going to be a no go but who knows, maybe someone on here has done it? The extra cash would be a nice little boost to my repayments and would probably repay one of my smaller debts completely!

In other news, I've done a budget for next month and I think I should be able to stretch to repay my Barclays o/d (It's only £50 or so) so that will be one more debt of the list which will be nice

Cheers all!

MB

Mr_Mink

Monkeyballs wrote: »

Morning all!

Sorry, I've been a little quiet on this forum for the last week as I've been having broadband issues and after midday today may have the same problem again (Grrr...).

I've started a new thread asking this but I'm wondering if I should have just used this thread instead because I'm wondering... Has anyone any experience of switching banks to take advantage of one of he offers (I.e. the £100 Halifax and £5 pcm for paying in over £1000)?

I've not applied as I'm assuming that I'll just fail the credit checks due to my DMP and would rather not waste my time or theirs and have the check on my file if it's going to be a no go but who knows, maybe someone on here has done it? The extra cash would be a nice little boost to my repayments and would probably repay one of my smaller debts completely!

In other news, I've done a budget for next month and I think I should be able to stretch to repay my Barclays o/d (It's only £50 or so) so that will be one more debt of the list which will be nice

Cheers all!

MB

Couldn't say for certain but provided you don't apply for the overdraft I reckon you'd be fine. Best to read through the ol' T's and C's though just in case.

Traymos

Monkeyballs wrote: »

Morning all!

Sorry, I've been a little quiet on this forum for the last week as I've been having broadband issues and after midday today may have the same problem again (Grrr...).

I've started a new thread asking this but I'm wondering if I should have just used this thread instead because I'm wondering... Has anyone any experience of switching banks to take advantage of one of he offers (I.e. the £100 Halifax and £5 pcm for paying in over £1000)?

I've not applied as I'm assuming that I'll just fail the credit checks due to my DMP and would rather not waste my time or theirs and have the check on my file if it's going to be a no go but who knows, maybe someone on here has done it? The extra cash would be a nice little boost to my repayments and would probably repay one of my smaller debts completely!

In other news, I've done a budget for next month and I think I should be able to stretch to repay my Barclays o/d (It's only £50 or so) so that will be one more debt of the list which will be nice

Cheers all!

MB

Hi Monkeyballs,

Re the above, I did a mystery shop recently where I had to apply for a current account, and was turned down. The only account they could offer me was a basic account with no cheque book and no overdraft. I had been on my DMP for approx. 8 months by this time so I would have to say that in my opinion you would not get one of the bonus accounts.

Obviously this is based on my experience of applying for accounts, but you must do what you feel is best.

Traymos x

Growurown

Monkeyballs wrote: »

I've started a new thread asking this but I'm wondering if I should have just used this thread instead because I'm wondering... Has anyone any experience of switching banks to take advantage of one of he offers (I.e. the £100 Halifax and £5 pcm for paying in over £1000)?

Haven't tried this since starting the DMP but before we started we switched to First Direct as they were giving away some money to join, £100 I think, can't remember exactly tbh. It can't harm your credit rating as that is already trashed, so why not apply? They can only say no.

Growurown

Oh carp - got up this morning and noticed a burning smell in the kitchen. Looking around for the source I noticed smoke coming out of the flue from the boiler. It burns oil as we don't have gas out here in the sticks. Anyway called the repair guy - hope it isn't going to cost too much:(