DMP & Mutual Support Thread - Part 9

alyxzandra

nextyeartina wrote: »

Hi


Payday a week next Friday & feeling low and out of control . Not managed to get much overtime in this month. Had the kids to keep amused during the holidays, replaced some of the uniform that I didn't manage to do in September & gone over on the budget . Also, had a hard decision to make regarding changing jobs in work. My positive head is saying it's ok, we all have blips & I didn't go over being reckless. It was stuff that was needed. The negative side of me is saying I've gone over budget, I'm a failure & I'm never going to clear this damn debt


Tina xxx

Tina, I know how you feel. It has taken us a year to adjust being on a DMP and not robbing Peter to pay Paul. However, this month, over a year since being on a DMP, where we have a bit of extra money in the bank and everyone has been paid. For the first time the dark cloud has lifted a little.

As you said, you were not reckless and bought things that were needed. A bit of a tip. Carboot season is upon us and we have found so many good bargains and second hand clothes for dirt cheap. And we have been shifting things that we no longer need on Ebay and at car boots. That has added a bit to the pot.

You will shift the debt, but it will take time. As with weight gain, it is easy to put on, but takes so long to take off. Look at the positive side that you are doing something about it. And that is what counts.

RebelRed

Just received a lovely early morning call from very...........They are demanding payment again. I remained calm and told them (again) that I'm on a dmp with stepchange, I have made a token as advised and that is all I can pay. They are still saying they haven't received the sc paperwork and will carry on until they receive it. They're driving me mad! I've got their number now so if they call again I'll ignore it as I did write to them asking for all contact to be in writing

CharlieWannaWin

Hi, can anyone with a DMP give me some advice? Mine started at the beginning of January but my creditors are all still charging me interest, meaning that I'm actually in more debt than when I started. Is it just because it's only just started? Will they catch up eventually? Otherwise I don't know what to do to make things better. I know they are entitled to charge me interest, but I was under the impression that most, if not all, would freeze interest and charges once a DMP was up and running.

Puzzcat

CharlieWannaWin wrote: »

Hi, can anyone with a DMP give me some advice? Mine started at the beginning of January but my creditors are all still charging me interest, meaning that I'm actually in more debt than when I started. Is it just because it's only just started? Will they catch up eventually? Otherwise I don't know what to do to make things better. I know they are entitled to charge me interest, but I was under the impression that most, if not all, would freeze interest and charges once a DMP was up and running.

Who is your dmp with?
And have you written to your creditors requesting they stop charging?
There is a template letter on here page 115 post 2285 you can use if you haven't.
Puzz

fermi

Useful ---> Halifax FOS decision on DMP payments

peachykeen wrote: »

I have just paid off a £50k+DMP and now it's complete wanted to share my experience with Halifax. Halifax initially agreed to the terms of the DMP, set up via StepChange. All my other creditors agreed to the freezing of interest or vastly reduced interest rates, too. After a year, my pay went up. I was always fully honest with StepChange, telling them exact income and outgoings. What I didn't realise is that Halifax would take the extra few pounds I would pay, after the initial year on the DMP as a sign "my circumstances had changed" - this translated to them reinstating full interest - going from 1% to 21%. They refused to acknowledge I was still on a DMP, would not work with StepChange (despite on their own paperwork stating 'if you are in financial difficulties, speak to StepChange'). For over three years I wrote to them - they would never acknowledge my circumstances, despite taking the monthly payments. Over the full course of the DMP, by the final payments and having paid £6k, I had according to Halifax only paid off around £500 of the original debt. At breaking point, I rang the Financial Ombudsman. It took a year of LOTS of paperwork going back and forth but the FOS adviser decided that I had been treated unfairly - Halifax were advised to refund £3k from my "outstanding" debt and make a 'in recognition of the distress caused' goodwill payment. FOS said they should have either a) defaulted me on payments and passed to debt recovery or b) maintained reduced interest on repayments as I was doing everything in my power to repay my debt.

I know Halifax are renowned for their treatment of people on DMPs. I hope this gives those of you in similar position the push to contact FOS. I tried speaking to Halifax "advisers" on several occasions - they were incredibly unhelpful and downright rude. I was naive when I took out an account with them and on reflection, they were irresponsible to lend me so much when I was already in debt. You live and learn, but if Halifax are crippling you with their interest rates on a DMP, there is hope. Contact FOS today.

Monkeyballs

RebelRed wrote: »

Just received a lovely early morning call from very...........They are demanding payment again. I remained calm and told them (again) that I'm on a dmp with stepchange, I have made a token as advised and that is all I can pay. They are still saying they haven't received the sc paperwork and will carry on until they receive it. They're driving me mad! I've got their number now so if they call again I'll ignore it as I did write to them asking for all contact to be in writing

Hi Red,

Very were my least pleasant of my creditors to deal with, if they say that they have not received any paperwork then give SC a buzz and let them know ASAP to stop any additional charges being applied for missed payment.

In the meantime, if they call again give them your SC DMP ref again and their contact number and ask for the persons full name and tell them that you are recording all details for future reference and that in future you only want to be contacted by post only and anything else will be considered harassment.

There is/should be a letter enclosed from SC in the pack they send out to fire out to creditors re. harassment so send them a copy if you've not already done so.

Just keep up the token payments and it will eventually die off

MB

Monkeyballs

CharlieWannaWin wrote: »

Hi, can anyone with a DMP give me some advice? Mine started at the beginning of January but my creditors are all still charging me interest, meaning that I'm actually in more debt than when I started. Is it just because it's only just started? Will they catch up eventually? Otherwise I don't know what to do to make things better. I know they are entitled to charge me interest, but I was under the impression that most, if not all, would freeze interest and charges once a DMP was up and running.

Hi Charlie,

In addition to what Puzz;

Who is your dmp with?
And have you written to your creditors requesting they stop charging?
There is a template letter on here page 115 post 2285 you can use if you haven't.

You might want to give them a call to pass on your DMP ref and your DMP providers contact number because for all of them to still be charging interest is unusual?

Who are your creditors and when did you make your first payment, has anything actually gone to them yet?

MB

Sazzie23

CharlieWannaWin wrote: »

Hi, can anyone with a DMP give me some advice? Mine started at the beginning of January but my creditors are all still charging me interest, meaning that I'm actually in more debt than when I started. Is it just because it's only just started? Will they catch up eventually? Otherwise I don't know what to do to make things better. I know they are entitled to charge me interest, but I was under the impression that most, if not all, would freeze interest and charges once a DMP was up and running.

Hi Charlie,

Some good advice above, just wondering, How much more/less than minimum payments you are making as this will affect how the creditors view you. Different creditors act differently too, some do make charges at the start and some folk end up owing more for a while at the start of a DMP :mad:

If you can give us a quick run down on who you owe too we might have some more advice?

Well done for making a start on dealing with debt, it's not easy and shows great strength. :T

Pickle29

Pickle29 wrote: »

Hello all,
Question for you experienced DMP ers....
4months in and got a letter yesterday from GE money, (background- they are still charging us interest (which is more than the monthly amount they are getting from SC, so we have put the FOS on them))
Anyway they have defaulted us (good I thought) but the letter says further action they intend to take
1 they will issue proceedings in the courts for a order as a result Of our default
2 the lender may bring proceedings in the courts for the balance of the total loan and interest outstanding
It then goes onto say about court judgements, paying interest on top of the loan etc and it advises getting a solicitor or speaking to CAB!
I can't speak to SC until Tuesday , has anyone any advice? Is this standard? Our other defaults don't mention court? I am very worried and though we were over the worst (4 months in!!!)

Thanks

Hi
Just giving you an update, rang Sc today and they said not to worry (famous words!!!), they will write to GE again stressing the DMP etc, they said not to wring them, it sounds like a standard type of letter to get us to panic and pay up! If we hear from them again to let sc know! I also rang FOS but left a message and no-one has rang me back, so will try again tomorrow.
Thank you for all your support, let's see what happens next!

CharlieWannaWin

Puzzcat wrote: »

Who is your dmp with?
And have you written to your creditors requesting they stop charging?
There is a template letter on here page 115 post 2285 you can use if you haven't.
Puzz

Thanks. My DMP is with StepChange. I assumed they would sort that out? I've done everything they have suggested!

I'll send out a letter about interest myself. It can't hurt.

Charlotte