Dmp Mutal Support Thread (Part Two)

newlywed

Hi compulsive - it's not the "perfect" solution. It does have an effect on your credit file so that it will be very difficult to get more credit (possibly for a few years after the DMP finishes) as defaults etc may be marked on it. On the other hand - credit got you into a mess in the first place so will you really want more when you are debt free - I know I don't :rolleyes:

You do also have to learn to budget for everything. Every car tax, mot, yearly fees, emergency etc as you can't fall back onto any credit card or overdraft. So it does take some work and isn't just an easy way out - if you don't have a car then I think you will instantly find this easier than I have

On the other hand, it's surprising when at the end of the month you have some money left allocated to various essential bills etc, plus it's a huge weight off your shoulders when CCCS take over for you and the phone calls asking for money stop

So I wouldn't say it's really easy, or the perfect solution, but personally I haven't regretted it for a minute - in fact I only regret I didn't contact CCCS months/years earlier :rolleyes:

As for cancelling payments - if you don't have enough money to pay them in full then YES cancel payments. Send them letters with the token payment saying you're contacting CCCS to start a DMP. They will probably then just wait to hear from CCCS then. You may get some phone calls about cancelled DD and payments but as soon as they hear from CCCS with proposals they will quieten down.

When you send off your agreement and statements etc to CCCS they will send you a welcome pack with the payment slip to make first payment at the post office. Although they say 1st of the month, as long as they get it by 9th/10th (I think) then you are ok to start the plan that month. It gets dished out to your creditors on 25th of month.

newlywed

PS, yes as Ray says, if your current account is with any bank you owe money to - overdraft, credit card, loan etc - or linked with any bank - eg HSBC and FirstDirect are linked etc. Then get a brand new account with a bank you don't owe anything to. That way they can't "offset" any of your income to pay the debts owing to them

compulsivespender79

Thanks all!

I opened another bank account when I reclaimed my bank charges last year (Martin Lewis should be knighted!), most of my outstanding debts (loan, O/D, CC) are with the bank I reclaimed the charges from. I have a £100 O/D with my new bank, but none of my debts are attached to them (Alliance & Leicester).

Thank you again for your advice

rayday2

Well in that case if you cancel your payments you can probably wipe out that overdraft this month!

compulsivespender79

rayday2 wrote: »

Well in that case if you cancel your payments you can probably wipe out that overdraft this month!

What a "ray" of sunshine (excuse the pun!). One overdraft gone in a month, now there's definitely something to smile about!
I take it you are a serial optomist, rayday?!?!

rayday2

No one has ever called me that before, but as a child my nick name was "smiler"

I have been called lots of worse things though lol

I have read your other thread and you seem very "smiley" nice to hear!

debrag

Should I just send my letter? I'm not sure about this bit:

If you can’t supply me with my CCA within the allocated 12 working days or I’ve had no information on who is dealing with my account. I shall stop payment.

rayday2

Sounds fine to me, very clear what you intend to do.

debrag

thanks will be sent.

debrag

So I sent my letter off yesterday