Debt Management Plans

Pinkbug

HI,

After a couple years of trying to pay off my debts and failing. I contacted StepChange. Has anyone else used them?

They have suggested a DMP which if all my lenders agree to my debt will be paid off in just over 2 years.

Any tips or advice would be welcome....

Very scared

Thank you :-)

eyeopener2

Yes, loads of us have used them and payplan and cap.

You will be fine and two years is nothing, in fact I wonder if you actually need a DMP in that short a repayment period. Mine was 3 n a half and was quite short compared to some. Half you posted a statement of affairs on here?

Don't be scared, you will be fine.

Pinkbug

Thanks for your reply. No I haven't, I will do now. Thanks!

StepChange have said that it will take 2 years and 4 months to pay....I don't know if I would be able to do this without the interest being frozen as that is all I seem to pay off :-(

Congrats on being Debt Free too! What a feeling!

eyeopener2

Thank you.

The interest being frozen isn't guaranteed you know. Most of mine were fine but two, Barclaycard and m& s charged interest until the very last day. You can never tell with these things though, creditors seem to treat everybody differently.

The good thing about DMP' s is that you are in control and most creditors leave you alone after the first flurry of letters, and that is a good feeling after struggling for so long.

There are a couple of threads for dmpers around you might want to check out. All have been through or are going through the exact same nervousness and trepidation you are. So Say hi, and ask for advice, no matter how trivial you think it maybe. Trust me on this, the collective wisdom on those threads is fantastic.

Good luck

E2

Puzzcat

Hi,
Pop over to the dmp mutual support thread, loads of info and people to answer your questions. If you have time grab a cuppa and read as much of the thread as possible, knowledge is power!!


I started my dmp in november, we are a friendly bunch...


love puzz.

Pinkbug

Thank you Puzz!

seanavfc92

Hi Pinkbug.

Although interest being frozen is by no means guaranteed, StepChange have been up a rapport with creditors where the request for interest to be stopped is normally accepted.

Like eyeopener2 said, you're in control. You can keep up-to-date with your progress online once your plan is active, so you can see where your money is going to!

Good luck with your plan, 2 years is a short time in comparison!

Monkeyballs

Hi,

I echo everything above!

I'm with Step Change and they have been brilliant although not all creditors have frozen their interest most have or at least reduced it - Barclaycard for example is like 0.05% or something which is better than not freezing it!

That said, you mention you're trying but failing to repay your debts... Are you falling behind or is it just a case of only making minimum payments etc? Could be worth posting an SOA to let folk try to help make a few savings?

Good luck!

MB

Pinkbug

Thank you all for your replies. Other part of the battle was that I had kept the debt secret from my partner. I told him today... he was supportive and said we will talk it through. Im just nervous to tell him how much I owe :-(

eyeopener2

Just tell him, it's easier in the long run.

I hid 24k and then everything went pear shaped, but it worked out fine in the end.

unicorn1984

How much do Stepchange charge per month to put you onto a DMP?