dmp and defaults

gkdmturner

hi all
weve been in a dmp with payplan for 7 years now and managing fine. weve just checked our credit files and my husbands shows as fine and up to date, but mine shows 2 defaults dated 19.4.2008 and 30.3.2008 and 2 AP (arrangement to pay). other creditors on the dmp are showing as settled or up to date?(dont know why). we thought defaults were removed after 6 years. why are they still showing. against my name it shows caution. how bad will that affect us for remortgaging etc.

~Beanie~

Well the one dated 19.4.2008 will drop off in a couple of weeks, the other one dates 30.3.2008 should have gone, maybe the company haven't updated the files yet, it has only been a week since the 6 years were up.

sourcrates

Agree with above, credit ratings are updated on a monthly basis, your too keen lol !!!!

gkdmturner

we need to remortgage quickly, thats why we are so keen to see the defaults drop off. we are in a offset mortgage, but only paying interest since redundancy years ago. the bank(one account) have told us they want £30,000 paid by next march or they will reduce our borrowing facility by that amount, meaning we will then be £30,000 in debt to them, which gives them the opportunity to take the house. we owe £85,000 mortgage, house value £145,000. so we have £60,000 equity in the house and dont want the bank to have it. we have been in a dmp for 6 years, so defaults have all dropped off my husbands account, and its showing green. mine says 'caution' with the 2 defaults 6 years old, and 2 ap's 6 years old.

Tixy

Which credit file are you looking at?

Equifax seem to take a couple of extra weeks for them to be removed (it shouldn't but it does). If you are using noddle then that is a monthly report so they should be off when your next monthly update is done.

I would speak to an independant mortgage broker about your chances of remortgaging elswehere and the impact that your APs and the debt in your DMP will have.

How long until you DMP is expected to finish?

If you switched back to a capital repayment mortgage with your existing lender would then they stop the recall of the £30k from your offset account? If so then that may be something to explore rather than just a remortgage elsewhere (I assume you are planning to switch to a captial repayment if you move to a new lender).

gkdmturner

tixy
it is equifax that we have looked at. as for the one account, the advisor did'nt want to know about any options. the mortgage only has 2 years 10 months left to run, and he wanted £2500 to be paid off every month for the next year. my husband only brings home £2200 a month, so it's impossible with our other bills, and the fact that he will be 60 this year and im 53, limits borrowing options as well. we even thought about equity release. do we need a specialist mortgage adviser with a dmp in place?