DMP & Mutual Support Thread - Part 10

sunnyskies2

Hi, yes budgeting is probably harder than starting the DMP - this is where our old habits have to show themselves to have changed...having always paid bills SC is just another bill !

I am using YNAB and now on my third month but I am still learning and making mistakes but generally getting a better understanding of it and it is definitely helping - I don't worry too much about justifying every penny of cash - like you GUO I take out cash for food and when it's gone it's gone - most of the time! When I eventually have a month of money behind me I have listed on YNAB all my odd/annual expenditures which I have a savings account ready for, to start putting money into for them. I guess it is really the piggybank system, I think there are threads giving more tips etc about that?

Sarah x

smiff_50

Sazzie23 wrote: »

Hi Smiff and welcome

If you can face it, and some people really don't find this easy, I would call the creditors and tell them you are in financial difficulty, are taking advice and will get back to them. They should give you a minimum of 30 days with no problems, it normally takes the heat off while you get things sorted. Most DMPs take longer than that to get started and as long as you keep in touch with creditors and send token payments most if them will give you. Good few months breathing space. If you are anxious, I would email creditors and especially don't ring the catalogue people as they are defo reportedly a pain to deal with by phone.

Any PDL ? They will try and get payments through CPA, make sure you don't leave any dosh in an account they can access, also make sure your CPA and DD are cancelled so you don't lose money you need for food or priority debts like mortgage etc.

Enough for now? Come back if you get stuck, and let us know how y are getting on....otherwise we worry

Thanks Sazzie and others for the advice!

I started to email creditors today. I'm getting account numbers sorted to send off as well to SC although SC said I may need to ring PDL to get their account numbers. Not looking forward to that! They have been trying to lift money but I emptied the account and have a nice clean one set up and have arranged my pay to go into it next month.

Lots to read on here and lots to sort out!

Cheers

JoJoB

Hi, could I have some help with putting a budget together for DMP annual review please? Our expenses and income have changed quite a bit but I'm not sure how much they will allow for certain expenses (our public transport bill is a hefty £720 a month!).

We are 2 adults and 1 child. The following on the left hand side is the payplan budget from 4 years ago, on the right hand side I have put in the revised actual figures. I know the transport is going to be an issue, so it may have to be hidden in other "expenses". Anyone know if there are other categories of expenses I could claim for? There seems to be no allowances for holidays or christmas presents for example - do payplan expect this to go into the "others" category?

I also don't know if we can claim more on the Household expenses - any idea?

Thanks for help!

Mortgage £0.00 £400 (inc maintenance charge and buildings ins)
Contents insurance £14.53
Council Tax £99.00
Electricity £45.00 £120 (increase of £75)
Water Rates £18.97 £24 (increase of £5)
TV Licence £11.95
Life Insurance - Joint £9.50 £22 (increase of £12)
Home phone £33.00 £50 (increase of £17 - inc mobiles)
Public Transport £200.00 £720 (increase of £520 - £170 per week train plus £40 per month school bus fare)
Housekeeping £397.00
Clothing / Footwear £20.00 £100 (increase of £80)
Health (dental, optical, prescriptions etc) £25.00 £85 (increase of £60 - inc dental work, inhalers, contacts and gym)
Hairdressing/Haircuts £8.00 £24 (increase of £16)
Memberships Professional Subs £8.62 £20 (increase of £11)
Other £50.00 £293 (increase of £243 inc student loan of £150 and prof development course of £93 )
Budget Overview
Total Income: £1,443.67 £2,400 (increase of £1000)

Zerdi6

Hi Jo :wave:

Don't know if this will be of any help but I've just looked at the budget I put together with StepChange to see if theres any other categories - I imagine PayPlan will pretty much have the same ones?

Rent Mortgage
Secured loans / 2nd mortgage
Mortgage endowment premium
Service charge / ground rent
Water
Council tax
Gas
Electricity
Other household fuels
Child maintenance
Telephone / mobile / internet
TV licence
Life insurance / pensions
Medical / accident insurance
Household appliance rental
Childcare
Building / contents insurance
Fines / CCJs / decrees
Satellite
Repairs / maintenance
Hire Purchase
Spares / servicing
Road tax
Insurance
Breakdown cover
Fuel / Parking
Public transport
Food / toiletries / cleaning
School meals / meals at work
Pets / pet food / insurance
Tobacco
School trips / activities
Medicine / prescriptions
Dentist / opticians
Hairdressing
Union / professional fees
Laundry / cleaning
Clothing / footwear
Newspapers / magazines
Sports / hobbies / entertainment
Children's pocket money
Religious Contributions
Sundries / emergencies
Income Tax
National Insurance
VAT

Brogden

Smiff said:- I started to email creditors today. I'm getting account numbers sorted to send off as well to SC although SC said I may need to ring PDL to get their account numbers. Not looking forward to that! They have been trying to lift money but I emptied the account and have a nice clean one set up and have arranged my pay to go into it next month.

Smiff - I have been through exactly the same thing and well done on getting your new bank account sorted out.

Just one thing......you mention emails to your creditors. Fine but do not mention any account names and numbers in those. Not just to PDL's but not to 'respectable' banks either. There is a 'security revolution' going on and maybe for good reason. Stuff is intercepted on the internet. I am concerned that you may not get meaningful responses by email due to the security procedures of the firms you are contacting. In all honesty, I would use the telephone and go through ID and security. I've been there. At first its tough......after a few its easy!!!!

All the best,

Brogden

Mojo13

Hi All,

Lovely to her some of the positive stories, I am looking for a bit of help, Barclaycard (one of three I have) are now charging interest on the debt which is pushing the balance up by over £100 a month, I have spoken to SC and they have sent them my paperwork a couple of times but still the are charging, previously for the first few months they stopped it, is there anything I can do, I really can't face ringing them so was thinking of trying a letter, is that what most people would do.

Feeling low today, thought I was going alright, thanks for listening.

Mo

Brogden

Mo,

Don't feel down.

Barclaycard will stop the interest sooner or later. Has the Barclaycard account defaulted? Have you received a default notice and has your account subsequently been terminated by Barclays? It could be that the system is still billing you interest because the account is still shown as live?

The banks will pretty generally charge interest when the account is live and pretty generally automatically stop it when terminated (some time after the default notice is sent.)

It makes me think your account is still live. Its fastest and easiest to ring them - don't worry.....a young telephone operator and he/she wont give a damn but just stop the interest accumulating........its not the CEO of Barclays!!!

Hope it goes OK

Brogden.

Mojo13

Hi Brogden,

Thanks for replying and the words of encouragement, it so helps to know there others out there that understand where you are.

Initially Barclaycard stopped the interest and I had letters saying it had gone to Mercers but now the past three (or so) statements have had interest applied, so I am at a loss as to why. SC are sending my paperwork again but it doesn't seem to be working. I'm really reluctant to ring as I get so mixed up with words at the moment. I'm off sick from work and on anti depressants so not feeling tip top!. I'm thinking of a letter first but not sure.

Thanks again

Mo

BeingDebtFreeStartsHere

Hi everyone,

I need some advice regarding PPI. My husband has a loan with Lloyds and prior to deciding to go for a DMP he applied to reclaim PPI on 2 previous old loans he had with Lloyds.
We sent our paperwork to SC who received this all yesterday and informed us that they will be contacting the creditors within the next few days.
Typically, in the post this morning my hubby gets a letter from Lloyds stating they have upheld his complaint and are offering just over £3000 for the mis-sold PPI which will be paid directly back into his bank account within the next 28 days.

Will Lloyds just take this payment and deduct it from the outstanding loan that will be part of the DMP? Just gutted as we would have been able to use this money to give us a good emergency fund

Has anyone been in the same position? Any advice appreciated.

GibbsRule_No3

BeingDebtFreeStartsHere wrote: »

Hi everyone,

I need some advice regarding PPI. My husband has a loan with Lloyds and prior to deciding to go for a DMP he applied to reclaim PPI on 2 previous old loans he had with Lloyds.
We sent our paperwork to SC who received this all yesterday and informed us that they will be contacting the creditors within the next few days.
Typically, in the post this morning my hubby gets a letter from Lloyds stating they have upheld his complaint and are offering just over £3000 for the mis-sold PPI which will be paid directly back into his bank account within the next 28 days.

Will Lloyds just take this payment and deduct it from the outstanding loan that will be part of the DMP? Just gutted as we would have been able to use this money to give us a good emergency fund

Has anyone been in the same position? Any advice appreciated.

Cannot say what Lloyds will do but HSBC took my debt off the PPI before giving me the remainder. Strange thing though, when I looked at my Experian report they still had defaulted, despite receiving all their money. Barclaycard never did stop my interest and I paid over £2500 in interest. No sign of Barclaycard on my Experian report, even the man at Experian when I cancelled my 30 day free trial could not explain why they were missing.