DMP & Mutual Support Thread - Part 10

Brogden

BeingDebtFreeStartsHere wrote: »

I'm so sorry to keep asking questions on a daily basis!! I hope that things will settle soon and I will not need to keep asking for help!

Both our MBNA credit card accounts now say 'suspended - the charging privileges for this account have been temporarily suspended' - when we log onto our online banking accounts. Does this mean that the accounts that we have will have been frozen at the interest rate we are currently paying? Or has any 0% deal now been removed?

I don't understand the jargon used at the mo but hoping my knowledge will continue to improve as we go through this journey!!

On a more positive note - my noddle account says I owe £1500 less on 2 of my loans than I thought Will wait for an exact figure from the lenders but hoping it's all correct!!

Thanks everyone,

BDFSH x

Hi BDFSH !!

Don't be concerned about this online message from MBNA if you have decided that you are definitely going down the DMP route. What they are trying to say is that as the cards are 'suspended' and they will be declined if you try to spend on them. They are saying 'temporarily' because their system is thinking you may be paying the arrears and at this stage they would potentially lift the suspension if the accounts were brought up to date. If you're following a DMP then this won't happen.

Sooner or later they will terminate the agreement but I have been through this with MBNA and for a long time they didn't want to remove all interest - they reduced it. When our repayment proposals to them were for a much lower monthly payment than they were hoping for they did stop the interest and shortly after sold the debt. I would guess the same thing will happen with you.

Please do not be concerned although looking back I remember having the the feeling I was 'letting everybody down!' It passed pretty quickly and was replaced with a feeling of let's get this sorted in the best way for us

Speak soon,

Brogden

Karen777

hello - flying visit - am working away and without internet (yikes!) a lot at the moment and so just wanted to say hello and hope everyone is getting on ok.... welcome new folks - this is a very helpful place to be.

Riverview8

Hello Everyone, new to the thread & after a bit of advice. I have around £30k of debt ran up due to my OH's critical illness. Have been spinning plates & paying minimums but have never missed or been late with payments. Recently had a LBM that this was not sustainable & contacted SC who were really helpful & understanding. They suggested a DMP paying approx £600 pm to clear all in just under 4 years. Seems good advice.
I am in the process of getting a new account & sending forms to SC. I won't be able to switch my salary until late Oct at earliest & have payments going out prior to then. Would I be best to cancel DDRs on the account, make reduced payments online & send a SC template letter to them? One of my creditors is my bank (loan) will they try to take full amount? They are CO-Op Bank.
I have an interview next week for a job on a lot more money would it be worth holding off the DMP as if I get it I will be on double the salary?
My final question is re creditor contact, am I likely to get loads of calls & is it worth going onto accounts & removing phone numbers so they can only contact via letter or email? My OH has been ill with cancer & don't want her recovery ruined by endless calls!
Many thanks to everyone & thanks for a great thread.best wishes to everyone.

blisteringblue

Hi Riverview, Welcome. I would advise you to cancel your DDs now and start sending them token payments until you are good and ready to start with Srepchange, even if that runs into November.

All my creditors were happy with this before we started, as long as they see you are dealing with SC they seem to be ok. It should help you build up a good emergency fund too.

Once its all clicked in with SC you normally hear very little from your creditors.

With a 4 year time scale you should have no hassles. What little I did hear from mine was all OK and some even stated that because my repayment schedule was under 5 years for it all they would be happy to continue without interest until then aslong as I carried on making my SC payments.

Puzzcat

Riverview8 wrote: »

Hello Everyone, new to the thread & after a bit of advice. I have around £30k of debt ran up due to my OH's critical illness. Have been spinning plates & paying minimums but have never missed or been late with payments. Recently had a LBM that this was not sustainable & contacted SC who were really helpful & understanding. They suggested a DMP paying approx £600 pm to clear all in just under 4 years. Seems good advice.
I am in the process of getting a new account & sending forms to SC. I won't be able to switch my salary until late Oct at earliest & have payments going out prior to then. Would I be best to cancel DDRs on the account, make reduced payments online & send a SC template letter to them? One of my creditors is my bank (loan) will they try to take full amount? They are CO-Op Bank.
I have an interview next week for a job on a lot more money would it be worth holding off the DMP as if I get it I will be on double the salary?
My final question is re creditor contact, am I likely to get loads of calls & is it worth going onto accounts & removing phone numbers so they can only contact via letter or email? My OH has been ill with cancer & don't want her recovery ruined by endless calls!
Many thanks to everyone & thanks for a great thread.best wishes to everyone.

Hi, just to add to bb' s suggestions I would try not to let your current bank know until after you get your wages into your safe account or they may use the right to offset so pay the loan until then if you can. You can remove your phone numbers but all you have to say if they do ring is you are setting up a dmp and give them the ref number. I found some rang anyway as they had my number from original applications.
Good luck, it will all be fine.
Puzz

lewpster

Hi all, I am new to this so please excuse my silly questions.

I phoned Stepchange last week about my credit card debt and it looks as if a DMP will be the best way forward for me.

I feel so embarrassed and ashamed I am in this mess and feel like I've ruined things for all around me But on the other hand I am doing something about it and yes it will affect us but won't last forever.

Will this affect my husbands' credit file as we share a mortgage as he does not know the extent of my debts?

Should I consolidate the number of debts as some cards have free credit on or just leave them as they are?

And thirdly, do I pay as normal this month as think I am going to struggle unless I do some serious juggling about?

Puzzcat

lewpylew wrote: »

Hi all, I am new to this so please excuse my silly questions.

I phoned Stepchange last week about my credit card debt and it looks as if a DMP will be the best way forward for me.

I feel so embarrassed and ashamed I am in this mess and feel like I've ruined things for all around me But on the other hand I am doing something about it and yes it will affect us but won't last forever.

Will this affect my husbands' credit file as we share a mortgage as he does not know the extent of my debts?

Should I consolidate the number of debts as some cards have free credit on or just leave them as they are?

And thirdly, do I pay as normal this month as think I am going to struggle unless I do some serious juggling about?

Hi and welcome,
I wouldn't start consolidating the debts as the creditors wouldn't look favourably on that if you are about to start a dmp.

My partner and I have a joint mortgage but are not associated in any other way financially, I don't know yet if this will affect his credit but to be honest I had no other choice so I will cross that bridge as it comes!

Have you a safe account away from any debts that you can use for income? If so then yes start letter writing and sending token payments to all creditors unless you have debts with your current bank and that is where your money is currently going, leave them until a safe account is ready.

Hope some of that made sense, sorry got to run...
Puzz.x

Suseka

Hi y'all... just popping in to give a quick update. Hello to all the new ones starting out and I hope its going okay for you all. My only advice is to take it slowly, don't get panicked by Creditors and follow the great advice that's been given so far.

Checking my most recent Noddle update it shows that Hfx did finally default me, but irritatingly have not backdated the default to when we started the DMP (whereas all our other defaulted accounts have been). Grrr. But its a default so now I can make proper inroads on that balance.

That leaves just the two BC accounts and I had a letter stating they are looking into my complaint (about reinstated interest) and we should receive a written response by 23rd September. I'll keep you folks posted on the outcome.

Better news (non-debt related) is that my sister is making a marvellous recovery from her recent surgery. She's now home and waiting for the formal 'all-clear'. She will have to keep taking her chemo medication for a while longer, just lower doses while they wean her off. Such a relief!

I'll be back for a chat again soon.

Suseka

BeingDebtFreeStartsHere

Thanks so much for the advice Brogden

Kate - fingers crossed for u. Really hoping that you're successful with getting the job

BDFSH x

dazla

Riverview8 wrote: »

Hello Everyone, new to the thread & after a bit of advice. I have around £30k of debt ran up due to my OH's critical illness. Have been spinning plates & paying minimums but have never missed or been late with payments. Recently had a LBM that this was not sustainable & contacted SC who were really helpful & understanding. They suggested a DMP paying approx £600 pm to clear all in just under 4 years. Seems good advice.
I am in the process of getting a new account & sending forms to SC. I won't be able to switch my salary until late Oct at earliest & have payments going out prior to then. Would I be best to cancel DDRs on the account, make reduced payments online & send a SC template letter to them? One of my creditors is my bank (loan) will they try to take full amount? They are CO-Op Bank.
I have an interview next week for a job on a lot more money would it be worth holding off the DMP as if I get it I will be on double the salary?
My final question is re creditor contact, am I likely to get loads of calls & is it worth going onto accounts & removing phone numbers so they can only contact via letter or email? My OH has been ill with cancer & don't want her recovery ruined by endless calls!
Many thanks to everyone & thanks for a great thread.best wishes to everyone.

Hi...if I were you I would hold off on the DMP until you know about the job. I am on a DMP, have been for 3 years. Just be aware your credit record will be trashed for a long time, 6 years if you incur a default or a lot longer if you get any AP markers.