DMP & Mutual Support Thread - Part 10

Puzzcat

flowerpotter wrote: »

Hi Folks,

Can I ask what people would think is a sensible amount to save for a car repair/MOT fund per month?

Again this is something we have only very recently started saving for and unfortunately its going to be way too late to help us this year. Our 15 year old Ford Transit is booked in for the end of the month MOT. If it’s bad we will end up not paying bills to get it fixed. :o We live on a remote Scottish island and public transport is not an option.

More positive news is we are now down to 16 creditors and a tiny drop in the overall debt amount. We settled fully with Budget Insurance for £67. :)

Assuming we can get through this month without a major calamity we are considering raising our DMP payment to shave a few years of our DMP. The ultimate aim is to pay debts in five years. :cool:

Louise

Hi Louise,
It's hard to give an answer really as vehicles are the bane of most of our lives! I put £50-£60 a month in my car account. Car tax for me is £150 a year, mot £50 and I pay my car insurance monthly. So far this year my car has had at least £500+ spent on it and it's currently making a horrible noise so will be back to the garage next week. Having an emergency fund as well does help!!
Puzz.x

dad2one

Sazzie23 wrote: »

Absolutely well put, and great advice too. I also have the, 'we're concentrating on clearing our debts before retiring' line which I use if anyone gets suss when I hesitate before spending. I'm proud of dealing with my debts, but it's no one else's business. You might be surprised who else is in the same position if you ever did mention it!

Indeed. I would bet that most people who have loans and cards do not actually have a long term plan as to how they are going to pay them all off eventually, even if they are 'comfortably managing' them now. It is that state I would not be proud about.

dad2one

flowerpotter

Cars are different for everyone. It depends on the usage.
If you are using a managed Statement of Affairs declaration, go for the maximum recommended amount.

I mean...
£15 - £20 monthly tax
£? Insurance, could be £50, could be anything these days
Repairs MOTs etc, realistically allow £75 monthly.

And then there's fuel....

Sazzie23

dad2one wrote: »

flowerpotter

Cars are different for everyone. It depends on the usage.
If you are using a managed Statement of Affairs declaration, go for the maximum recommended amount.

I mean...
£15 - £20 monthly tax
£? Insurance, could be £50, could be anything these days
Repairs MOTs etc, realistically allow £75 monthly.

And then there's fuel....

Also flower potter, it's generally considered 'reasonable' if you need to drop a DMP payment once in a while for emergency items such as big car repair bills..better to skip the DMP payment - after discussion with DMP manager - than not paying any priority bills.

Growurown

Sazzie23 wrote: »

Also flower potter, it's generally considered 'reasonable' if you need to drop a DMP payment once in a while for emergency items such as big car repair bills..better to skip the DMP payment - after discussion with DMP manager - than not paying any priority bills.

Yes I've had to do this several times and it hasn't been a problem. It can be a challenge running a car on a DMP as they do have a habit of landing you with unexpected bills, and large ones at that!

Puzzcat

With all this paying back of payday loans, I think it's time they looked at rate jacking and consolidation loans from main stream lenders. Personally that is why I'm in the mess I am, and I'm sure I'm not alone!!!

dad2one

^ Good point. Maybe next....?

Aloofdragon

Hiya we are about to set the ball rolling into an IVA with PP and to be honest I am feeling rather punch drunk we have a total of £13k, debt at the moment 2 cc totalling £2k, a bank loan with Barc for £6k, A £600 overdraft Argos card £1k, a catalogue debt £1k a tax credit overpayment of £1.5k my main question is if this falls through if the creditors don't go with PP is there a better debt to pay off first one of the credit cards is creation and everything I have read says nightmare!!
Can I just add I haven't actually defaulted on anything yet I do have a late payment tho for this months as nothing has been paid as instructed.

Growurown

Aloofdragon wrote: »

Hiya we are about to set the ball rolling into an IVA with PP and to be honest I am feeling rather punch drunk we have a total of £13k, debt at the moment 2 cc totalling £2k, a bank loan with Barc for £6k, A £600 overdraft Argos card £1k, a catalogue debt £1k a tax credit overpayment of £1.5k my main question is if this falls through if the creditors don't go with PP is there a better debt to pay off first one of the credit cards is creation and everything I have read says nightmare!!
Can I just add I haven't actually defaulted on anything yet I do have a late payment tho for this months as nothing has been paid as instructed.

Hi Aloofdragon, I would try and pay off the nasty one first, the one that charges a lot and won't freeze interest. Is there a particular reason you are going down the IVA route and not doing a DMP? Compared to the amounts that other people on this thread owe 13k isn't actually a lot although I am sure it seems a huge sum to you.

Aloofdragon

To be honest I am dreading sending the letters to Payplan tomorrow I know we could sort this mess out in less than 5 years maybe 6 that an Iva will be for but we have been slightly railroaded by work colleagues with my hubby. OK we will be skint til this time next year but the thought of receipt sending, ringing in if hubby has a few hours overtime, my SS maintenance is due to end after Christmas will all that go straight into their pockets he is also due for promotion at work OK it won't be a massive amount but anything over hundred pound a month 50% will go into the payplan pot this is what scares me the most not sorting the debts out , I think its mainly as none of our debts are to utilities (apart for 2 months water) we owe nothing that could actually make us homeless.