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DMP & Mutual Support Thread - Part 10

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  • Sazzie23
    Sazzie23 Posts: 2,634 Forumite
    Ninth Anniversary 1,000 Posts Combo Breaker Post of the Month
    kalcide wrote: »
    Evening All,


    so I have just applied for my Stepchange pack to do a dmp but its come back saying the recommend a IVA.


    my understanding is that the IVA is set at 5 years. My dmp will take just over 8 years. I know its flexible that I can add more or less to the dmp and I cant with the IVA.


    with the iva my name will go on the insolvency record. does anyone know how long for?


    Also my problem is that I work for a chartered accountants! ironically..... anyway I am a Accounting Technican MAAT. my boss activally reads the local papers, and im sure would be upset to see my name in the paper. Also I am worried that any clients that I work on my recognise my name in the paper.


    so as I type this im thinking its probably best to go the dmp route. even if it takes me another 3 years to complete?


    guess im just looking for advice really ?

    Does your name go in the paper for an IVA ? But anyway, I'd defo recommend a DMP until you decide you really want to commit to an IVA.

    My other point would be that your DFD will be impacted by interest and charges which lengthen your DFD and extra payments you may choose or be able to make which in turn would decrease your DFD.
    So starting a DMP would give you time to decide if/what your budget might be and if it works and how much you could put into debt busting..so that's my advice, hope it helps but if not feel free to ignore, you know your own situation better than anyone.
    Debt -it's a fight that I'm winning, dealing with debt one day at a time.
    Estimated DFD August 2018 - 2031 - now 2027 :T

    Guide dog Tess, missing Scotland 2 years

    DMP support no438.
  • Brogden
    Brogden Posts: 1,173 Forumite
    Part of the Furniture Combo Breaker
    edited 23 November 2014 at 2:13PM
    I believe that somebody with an IVA stays on the Insolvency Register for the length of the IVA and around three months after the Secretary of State is notified of its completion.......do you need this?

    I am not sure of the position with local papers but you should side step the IVA if at all possible, particularly with your type of work. It is not '5 years with an IVA' and '8 years with a DMP!' My DMP is 'open ended' and I do not know how long it will last but in all honesty, based on the F&F offers I have had it hopefully won't be too long and certainly not the 30 years suggested by Step Change at the outset :eek: !!!!!! I didn't go with Step Change in the end!!

    All the best whichever you decide but I am, in all honesty a little unsure why IVA's seem to be recommended at 'the drop of a hat.'

    Brogden :)
  • Growurown
    Growurown Posts: 5,498 Forumite
    Debt-free and Proud!
    It wouldn't be far off if I wasn't facing redundancy again. It just feels like deja vu, this time last year all over again :(

    Had serious car problems recently too and our daughter has not received any student finance for this term so debt busting has taken a big dive :o

    Anyway while I am still in work am hitting the debt with all we can and it's Mr TTFTM's pay day today, so have just got down to £10,500 and 87.25% paid off :j

    There's always something to smile about and I will find it! :D

    TTFTM x

    Hi TTFTM, threat of redundancy is horrible I know. I went through it a couple of years ago but was fortunate enough to get a job with my employer in another area that wasn't closing down. It's a longer drive to work but it came with a small pay rise so at least I wasn't any worse off after spending on the extra petrol etc.

    The project I work on is government funded every two years and it is always a worry that the funding won't come through again. I think I'm OK for another two years from next March and my DMP should be finished by the time the next funding round goes through. So if the worst happened we could just about manage on OH's wage as long as there is no more debt to pay! I certainly don't intend on being in debt again, not that they would let me anyway with my credit rating:)

    Hello Newbies:wave:
    DMP Mutual Support Thread No. 421

    Debt free date 25/11/2015 - Made It!
  • Growurown wrote: »
    Hi TTFTM, threat of redundancy is horrible I know. I went through it a couple of years ago but was fortunate enough to get a job with my employer in another area that wasn't closing down. It's a longer drive to work but it came with a small pay rise so at least I wasn't any worse off after spending on the extra petrol etc.

    The project I work on is government funded every two years and it is always a worry that the funding won't come through again. I think I'm OK for another two years from next March and my DMP should be finished by the time the next funding round goes through. So if the worst happened we could just about manage on OH's wage as long as there is no more debt to pay! I certainly don't intend on being in debt again, not that they would let me anyway with my credit rating:)

    Hello Newbies:wave:

    I was made redundant on 31st December 2013 and was delighted to find my current job which was very close to original job and an identical salary and now am under threat of redundancy again with possible company closure on exactly the same date :(

    Was so sure we were going to be debt free in 2015 that I went ahead and booked a holiday, flights and villa deposit are paid so have worked out we will still be able to afford it but we were determined not to go away until we had no debt :o

    Good luck with your funding GUO and let's fight our remaining debt with everything we have got and both try to be debt free next year, we'll have a joint celebration! :j

    TTFTM x
    LBM 10/1/12 ~ DFW Start 6/2/12: £82,344 ~ Now Zero
    :staradmin:starmod::staradmin Debt free 17th April 2015 :staradmin:starmod::staradmin
    Eternal thanks to the DMP & Mutual Support (no.439) and Payment a Day Threads
    Mortgage free 3rd July 2014 - Grateful thanks to the 2013/14 MFW threads
    "Debt is normal. Be weird!" Dave Ramsey
    Proud to have dealt with our debt :)
  • I'm just about to send in my application for my DMP with StepChange. It's all a little stressful still at the moment, as I just applied for my basic account with TSB as it said the decision was almost instant, and now I'm finding out it can take up to seven working days!!


    I don't want to send my application in without having a new account set up, as my current account is with Halifax and some of my debt is with them, so I don't want them taking my money in the mean time.


    Does anybody have any advice? Should I just send my StepChange application in anyway without the direct debit mandate, and just set that up once I have the new account? What should I do with my money in the mean time?


    Thanks in advance!
    LBM 14th November 2014 - Total debt £8,852.54
    Step Change DMP started 01 January 2015.
    DFD June 2020
    MBNA: interest frozen - Halifax CC: interest frozen - Halifax Loan: interest frozen
    Halifax O/D: interest frozen - Barclaycard: [?]

  • neiljmuk
    neiljmuk Posts: 186 Forumite


    I intend to start the plan from my Jan wage (so Feb 25th first payment out from Stepchange). This seems an absolute age away, but hopefully this will nudge along a few defaults - maybe even Mr BC. :D

    I have also kicked off making the £1 token payments. Only £16 debt repayments this month - I wish that was the norm!!!

    Hi mate, I'm kicking off February too, just to give me time to get new bank account fully going etc. I was going to do token payments in January and pay in full for the last time in December but to be honest the onslaught of Christmas just broke me early and I'm going to have to give them token payments then too (and in Feb too seeing as step change won't pay them until 25th)...

    It's all good though. Did not want to invite the initial stress of being chased this side of Christmas but if I post letters out explaining I'm going with SC and with a token payment, and do this Christmas eve then it will take em a good few days to hit me back so to speak, most in the new year I imagine.... Late payments with deadlines from about 9th Dec to 20th Dec are not likely to be chased until they get my letters anyways. I know that I've missed the odd payment before by accident and the first thats heard is when they request double payment the month after.


    As for everyone else I spoke to about a month or so ago, thats again for your support and advice around the time I started all this off. Closer to kicking things off proper. Feel a lot less nervous when on here :)



    One question. Can I send my DD form to step change now but ask for them to defer this until February in terms of when they take (then make) the first payment?
    LBM October 2014 :idea: DMP with StepChange as of March 2015
    Debt at Start of DMP 01/03/15: [STRIKE]£36,282.69[/STRIKE] :eek:
    Debt Now: £33,993.48 :j
  • Puzzcat
    Puzzcat Posts: 4,200 Forumite
    edited 24 November 2014 at 4:44PM
    Slothy88 wrote: »
    I'm just about to send in my application for my DMP with StepChange. It's all a little stressful still at the moment, as I just applied for my basic account with TSB as it said the decision was almost instant, and now I'm finding out it can take up to seven working days!!


    I don't want to send my application in without having a new account set up, as my current account is with Halifax and some of my debt is with them, so I don't want them taking my money in the mean time.


    Does anybody have any advice? Should I just send my StepChange application in anyway without the direct debit mandate, and just set that up once I have the new account? What should I do with my money in the mean time?


    Thanks in advance!
    neiljmuk wrote: »
    Hi mate, I'm kicking off February too, just to give me time to get new bank account fully going etc. I was going to do token payments in January and pay in full for the last time in December but to be honest the onslaught of Christmas just broke me early and I'm going to have to give them token payments then too (and in Feb too seeing as step change won't pay them until 25th)...

    It's all good though. Did not want to invite the initial stress of being chased this side of Christmas but if I post letters out explaining I'm going with SC and with a token payment, and do this Christmas eve then it will take em a good few days to hit me back so to speak, most in the new year I imagine.... Late payments with deadlines from about 9th Dec to 20th Dec are not likely to be chased until they get my letters anyways. I know that I've missed the odd payment before by accident and the first thats heard is when they request double payment the month after.


    As for everyone else I spoke to about a month or so ago, thats again for your support and advice around the time I started all this off. Closer to kicking things off proper. Feel a lot less nervous when on here :)



    One question. Can I send my DD form to step change now but ask for them to defer this until February in terms of when they take (then make) the first payment?

    Thought I would reply to both as similar question. I held onto all my sc paperwork until I was ready for the dmp to start, don't be rushed into it, just keep the creditors at bay with the 'I'm setting up a dmp with sc and here is a token payment 'line. I wrote to all mine 3 times, once for each payment month and sent a £1 each time.
    Good luck to you both.
    Puzz.x
    Christmas 2020 £109
    I love my dmp started in Nov 13 with SC. Self Managed 2016 57% done
    £60062/25384.84 - 13222.60k UE

    MY DIARY
    http://forums.moneysavingexpert.com/showthread.php?t=4768685
  • Puzzcat wrote: »
    Thought I would reply to both as similar question. I held onto all my sc paperwork until I was ready for the dmp to start, don't be rushed into it, just keep the creditors at bay with the 'I'm setting up a dmp with sc and here is a token patient's line. I wrote to all mine 3 times, once for each payment month and sent a £1 each time.
    Good luck to you both.
    Puzz.x


    I can do that? Who do you address the letters to - is it the collection department? And do you send them a cheque? Is this after cancelling all the relevant direct debits?


    Sorry for all the questions. I just didn't realise this would be an option - I don't want to annoy my creditors, as I don't want them to use this as a reason to not freeze the interest and charges on my account.


    Thanks :)
    LBM 14th November 2014 - Total debt £8,852.54
    Step Change DMP started 01 January 2015.
    DFD June 2020
    MBNA: interest frozen - Halifax CC: interest frozen - Halifax Loan: interest frozen
    Halifax O/D: interest frozen - Barclaycard: [?]

  • Puzzcat
    Puzzcat Posts: 4,200 Forumite
    Slothy88 wrote: »
    I can do that? Who do you address the letters to - is it the collection department? And do you send them a cheque? Is this after cancelling all the relevant direct debits?


    Sorry for all the questions. I just didn't realise this would be an option - I don't want to annoy my creditors, as I don't want them to use this as a reason to not freeze the interest and charges on my account.


    Thanks :)
    Hi, I just wrote to the address I had on the statements for my credit cards and direct to my bank for my overdraft and loan. I obviously didn't write to the old bank until my new bank account was sorted and wages redirected. You will get all sorts of letters and maybe the odd phone call but pop on here and someone will be able to help.
    Yes I just sent a cheque each time. You will find your debt rises as the dmp is set up but this is usual practice and fingers crossed as the dmp gets sorted they will freeze interest and charges. 8 out of 9 of mine did and 1 I pay a low interest on. Payday loans with cpa need to be dealt with slightly differently as you need to cancel the cpa with the bank and notify the loan company.
    Are all your debts with mainstream lenders?
    An emergency fund is a must and by delaying your start up and saving the money hopefully means when you are up and running you won't need to change your payments which appears to upset the creditors.
    Do try and read back as much of this thread and the previous as possible, lots of information. I read 3 of them before starting my dmp!
    Puzz.x
    Christmas 2020 £109
    I love my dmp started in Nov 13 with SC. Self Managed 2016 57% done
    £60062/25384.84 - 13222.60k UE

    MY DIARY
    http://forums.moneysavingexpert.com/showthread.php?t=4768685
  • Growurown
    Growurown Posts: 5,498 Forumite
    Debt-free and Proud!
    I was made redundant on 31st December 2013 and was delighted to find my current job which was very close to original job and an identical salary and now am under threat of redundancy again with possible company closure on exactly the same date :(

    Was so sure we were going to be debt free in 2015 that I went ahead and booked a holiday, flights and villa deposit are paid so have worked out we will still be able to afford it but we were determined not to go away until we had no debt :o

    Well the holiday bit sounds fab, the redundant bit not so fab:(

    I hope it works out for you TTFTM and if it doesn't let's hope a new job comes along pretty pronto.

    I am desperately trying to be debt free next year but I am wavering. It's the Halifax debt that is causing me the problem. As I am now self managed they only want £50 a month, and the idea was to throw every penny at them to get rid of them earlier. Had I still been with SC I would be paying them more but another reason I went self managed (owning up time here now) was to be able to contribute to my son's wedding.

    Having forked out for part of the wedding costs we then found out that OH wasn't getting the overtime that usually helps to pay for Christmas expenses, but we have negotiated a cheaper Christmas this year with all the relatives with a maximum spend on presents of a tenner. So I feel I have lost some control going self managed, even though it was supposed to give me greater control!

    However on the upside all my other debts should be cleared by this time next year. Halifax might still be hanging on but then I should be able to clear that fairly quickly when the other debts are finished. I also have started my own business and had some success so hoping next year it will help bring in some extra too.
    Good luck with your funding GUO and let's fight our remaining debt with everything we have got and both try to be debt free next year, we'll have a joint celebration! :j

    TTFTM x

    A joint celebration! Party time on the DMP mutual support thread folks, I'll bring the beer:beer::beer:
    DMP Mutual Support Thread No. 421

    Debt free date 25/11/2015 - Made It!
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