DMP & Mutual Support Thread - Part 10

System

Ali80 wrote: »

Hi,

I applied online for a Nationwide cash card account on 20th January and got an email straight away confirming I had been accepted. I received my PIN on 22nd, debit card on 24th and internet and telephone banking pass codes on 26th (even though it said 7-10 days).

I was a bit concerned about whether to manually transfer DDs or to request an account switch so rang Nationwide on 3rd February for advice. They suggested a partial switch to keep my old account open and all DDs and a standing order were transferred by 6th....well, all displayed on internet banking, but none are due to be collected until 20th February. It was a lot more straightforward than I anticipated. The lady I spoke to said it can take up to 3 weeks for DDs to be fully switched, but it was much quicker in my case.

I don't understand why some have more trouble than others, the different sort code reason seems a little strange. Maybe it depends on the type of account, which bank the DDs are being transferred from (Natwest in my case) or which companies the DDs are with? My sort code is 07 04 36 if that helps?

Ali

Ooh, that is the sort code they gave us and ours was a Cash Card Account in joint names. Although we have also opened separate accounts but want the DD's from the Joint account as that is the one we will be paid into. They say it is because certain companies just need to update their systems or something and that is what is causing the problems. Does all seem a bit odd. I will see what happens

Ali80

January2015 wrote: »

Spoke to SC today - DMP is all set up and first DD will be collected on 1st March:j:j

We thought about asking to delay it because of car troubles this month, but then realised I had some additional hours being paid in February's salary so decided we would just jump right in and get the DMP started. The car will impact slightly on our emergency fund - which is a bit of a downer in the first month of having an emergency fund but hey ho - the car will be paid for and not by using credit cards.

Revised DFD is 8 years 9 months which I think is October 2023 :eek: This does assume the debt doesn't increase (which it will before creditors hopefully freeze interest). No matter what we will definitely be working to reduce that figure.

The light at the end of my tunnel is dim, but it is getting brighter by the day:D

Well done January2015! :T

I am at a similar stage to you, even down to the car troubles! I'm hoping my car hangs on in there til I get paid next week and have another month of token payements to lessen the burden, get it fixed and put it through MOT. My first payment is consequently on April 1st and I'm really looking forward to finally making a dent in my debt.

Good luck with your DMP

January2015

ploppy57 wrote: »

Can I ask what sort code they gave you? When I rang they told me it is because of the new sort codes they are using? Sounds very odd to me.

Hi Ploppy

Just checked - strangely we got 2 different sort codes.

Mine is 07 02 46
DHs is 07 04 36

All of the DDs have been set up through my account (07 02 46) and there has been no problems (so far). We haven't set any DDs up through DHs account on purpose because that is the account we are going to use for our spending money (food, fuel etc)

Ali80

Scaredofdebt wrote: »

Can anyone help??
I applied for a Nationwide bank account 2 weeks ago and it is still not up and running. We have been approved but they dont seem to know what they wre doing and we have had a letter today to say we will get our card in approximately 2 weeks!! The problem is our current bank account is one of our creditors; our cc payment to them is due on Thurs, which we are intending to pay but OH wages are due in on Friday. I posted our sc paperwork today but am now panicking again that our current bank will use right to offset before we get our new account up and running. Anyone have any advice please?

Hi,

Have you contacted Nationwide to ask them what's happening? Although you may well receive your card in the next few days, as I did when advised it would be 7-10 working days.

SC advised me that banks don't often use the right to offset and that it is more common for them to do this to clear an overdraft than a CC. They also said that the bank has to notify you in writing of their intention to do this (although I'm not too sure how accurate this is). I was also worried about this as SC started informing my creditors about my DMP last week. I have paid token payments to 2x CC and a loan with my current account and have had no trouble thus far with them trying to offset.

Last resort but maybe your OH could transfer his wages to a trusted family member or take cash out at the bank, leaving enough to cover DDs? Or cancel DDs and pay companies by postal order until your new account is set up and any DDs transferred.

Ali

Scaredofdebt_2

Ali80 wrote: »

Hi,

Have you contacted Nationwide to ask them what's happening? Although you may well receive your card in the next few days, as I did when advised it would be 7-10 working days.

SC advised me that banks don't often use the right to offset and that it is more common for them to do this to clear an overdraft than a CC. They also said that the bank has to notify you in writing of their intention to do this (although I'm not too sure how accurate this is). I was also worried about this as SC started informing my creditors about my DMP last week. I have paid token payments to 2x CC and a loan with my current account and have had no trouble thus far with them trying to offset.

Last resort but maybe your OH could transfer his wages to a trusted family member or take cash out at the bank, leaving enough to cover DDs? Or cancel DDs and pay companies by postal order until your new account is set up and any DDs transferred.

Ali[/QUOTE

Thanks Ali,
I have since been to the gym and cleared my head!! I am going to ring Nationwide tomorrow and see what the delay is. SC told me the banks have to give 30 day written notice to offset but according to Internet they don't necessarily. Going to draw out wages and dd not due until 1/3 so hopefully have chance to change them if not I'll have to see if I can make over the phone payments - deep breath! These things are sent to try us.

Sazzie23

Hi all

Re nationwide accounts

I opened my safe bank account with a very little known bank (I don't recommend them as they fee charged) but the issue with the sort code was also relevant for me and some companies couldn't set up the DD as they needed to update. But it was Ok as I just told companies about this banking issue and paid them directly where necessary for one month.

Offsetting, Natwest did this to us, but we knew they were going to and it was only a couple of quid left in old savings accounts, as it went to clearing the OD we didn't mind, they did give notice and the call centre staff had told us.

What can happen though is that banks 'close access to OD', which can be catastrophic if you've been living in OD for some time and when your wages go in it just gets swallowed. If you are not sure, always ask for wages to be paid into a safe account, they can get paid into savings accounts if you need. I have heard of people on the thread staying up til midnight til the wages are in and swooping to the cash til to get the cash out before it disappears, but it's better to avoid having to go to these lengths.

Sounds I've progress being made in lots of places at the moment. Have a good day

tayajade

Hi All

I am looking for some advice regarding redundancy and DMP! My OH is being made redundant at the end of this month needless to say its a very worrying time. We started a DMP last year with Payplan and we pay 570 per month, we have never missed a payment. He has an interview on Friday however the job is a commute so if he gets it we will lose around 100 pounds per month in petrol costs. To be honest most months we are scraping through so we cant absorb the cost of this extra petrol money, do i ring Payplan (if and when he gets the job) to see about reducing the monthly payment? Has anyone else been in this situation?

If he doesnt get a job soon we will have enough money to pay our bills for 2 months, do i carry on paying the same amount to Payplan until we run out of money or do i reduce the payments sooner to keep our other bills paid for maybe an extra month?

Thank you in advance!

zuluwarrior31

moneyworrier89 wrote: »

Hello there,

I am looking for advice please. I am 24 years old and feel like some sort of failure. I am around 10,000 in debt after being silly when in University but I am now resolving to face up to my issues.

I am now in the process of applying for a DMP with Step Change who seem to have a good reputation. My main concern is one of my creditors Zopa loans. I owe around 3500 with them and I am particularly worried as it is Peer to Peer lending. I have heard lenders can arrange their own debt collectors. I completely appreciate why they would as it is their own money, however the thought of this is now making me ill and affecting other aspects of my life.

any advice given would be greatly appreciated.

is the debt you have including student loans etc or just your personal expenses? A dmp is great to start with but depending on what you're paying could leave in a sticky situation for a long time. Have you done your income and expenditure assessment yet? If they hand it over to debt collectors they are selling the debt, so once it is with them you can add it to your DM

Sazzie23

tayajade wrote: »

Hi All

I am looking for some advice regarding redundancy and DMP! My OH is being made redundant at the end of this month needless to say its a very worrying time. We started a DMP last year with Payplan and we pay 570 per month, we have never missed a payment. He has an interview on Friday however the job is a commute so if he gets it we will lose around 100 pounds per month in petrol costs. To be honest most months we are scraping through so we cant absorb the cost of this extra petrol money, do i ring Payplan (if and when he gets the job) to see about reducing the monthly payment? Has anyone else been in this situation?

If he doesnt get a job soon we will have enough money to pay our bills for 2 months, do i carry on paying the same amount to Payplan until we run out of money or do i reduce the payments sooner to keep our other bills paid for maybe an extra month?

Thank you in advance!

Hi Taya

Sorry to hear of the sticky job situation, difficult times for you all. I am with SC but I guess it'll work about the same. When I did my review about this time last year I had to reduce payments due to my wages going down and everything else going up, I reduced by about £120 pounds approx, and no one really questioned it. I'd be tempted to risk one month at full payment if you can & if the job is a likely prospect (and good luck for the interview DH). After that I'd say go to the payment you can reasonably afford on whatever income is guaranteed, and if it's zilch then zilch is what you'll have to pay for a while, (can't give what you haven't got etc).

IMO probably better to drop it as low as it's gonna go then bring up when income increases, they only have one moan session then? I would suggest always keep in touch with creditors as well as PP to let them know what is happening and what you are doing.
Might be helpful to others if you could let us know how you get on?

tayajade

Sazzie23 wrote: »

Hi Taya

Sorry to hear of the sticky job situation, difficult times for you all. I am with SC but I guess it'll work about the same. When I did my review about this time last year I had to reduce payments due to my wages going down and everything else going up, I reduced by about £120 pounds approx, and no one really questioned it. I'd be tempted to risk one month at full payment if you can & if the job is a likely prospect (and good luck for the interview DH). After that I'd say go to the payment you can reasonably afford on whatever income is guaranteed, and if it's zilch then zilch is what you'll have to pay for a while, (can't give what you haven't got etc).

IMO probably better to drop it as low as it's gonna go then bring up when income increases, they only have one moan session then? I would suggest always keep in touch with creditors as well as PP to let them know what is happening and what you are doing.
Might be helpful to others if you could let us know how you get on?

Hi sazzie

That's great advice thank you, I was thinking the same about making at least one more full payment - fingers crossed he gets the job!

It's good to know that you've done something similar that probably a similar amount to what we would need to reduce by.

I will make sure that I post the outcome on the thread.

I saw that you recently lost your partner sazzie and I'm very sorry for your loss, thank you for taking the time to help at such a difficult time.