DMP & Mutual Support Thread - Part 10

System

January2015 wrote: »

So, we are gradually hearing from our creditors that they have accepted the DMP and offers of reduced payment via StepChange. All good so far then. Except Halifax have advised that interest will continue to accrue on the 2 loans we have with them and as we are paying less than the agreed monthly repayments this will increase the balance of the loans.

They also say they only accept the reduced payment offer for a period of 6 months and then will expect all arrears to be brought up to date and for the full agreed monthly repayments to recommence:rotfl: - er.....did they not read our SOA that SC sent them;)

Does anyone think it's worth writing to Halifax and asking them to freeze the interest because if they don't we will never, ever repay the loans - or should we just wait it out and hope they default the loans and pass them to a DCA?

This is exactly what is happening with our Lloyds loan....they can only have what we can afford and I am hoping they will default it and pass it on sooner rather than later.

January2015

Ok - so we've decided to challenge H@alifax on their refusal to freeze interest on our loans. The outstanding balance includes interest calculated to the end of the payment term so the balance owing includes the interest to the end of the loan terms, but they are advising that we will pay more interest because interest is charged on the outstanding balance and if we pay less than the full monthly payment the interest will be higher each month.

So letter written - fingers crossed;) They can only say no.

Anyway, I had to trawl back through several pages to find the template letters.....link here to very helpful post by TTFM, with input by Puzz as well :beer:

DanielleNic87

ploppy57 wrote: »

Ooh that's interesting with BC...hoping that happens to us as I have heard BC tend to be one of the worst. Can I ask how much you had with them and how long you had been paying etc? BC are one of our biggest as OH had 2 cards with them and one of them was £11k! IF they don't stop the interest it will take us forever to clear it:(

The balance was £1500 and I have been paying via SC for about 18 months.

System

DanielleNic87 wrote: »

The balance was £1500 and I have been paying via SC for about 18 months.

Ours is a lot more than that and I have worked it out, if they continue to add interest as they are doing....plus they have put on a £12 late fee this month, even though they know they have agreed the payment plan and know they are getting money from SC next month.....by the end of the DMP we will actually still owe a lot more than we already owe! :mad:

System

January2015 wrote: »

Ok - so we've decided to challenge H@alifax on their refusal to freeze interest on our loans. The outstanding balance includes interest calculated to the end of the payment term so the balance owing includes the interest to the end of the loan terms, but they are advising that we will pay more interest because interest is charged on the outstanding balance and if we pay less than the full monthly payment the interest will be higher each month.

So letter written - fingers crossed;) They can only say no.

Anyway, I had to trawl back through several pages to find the template letters.....link here to very helpful post by TTFM, with input by Puzz as well :beer:

When I check online for our Lloyds loan, it shows the balance outstanding and still shows interest at the same rate as when we took it out. They really don't get it, do they? I will wait and see what reply I get from my last letter and if they still don't play ball I will hit them with the other one!:rotfl:

January2015

ploppy57 wrote: »

When I check online for our Lloyds loan, it shows the balance outstanding and still shows interest at the same rate as when we took it out. They really don't get it, do they? I will wait and see what reply I get from my last letter and if they still don't play ball I will hit them with the other one!:rotfl:

Same for our H@lifax loans Ploppy. My understanding is the balance shown includes forecast interest up to the end of the loan term - I'm happy for them to freeze the balance at this point so they will be getting the original interest for the entire loan term but to keep piling the interest on because we are making reduced payments through stepchange feels wrong when credit card companies are willing to freeze interest and charges

Woodypuddy

ploppy57 wrote: »

Ours is a lot more than that and I have worked it out, if they continue to add interest as they are doing....plus they have put on a £12 late fee this month, even though they know they have agreed the payment plan and know they are getting money from SC next month.....by the end of the DMP we will actually still owe a lot more than we already owe! :mad:

Hi, I had 2 large debts with BC - both near 10k each. They froze interest when I started the DMP which was great. Don't think everyone on here has had the same result though. I think they have just reduced for some. Seems to relate to how much you are paying etc.

System

Woodypuddy wrote: »

Hi, I had 2 large debts with BC - both near 10k each. They froze interest when I started the DMP which was great. Don't think everyone on here has had the same result though. I think they have just reduced for some. Seems to relate to how much you are paying etc.

Yes, I think that is probably correct. The payment SC have agreed with all of our creditors seems to be about 1% per month, so don't know of that works in our favour or not. First payment is not until next month so maybe we will have to wait and see what happens

January2015

ploppy57 wrote: »

Yes, I think that is probably correct. The payment SC have agreed with all of our creditors seems to be about 1% per month, so don't know of that works in our favour or not. First payment is not until next month so maybe we will have to wait and see what happens

I just logged into both our BC accounts and both set at 0% at the moment - hopefully they will keep it that way

System

January2015 wrote: »

I just logged into both our BC accounts and both set at 0% at the moment - hopefully they will keep it that way

They wrote to us and said would only drop it to 0% until they heard from SC....they seem to be having problems with one department knowing what the other one is doing, when I spoke to them the other day, they still didn't have any details on the computer about the DMP....and we have only had letters concerning my CC and nothing about OH's yet....he has forgotten his log in details so I can't check on them!