DMP & Mutual Support Thread - Part 10

Jon81

KrazyKel wrote: »

Hi Everyone

Ive posted in this topic before.. was looking at setting up a DMP with Stepchange in Dec... Never went ahead with it tho in the end
I was on 0% offers with some my credit cards, which have now ended, not accepted to any new ones too as my credit rating has gone downhill since I took out payday loans last year!

I put off DMP as concerned about my credit rating for the next 6 years and defaults... Now kinda thinking I should just do the DMP due to level of debt (£18K)

Now looking forward, im not sure if im best carrying on paying the min payments - (but will cost a lot in interest) while I can or consider DMP again..

Ive paid off my payday loans! (Yey) and £400ish of my overdraft (£5k Overdraft which is costing me a lot each month in interest)
- Would be more but just had to pay £300+ on car repairs/service

Now the payday loans are clear, how long would it take for my credit to improve enough to get accepted for better rate/0% offers...
or have i messed that up of ever getting them due to poor history/payday loans?

Hard to say having payday loans isn't a block to getting 0% cards but it doesn't help, to be honest, I would consider speaking to the likes of stepchange for some advice as from the breif introduction you've given it may be more benificial to have a honest review of your finances rather than moving debts onto more 0% cards.

Just my opinion and from someone who has been in a similar position there's only so long you can transfer balances before you realise they're never really going down merely maintaining or getting higher. Don't wish to appear rude or blunt but I think it'll help you in the long run

fermi

Hopelessly_Hopeful wrote: »

And about time too!

HHx

Yes, it always was an odd thing to do, and their rationale for it was never very convincing.

B0B

fermi wrote: »

Yes, it always was an odd thing to do, and their rationale for it was never very convincing.

What rationale did they have for the way they did it ?

fermi

This.

http://forums.moneysavingexpert.com/showpost.php?p=52612137&postcount=3224

which reading back now is even less convincing than I remember.

blisteringblue

First payments yesterday for my self managed DMP. 2 x £5 to Barclaycard and £1 to Opus. Let the fun begin .....

I will get them to default if it's the last thing I do

Slows down my % paid off but will be worth it in a few months

fermi

Does seem at times they force you into such tactics, yes.

The credit reporting of DMPs needs a bit of a shake up to be honest. Perhaps if you are on a DMP with out a default, and you get it marked as a DMP, then any entry should be removed 6 years from the start of that marker, as long as you don't 'default' on the DMP payments in the interim? That could be problematic as well, but surely better than the current case where if not defaulted the screw your credit file for the entire term of the DMP + 6 years in many cases.

blisteringblue

It certainly does Fermi. I just don't get how different it is from company to company. Personally I'm not actually worried about the default its more the fact the 3 I am going back to token payments are still charging interest.

I have the same with MBNA as regards the default who have said the debt will remain interest free while I maintain my current payment but they will not default me. I'm not going to fight them because I am happy with that as an interest free debt but I know they won't fall off my credit report until final payment day + 6 years.

Plan then is to actually get them to backdate it, but no rocking the boat now because of the interest free offer for the whole remaining 3 1\2 years of the DMP.

angela1976

My creation account has limited functionality does this mean I can only see the balance and not any payments? I'm asking as my stepchange payment still is showing up on my account? Any advice?

Puzzcat

angela1976 wrote: »

My creation account has limited functionality does this mean I can only see the balance and not any payments? I'm asking as my stepchange payment still is showing up on my account? Any advice?

All my online accounts except Barclaycard were closed shortly after starting the dmp. They all send me monthly statements now instead.
Puzz.x

SquirrelNuts

Has anybody with a Barclaycard account (and online access) had their April Stepchange payment applied to their account yet?

My account is still showing nothing - normally it is within 2 working days - and given that Stepchange sent out payments on 13th according to their website I am wondering where the payment has gone!

In other news, all of the other accounts that I can see do have payments applied now...

Squiz