DMP & Mutual Support Thread - Part 10

antonic

toots82 wrote: »

Hiya,

yeah that makes sense, but we're not going anywhere until every penny is paid back. I just mean if we are paid off in 3 years (from when DAS started), an extra 3 or 3 and a half given how long it took some to put a default on is an awful long time!!

I guess things change a lot in 3 years though, and may be me being daft but given how many people are in this situation, mortgage companies will have to look at things on a personal level sometimes, or they'll lose out on a huge amount of business I guess!!!

Huge well done on getting DF!!! how good did that feel???

It was great and at the same time strange !

I went from paying £280/mth to Payplan to having the extra money !

Since I became DF I have been on holiday with my dad , and this month I got a credit card through my bank (only a small limit) but it helps me improve my credit rating, which is what I want.☺

toots82

antonic wrote: »

It was great and at the same time strange !

I went from paying £280/mth to Payplan to having the extra money !

Since I became DF I have been on holiday with my dad , and this month I got a credit card through my bank (only a small limit) but it helps me improve my credit rating, which is what I want.☺

good for you we pay £700 a month and think link distribute, they take £85 a month, so by time we get finances sorted we will be 1 year into a 5 year plan, by doubling payments I hope to eliminate 24 months of their fee too.

24 months seems so much better than 48 lol

Growurown

Gosh this thread's been busy! Just want to say hi to all the newbies.:hello:

Car goes in for its MOT tomorrow, wish me luck!

Sickofthisdebt

Hello Everyone

Newbie here! I've completed the stepchange debt recovery tool and it's recommended a DMP for me. I have just over £11k debt which seems huge but they have said I can be debt free in 3yrs 11 mths. I hope it to be quicker than that though if I can save up and throw more money at it. I'm scared, nervous and relieved all at different times. I hope my creditors will be nice to me

This I the first month I will miss any payments. I just couldn't go on the way I was. I can't believe on the DMP I will actually have money to cover everything

I hope I can start my DMP next month. How long does it all take to set up?

I've been reading loads on DFW and DFD and it's helped me loads. I don't feel alone anymore. I know some on here have kept their debt from their partners and family. I will be one of those. Not sure how I'm going to explain the increase in post

I have been really scared by my debt to the point I was considering hurting myself but since coming on here I feel better. I feel more in control.

Thanks for reading

toots82

Sickofthisdebt wrote: »

Hello Everyone

Newbie here! I've completed the stepchange debt recovery tool and it's recommended a DMP for me. I have just over £11k debt which seems huge but they have said I can be debt free in 3yrs 11 mths. I hope it to be quicker than that though if I can save up and throw more money at it. I'm scared, nervous and relieved all at different times. I hope my creditors will be nice to me

This I the first month I will miss any payments. I just couldn't go on the way I was. I can't believe on the DMP I will actually have money to cover everything

I hope I can start my DMP next month. How long does it all take to set up?

I've been reading loads on DFW and DFD and it's helped me loads. I don't feel alone anymore. I know some on here have kept their debt from their partners and family. I will be one of those. Not sure how I'm going to explain the increase in post

I have been really scared by my debt to the point I was considering hurting myself but since coming on here I feel better. I feel more in control.

Thanks for reading

HI there,

I'm currently 7 months into a DAS (similar to DMP but in Scotland). Mine was set up in a month but I was told to cease payments from when I agreed to it with company I used (I chose not to go it alone). We sleep far easier at nights and are getting back on track. Ours was for 35k in total and over 5 years. Hoping to have it paid off in another 2 and a half from now. Its scary at times but it does settle. I think from the diaries I've ready, the DAS is better for freezing interest, the companies are legally obligated to freeze it so it maybe happens a bit faster. Anyway, good luck, its all worth it

Sazzie23

Sickofthisdebt wrote: »

Hello Everyone

Newbie here! I've completed the stepchange debt recovery tool and it's recommended a DMP for me. I have just over £11k debt which seems huge but they have said I can be debt free in 3yrs 11 mths. I hope it to be quicker than that though if I can save up and throw more money at it. I'm scared, nervous and relieved all at different times. I hope my creditors will be nice to me

This I the first month I will miss any payments. I just couldn't go on the way I was. I can't believe on the DMP I will actually have money to cover everything

I hope I can start my DMP next month. How long does it all take to set up?

I've been reading loads on DFW and DFD and it's helped me loads. I don't feel alone anymore. I know some on here have kept their debt from their partners and family. I will be one of those. Not sure how I'm going to explain the increase in post

I have been really scared by my debt to the point I was considering hurting myself but since coming on here I feel better. I feel more in control.

Thanks for reading

Hi SOTD

First thing, actually I get much less mail now than I used to !

Second, I really do understand the don't tell your partner bit, and I suspect if I had found out about DMPs before I had to admit to the OH then I wouldn't have told him, however our relationship was seriously shaky and now defunct anyway. But, I think it's a better move to tell a partner, family maybe, depends on your family I guess.

Regards the DMP setup, if you have your new non associated bank account ready and up to date details of all the creditors then it can be quite quick, but don't be tempted to make the mistake of rushing in and throwing all your hard earned at the DMP. Long term DMPers will tell you it's a marathon not a sprint, you need something for emergencies and it's better to wait a month on token payments while you get a small stash than to plough on with something unsustainable. Same reason your budget needs to be doable, as someone (TTfTm?) said, it's not so much about the figures, but proportional amounts debt v income.

If you have time read back through this thread, it's not too long now we've moved over to DMP support thread 10, if you have lots of time go back through 9 & 8 etc, there will be lots of help in there and you'll probably have questions.

Let us know what stage you are at with the bank account and we'll try to help you with the next steps.

Thanks for sharing

Sickofthisdebt

Thank you so much for your kind replies toots82 and Sazzie33

I'm currently reading the forum like crazy trying to get as much info as possible.

I've applied for a new basic bank account with Nationwide. Just waiting for the paperwork to come through.

Thanks for the advice I really appreciate it. I think I have been a little generous with my budget as I was scared of not having enough (never lived to a budget before which is part of my problem ). I will be saving like crazy to build up an emergency fund first before I do anything else. I hope that it is ok to do this and it won't cause problems?

I wish I could tell my OH and family but they wouldn't understand and I'd never hear the end of it.

I feel positive this evening I'm sure the fear will return but I am doing my best to handle this mess.

Hopelessly_Hopeful

toots82 wrote: »

Morning

The 47k salary is gross but "should" be going up in the next year to joint 75k gross (nothing guaranteed until signed and sealed but looking pretty certain). Obviously that frees up a significant extra sum each month which I would rather use to get rid of DAS asap, which lead to me thinking about the future.

I signed up to Noddle last night to face the music and keep an eye on things, its not good!!!

Defaults: HSBC (current acc) , Vanquis, MBNA, Capital one, and default with HSBC for a flexi loan

RBS personal loan showing as late payment as is hsbc cc

others are showing as up to date on front page but as green arrangement to pay in additional info, so up to date but on AP.

Next account has DM under it one month, then ok, now AP again.

I believe these AP's may be more of an issue in the future?

I understand the situation we are in and I have no intentions whatsoever of even attempting to move in this state, but if we could be debt free in 2 and a half years, it would be nice to hope that we could move on. I know that interest rates would be higher and deposit would have to be higher (already have around 35k collateral in this house)

I would rather think about this now and do anything that needs done than turn around in 3 years and be declined because barclaycard didn't change our AP to a default.

My thread of hope is that I hear halifax can be flexible in lending to those with issues, we have been with them for 10 years and never missed a mortgage payment, I hope in time they may look favourably on us.

Or is it all just hopeless and we should resign ourselves to this fact?

Surely given the amount of people in this situation, things must be able to be done, we want to pay our debt back and accept it has to be done and is nobody's fault but ours, but it would be nice to not be punished for this so far into the future. Not that I ever ever want another cc again.....I don't, just a nice house in a better area for my kids while they are still kids.

What a mess

ETA - the reason I mentioned income wasn't a "oh we get this much" its more that the reason we are in this mess is that DH was self emp, hit recession, income more than halved but now employed, as am I and income has increased so we want to look at shifting this ASAP, our situation has improved since the debt spiraled, we were treading water really and the interest was the bit that sank us

Hi


I know where you are coming from in terms of interest rates.


Re the mortgage your defaults need to be three years old and have 20% deposit. Your defaults will be mature enough when you finish to give you the options.


My view is it is better to stash the cash and hit all the creditors at the same time to pay off the DAS early. Unless you are still being charged interest, then I'd aim to pick that one off etc. The challenge of overpaying is that some creditors use it as an excuse to say you are no longer in financial difficulty and reintroduce interest. That's why I think safest strategy is to save the balance and finish early if that makes sense.


Good luck

HHx

Kate_fixing_it

Well, I've bitten the bullet. Sat down with a cuppa and the statements and I now know EXACTLY what I owe to DMP debts: £10,519.53. Plus £100 to a friend (down from £600 and will be repaid on 22nd August) and £370 for DH's college course (will be repaid 25th September).

Not as close to the £10k marker as I'd have liked but nowhere near the £12k I thought it was last week! Only one debt is over £2k and two are under £800. This month I have seen one drop under £2k and another drop under £1,400. Next month I will see one drop under £1,200.

Only one creditor is still charging interest (why is it always the biggest?) but that's my August challenge - take them on! They are receiving £28 per month and charging (a reduced?!?) £27. So prepare yourselves creation finance - you are about to feel the full force of MSE strength!

No word from HSBC yet. I'll expect a "s*d off" letter next week (we all know they don't like to rush ) so I expect there will be more letter writing to do.

My railcard has arrived today and I'll be picking up our train tickets after work on Wednesday. But today's plan is set - write my complaint letter, declutter the house and sell everything I can on eBay.

Still a long road ahead but every day is one day closer.

Kate x

Growurown

Sickofthisdebt wrote: »

Thank you so much for your kind replies toots82 and Sazzie33

I'm currently reading the forum like crazy trying to get as much info as possible.

I've applied for a new basic bank account with Nationwide. Just waiting for the paperwork to come through.

Thanks for the advice I really appreciate it. I think I have been a little generous with my budget as I was scared of not having enough (never lived to a budget before which is part of my problem ). I will be saving like crazy to build up an emergency fund first before I do anything else. I hope that it is ok to do this and it won't cause problems?

I wish I could tell my OH and family but they wouldn't understand and I'd never hear the end of it.

I feel positive this evening I'm sure the fear will return but I am doing my best to handle this mess.

Hi SOTD, not having any access to credit and living within a budget were some of the things I found most scary when I embarked on a DMP. I'd say go for a generous budget to start out with and see how it goes. You can always change it later. I've had to reduce my monthly DMP payment as our car has cost us a lot over the last two years. All my creditors bar one (yup you've guessed it - Hellifax) have accepted a slightly reduced payment with no problem. They will never complain about you giving them more money though:rotfl:

Many people do token payments for a couple of months before starting on the DMP proper. It gives them a bit of breathing space to sort stuff out, pay off those debts that they don't want to or can't include in the DMP like money owed to family. It also gives you a chance to build up your emergency fund, so if you think it would help your situation then go for it.

I haven't told any of my family about our DMP. A couple of close friends know about it. Glad you are feeling more positive. The contributors to this thread are amazing, you aren't alone and we are here to support you, so if that fear returns let us know and someone will have answers for you;)