DMP, F&F and credit history?! HELP!

Jaksmyboy

Hi everyone, ive been lurking for a while and always refer to MSE for help when i need it! But im in a quandary atm!:( and wonder if anyone can help?!
Me and my husband have been on a DMP for about 8 years now-ive swapped and changed DMP companies (mostly fee charging-i know i know! ) Anyway the most recent one ive been with was one of these that you pay so much a month-they firstly take their fee then take 50% and pay the creditors and 50% they put into your 'pot' so building up a lump sum to offer as F&F to the creditors. Anyway to cut a long story short rang them the other week as i thought i was at a point where they would/should be considering going for F&F and i had a bit of money to chuck in to get things moving as i had about 45% of my debt in my 'pot'. Anyway they advised me that i would need at least 75%-80% to get things going and with what i pay/mth this would take another 5-6years and they advised that they take a % of the money they save you in the F&F which i did not know about!
So, ive cancelled the whole plan and decided i can do btr myself-they are in the process of sending me my 'pot' money through. So ive written to my creditors and offered 70% F&F to them (although having read on here i feel i should have gone in far lower to begin with?) that should hopefully clear the 5 smallest then the two catalogues with the largest balance i have also contacted and they say that they could reduce my payments which they will review every 6 months. (i currently pay them around £6/mth on the dmp-they say they could accept £45/mth)
So my question here is this reduced payment the catalogue is offering-will this go down on my credit file as a 'payment arrangement' or not? Im considering asking them how much the minimum payment would be on these accounts as i really want to clean up my credit file and dont want payment arrangement on there as this is really bad isnt it?
Does anyone know what the minimum payment would be on £1400 at 33%-i would always try to pay slightly more than the minimum though.
My other issue is i called my mortgage company in Dec to ask advice as we were having financial difficulties-they did offer to let me miss a month or two payments but it never came to that as we managed to get the money together for the payments but looking on my credit file they have marked decemebr down as payment arrangement-if i contact them will they be able to remove this status?
Sorry for the ramble!
Many thanks for any help

Tixy

Do you know how your debts show on your credit files at the moment?

After 8years on a DMP then I would have thought most of your creditors would have defaulted you long ago and the accounts may well have dropped off your file.

So my question here is this reduced payment the catalogue is offering-will this go down on my credit file as a 'payment arrangement' or not? Im considering asking them how much the minimum payment would be on these accounts as i really want to clean up my credit file and dont want payment arrangement on there as this is really bad isnt it?

If the accounts already show as defaulted on your credit file then reducing payments won't make any difference.
If they accounts have already dropped off your credit file then they won't reappear.
If neither of the above are the case I would be very surprised if you didn't already have an arrangement to pay marker on the account.

So ive written to my creditors and offered 70% F&F to them (although having read on here i feel i should have gone in far lower to begin with?)

After 8 years on a DMP then your creditors may have settled for less. Have you just made F&F offers to a few of your creditors? If so then if you make offers to any more then I would definitely start lower.

My other issue is i called my mortgage company in Dec to ask advice as we were having financial difficulties-they did offer to let me miss a month or two payments but it never came to that as we managed to get the money together for the payments but looking on my credit file they have marked decemebr down as payment arrangement-if i contact them will they be able to remove this status?

They can remove it, hopefully they will agree to if you made the full payments on time each month.

nick1986_2

£45 sounds like it is the standard minimum monthly payment on a balance of that size and if that is the case then it should be shown as a green tick/dot and not a payment arrangement. If you are on a DMP though then surely the interest is frozen but this won't be the case if you agree to make the contracted minimum payment again? 33% - ouch!

Settlements figures will depend on the company, how long its been outstanding, your circumstances etc so difficult to say but if you have been on a payment plan for some time the lender is more than likely going to be keen to settle up so may accept significantly less than 70%. Ask them for a figure before offering and go from there I would say.