Applied for DMP Payplan- Will it be accepted?

londond_2

Afternoon Everyone,

I have applied for a DMP with Payplan because my in comings dropped and my outgoings increased due to CSA payments (recent divorce).

I had the expenditure call and have an appointment booked (phone) with the case manager tomorrow. My debts are:

Tesco Loan £9,000
Tesco credit card £4000
Natwest credit card £1000
Lloyds Bank OD £300

I'm REALLY worried that the creditors wont accept my repayment plan. I really need this accepted as its been a really bad few months.

Does anyone know if the above creditors will play ball from past experience?

Thank you for any responses

longtermplanner

How much are you expecting to be able to repay each month?

They are all mainstream lenders and so should be signed up to the Lending Code. If a Statement of Affairs from Payplan shows you can only pay £x a month, then they are likely to accept that and freze interest.

londond_2

longtermplanner wrote: »

How much are you expecting to be able to repay each month?

They are all mainstream lenders and so should be signed up to the Lending Code. If a Statement of Affairs from Payplan shows you can only pay £x a month, then they are likely to accept that and freze interest.

They've suggested £100, I suspect it will be more however. I hope it gets accepted, the last six months have been a real struggle

longtermplanner

It needs to be more. At only £100 a month, your DMP will last more than 11 years. If anything goes wrong, it could go on forever

One option for you might be a Debt Relief Order as you owe under £15,000. See if you meet the other conditions here http://debtcamel.co.uk/debt-options/dro/. If you are worried that you have more than £50 a month spare income so wouldn't qualify for a DMP, you need to talk to a DRO expert as the 'allowances' in a DRO may be more generous than what Payplan have suggested. You could go to your local CAB or call National Debtline about this https://www.nationaldebtline.org/EW/factsheets/Pages/37%20EW%20Debt%20relief%20orders%20%28DROs%29/Default.aspx#chapter4

londond_2

I own my home

londond_2

I suppose if I spend £200 per month it will be 7 years. That will still be a stretch