Brogden's Debt Disaster & Self Managed DMP!

Brogden

NoOneAround wrote: »

Thanks Brogden, will be following you, my diary is pretty tedious full of personal family dramas but it really helps to get it off your chest!!


I think some of the creditors will be about to register a default as I have been paying token payments for approx. 6 months. Have managed to increase income in some areas but then lost other income - juggling many balls!! I guess the default is just part of the process? as we won't be able to pay off within 5 years , which I gather is the magic time period from reading some of these diaries.

Hi NoOneAround,

If its been token payments for six months then defaults being registered is going to happen any time soon. As I stumbled into my self-managed DMP I do remember a period of great stress. Basically I had not had a default on my credit file for more than ten years and I was stupidly trying to stop them happening by ringing the banks finding when they intended defaulting me and chucking money at them that I didn't have to put off the evil day. Then the NatWest threatened and I needed nearly £400 for them and I couldn't do anything but surrender I then surrendered to the lot
There were plans we had for a secured consolidation loan which had been underwritten and was ready to go subject to a statement from our mortgagees. When it was finally faxed through it showed one months arrears and the deal was off! I was in the depths of despair but that, as it happens was the best possible result
I am not aware of any '5 year rule' by the way. When you are defaulted the default will sit on your credit file for six years and it will then disappear whether or not you still owe money on that agreement or not. I hope this is good news for you

Speak soon,

Brogden

NoOneAround

Brogden wrote: »

Hi NoOneAround,


There were plans we had for a secured consolidation loan which had been underwritten and was ready to go subject to a statement from our mortgagees. When it was finally faxed through it showed one months arrears and the deal was off! I was in the depths of despair but that, as it happens was the best possible result
I am not aware of any '5 year rule' by the way. When you are defaulted the default will sit on your credit file for six years and it will then disappear whether or not you still owe money on that agreement or not. I hope this is good news for you

Speak soon,

Brogden

Hi Brogden - am guessing are you self-employed too?
We nearly went down the consolidation route with Payplan but I got cold feet a the last minute and called StepChange for a second opinion - so glad I did! I didn't like the way PayPlan were taking over my life by trying to sell me all sorts of different products -insurance-utilities- life insurance - got several calls a day!!!!!!
The 5 year comment - Have seen this in several threads where people have said " I couldn't pay within five years therefore...." but I guess it might just have been those particular creditors.


I am aiming for a 10 year plan to pay this all off and hopefully also make overpayments to mortgage.
x

Brogden

NoOneAround wrote: »

Hi Brogden - am guessing are you self-employed too?
We nearly went down the consolidation route with Payplan but I got cold feet a the last minute and called StepChange for a second opinion - so glad I did! I didn't like the way PayPlan were taking over my life by trying to sell me all sorts of different products -insurance-utilities- life insurance - got several calls a day!!!!!!
The 5 year comment - Have seen this in several threads where people have said " I couldn't pay within five years therefore...." but I guess it might just have been those particular creditors.


I am aiming for a 10 year plan to pay this all off and hopefully also make overpayments to mortgage.
x

You will probably be out of this in much less than 10 years some of your creditors may be getting very weary after a while and will accept short settlements - maybe very short settlements! Watch to see how I get on next year - hoping I don't look like a complete numpty (sometimes do )

Brogden

catandy

just had to post - you're situation and what led you to be in this position is close to where I'm at. the decision to go it alone for dmp the same (and the same reasons by the look of it). Hope it picks up for you and you get some good news with the f/f next year - fingers crossed for you and I will be picking your brains on how to do it as im going to be in the same position later next year. have subscribed

Brogden

catandy wrote: »

just had to post - you're situation and what led you to be in this position is close to where I'm at. the decision to go it alone for dmp the same (and the same reasons by the look of it). Hope it picks up for you and you get some good news with the f/f next year - fingers crossed for you and I will be picking your brains on how to do it as im going to be in the same position later next year. have subscribed

Hi catandy and thanks for catching up. I didn't think the events and emotions could be unique to me but I am so pleased that I know now that they are not

Great innit? Here we are and we are sorting it out. To be honest I am certain that we need something to sort out to keep functioning but there are decidedly better things than this - anyway, if it needs doing onwards and upwards!

Please keep in touch and let us all know how you are doing.

Brogden.

Brogden

Hi Everybody,

Its been a short while since my last post as I had to leave the house very early yesterday, wasn't back until evening and walked into a lot of work (business and domestic) which needed attending to and then ate my tea and was a bit of a sleepy Brogden

I burned a bit of diesel and not having time to make a 'DMP-Sandwich,' called at one of my favourite chip shops and had the most beautiful piece of fish Not the best budgeting day really - putting the fish aside for a moment, I do find that fuel requirements are an absolute b*gger to budget for. I have no choice but to drive though and I enjoy getting out. These days I play games as I am driving, looking at the trip computer and trying to get the best average consumption figure on the screen Got it up to 55mpg yesterday but on long easy cruises I have nudged 70 mpg a few times What a sad Brogden!!!!!!

Speak to you all soon.

Brogden

NoOneAround

Not sad at all Brogden - I have been eco driving for years - and have managed to eke out 10%extra mileage for keeping to 50-60 and not thrashing the car (not on the 30mph roads - obviously )....it does annoy others though, I laugh at the boy (sorry sexist, and girl) racers who rev hard overtake and then pull up at the red traffic light 2 seconds before you:D
Going back to your non "purist" DMP Did you keep some cards going through your DMP? and did the other creditors kick up a fuss if you did?


x

Brogden

NoOneAround wrote: »

Not sad at all Brogden - I have been eco driving for years - and have managed to eke out 10%extra mileage for keeping to 50-60 and not thrashing the car (not on the 30mph roads - obviously )....it does annoy others though, I laugh at the boy (sorry sexist, and girl) racers who rev hard overtake and then pull up at the red traffic light 2 seconds before you:D
Going back to your non "purist" DMP Did you keep some cards going through your DMP? and did the other creditors kick up a fuss if you did?


x

Hi NOA,

It was a bit of a busy day yesterday - perhaps I shouldn't complain if it was 50% successful? Nothing to do with the debts just the work grind..........Ha!

In answer to your question about keeping credit cards going in a DMP.....no I didn't really but everything happened by chance or accident! I was awaiting completion of the secured loan and wasn't paying the cards for a couple of months and had calculated that there would be no defaults in the meantime......yes, there would be late payment markers! When the loan application failed (due to having a month's mortgage arrears) I was unable to use the cards as they were in arrears and it would have taken a hefty sum to bring them all up to date. I knew at this time that I had no choice but to default across the board and sort out low affordable payments to them all and it is then the 'Non-Purist Self Managed DMP' was born !!! I am smiling now but at the time I was extremely uptight about this so I sympathise with everybody in a similar position. They all defaulted over ensuing months!

NOA, you know that you do want to shoot that credit card you are still using and put the blighters on token payments but if you may need the available credit as you currently have no emergency fund then I know what I would do and we wouldn't be breaking the law and we wouldn't be sent to prison You would have to consider this to be a temporary position as in the longer term that card could seriously spoil your debt reducing endeavours!

I am sorry if anybody finds this a bit naughty! As to whether your other creditors would find out and cause problems - well I believe they 'could' but the majority will probably not notice or not bother to look and myself.....I would not lose a minutes sleep over that although I have to say that I have cringed speaking to NatWest when they are obviously looking at my credit file whilst I am on the phone. I have always had the feeling the other call centre operatives haven't had a clue about my overall position even though somewhere in the bank they can view my file!

The two concerns over this course of action are:-
- You cannot use a debt charity whilst continuing to use a card - so self managed would be the only route.
- Some creditors will take away all of the available credit by reducing the credit limit if they find adverse information on the credit file. This can leave you in the lurch and pre DMP it has happened to me - thanks Sainsbury's

I have to get working now - I'll post later as I do think you have a clear simple route you can follow which will reduce your stress in a big way and it is what worked for me.

Brogden

NoOneAround

Hi Brogden,
That all makes perfect sense, I know what I should do, and I suspect there wont be much of a credit limit left as they are bound to catch on soon ....Yes Sainsbury have done that to OH card already!!! It is short term and as soon as I have a comfortable little pot of funds for the unexpected I will stop (Balance on it is £600 ish).


Fish and Chips? yummy - you need a treat every now and then - I gave in to eclairs yesterday!


Am working at school tomorrow, will catch up soon
x

Historybuff

Hey, Brogden. Your story and debt level resonate with me. I've been self managing my DMP since Feb And for the first time in my whole life my debt levels are going down - albeit very slowly - rather than up! It's going to be a long slog, but I can't wait for that debt free day.
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