Please help i need advise.

help83

Payplan have accepted me but they havent contacted my creditors yet as i havent filled in all the paperwork. I wanted some advise on here before i sent the paperwork but it looks like a DMP will be the best option. Once the DMP is paid off will be credit report still be a big mess or will it have improved.thanks

flaura

help83 wrote: »

thats what i wanted to hear. In your experience do the creditors agree to the DMP's and do they carry on the with the charges and interest. Also what about the defaulted accounts.thanks

payplan managed to get all interest frozen on my debts and my debts included defaulted ones they can't promise that all will do it but its a better option than continuing to struggle alone

flaura

help83 wrote: »

Payplan have accepted me but they havent contacted my creditors yet as i havent filled in all the paperwork. I wanted some advise on here before i sent the paperwork but it looks like a DMP will be the best option. Once the DMP is paid off will be credit report still be a big mess or will it have improved.thanks

anything that has defaulted will be on your credit record for six years but you can start to clear that up once the debts are paid.

being on a dmp or an iva won't improve your record alone..

help83

Im filling in forms now, this has been really helpful. My main concern is welcome finance, I took a loan of 2000 but have to pay 6500 with interest and insurance. Ive only made two payments with them of 165 each, both ontime. Also would you stop making payments on continue to try and make them.

normdeplume

"anything that has defaulted will be on your credit record for six years but you can start to clear that up once the debts are paid"

How do you do this, out of interest?

ndp

help83

Over the past 4 years i have lost control and spent well beyond my means aswell as wasting alot on gambling.thanks

Gemmzie

Once the paperwork is filled in just tell all your creditors to contact payplan, they will advise you when your DMP will start and whether you need to pay anything in the meantime.

Best of luck

flaura

normdeplume wrote: »

"anything that has defaulted will be on your credit record for six years but you can start to clear that up once the debts are paid"

How do you do this, out of interest?

ndp

defaults regrettably you just have to wait the six years from date of default ! - being a good boy or girl and paying any credit on time always ! - (this can be anything from a bank account to a contract mobile phone bill) - checking that nothing is on there that shouldn't be ! dissassociating yourself from anyone with other bad credit who you are not financially associated with with - ensuring you are on the electoral roll of course you can do some of this whilst paying the debts -if of course you can cope with that and debtors chasing you !

flaura

help83 wrote: »

Im filling in forms now, this has been really helpful. My main concern is welcome finance, I took a loan of 2000 but have to pay 6500 with interest and insurance. Ive only made two payments with them of 165 each, both ontime. Also would you stop making payments on continue to try and make them.

cancel the insurance - tell them you are struggling financially but you are dealing with payplan

just make sure you tell payplan every little debt you have no matter how big or small - mine ranged from a 13,000 loan to £100 overdraft to £65.oo to a mobile phone company - they can't help unless you are totall honest with them that includes the £5000 you owe your parents !

Good luck - there is light at the end of the tunnel even if you can't see it yet !

Start claiming back any charges on your credit cards this will help clear a massive chunk of debts check out the reclaiming charges boards - the halt on banks doesn't include credit cards ... me doing this helped wipe out £2000 of my debts...

pandapaws

As for what to do in the meantime, I'd give Payplan a call and ask them. When I looked into it, I think the advice was just to make a minimal payment that you could afford - even £1 - to each creditor until the DMP is in place, but maybe someone with more experience/knowledge can confirm/correct that?

Well done for facing up to it anyway.

If I can give you just one piece of advice that I didn't discover until about the 3rd or 4th time I decided to sort things out - make your priority above everything else NOT to get into any more debt - this is even more important that paying off your existing debt. Lots of us go through phases where we borrow money to make repayments etc, or think we've sorted things out (eg Payplan kicking in, remortgage etc) and think we can afford something - a new contract phone for example: "it's only £20 a month", but it's the start of the slippery slope all over again. So long as you can really say 'this is it, I'm absolutely finished taking debt' then you're half way to sorting it out, honest! Sorry if I'm being harsh, but it is just so important and I don't want to see you with a list of debts like mine this time next year!

Good luck and keep us posted!!