Reducing payments on DMP

Namo

Hi,

I have had a DMP with Stepchange for 4 months, but due to having to move, my payments have just reduced from £294 to £222. I am really worried about how my creditors (Santander, Co-op, Barclaycard, Littlewoods and Zopa) will react to the reduced payments, and am panicking about being taken to court, bailiffs turning up on my doorstep etc. Does anyone have experience of having to reduce their monthly DMP payments, and how have your creditors reacted?

Thanks.

Tixy

Hi and welcome to the forum

Its not uncommon for people to need to reduce their payments, either temporarily or ongoing whilst on a DMP, so creditors will be used to it.
Presumably stepchange would be able to explain the reason for the reduction.

Its unlikely to trigger any additional action from creditors. In the unlikely event a creditor does decide to take court action at any point then it is still unlikely to get to the stage of bailffs. As long as you make an offer to the court of what you can afford to pay a month then it is very likely to be accepted.

Good luck with your DMP

Namo

Hi Tixy,

Thanks for your reply. I am going to call Stepchange tomorrow to check with them if they inform my creditors of the reason for the change which would help to out my mind at rest. I am also assuming that this is not an uncommon situation due to the fact that the DMP is a flexible agreement. Fingers crossed that my creditors will be understanding!

Karen777

I think it's quite normal for payments to be reduced at some point for exactly the reasons you have said. Hopefully stepchange can help and reassure you further.

Sinhanada

Hi Namo

I was with Step Change (CCCS) for almost five years and during this time I had to reduce payments and at a couple of points not pay for a month (But caught up and paid double the next month). The CCCS managed all of my creditors during this point and I didn't receive any further letters or action from them.