DMP & Mutual Support Thread - Part 11

make_the_change

Puzzcat wrote: »

Hi,

Just increase any of the categories to ensure you cover all your 'outgoings'. Nedcab's financial statement is not as detailed as sc so you will need to inflate other categories..

Puzz.x

It has a section saying 'other' where you can add categories. Should I use that? x

Puzzcat

make_the_change wrote: »

It has a section saying 'other' where you can add categories. Should I use that? x

I didn't use it, I just inflated some of the others so that it all balanced the same as my sc budget.

Puzz. x

Sazzie23

Emm1234 wrote: »

Hi all
So I started my dmp in January and all has been ok so Far. However yesterday I got a copy of a letter from rbs to stepchange saying that I hadn't kept up with the agreed payment even though I have and that if SC don't contact them within 14 days to confirm they're still representing me then they'll remove their name and send my details to debt collecting agency or solicitors. I'm quite worried now as I don't want them knocking at my door. I've emailed SC so waiting for their response but wondered if anyone had had a similar letter.

Hi

Don't panic, but do contact RBS, maybe the paperwork has gone astray somewhere. Tell them you are paying SC and ask them to review the payments on the account number you have listed with SC.
( First check the SC site for that ref number on your DMP account. )

Then ring SC and have the same conversation and will it all be sorts. I promise no one will be coming to the door for a good while yet if ever.

Saz.

Sazzie23

Scaredofdebt wrote: »

Morning everyone. I've not posted for a while but 14 months in and everything is going OK with the Dmp. It's tough at times being on a strict budget but I do quite like the feeling of only buying what we really need! Anyway the reason I'm posting is we have just applied for a £5 a month sim only deal mobile phone contract with ID but have failed the credit check. Both me and hubby have 02 contracts but we have only upgraded whilst on the dmp. We wanted a cheap sim only deal for our boy who starts high school this year, does anyone know which companies, if any, are less strict or whether we will struggle to get one? I'm sure I've read of people having no trouble with switching mobile providers but maybe I've dreamt that. Thanks ☺

Hi

I passed the Virgin mobile credit check for a contract but I am an existing customer so may not have been so strict, my credit rating is listed as 522 at the moment with noddle.


Hope this helps.

If necessary talk to someone before submitting in line as you might fall fowl of too many credit checks. Or consider a pay as you sim for now?

dailymaildailyfail

I am new to a DMP- I finally bit the bullet earlier this month after I realised I could no longer pay the minimum repayments on my credit card bills at the end of this month.

At the end of April when I got paid, I paid the minimum repayments on all my cards, and then called Stepchange, so I am in the fortunate position of having a month to set it up before the DMP starts at the end of May, with all my creditors "up to date" on their payments.

I found Stepchange VERY helpful and nice, but have a few questions.

1) I have sent back my DD and have signed the relevant documents, but do I need to let all my creditors know about the DMP or do I wait for Stepchange to do that for me?
2) I opted for a DMP even though I really should have gone for an IVA (£24K worth of debt and a estimated monthly repayment of £175) because I anticipate at the end of this year I will be inheriting a lump sum enabling me to pay off all of my debts. My question is- if I pay them all of in December for instance, will many companies allow me to negotiate out of a default on my credit file? I hope to buy a house with the lump sum (and a small mortgage) so don't want to ruin my credit file if I can.

Thanks

Puzzcat

dailymaildailyfail wrote: »

I am new to a DMP- I finally bit the bullet earlier this month after I realised I could no longer pay the minimum repayments on my credit card bills at the end of this month.

At the end of April when I got paid, I paid the minimum repayments on all my cards, and then called Stepchange, so I am in the fortunate position of having a month to set it up before the DMP starts at the end of May, with all my creditors "up to date" on their payments.

I found Stepchange VERY helpful and nice, but have a few questions.

1) I have sent back my DD and have signed the relevant documents, but do I need to let all my creditors know about the DMP or do I wait for Stepchange to do that for me?
2) I opted for a DMP even though I really should have gone for an IVA (£24K worth of debt and a estimated monthly repayment of £175) because I anticipate at the end of this year I will be inheriting a lump sum enabling me to pay off all of my debts. My question is- if I pay them all of in December for instance, will many companies allow me to negotiate out of a default on my credit file? I hope to buy a house with the lump sum (and a small mortgage) so don't want to ruin my credit file if I can.

Thanks

Hi,
As soon as you don't pay your contractual monthly payment you are defaulting the account so it depends how the creditor marks your credit file. Not sure why you feel an iva would have been better if you are intending to pay off the debts soon? The only way to have kept your credit file good would have been to continue to pay the contracted amount until you could pay in full. I doubt any would reverse a default based on what you are saying..
Puzz

Helpme34

Hi

I'm new to the forum and wonder if anyone could provide a little help.

We've been in a DMP since Aug 2012. Our review is coming up next week as OH has changed his job and we wanted to increase the payments we are making by another £20pm. His salary has increased considerably but so have our expenses as daughter has turned 16 and son in secondary school.

OH is not part of the company pension scheme and as we are in our early 40's, getting a little worried about no pension provision being in place!
Would payplan/creditors allow us to put away cash in a savings account for pension purposes or would this not be allowed?

Any help would be great

Sazzie23

Helpme34 wrote: »

Hi

I'm new to the forum and wonder if anyone could provide a little help.

We've been in a DMP since Aug 2012. Our review is coming up next week as OH has changed his job and we wanted to increase the payments we are making by another £20pm. His salary has increased considerably but so have our expenses as daughter has turned 16 and son in secondary school.

OH is not part of the company pension scheme and as we are in our early 40's, getting a little worried about no pension provision being in place!
Would payplan/creditors allow us to put away cash in a savings account for pension purposes or would this not be allowed?

Any help would be great

I'd say it would be reasonable, certainly advisable to put some savings away, I think there is an option in SC to include pension payments in expenses but not sure about PP. either way call it pension contributions even if you are saving directly into your own account.

Saz

Sazzie23

dailymaildailyfail wrote: »

I am new to a DMP- I finally bit the bullet earlier this month after I realised I could no longer pay the minimum repayments on my credit card bills at the end of this month.

At the end of April when I got paid, I paid the minimum repayments on all my cards, and then called Stepchange, so I am in the fortunate position of having a month to set it up before the DMP starts at the end of May, with all my creditors "up to date" on their payments.

I found Stepchange VERY helpful and nice, but have a few questions.

1) I have sent back my DD and have signed the relevant documents, but do I need to let all my creditors know about the DMP or do I wait for Stepchange to do that for me?
2) I opted for a DMP even though I really should have gone for an IVA (£24K worth of debt and a estimated monthly repayment of £175) because I anticipate at the end of this year I will be inheriting a lump sum enabling me to pay off all of my debts. My question is- if I pay them all of in December for instance, will many companies allow me to negotiate out of a default on my credit file? I hope to buy a house with the lump sum (and a small mortgage) so don't want to ruin my credit file if I can.

Thanks

Hello and welcome

I can see why you wanted to avoid an IVA if you've an impending lump sum. Your credit rating will be screwed in a DMP though, are you sure you can't manage minimum payments for a few months and then ask them to hold off for the last couple before you get your lump sum?

Unlikely you'll get much discount with f&f payments as tends to be long term creditors and dca's at give best discounts, but you never know and you can always ask closer to the time. Often no rhyme or reason to who gives best discount.

Oh and it's best to let creditors know you are with SC but it's not compulsory.
Saz

Brogden

Puzzcat wrote: »

Hi,
As soon as you don't pay your contractual monthly payment you are defaulting the account so it depends how the creditor marks your credit file. Not sure why you feel an iva would have been better if you are intending to pay off the debts soon? The only way to have kept your credit file good would have been to continue to pay the contracted amount until you could pay in full. I doubt any would reverse a default based on what you are saying..
Puzz

As Puzz says, I cannot think why you would want to consider an IVA. I think IVA's are spoken of much too lightly. They are one step above bankruptcy, formal and public information. There is also the 'equity clause' which should show us clearly what a serious undertaking they are. This may or may not be relevant for you but would have me running away at 1000mph!

In 'almost' all cases if somebody can get by without an IVA then that should normally be the better option . I can't speak for absolutely everybody though .