DMP & Mutual Support Thread - Part 11

Puzzcat

LadyMorticia wrote: »

Also, on NCO online it says 'account broken' with no explanation. What does this mean? Thank you.

Hi,
Not sure who nco are but presumably means you have broken the terms and conditions of the account!?!? Hence broken...just guessing... Sure it's nothing to worry about just terminology..
Puzz.x

Puzzcat

snowbean wrote: »

Hi all, it's ages since I last posted here, as since our dmp was set up around 3 years ago, we've just been plodding along paying the monthly payments. We've had to reduce the payments a couple of times, due to me going from full time to part time, and then being made redundant, but other than that it's all been going well and we'd pushed it to the back of our minds mostly, as our dfd is so far away (2029).

At the end of last year though, we had to borrow from my parents a few times, and eventually I came out and told them about the dmp and the full amount that we owe. Anyhow, to cut a long story short (too late!) they have offered to help us with some money now, which would otherwise come to me as part of an inheritance from them in the future. So the upshot is that we're in a position to hopefully agree full and final settlements with our creditors. Some months ago I did contact the various creditors over the phone and made some low offers which were all refused.

I'm planning to go ahead and make fresh offers in writing, but I have a couple of questions first which maybe you lovely people could advise on?

Between us we have 7 debts, 3 in my husband's name and 4 in mine. All the ones in his name were defaulted between Sep '13 and Jan '14. Of the ones in my name, 2 defaulted end of '13 and 2 haven't. One of the ones not defaulted is BC now with PRA group. So my first question is, regarding all the defaults, is the damage to our credit ratings fully done already? Does it make any difference in that respect whether those debts are fully or partially settled now? Secondly, regarding my non-defaulted debts, how do they get marked if they're only partially settled, as in, do they still drop off your credit file 6 years from the date of the f&f, or does it stay on your file indefinitely? Is there any need to try to get them defaulted now? Or would paying these ones in full be advantageous in some way? I'm sure that's probably been answered before, but I've read back so much I've addled my brain a bit

Hi,
My BC debt was sold to pra and I then complained as it should have been defaulted which they then did but I haven't worried about it being backdated as I still have awhile left on my dmp. Yes your credit file is damaged, all defaulted debts will fall off 6 years from default but will show settled or partially settled until then. Non defaulted will be marked ap or ar and these markers show for 6 years from when the debt is settled and I assume partially settled is the same.

When the time period is spent be it 6 years from default or 6 years from settled all info will disappear from your credit file. That is how I believe it all works!
Puzz.x

Spies

sourcrates wrote: »

Hi,

If you want to do a formal CCA request, you should do this in writing, enclosing the statutory £1 fee, in the form of a postal order.

I take it your looking to defend this on the basis the account is/will be statute barred.

Remembet that would only apply if no payments have been made in the last 6 years, and she hasn't written to them acknowledging the debt.

The only contact she has had is last week when she emailed to state she does not acknowledge the debt and for them to provide proof the debt is hers.

snowbean

Puzzcat wrote: »

Hi,
My BC debt was sold to pra and I then complained as it should have been defaulted which they then did but I haven't worried about it being backdated as I still have awhile left on my dmp. Yes your credit file is damaged, all defaulted debts will fall off 6 years from default but will show settled or partially settled until then. Non defaulted will be marked ap or ar and these markers show for 6 years from when the debt is settled and I assume partially settled is the same.

When the time period is spent be it 6 years from default or 6 years from settled all info will disappear from your credit file. That is how I believe it all works!
Puzz.x

Thanks Puzz. So I guess there's no real point in trying to get the last 2 to default, unless I could get them to backdate it? As if they just default and don't backdate, the details would drop off credit file 6yrs from now, same as it would be 6yrs from now if we settle now without them being defaulted?

Sorry, yes, I realise that our credit ratings are damaged hugely with all the defaults etc, what I meant really was, having got all these defaults, is there any advantage now in settling at the full amounts, rather than trying for partial settlement figures if we can? Or maybe it's best to pay the non-defaulted ones in full, as that way although they'll stay on my file for 2/3yrs longer than the other debts, at least they'd be showing as not defaulted and paid in full? Oh I don't know, I'm thinking out loud and confusing myself now! This makes it sound as if we're desperate to get more credit, don't get me wrong, we're not at all, just thinking in terms of our mortgage etc.

bbwcaz

Hi all,
I have had a bad year mentally physically and financially to help me cope yes I know how stupid I have ran up more debt nearly 5,000 worth and since losing my job due to disability partner leaving me,Now he is back ! I can not keep up with payments to the credit card and overdraft that I was able to spend on.Only myself to blame.
I have never defaulted on the DMP.
The advisers at Step change are fab and helpful but I am scared to contact them as once when I asked for a delayed payment I felt she was very cross with me.
What a woos and what an idiot I am.
I need to toughen up and face this mess.:mad::mad::mad:

Coinmachine

You do need to contact stepchange, perhaps put it in an email to them first to explain the situation if that is easier. I am sure they were not cross with you, it may have just come across that way. How were you able to still use a credit card, as usually you have to stop all forms of credit when taking on a DMP.

Its hard but try to think of your health first, being in debt is not a crime and you are not stupid. Sounds like you have had a tough year but youve got through it and are now facing up to what lies ahead, well done on having maintained the DMP up to now, that shows you can do it.

Good luck and take care.

bbwcaz wrote: »

Hi all,
I have had a bad year mentally physically and financially to help me cope yes I know how stupid I have ran up more debt nearly 5,000 worth and since losing my job due to disability partner leaving me,Now he is back ! I can not keep up with payments to the credit card and overdraft that I was able to spend on.Only myself to blame.
I have never defaulted on the DMP.
The advisers at Step change are fab and helpful but I am scared to contact them as once when I asked for a delayed payment I felt she was very cross with me.
What a woos and what an idiot I am.
I need to toughen up and face this mess.:mad::mad::mad:

Sazzie23

bbwcaz wrote: »

Hi all,
I have had a bad year mentally physically and financially to help me cope yes I know how stupid I have ran up more debt nearly 5,000 worth and since losing my job due to disability partner leaving me,Now he is back ! I can not keep up with payments to the credit card and overdraft that I was able to spend on.Only myself to blame.
I have never defaulted on the DMP.
The advisers at Step change are fab and helpful but I am scared to contact them as once when I asked for a delayed payment I felt she was very cross with me.
What a woos and what an idiot I am.
I need to toughen up and face this mess.:mad::mad::mad:

Hi BBW

You are not an idiot, or a bad person, you just had some tough circumstances and made choices that haven't worked out. Great suggestion from coin machine, and you know you've said its been a bad year, tell SC the same thing.

Look at making some changes that can help you move forward so you don't get tempted again, maybe ask partner or family you can trust to deal with the account that has an overdraft, so you could keep the account for emergencies and set up a new account for yourself with no overdraft ... Or something like that.

And have a plan B ...so maybe SC get awkward (I don't think they will, but pretend for now), you could choose to go to another provider or consider self managed.

Now make the call or send the email to SC

Saz

Powered_By_Pies

It's been a long time since I posted here, life got in the way a bit, but as of February my DMP has been completed. Done. Finito.

The letters all came through to say accounts had been cleared. Since then, nothing. Life has gone on as normal. No angry letters, not paper threats through the door and i can actually budget myself for pretty much the first time in my adult life. It's bizarre, it's like it never happened!

To those still in their DMP, or about to embark on one, or facing up to the reality that they are in debt and need help - you're not alone. Everyone on this forum is either currently or has historically been in debt, we're all in the same boat, and it might feel like an unwinnable battle, but the confirmation letters at the end of it all make it worth it. Believe me.

As some mau be aware I oped to use a paid DMP in Gregory Pennington, i was tempted to switch to SC many times but the advice i got from them, coupled wth the fact they seemed to get the job done, made me stay with them. There are of course free alternatives and if I had to do it again I'd use them, but GP were the first ones to contact me and were professional and friendly throughout, so i gave them the benefit of this and carried on with them.

Keep rocking it guys, you will all get there one day, and the feeling at the end of it is more than worth it.

[Deleted User]

What a lovely upbeat post, Powered_By_Pies:T. Many congratulations on becoming debt free. You must be over the moon:j:j:j

It was lovely that you popped in to offer advice to those of us still on our DMP journey and those still to bite the bullet and start one. I know going on a DMP was the best financial decision I ever made, especially as I'm with SC who have taken all the worry away for FREE:j

Can I be really nosy and ask how big your starting debt was and how long it took to pay it all off please? I shall understand perfectly if you don't want to respond.

Here's to your happy and successful debt-free life:beer:

Powered_By_Pies

carbootcrazy wrote: »

What a lovely upbeat post, Powered_By_Pies:T. Many congratulations on becoming debt free. You must be over the moon:j:j:j

It was lovely that you popped in to offer advice to those of us still on our DMP journey and those still to bite the bullet and start one. I know going on a DMP was the best financial decision I ever made, especially as I'm with SC who have taken all the worry away for FREE:j

Can I be really nosy and ask how big your starting debt was and how long it took to pay it all off please? I shall understand perfectly if you don't want to respond.

Here's to your happy and successful debt-free life:beer:

Thanks Carbootcrazy i think the total when i pulled the trigger was about £8,000-ish, made up of payday loans (I spiralled wildly with those) as well as Capital One and Natworst (credit card and package bank account/student account overdraft).

I started it in May 2014 (I think!?) and from day one it gave me determination to get it all gone for good. Gregory Pennington went through it all with me, worked out a fair monthly amount and sent the letters out. At the time i was paying off car finance as well, they omitted that from the overall total as they popped that monthly amount into my budget which helped give a monthly total i could afford, in budget, and made a substantial enough dent in the DMP every month. I had one small wobble when a car finance payment bounced throwing my account into a hissy fit but it all got sorted pretty quickly by them, notifying the creditors of the issue and the payment was only 5 days late once it was all back on track.

I also had the surprise that Wonga found they had been unfairly authorising loans with me on a monthly basis and so wiped off about £800 from the total which helped.

I never even heard from another creditor - pounds to pocket - with the exception of two letters, one to say they agreed with the DMP, one to say it was all paid off and the account was closed.

Natworst even went quiet on me, shifting the combined accounts into one debt and passing it to Weston - I feared the worst as i'd heard horror stories but again, they just agreed the amount and then told me it had all been cleared.

I'm now in the process of claiming my package account fees back as I felt I was unfairly sold the account by Natworst - whether it sticks or not is another thing entirely but as the DMP is now paid off, any amount i get back (minus a fee) is mine and mine alone, which I'll be using as rent deposit for a flat with my girlfriend if/when it comes through, so it's already earmarked if I get it awarded.

I still have those moments where I want to spend money on something big, but the entire process has changed my attitude to money - I considered getting a ps4 as a treat, looked at the prices, didnt have enough saved, considered getting one on a store card, baulked, and instead found a pre-owned ps3 with 5 games and a 12 month return warranty for £85 from game, so my bargain hunting hat is still on my head and I dont intend on taking it off.

Knowing that apart from the essentials, the pay going into my account every month is mine and no-one else's is a liberating feeling. Stick with it guys, life might seem upside down right now but it won't last forever, in this day and age situations change for better and for worst, it's about rolling with the punches, taking stock, working things out, crisis management, and above all, remembering that debt IS NOT a crime, it's encouraged by the financial institutes, but it doesnt mean we have to stay in debt and wear their shackles all our lives. You're your own person, and if you dont want to be in debt, dont let a stuffy letter or nuisance DCA phonecall pull you back into the abyss - you're all better than that, and better than them.