DMP & Mutual Support Thread - Part 11

sourcrates

changeforbetter wrote: »

I worry that they've suddenly started adding unseen charges to my debt (partly just paranoia I know). I know I can contact them, but that is both cumbersome (with 8 debts) and possibly not always a company (eg debt collecters) I want to be constantly speaking to for sure....

Have all your debts defaulted yet ?


If not, you should try to "make" this happen as soon as possible.
Once an account defaults, that's it, the debt cannot rise any higher, they cant add further interest, or any further charges.


If you read through a lot of threads on here, you will see people want defaulting really quickly, not only for the reason I have just given, but also for the fact that once a default is registered on your credit file, you know that come what may, it will be gone in 6 years time.


That should be your first objective.

changeforbetter

sourcrates wrote: »

Have all your debts defaulted yet ?


If not, you should try to "make" this happen as soon as possible.
Once an account defaults, that's it, the debt cannot rise any higher, they cant add further interest, or any further charges.


If you read through a lot of threads on here, you will see people want defaulting really quickly, not only for the reason I have just given, but also for the fact that once a default is registered on your credit file, you know that come what may, it will be gone in 6 years time.


That should be your first objective.

A very good point, that I may have not been paying enough attention to - I know I've had some default letters, but possibly not all. I wonder what is the best way to check each, maybe Stepchange would be able to check with all of them for me? Otherwise, I'm back to the issue of contacting all of them separately again, which I'd rather avoid if possible.

sourcrates

changeforbetter wrote: »

I wonder what is the best way to check each, maybe Stepchange would be able to check with all of them for me? Otherwise, I'm back to the issue of contacting all of them separately again, which I'd rather avoid if possible.

No, there's a much simpler way.

There are three Credit Reference Agencies in the UK.


Noddle (call credit)
Experian
Equifax


Just check your credit file, all the information will be on there, you can sign up at Noddle for free, and view your report online, you can order a statutory credit report from the other two, for £2 each (don't sign up to there free trial offers, as not easy to cancel).


If you register on clearscore, again for free, it gives you access to your Equifax report I believe, so you can get two outa the three, for free.


Creditors can use, one, two, or all three of these CRA`s, so you need to check all three.

changeforbetter

sourcrates wrote: »

No, there's a much simpler way.


There are three Credit Reference Agencies in the UK.


Noddle (call credit)
Experian
Equifax


Just check your credit file, all the information will be on there, you can sign up at Noddle for free, and view your report online, or, order a statutory credit report from the other two, for £2 each (don't sign up to there free trial offers, as not easy to cancel).


If you register on clearscore, again for free, it gives you access to your Equifax report I believe, so you can get two outa the three, for free.

Excellent, thank you - I will do that!
I guess this is generally a decent way to keep tabs on all the debts, especially when like me there are a few floating around...

[Deleted User]

changeforbetter wrote: »

Thanks again sourcrates,

No worries about my payments being too high, as you saw in the other posting of mine, sadly the opposite!
I am fairly sure about my 8 different debts, but sometimes a worry is that they kind of stop being so 'visible' to me - e.g. removing my online banking so I can't 'see' the accounts online now. I worry that they've suddenly started adding unseen charges to my debt (partly just paranoia I know). I know I can contact them, but that is both cumbersome (with 8 debts) and possibly not always a company (eg debt collecters) I want to be constantly speaking to for sure....

changeforbetter, do you not receive paper statements from your creditors? Some of mine send them annually, some every 6 months. All send something except Lloyds but I still have access to my account online with them. It's simple then to keep tabs on what you're paying your creditors each month. Mine don't itemise what the payment includes, such as interest, but as the payments are the same each month and the balance is going down exactly at the rate I would expect it's obvious they haven't started adding any nasties to the balance:T. I also check Noddle each month to make doubly sure.

changeforbetter

carbootcrazy wrote: »

changeforbetter, do you not receive paper statements from your creditors? Some of mine send them annually, some every 6 months. All send something except Lloyds but I still have access to my account online with them. It's simple then to keep tabs on what you're paying your creditors each month. Mine don't itemise what the payment includes, such as interest, but as the payments are the same each month and the balance is going down exactly at the rate I would expect it's obvious they haven't started adding any nasties to the balance:T. I also check Noddle each month to make doubly sure.

Funny you should ask about the paper statements - quite of few of my creditors seem to have gone very quiet with that. I mentioned it to Stepchange, and they said to contact them to ask for a statement, but I do feel I shouldn't have to ask them to send them. They have varied overall, some send statements though I'm never sure they are keeping up with that. I wonder if the fact that previously (in earlier times in my accounts) I may have ticked 'paperless'? But that seems rather crazy once they've stopped me logging online into my account.
In general, I don't like the way several of mine block my ability to see my account now that I'm in a DMP. I'm not sure why that happens to be honest. But I take both of your advice to use the credit agencies now (not something I did before).

sourcrates

Another little quirk about the consumer credit act, is that, creditors are required to send you account statements at least, every six months, whilst there is a balance owing.

If they fail to do that, the account automatically becomes unenforceable by a court for as long as that breach continues, until they remedy said breach by producing a statement.

Something that you should bear in mind for the future should a creditor attempt legal action, if they have not complied with there previous obligations.

[Deleted User]

changeforbetter wrote: »

Funny you should ask about the paper statements - quite of few of my creditors seem to have gone very quiet with that. I mentioned it to Stepchange, and they said to contact them to ask for a statement, but I do feel I shouldn't have to ask them to send them. They have varied overall, some send statements though I'm never sure they are keeping up with that. I wonder if the fact that previously (in earlier times in my accounts) I may have ticked 'paperless'? But that seems rather crazy once they've stopped me logging online into my account.
In general, I don't like the way several of mine block my ability to see my account now that I'm in a DMP. I'm not sure why that happens to be honest. But I take both of your advice to use the credit agencies now (not something I did before).

I never asked any of mine to send them, they just did right from the start.

I forgot to mention Mint who send a normal credit card statement every month. Seems a bit bizarre really. They have just sold my account on so I'll have to see how the new owners of it will keep me informed of where I'm up to.

sourcrates

Just an example.


My ex wife had car finance through Barclays Partner Finance a few years ago, they failed to send statements for two years, an internal investigation by them found the error.


She received two years back interest, as they cant charge interest either whilst in breach, and was told the account would not of been enforceable in court should legal action of been necessary.


Simply because they forgot to send out statements.

Joanna_jinxed

Hi all, total newbie here. I've used Stepchange and they've advised that a DMP is the best way to manage my debts. I'm still a little confused, so please bear with me and my stupid questions...

1. I bank with natwest. My overdraft, one of my credit cards and two unsecured persona loans are with them. Should I set up a bank account with a different bank, get my pay/all my other direct debits transferred to that (eg my energy bills/car insurance etc)?
2. my car was bought through a finance agreement where I take my car back in three years time and exchange it for a new one (hire purchase). Will this be affected by a DMP? I need my car for work, so it's essential I hang on to it...

Thanks guys!
Jo