DMP & Mutual Support Thread - Part 11

Sazzie23

Floopy2009 wrote: »

Right i am now going to start my dmp alone cancelled the direct debits today, should i let them know i cannot pay and leave them to default me overtime and just keep on reminding them on every letter i get i cant pay or just ignore. Also what happens about interest will they continue to pile it on. I think the banks have a protocol with regard people not paying but what about the likes of next and argos

Cheers

Hi Floopie

I'm sorry, I've not kept up with your story, but is the first steps to a DMP, or are you planning to stop paying and get your defaults in and then do a DMP.

Most letters and calls are automated at first, so I wouldn't worry about replying to each one. I didn't do the default first route, so I'm not sure if it's best to let them know you can't pay or just wait it out.

Probably one of the others will help

Saz

Sazzie23

abby1234519 wrote: »

May I ask a question please?

Why choose Stepchange over PayPlan

Also why choose self managed over managed.

OH's DMP is with Payplan but they don't have a clue as to the actual figure from creditors. I had thought of going self managed as I think it might be easier for me to deal with it.

Hi Abby

I'm not sure there's a huge amount of difference between pay plan and SC, I've only used SC but there's been lost of pay plan people on here. I think pay plan actively try to sell you stuff, whereas SC don't seem to. The way they organise budgets is a bit different too, but neither is right for everyone.

Self managed means you can decide who to pay and when, so if you have stubborn creditors still charging interest, you can reduce their payments til they do stop interest. I think Blisteringblue is one to follow if this is what you need to do.

I keep my balances up to date using Noddle it's a free credit check company, the balances are often only updated every 2 months or so, so I have yo check regularly to see who has updated when but generally I've found the information pretty accurate. One of my creditors has disappeared completely from Noddle though so don't rely on it as your sole tool.

Payplan and SC won't give you accurate figures, only the ones they believe to be correct. I'd contact creditors individually for amounts.
If you are thinking of self managed, lots on here have found the NEDCAB DMP site yo very useful with planning and templates etc.

Saz

Sazzie23

Perpetual_Miser wrote: »

I've just received an e-mail stating that one of my debts has now been transferred to 'United Kash Limited'.

Has anyone had any experience with this Company? I have updated my DMP via StepChange to reflect the change and this is currently showing as 'pending'.

I have to admit that I'm a bit worried that they will pursue the debt more aggressively.

Sorry if this sounds a bit rude, but United Kash sounds like a scam to me, are you sure the email is genuine, I.e. Did it have all your details on? Sorry it's not one I've heard of, but if they are aggressive, report to SC. otherwise, sit tight (once you're sure they are genuine).

Saz

OrganisedNic

wow thank you so much for the replies , as cushy as it sounds im not used to this level of support and advice - im the one that just gets on with life and doesn't tell anyone my worries !

I will start the token payments, wait to see what the creditors make of it and revisit my budget in a couple of months.

sourcrates

Perpetual_Miser wrote: »

I've just received an e-mail stating that one of my debts has now been transferred to 'United Kash Limited'.

Has anyone had any experience with this Company? I have updated my DMP via StepChange to reflect the change and this is currently showing as 'pending'.

I have to admit that I'm a bit worried that they will pursue the debt more aggressively.

Debt collection laws apply to all, not just those who choose to comply with them, if they are aggressive, simply ignore them.

In reality, most DCA`s now tow the line in how they deal with the public, if they dont, they risk losing there consumer credit licence, the FCA has put them all on warning that such behavior that was tolerated in the past, will not be tolerated now.

Now i have not heard of this company, but it sounds like a payday loan enterprise to me, some are venturing into the debt collection business.

Defiantly dont pay them until you have something in writing from them, that is not an email.

sourcrates

Floopy2009 wrote: »

Right i am now going to start my dmp alone cancelled the direct debits today, should i let them know i cannot pay and leave them to default me overtime and just keep on reminding them on every letter i get i cant pay or just ignore. Also what happens about interest will they continue to pile it on. I think the banks have a protocol with regard people not paying but what about the likes of next and argos

Cheers

Hi,

Most, if not all financial institutions, be they credit card companies, store card, or loan companies, follow very similar procedures when dealing with bad debt.

I've listed this before, but for your benefit, i`ll do it again, (in a shortened form).

Non payment - account goes to internal collections

3-6 months - usually a default is registered, or account may be transferred to external DCA for collection.

6-12 months - account usually defaulted by now, may look to sell it on at this stage.

Makes little difference what you tell them to be honest, the process will continue.
Debts may be bought and sold numerous times, getting all your accounts defaulted first should be your priority !!

Floopy2009

Sazzie23 wrote: »

Hi Floopie

I'm sorry, I've not kept up with your story, but is the first steps to a DMP, or are you planning to stop paying and get your defaults in and then do a DMP.

Most letters and calls are automated at first, so I wouldn't worry about replying to each one. I didn't do the default first route, so I'm not sure if it's best to let them know you can't pay or just wait it out.

Probably one of the others will help

Saz

Yeah i have trawled through some of the posts but cant seem to find anyone that has gone down this path and what has happened and what they have done

sourcrates

Floopy2009 wrote: »

Yeah i have trawled through some of the posts but cant seem to find anyone that has gone down this path and what has happened and what they have done

^^^^^^^^^^See post 4018 above ^^^^^^^^

Floopy2009

sourcrates wrote: »

^^^^^^^^^^See post 4018 above ^^^^^^^^

Sorry mate didnt see that post, thanks again your input is always valued i will keep you all posted

Wish me luck on the dmp journey

shyshei

Hi there,
I've just signed up to the forum (I'm actually an oldie, but this is the first time I've posted about my debt, and I think a couple of family members know my old user name. So shiney new name for a new beginning).
I'm slowing reading the DMP threads and have decided that I have no choice but to start a DMP. I've decided to self-manage, however, I'm looking for some advice from you good peeps. I have not yet missed any payments to my creditors, but will this week.
I have been borrowing from 'Peter to pay Paul' for some months now and now I am maxed out on all my credit cards.
I've written a draft letter to send to my creditors to give me some breathing space whilst I fill out the NEDCAB forms, save an E-Fund, and get Christmas over, and would welcome some advice. Below is my draft:

Dear Sir/Madam,
I am sorry that I am unable to keep up my monthly payments as I am experiencing financial difficulties. I have been unwell and my income has significantly reduced. My GP has prescribed medication for anxiety and depression and my situation is unlikely to improve for at least 3 months.
I am currently taking advice from the CAB and would ask if you would please accept a token payment of £1 per month via standing order.
I would be grateful if you would help me make a full assessment of the current financial situation by providing me with up to date account details. And when I have received all up-to-date balances, I will draft a financial statement / offer and forward to you for your consideration.
It would also be appreciated if interest/charges were stopped and any recovery action suspended to avoid increasing my debt further.
In consideration of my anxiety, I would ask that all communication be in writing only and not to contact me by telephone. I will always respond promptly to any letters received.
I thank you in anticipation of your cooperation at this difficult time and assure you that I am making every effort to resolve this matter.
Yours sincerely


Do you think this OK? I'm open to suggestions Do I send this letter to the address on my statement?

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