New DMP with StepChange

Debtfree_wannabe_2

Hello, I've come to join the party!

I have finally had my lightbulb moment. I am constantly robbing Peter to pay Paul and, even worse, have had to pay my rent on credit cards more than once. I've never defaulted an account but have a ridiculous number of cards (8!) plus three personal loans (trust me, kids, consolidation doesn't work!), and a catalogue.

I've contacted StepChange and they've been marvellous. A DMP is being set up to start in November and this month - for the first time - I'm defaulting my accounts. I have called them all to advise and I've made token payments to them. I do feel bad but am intending to pay them, I just need more time. I am glad this is going to trash my credit rating as I don't want any more credit. I am surprised though, at how friendly everyone has been!

Fortunately, I have a decent job and can throw a LOT of money at my debt. StepChange estimate it'll take 4 years to clear.

It's been really helpful reading other peoples diaries and I am looking forward to possibly starting my own diary. For now, cheers to being able to pay my rent without a credit card!

National_Debtline

Hi DFW (no marks for originality on your username, I'm afraid!)


Glad to hear that you are making headway and able to envisage being debt-free in the foreseeable future. I hope you will find others' diaries of similar experiences useful in your quest.


Dennis
@natdebtline

crazy_cat_lady

Good luck with it all. I am almost at the end of my journey, and you are doing the right thing for sure. It's a good feeling getting things sorted out.

blondie_80

Hi there,

Glad you are feeling positive.

I am in a very similar situation, I have oads of credit cards, overdrafts etc and had never defaulted on anything in my life but was simply never going to get anything paid off unless someone else took charge - hence my getting in touch with Stepchange. However, my experience since then has been mixed. I'm still getting charged late payment fees and over limit fees every month by Tesco credit card as they say they have rejected the offer from Stepchange because the payment offered was actually very slightly over the minimum payment, so as far as they \are concerned, it's business as usual. I've just had a very teary phonecall with them as they won't even stop or refund any of the charges as they won't acknowledge the DMP.

So, I simply can't see how that card is ever going to be paid off, when I still have a massive balance and astronomical interest and charges amounts every month.

I've had similar experiences with other creditors - it seems because my accounts were not in trouble before the dmp, they just aren't recognising it.

I need to ring Stepchange again in the morning and try and find out more info - but on previous occasions when I've called them, they have usually directed me back to my lenders. I feel as though I'm just caught in the middle of it all but not actually getting any help from anywhere!

Sorry to hijack your thread and rant on, but it just seems our previous experience is pretty similar.

Triangle

Hi DFW

I'm at the start of my DMP journey - best foot forward and all that!

Have a look at the DFW diaries for inspiration and the DMP mutual support threads - I read all of the last two ones and found it so helpful.

Best of luck

Tx

Kimble13

I could literally have written woRd for word what you have. I'm just in the process of opening new accounts and transferring all my wages and essential DD's over now. I'm so confused. I just hope.my bank will let me withdraw my money out.

Good luck. Together we can do this xx

xHannahx

Kimble13 wrote: »

I could literally have written woRd for word what you have. I'm just in the process of opening new accounts and transferring all my wages and essential DD's over now. I'm so confused. I just hope.my bank will let me withdraw my money out.

Good luck. Together we can do this xx

As long as you've opened new bank and withdrawn all money out before telling your old bank about the DMP you'll be ok, you may hit problems if they know of the DMP already.

Blondie_80 not sure if possible but speak with step change to see if a lower payment can be made to Tesco, below minimum payment, if the only reason they aren't accepting it is being above minimum payment.

dancingfairy

blondie_80 wrote: »

Hi there,

Glad you are feeling positive.

I am in a very similar situation, I have oads of credit cards, overdrafts etc and had never defaulted on anything in my life but was simply never going to get anything paid off unless someone else took charge - hence my getting in touch with Stepchange. However, my experience since then has been mixed. I'm still getting charged late payment fees and over limit fees every month by Tesco credit card as they say they have rejected the offer from Stepchange because the payment offered was actually very slightly over the minimum payment, so as far as they \are concerned, it's business as usual. I've just had a very teary phonecall with them as they won't even stop or refund any of the charges as they won't acknowledge the DMP.

So, I simply can't see how that card is ever going to be paid off, when I still have a massive balance and astronomical interest and charges amounts every month.

I've had similar experiences with other creditors - it seems because my accounts were not in trouble before the dmp, they just aren't recognising it.

I need to ring Stepchange again in the morning and try and find out more info - but on previous occasions when I've called them, they have usually directed me back to my lenders. I feel as though I'm just caught in the middle of it all but not actually getting any help from anywhere!

Sorry to hijack your thread and rant on, but it just seems our previous experience is pretty similar.

I'd write to Tesco, point out this is not a helpful way to behave. Point out you have done the right thing by approaching a debt charity to act on your behalf and have sought advice. Adding interest and charges on your account it not helping you and is not 'treating customers fairly'. Ask them to freeze interest and charges and point out if you do not get any help from them you will be taking your complaint further, to the ombudsman (you have to exhaust Tesco's own complaints procedure first and give them a chance to rectify things).
Tesco (and other companies) are obliged to 'treat customers fairly' and in your case it appears they are not.
Whilst Stepchange do what they can to help, it can really help for people to push themselves for interest and charges to be stopped. IF you are not finding the approach of Stepchange helpful then you could ditch them and do it yourself. You could increase the size of your emergency fund, for example and pay Tesco less and save the excess in the hope of one day making a full and final settlement.
df